Foundation Cream Market is conventional to show a substantial growth in the near future
L’Oreal S.A., Proctor & Gamble Pvt. Ltd., Avon Products ,Inc., The Estee Lauder Companies, Inc., Revlon Inc., Lotus Herbals Pvt Ltd., Johnson & Johnson Limited, Kao Corporation, The Unilever Plc, and Sheseido Co, Ltd.
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COVID-19 Impact Analysis
The advent of the global pandemic, COVID-19, has affected the cosmetics foundation cream market negatively. Foundation cream is a personal skin-care product that helps to moisturize and radiate the skin. During the ongoing pandemic, the foundation cream was not considered a necessary product. Therefore, the demand for cosmetics foundation has decreased during these times.
As the COVID-19 pandemic has forced countries to enforce lockdown, the supply and distribution chain had disrupted. The shifting of activities in operations and vendor operations impacted the production. Hypermarkets/supermarkets and convenience stores were closed, creating a gap in demand and supply.
The production process for new batches of foundation cream had become a challenge for companies due to the limited availability of labor, disrupted supply of raw material, and logistic issue.
Top Impacting Factors
Changes in lifestyle, rapid urbanization, and daily grooming habits have increased the demand for cosmetics foundation over the past few years. Personal grooming has majorly influenced the increased usage of foundation cream, forcing the companies to level up their production.
The growing population and the urge of consumers to look good all day have further fueled the demand for cosmetics foundation. The population in the rural area is also adapting the usage of foundation cream, forcing the companies to shift their focus from metros to exploring the rural market.
In developing economies, consumers of rural area are price-sensitive and opt for a low price product. On the other hand, the metropolitan population is interested in the high-priced product to satisfy their esteem needs. The demand for both types of products is forcing the companies to increase their production to meet the market demand and ensure there is no gap between demand and supply.
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Consumer preferring for organic variant foundation cream over a chemical variant
The importance of organic products is rising due to their long-term benefit. Chemical infused foundation leads to acne and increases the chances of developing rashes. The advancement of technology and the better utilization of herbs and medicinal plants are giving a new scope for developing products to repair skin damage. Though, 100% organic foundation comes with a hefty price tag which is higher than conventional chemically processed cosmetics foundation. Infusing the essential vitamins in the foundation is helping to nourish and improve skin condition. Due to the introduction of innovative product variants, there is a surge in demand for the products.
The introduction of small bottle packs is improving the sales
The rural population of a developing country doesn't encourage buying a foundation that comes in large quantity as the requirement for the product is not so high daily. The manufacturing companies recognized the consumer behaviour of the rural market and introduced a small bottle pack of product that comes for a low price with single or multiple uses. The small bottle pack has improved the sales of foundation and has reached remote parts of the country.
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Social media plays a vital role in the advertisement
The companies approach renowned social media creators to endorse their brand as they have a high social media following; the advertisement expected to reach a large group of people. Promotion is creating awareness in the customer to have better-radiating skin and control the oil secretion. By the advertising, the companies are conveying a message that by using their foundation cream the consumer is expected to achieve a glow in their face.
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