Aquatic algae are a rich source of a wide range of bioproducts intended to compete for a sizable global market share. Thanks to the gradual shift towards the use of natural products, microalgae-derived bioactive compounds offer an ecofriendly and vegan option to the cosmeceutical sector, whose products aim to improve skin health but currently consist of mostly synthetic chemicals. In particular, algae-derived vitamins and their precursors are being explored and widely used in the cosmeceuticals industry as compounds that contain biologically active ingredients with therapeutic benefits. The present review highlights the current strategies for industrial production of an array of vitamins from algae for cosmeceutical applications. When compared to traditional plant sources, algae have been found to accumulate vitamins, such as A, B1, B2, B6, B12, C and E, in high concentrations. The purpose of this review is to provide context for the development of a green and sustainable algae-derived bioeconomy by summarizing and comparing the current market for vitamins and precursors derived from algae, as well as presenting novel strategies and key findings from the most recent research in this area. Emphasis is placed on novel biotechnological interventions that encompass genetic modifications, genetic engineering, and media development to enhance vitamin biosynthesis.