US scented candles market size, share, growth drivers, trends, opportunities & forecast 2025–2030

US Scented Candles Market Overview

• The US Scented Candles Market is valued at USD 2.4 billion, based on a five-year historical analysis. Growth is primarily driven by increasing consumer interest in home fragrances, wellness trends, and the rising popularity of scented candles as decorative items. The market has seen a surge in demand for eco-friendly and natural products, reflecting a broader shift towards sustainability in consumer behavior. Key drivers include the mainstreaming of aromatherapy, seasonal launches, collaborations with lifestyle influencers, and a growing focus on personalization and sustainable packaging .
• Key players in this market benefit from major urban centers such as New York, Los Angeles, and Chicago, which dominate due to their large populations and high disposable incomes. These cities are hubs for lifestyle trends and consumer goods, making them ideal markets for scented candles. The presence of numerous specialty stores and a rapidly expanding e-commerce sector further supports market growth, with e-commerce sales now constituting over 15% of total revenues for home décor and fragrance products .
• In 2023, the US government strengthened regulations to improve product safety standards for scented candles. The “Labeling of Candles and Incense Products Rule, 2023” issued by the Consumer Product Safety Commission mandates clear ingredient labeling, transparency regarding fragrance compounds, and emissions testing for volatile organic compounds (VOCs). Manufacturers must comply with these standards to ensure consumer safety and environmental protection, including operational requirements for emissions thresholds and mandatory disclosure of hazardous substances .

US Scented Candles Market Segmentation

By Type:The scented candles market is segmented into soy candles, paraffin candles, beeswax candles, gel candles, aromatherapy candles, decorative candles, and others. Soy candles have gained significant popularity due to their eco-friendly nature and clean-burning properties. Consumers are increasingly opting for natural alternatives, leading to a rise in the demand for soy-based products. Paraffin candles, while still widely used, are facing competition from these greener options. Beeswax and aromatherapy candles are also experiencing growth, driven by wellness and therapeutic trends .

By Category:The market is also segmented by category into premium and mass market products. Premium candles are characterized by high-quality ingredients, unique scents, and attractive packaging, appealing to consumers seeking luxury items. The mass market segment caters to a broader audience with more affordable options. The premium category continues to experience robust growth, supported by consumer willingness to spend more on high-end products for enhanced home ambiance and wellness .

US Scented Candles Market Competitive Landscape

The US Scented Candles Market is characterized by a dynamic mix of regional and international players. Leading participants such as Yankee Candle Company, Bath & Body Works, WoodWick (Newell Brands), Village Candle, Chesapeake Bay Candle, Homesick Candles, Paddywax, Diptyque, Jo Malone London, Voluspa, Nest Fragrances, LAFCO New York, Aveda, Ecco Candle Company, Candle Warmers Etc., Boy Smells, Otherland, Capri Blue, Harlem Candle Co., Mrs. Meyer's Clean Day contribute to innovation, geographic expansion, and service delivery in this space.

US Scented Candles Market Industry Analysis

Growth Drivers

• Increasing Consumer Preference for Home Fragrances:The US scented candles market is experiencing a surge in demand, driven by a growing consumer preference for home fragrances. In future, the home fragrance segment is projected to reach USD 3.5 billion, reflecting a 15% increase from the previous year. This trend is supported by the rise in home-centric lifestyles, with 70% of consumers indicating that scented candles enhance their living spaces, according to a recent industry report by the Home Fragrance Association.
• Rising Disposable Income and Spending on Home Decor:As disposable income in the US is expected to rise to USD 60,000 per capita in future, consumers are increasingly allocating funds towards home decor, including scented candles. The National Retail Federation reported that home decor spending is projected to grow by 8% in future, with scented candles being a popular choice among consumers seeking to personalize their spaces. This trend indicates a robust market potential for scented candle manufacturers.
• Growth in E-commerce and Online Retailing:The shift towards e-commerce is significantly impacting the scented candles market, with online sales projected to account for 30% of total sales in future. According to Statista, the online home fragrance market is expected to reach USD 1.2 billion, driven by convenience and a wider product selection. This growth is further fueled by the increasing use of mobile shopping apps, with 50% of consumers preferring to purchase candles online for ease and variety.

Market Challenges

• Intense Competition Among Established Brands:The US scented candles market is characterized by intense competition, with over 200 brands vying for market share. Major players like Yankee Candle and Bath & Body Works dominate, making it challenging for new entrants to establish themselves. The competitive landscape is further complicated by aggressive marketing strategies and brand loyalty, which can hinder smaller brands from gaining visibility and market traction.
• Fluctuating Raw Material Prices:The scented candles industry faces challenges due to fluctuating prices of raw materials, particularly wax and fragrance oils. In future, the price of paraffin wax is projected to rise by 10% due to supply chain disruptions and increased demand. This volatility can impact production costs and profit margins for manufacturers, forcing them to either absorb costs or pass them on to consumers, potentially affecting sales.

US Scented Candles Market Future Outlook

The US scented candles market is poised for continued growth, driven by evolving consumer preferences and innovative product offerings. As the trend towards wellness and aromatherapy gains traction, manufacturers are likely to introduce more therapeutic scents. Additionally, the increasing focus on sustainability will push brands to develop eco-friendly products, aligning with consumer demand for environmentally responsible options. This dynamic environment presents opportunities for brands to differentiate themselves through unique offerings and enhanced customer experiences.

Market Opportunities

• Growing Trend of Aromatherapy and Wellness:The rising interest in wellness and self-care is creating opportunities for scented candles that promote relaxation and stress relief. The aromatherapy market is expected to reach USD 2 billion in future, with scented candles playing a significant role. Brands that incorporate therapeutic scents can tap into this lucrative segment, appealing to health-conscious consumers seeking holistic solutions.
• Increasing Demand for Eco-Friendly and Sustainable Candles:As consumers become more environmentally conscious, the demand for eco-friendly candles is on the rise. In future, the market for sustainable candles is projected to grow by 20%, driven by preferences for natural ingredients and recyclable packaging. Brands that prioritize sustainability can attract a growing segment of eco-aware consumers, enhancing their market position and brand loyalty.