4 months ago

The global organic personal care market size is projected to reach USD 25.11 billion by 2025, according to a new report by Grand View Research, Inc., expanding at a CAGR of 9.5% during the forecast period. Rising R&D expenditure to introduce improved plant and animal extracts into various products is expected to promote the demand for organic personal care products over the forecast period. Furthermore, regulations encouraging the use of organic materials in the personal care industry are likely to propel market growth.

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Growing demand for organic products is leading to an increase in their availability in supermarkets, malls, and drugstores. In addition, booming online marketplace, where consumers can access a wide range of products from any part of the world, has been a primary reason for increase in the level of accessibility and is estimated to remain a key contributing factor over the forecast period. Online stores also give consumers the opportunity to gain access to products that would otherwise not be available in local stores and malls.

Burgeoning popularity of naturally-derived products is the key factor fueling the demand for organic personal care products. Expanding product distribution channels in urban areas is augmenting the product accessibility to consumers. With the introduction of products such as flosses and mouthwashes, the demand for organic oral care products is anticipated to increase

Demand for products that are free from synthetic fragrances, preservatives, parabens, petrochemicals, and harsh cleaners such as sodium lauryl sulfate has registered sharp rise over the past few years. There are numerous players in the market that are involved in the manufacturing of a variety of personal care products, such as sunscreens, body lotions, shampoos, scrubs, anti-aging creams, makeup removers, masks & exfoliators, eye care products, lip care products, BB creams, face oils, cleansers/toners, and masks/exfoliators.

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North America was the largest market for organic personal care in 2017. The trend is poised to continue over the forecast period. The growth of the market can be attributed to rising demand for safe and natural products. Over the past few years, companies have been introducing new and innovative products that are designed to cater to specific consumer needs. Major players in the industry such as L’Oréal, The Body Shop, and Estée Lauder launched several organic products that target the ageing population.

Further key findings from the report suggest:

• In terms of value, the global revenue for hair care is anticipated to reach USD 6.62 billion by 2025, rising at a CAGR of 9.8% from 2017 to 2025

• Skin care application dominated the market in terms of revenue in 2017, commanding over one third of the market, owing to ability of organic ingredients to impart antioxidation properties and improve skin health

• The U.S. organic personal care market is poised to exceed USD 7.7 billion by 2025 owing to presence of various manufacturers of organic personal care products in the country

• The market is highly competitive with presence of a number of multinational companies with wide product portfolios

• Major companies in the market lay high emphasis on expanding their presence in the global market, in an attempt to increase market shares and drive revenues. For instance, Estee Lauder acquired various companies such as BECCA Cosmetics, Too Faced, and Editions de Parfums Frederic Malle, over the past few years in order to expand its product portfolio.

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