Growing awareness among consumers regarding benefits of organic personal care products over synthetic products is supporting organic personal care products market growth. Organic products are derived from natural resources and are free from harmful chemicals. Growing working class women in developing countries such as China, India, and Brazil have been a key factor for rising consumption of personal care products. Moreover, due to its positive impact, the demand for organic personal care products is bolstering in these countries.
Organic personal care products are mostly derived from natural sources, such as herbs, plant roots, leaves, barks, essential oils, and flowers. The natural ingredients are combined with naturally occurring carrier agents, preservatives, surfactants, emulsifiers, and humectants. Natural ingredients induce several benefits to the personal care products, such as anti-oxidation properties and skin immunity.
Based on product type, the organic personal care products market is categorized into skin care, hair care, oral care, and color cosmetics. Skin care organic products held the largest revenue share among all product types; attributed to rising skin concern and anti-ageing. Growing popularity of manicures and pedicures, with an emphasis on bright colors, that make nails stand out with decorative coatings and crystals are expected to fuel the demand for color cosmetic organic products category over the forecast period.
Based on distribution channel, the organic personal care products market is categorized into retail pharmacy stores, convenience store, departmental store, direct selling, health & beauty store, online and supermarkets/hypermarkets. E-commerce and online marketplace are giving consumers access to a wide range of products from across the globe. Moreover, rising smartphone penetration and expanding e-commerce sector in Asia-Pacific region offers a highly viable entry route for the U.S. companies that are seeking to enter Asian markets.
Asia-Pacific is anticipated to exhibit fastest growth in the global organic personal care products market by 2023. China, India, and Japan are the largest markets in the region, which accounted for more than 75% of the total regional share in 2017. Increasing concern and popularity of hair and skin protection products in China and India is driving the Asia-Pacific organic personal care products market. The Japanese market in particular is witnessing considerable growth, owing to ageing population which tends to wear more cosmetics.
On the other hand, North America and Europe are considered to be mature markets and therefore, would exhibit a slow growth in comparison to other regions during the forecast period. Moreover, the market for organic personal care products in Middle-East & Africa, and Latin America is also projected to record positive growth in the coming years.
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Growth Drivers
The major drivers pushing the growth of organic personal care products market include, growing demand for green or natural cosmetics products that contain medicinal, natural or nutritional ingredients such as vitamins, aloe, and traditional medicines. Moreover, due to rising skin concerns and the positive impact of organic personal care products; consumers are increasingly adopting organic cosmetics. Also, increasing accessibility of products via e-commerce is bolstering market growth.
The market for organic personal care products is competitive in nature. Most of the major vendors in the market are actively focusing on facility expansion as well as enhancing product portfolio to meet the growing demand for these products in emerging markets. Some of the key players operating in organic personal care products market include The Estée Lauder Companies Inc., L'Oréal S.A., Arbonne International, LLC, Yves Rocher International, The Hain Celestial Group, Amway Corporation, Natura Cosméticos S.A., L'Occitane Groupe S.A., The Body Shop International plc, and Bare Escentuals Beauty, Inc.
