Organic Personal Care Products Market, by Product Type (Skin Care, Hair Care, Color Cosmetics, Baby Care, Bath and Shower, Deodorants, Fragrances, Depilatories, Oral Care and Others), by Distribution Channel (Hypermarkets and Supermarkets, Specialty Stores, Online, Convenience Stores and Others)- Global Industry Insights, Trends and Forecast 2017- 2025

Created On: Jun-2018
Report ID: IR93
Format: PDF

Market Overview

Changing lifestyle focusing on health and wellness trend among the populous along with focus on beautifications are key to driving demand for safer and ethical products resulting in growing demand for organic and natural personal care products. These products are majorly manufactured with different plant-based ingredients and does not include harmful synthetic chemicals including sulfur, parabens among others.

With rising demand for natural organic personal care products owing to increasing awareness and rising disposable income, manufacturers are focused on innovating new formulations. For instance, ingredients such as hemp seed, seaweed, oatmeal and honey are some of the ingredients that are increasingly being used across different product lines. For instance, Pura Naturals Inc. introduced a new line of beauty products infused with cannabidiol, derived from hemp and hemp seed oils.

Market Dynamics

Rising demand for premium personal care products stands to be one of the key drivers in the global organic personal care products. Consumers view organic cosmetic products to be of high quality and thereby tend to pay a premium on natural personal care products. As a result, several players operating in this space are introducing various products in the personal care space with natural ingredients. For instance, Loreal SA, expanded its natural hair category with the launch of its Botanicals hair care range and available in coriander, geranium, camelina and safflower forms. These products claim to be paraben, silicone, and dye-free and is infused with natural coconut and soy based ingredients.

Some of the key leading players operating in this segment include Estee Lauder, Shisheido, Loreal SA among others.

Owing to the growing demand for natural products, several private label players have been focused on introducing their own range of private label brands and offering cost effective solutions with the aim to target their loyal customers. Moving on with this trend, Pingo Doce, a leading supermarket chain in Portugal with presence of over 400 stores introduced its new beauty range such as anti-wrinkle and moisturizing creams ranging between US$ 1.8 to US$ 4.80. These skin care range is prepared from natural ingredients and are free from any artificial colors, parabens and silicones.

Celebrity cosmetic lines are furthermore creating buzz among the cosmetic obsessed masses and driving them to purchase. For instance, KORA Organics from Miranda Kerr offers 100% Australian-made skin care products and offering a mixture of different natural and organic ingredients. In 2018, the company expanded its presence in the Chinese market owing to the growing demand for natural and organic products among the Chinese consumers. Similarly, other celebrity cosmetic lines such as the Honest Company from Jessica Alba, GOOP from Gwyneth Paltrow are some of the popular organic product lines among the fashion lovers.

Segmentation Analysis

In terms of distribution channel, the online segment is expected to be the fastest growing segment during the forecast period. Factors such as availability of different products along with easy accessibility stands to be some of the key aspects influencing the market growth. As a result, several key leading players such as L’Oreal SA, The Estée Lauder Companies Inc, and Shiseido are focusing on digitalization to drive demand. For instance, the e-commerce sales of L’Oreal SA grew by 34%, representing over US$ two billion in 2017. Additionally, leading online retailers such as Amazon and Alibaba are implementing different strategies to induce customers to buy personal care products. For instance, in 2018, Amazon launched the Indie Beauty Shop housing different cosmetic brands.

Regional Outlook

APAC stands to be lucrative market for organic personal care products owing to increasing awareness and rising preference of using organic ingredients over synthetic based ingredients. Additionally, the growing personal care industry among the emerging economies coupled with rising disposable income are key factors supporting the market demand. Rapid growth in the personal care industry in emerging economies such as China and India and growing demand from smaller cities are key factors driving the growth of the industry in this region. Furthermore, several key players are introducing different line of organic products to increase customer base in this region. For instance, the launch of Indulekha Bringha Hairfall Shampoo by HUL in 2017 in hair care segment and Colgate Sensitive Clove and Colgate Cibaca Vedshakti by Colgate Palmolive in 2016 in oral care segment are some of the recent launches by the leading manufacturers in the Indian market.

Competitive Landscape

The market for organic personal care products remains highly competitive with several players emphasizing on product innovation, new launches, merger and acquisitions and geographic expansion to increase market share. For instance, the acquisition of Sundial Brands and Schmidt’s Naturals by Unilever Plc, focuses on company’s growth expansion in the organic personal care space.

Some of the key players operating in the organic personal care market are Unilever Plc., L’Oreal S.A, The Estée Lauder Companies Inc, Amway Corporation, Shiseido, Beiersdorf AG, and The Clorox Co

Our Research Approach Includes
  •  Market Outlining
  •  Framing discussion guide
  •  Data Validation
  • Data Analysis
  •  Re-Validation and Finalization of Data
  •  Report Insights and Publishing
Our Research Approach Includes
  •  Market Outlining
  •  Framing discussion guide
  •  Data Validation
  • Data Analysis
  •  Re-Validation and Finalization of Data
  •  Report Insights and Publishing
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