Market Trends of Global Premium Hair Care Industry
This section covers the major market trends shaping the Premium Hair Care Market according to our research experts:
Growing Appeal For Organic and Natural Products
The global premium hair care market is witnessing an increasing demand for natural and organic products due to the rise in consumer awareness about the harmful effects of certain compounds, such as paraben and aluminum compounds present in hair care products. A high percentage of consumers choose one brand over others based on its natural formulation. This enhanced the demand for safe, natural, and organic hair care products in recent times, according to DSM 56% of consumers believe that active ingredient is more important than brand, package, or fragrance when it comes to purchasing decisions.
Moreover, consumers with sensitivity tend to look for natural and fragrance-free products. In Scandinavian countries, there has been a growing shift toward fragrance-free products. Wherein according to research by Battelle Memorial Institute and Silent Spring Institute, the analysis of 18 commonly used products like relaxers, hair root stimulators, and anti-frizz products detected 66 chemicals with potentially toxic effects. The researchers also detected nonylphenol, a compound associated with obesity and a higher risk of breast cancer, in 30% of the hair treatments in the United States. Thus, the high demand for natural ingredients is evident in the market studied. It has led to most companies launching products with nature-inspired ingredients, such as plant-based and premium botanical ingredients.
For instance, in 2020, Henkel launched a brand of natural toiletries and hair care products, Nature Box, with both solid and liquid products in France. The range features five liquid shampoos and their solid equivalents, plus a conditioner. The products are incorporated of 99% natural ingredients derived from fair sourcing cold-pressed hemp, coconut, nut, argan or avocado oil in both liquid or solid product and packed in eco-packaging.
Asia-Pacific is the Fastest Growing Region
The market in the Asia Pacific region is expected to register the fastest growth rate during the forecast period due to the rising awareness about personal hygiene and well-being along with the gradually increasing disposable income levels and standards of living. Furthermore, hair care has always been a top priority for both men and women. Also, there is an increased demand for premium hair care and other grooming products by men, owing to a robust shift in attitude toward personal well-being. In addition, the vast male population in emerging countries is doing away with manual work and adopting white-collar jobs, which is further anticipated to create product demand. Millennials are one of the prominent consumer segments for premium hair care products. The influence of K-Pop culture along with Thai and Korean celebrities are creating awareness regarding the latest hair care and styling trends. This has exhibited stronger demand for coloring and treatment products for grey hair coverage and resolving hair-related concerns, respectively.
Owing to the high concern for hair care, there's a rise in demand for specialized premium products. Hair textures vary from person to person and so do the hair and scalp-related issues. Some people might have damaged or dry hair, while others have to deal with breakage and hair fall problems. As a result, specialized products are being introduced in the region that claims to fix damages caused by many factors. For instance, in 2021, Dabur India has diversified its product portfolio with the launch of a premium range of shampoos under the brand Dabur Vatika Select and each variant of the new range has a unique ingredient that solves specific hair problems.
