Increasing Awareness Regarding Personal Grooming to Drive Skincare Industry Growth
In recent times, skincare has become one of the important rituals in everyone’s life. This is because these products improve the quality and health of the skin and provide nourishment. Men & women both use it daily for purposes such as cleansing, moisturizing, and hydrating. Additionally, awareness toward natural and herbal skin care is also generating traction.
For instance, ingredients such as aloe Vera, various root and leaf extracts have replaced chemicals in these personal care products since people are now aware of the adverse effects of synthetic chemicals on the skin. Therefore, major skincare companies are labeling their products to be natural. For example, key companies such as Avon and Garnier have launched their natural and herbal range as ‘Avon Naturals’ and ‘Garnier Organic’ to attract customers.
The global skincare industry size is expected to gain momentum by reaching USD 145.82 billion by 2028 from USD 100.13 billion in 2021 while exhibiting a CAGR of 5.52% between 2021 to 2028. In its research titled, “Skincare Industry Size, Share & COVID-19 Impact Analysis, By Product (Creams, Lotions, Powders, Sprays, and Others), Packaging Type (Tube, Bottle, Jar, and Others), Gender (Men and Women), Distribution Channel (Cosmetic Stores, Superindustry s/ Hyperindustry s, Online Channels, and Others), and Regional Forecasts, 2021 – 2028, mentions that the industry stood at USD 98.83 billion in 2020.
What does the Research Provide?
The industry research for these products provides a detailed analysis of several factors, such as the key drivers and restraints that will impact growth. Additionally, the research provides insights into the regional analysis that covers different regions, contributing to the growth of the industry. It includes the competitive landscape that involves the leading companies and the adoption of strategies to introduce new products, announce partnerships, and collaborate to contribute to the industry growth.
The rising trend of skin nourishment products by the young population to treat their skin problems such as acne, black spots, scars, dullness, and tanning is expected to drive skincare industry growth. Products such as toners, scrubs, and sunscreen are highly in demand from the younger population. Whereas products that treat wrinkles, cracked heels are demanded from the aged population. Moreover, incessantly changing lifestyle, increasing disposable income, and spending patterns of consumers.
Furthermore, the increasing demand for men’s grooming products, strong advertising initiatives by manufacturers, and the digitalization trend that have enhanced consumer awareness about personal care products are also promoting industry growth. For instance, as per ‘Prima & Prep’s Men Grooming survey 2019’, around 89.5% of the men are concerned about skin issues, of which 35.8% of men use skincare and anti-aging products on a daily basis.
By product type, the industry is divided into creams, lotions, powders, sprays, and others. By packaging type, the industry is segmented into tubes, bottles, jars, and others. On the basis of gender, the industry is bifurcated into men and women. By distribution channel, the industry is segmented into cosmetic stores, super industry s/ hyper industry s, online channels, and others.
List of Key Players Profiled in the Skincare Industry
L’Oréal Professional (Clichy, France), Unilever (London, England), Procter & Gamble (Cincinnati, Ohio, U.S.), Estée Lauder Inc. (New York, U.S.), Beiersdorf AG (Hamburg, Germany), Shiseido Co., Ltd. (Chuo City, Tokyo, Japan), Coty Inc. (New York, U.S.), Natura & Co. (Sao Paulo, Brazil), Kao Corporation (Chuo City, Tokyo, Japan), Johnson & Johnson Services, Inc. (New Brunswick, U.S.), Avon Products Inc. (London, U.K) & other.
Key Players to Focus on New Launches & Acquisitions to Strengthen Their Presence
The industry is consolidated by major companies striving to maintain their position by focusing on new launches, collaborations & partnerships, and acquisitions. Such strategies taken up by key players are expected to strengthen its industry prospects.
Asia Pacific to Dominate Backed by Increasing Working Population
Asia Pacific is expected to remain at the forefront and hold the highest position industry during the forecast period. This is attributable to the increasing employed population and rising disposable income in the region. Research by India Brand Equity Foundation on FMCG published in May 2018 states that in India, total consumption expenditure was USD 1,595 billion in 2016, which is projected to reach about USD 3,600 billion by 2020. The region’s industry stood at USD 51.31 billion in 2020.
Europe is expected to showcase significant skincare industry share in upcoming years. Owing to the increasing demand for skin nourishment products by both male and female population. Additionally, the greater spending power of the populace in the region, coupled with the strong presence of key players operating in the industry, is promoting the regional industry.
Below is the Idustry Development
- December 2019: A subsidiary of Kao Corporation, equip, LTD., launched its new brand named ‘athletic’ in February 2020. The brand offers skin nourishment products, such as ‘tune & charge,’ the ‘active & go’ and ‘breathe & sleep’ range.
- January 2020: Procter & Gamble acquired a women’s body care company named Billie Inc. Through this acquisition, the company is expected to strengthen its product range. As Billie is primarily involved in supplying female beauty as well as grooming products.