One of the most important adaptive strategies that animals use to avoid being noticed by predators or to increase their success in hunting is camouflage. It entails extensive variety of morphological, physiological and behavioural changes, which allow organisms to integrate with the environment or mislead the eyes. In this research paper, a detailed overview of camouflage in animals has been explained which includes crypsis, background matching, disruptive coloration, countershading, masquerade, and mimicry. The physiological and genetic nature of camouflage is addressed focusing on chromatophores and the neuro-system of control. The paper goes further to discuss camouflage in the main animal groups which include insects, reptiles, amphibians, marine organisms, birds and mammals. The evolutionary importance of camouflage in respect of natural selection, co-evolution of predators and prey, and survival benefit is examined. Lastly, there are the ecological and applied significance, as well as current trends of research and future outlook. In this research, the researcher will attempt to synthesize the available information and highlight the importance of camouflage in both zoology and industrial sciences.