Natural Personal Care Market Analysis, Trends and Forecasts to 2025

Report Title: Natural Personal Care Market Analysis – Forecasts 2025

Product (Skin Care, Hair Care, Oral Care, Cosmetics, Others), Distribution (Direct Selling, Retail, E-Commerce, Others), End-use Landscape, Vendor Landscape, Competitor Analysis

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Natural Personal Care Market Analysis:

Rising consumer awareness for personal health safety is expected to increase the consumption of natural personal care over the forecast period. Harmful chemicals such as phthalates, aluminum salts, and parabens which have probable side effects have resulted in consumers shifting to natural personal care products.

Approval from human health & safety regulatory bodies such as the U.S. Department of Agriculture (USDA) and FDA had lead to the increasing supply of bio-based ingredients. Rising R&D investment in developing natural ingredient based customised products is expected to influence the industry positively.

Introduction of plant & animal extracts coupled with strict regulations regarding the use of chemical skin care products is projected to augment market demand. Expanding distributed channels is expected to aid the consumption of natural cosmetics. Large & easy availability of raw materials is anticipated to increase innovation and new product development over the coming years.

Product Type Insights:

In 2016, the skincare segment dominated the market, use of natural ingredients such as herbs, vegetables, and fruits with anti-ageing properties are projected to gain massive demand. Anti-oxidising properties and improving skin immunity with natural ingredients is an advantageous feature offered by such products.

Organic hair care products are anticipated to grow at a high CAGR over the forecast period. The increasing demand for dandruff protection, hair fall control and shining effects toiletries with natural ingredients are expected to gain preference over the coming years. This industry is expected to garner superiority in the market against chemical substances such as ammonia, sulfur, and paraben.

The oral care segment is projected to grow on account of its preference in curing mouth diseases such as gum disease, bleeding gums, and periodontal disease. Herbal ingredients such as neem and clove have been incorporated within products by companies such as Colgate-Palmolive and Hindustan Unilever.

The organic cosmetic segment is expected to observe high traction in developing countries such as India, China, and Brazil. Germany, France, and the UK are also expecting a positive impact on the cosmetics sales in the future. In 2015, the industry generated revenue exceeding USD 2 billion.

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Natural Personal Care - Distribution Channel Insights:

New product innovation and expanding distribution channels are expected to boost the growth of the industry. Arbonne International, Amway, and Natura Cosmeticos SA are the key players involved in the direct selling. E-commerce is one of the most important platforms driving almost 10% sales in 2016, and is estimated to grow at a high rate in the forecast period.

Regional Insights:

North America is currently leading in the market followed by the Europe. The entry of numerous multinational players in developing organic product is expected to augment market growth in the future.

Asia Pacific is estimated to emerge as the fastest growing region in the forecast period. The faith in ayurvedic solutions is the major feature that has boosted demand in India. China and India are expected to record high consumption of products concerned with aging, UV protection, and hair fall repair over the coming years.

Competitor Analysis:

Companies such as The Body Shop and L’Oreal are integrated across the value chain. The companies manufacture the raw materials after which they use them for producing cream, lotion, shampoo, and conditioners. Arbonne International, Inc. added two new hair products to its existing Pure Vibrance hair care line, namely, ColorLast Hair Serum and ColorLast Hair Spray.

The natural personal care industry is very competitive with new entrants and the high level innovations in the existing companies. Some of the key industry participants include Bare Escentuals, The Body Shop, Burt’s Bee, Estee Lauder, The Hain Celestial Group, Yves Rocher, Amway, Aveda Corp., Arbonne International, Kiehl’s, Natura Cosméticos S.A., and L'Occitane en Provence.

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