Meeting consumer demands is surely the most crucial ingredient to success in
the personal care industry. Currently health and well-being, anti-aging and both
the male and mature markets are the main driving forces, but blindly pursuing
these objective is not enough.
According to Datamonitor’s Daniel Bone, determining the key characteristics of
these growth segments is vital if personal care manufacturers and suppliers are
to determine a clear and successful path.
One of the biggest changes in the landscape of the market, and one that is
having a significant bearing on consumer demands, is the rapidly changing nature
of demographics, particularly in developed market.
Bone says that around 30 per cent of western consumers will be aged over 50 by
2009, and with this age group rapidly becoming high usage personal care
consumers, this area spells big potential.
”The over 45 age group spends considerably more on product than their younger
counterparts,” Bone said. ”And with children leaving home at this age,
individuals often find themselves with more time and money to spend on
themselves.”
But targeting older consumers is not that simple. A more complex approach has to
be taken towards their requirements, which are often focused on maintaining
youthful looks.
As a result, it is this age group that is providing increasing scope in one of
the fastest growing segments of the personal care business : anti-aging.
Bone points out that there has been a big run on launches aimed at meeting the
specific anti-aging requirements of mature consumers. Products such as the
Revlon Age Defying line, Avon Anew and Estee Lauder Resilience all meet skin
care requirements of mature women, while the L’Oreal Men’s Expert range also
includes products aimed at mature male skin.
And it is the male market where Datamonitor believes some of the biggest
potential for growth still exists. According to its research eight out of ten
male consumers now believe that improving their health and appearance is
important, with 45 per cent of males saying they are willing to pay more for
personal care products with active ingredients.
But whereas marketing personal care products to the perception homogenous male
consumer was once the order of the day, marketers are now increasingly realizing
just how complex the male market is these days.
Bone stresses the diversity of the male consumer profile, stressing that their
profile can now fall under the metrosexual, retrosexual and hybrid traditional
categories, with everything in between.
”The male consumer now represents a complete spectrum of characteristics and
requirements, spelling the death of the traditional ‘one size fits all’ approach,”
said Bone.
”Where manufacturers have to be particularly careful with the male market is
their approach to product claims,” he added. ”Males tend to lack trust in
ambiguous or far-fetched product claims and manufacturers should be working hard
to regain their confidence.”
Health and wellness has also been a trend that seems to have been impossible to
escape recently, but again, understanding the characteristics of this category
is a must.
Datamonitor’s research shows that 78 per cent of consumers believe that good
grooming and hygiene are as important as nutrition and diet, pointing to an
inextricable link between health and beauty that is now being incorporated into
an increasing range of personal care products.
In turn this has led to the evolution of the so-called wellness trend, which has
seen the incorporation of increasing levels of natural and organic ingredients
across a range of personal care products.
”Natural is a word that consumers often choose to describe their own looks,
“said Bone. ”It is also a very good way for marketers of personal care products
to build consumer connection."
Likewise Bone also points out that, incorporated in this general wellness trend,
there is also a growing market for products that both pamper and indulge as a
means of blocking out everyday stress. This is also linked with manufacturers
need to develop products that trigger an emotional connection with consumers.
The wellness trend also gives way to the small but growing cosmeceutical
category. According to Datamonitor 5 per cent of consumers say they would be
willing to try an oral beauty care product. This reflects both a lack of
awareness in the sector, combined with consumer cynicism over product claims.
However, Bone believes that high profile launches such as Dynasty Oral Beauty
and the new Avon Anew cosmeceutical product could help to increase awareness of
cosmeceutical products in the future.
Looking at the over all picture for every market and product category, there is
one particular trend that seems to prevail – the need for personalized solutions
that meet consumers’ individual requirements.
Bone points out that this is leading to the proliferation of new market
segments, as well as the micro-segmentation of existing categories. A good
example of this is the hair care category, where products are being developed to
cater to every conceivable hair care requirement, from frizzy to colored or even
mature hair.
Incorporated into this trend is the need for products that are both convenient
to use as well as ones that meet specific requirements for sensory attributes.
This is particularly true of products aimed at the fast-growing prestige markets,
where consumers’ demands for quality and effectiveness are deemed to be higher.
The simple message from all of this information is that tailoring products,
whether they are ingredients or finished products, around these specific
requirements is going to be essential if future launches are going to be
successful in our fast-evolving industry. The simple solution to meeting
consumer demands
SOURCE: CosmecticsDesign-Europe.com