In a joint presentation at the Strategic Research Institute's "Cosmeceuticals: New Strategies & Developments" Conference in New York, Draft's Wilcox and Lucas identified increased life expectancy, working women and new ingredients and technologies as major factors affecting the way consumers are now thinking about health and beauty -- and why and where they shop for related products.
"Increased life expectancy has brought about a change in the way people view ageing and what they can -- and should -- do about it," said Wilcox. "Meanwhile, there is also a growing number of women in the workforce feeling pressure to maintain a youthful and vibrant appearance."
She pointed out that such women spend significant sums of money on their skincare regimes as well as health-related services such as yoga and massages.
This trend for women to spend increasing amounts, coupled with new and improved ingredients and technologies bodes well for future growth.
In a presentation titled, "Putting Power Behind Your Products," Lucas and Wilcox indicated that consumer thought and behavior are still in the nascent stage and can be influenced, a task in which both manufacturers and retailers must play a major role.
Wilcox explained: "Health and beauty as categories are overlapping, with cosmeceuticals sitting in the middle. Consumers are expecting a lot from both extremes of these categories, from their over-the-counter skin care creams to their full-scale face lifts."
"Consumers today have more product and service options than at anytime in history. They must be educated about what choice to make when they are considering health and beauty regimens, such as ingredient selection and product benefits. Using health claims as a differentiator only works if the claims are credible, understandable and relevant, and only if the consumer is able to compare benefits and risks," Wilcox added.
According to Lucas, the cosmeceutical marketplace represents significant opportunities because of growing consumer demand. This is why large investments are currently being made in this area by consumer packaged goods and pharmaceutical companies as well as retailers.
The cosmeceutical industry is expected to generate revenues of up to US$56 billion (€45 bn) in the year 2007, up from US$43 billion (€35 bn) in 2002.