Germany's consumers are increasingly motivated by ethical criteria

By Michelle Yeomans

- Last updated on GMT

Germany's consumers are increasingly motivated by ethical criteria

Related tags Organic food Cosmetics Personal care

According to the latest data by market researcher Gesellschaft für Konsumforschung (GfK), the German natural cosmetics segment is resuming its growth after a two year slowdown as consumers become more ethically motivated.

GfK reveals turnover rose from July 2012 to June 2013 by 10.2% - attributable to sales rising by 10.9% and the number of purchasers by 16.4%.

Overall sales growth in the sector were up 10% in the first half of 2013 and analysts say a further climb of 5% to 6% will be enough to break through the €1bn barrier in 2014.

The market researcher goes on to note driving factors as stable overall conditions prevailing in Germany, the positive climate of consumption and the departure from the 'mean-is-good' mentality.

For example, purchasing decisions in favour of organic/eco rose from 22% to 24%. The core group of devotees to Lifestyle of Health and Sustainability (LOHAS) grew within five years from nearly 10% to approximately 14%.

According to Euromonitor, natural products in general are benefitting from the growing organic trend​ the industry is seeing.

The research group says organic products are noted as increasingly gaining momentum in the beauty and personal care market, infiltrating not only the premium but also the mass market.

There were fears that the market would stagnate following a difficult financial period for Europe in general, so these figures will come as good news to the industry.

Invesments in multifunction platforms also driving growth

Natural cosmetics sales online and in supermarkets and large-scale conventional food outlets have continued to rise whereas the classic sales channels (the wholefood trade and health stores) continued to stagnate.

Aldi for example, ran a time-limited campaign with its BDIH-certified, own brand natural cosmetics Lacura, which contributed over 15% to the growth in the segment.

According to GfK, German manufacturers have also seen sales rise by increasing their investments in communication and brands such as the world of fashion, gala events and in the media. It points to the likes of home grown brands Lavera and Weleda launching advertising campaigns on TV for the first time in 2013.

Related topics Market Trends Naturals and organics

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