Lawsuits over fake collagen in cosmetics raise concerns for industry
A recent wave of class-action lawsuits has raised questions about the integrity of collagen-based cosmetics, a market segment experiencing significant growth. According to market research firm Data Insights Market, “by 2024, the global collagen supplement market is worth approximately $6 billion, with strong compound annual growth rate (CAGR) expected to continue in the coming years. This growth is driven by growing demand for beauty products from within, an aging population, and expanding research supporting collagen's effectiveness on health and wellness.”
However, the lawsuits bring to light concerns about product authenticity that cosmetics and personal care manufacturers must address.
The lawsuit allegations
Filed in August 2024, the lawsuits target four beauty brands—Osea, Azure, By Nature, and Pixi—alleging that these companies misled consumers by marketing topical skin care products as containing collagen when they, in fact, use plant-based imitations. According to Truth in Advertising, a non-profit advertising watchdog organization, the lawsuits claim the products contain "a ‘fake imitation of collagen’ made from plants."
More specifically, court filings regarding Azure, By Nature, and Pixi state: "Unbeknownst to consumers, however, the Products do not contain Collagen at all. Instead, the Products use a fake imitation of collagen derived from a synthetic extract of the bark and stems of the Acacia seyal tree (i.e., 'acacia seyal gum extract')." This misrepresentation, the lawsuits argue, violates state consumer protection laws.
The complaints further emphasize that "collagen is an animal protein found primarily in the connective tissues of animals" and "collagen is not found in plants,” Truth in Advertising reported. The cost disparity between genuine collagen and plant-based alternatives is a key factor. For instance, By Nature is noted for offering other products that contain genuine collagen, as reported by Truth in Advertising, illustrating that the decision to use plant-based substitutes may be driven by cost considerations.
These lawsuits follow a similar case from earlier in 2024, where Dr. Dennis Gross reached a $9.2 million settlement over allegations that its C + Collagen products did not contain any collagen, Truth in Advertising added.
Implications for the cosmetics and personal care industry
For cosmetics and personal care manufacturers, these lawsuits highlight the need for transparency in product formulation and labeling. With collagen's increasing popularity, companies must ensure that their product claims are accurate and substantiated. Misrepresentation of ingredients can lead to legal consequences and erode consumer trust.
As Truth in Advertising emphasized, "collagen is not found in plants," raising concerns for brands using plant-based alternatives marketed as collagen. Clear differentiation between plant-based substitutes and genuine animal-derived collagen is crucial to avoid misleading consumers.
The lawsuits also reflect a broader trend of increasing consumer awareness. Today’s consumers are more informed and vigilant about product ingredients, and companies must be prepared to back their marketing claims with evidence. For example, while dermatologists cited by Truth in Advertising noted that "actual collagen may help moisturize the skin and improve skin texture," they also caution that there is "no solid evidence it provides anti-aging benefits," despite common claims made by many beauty brands.
Industry outlook
As the global collagen market continues to expand, these lawsuits serve as a cautionary tale for manufacturers and suppliers. The cases against Osea, Azure, By Nature, and Pixi demonstrate the potential legal and reputational risks associated with inaccurate or misleading claims about product ingredients. With growing consumer demand for transparency and clean beauty, manufacturers must ensure that their products deliver on their promises.
This is an opportune moment for companies across the industry to reassess their product formulations, labeling practices, and marketing strategies. As regulatory scrutiny and consumer expectations increase, manufacturers will need to prioritize accuracy and compliance to avoid legal challenges and maintain consumer confidence.
Ultimately, these lawsuits underscore the importance of ingredient integrity in the cosmetics and personal care market, where transparency and trust are becoming essential to long-term success.
