The rising interest from emerging markets, particularly in the Asia Pacific region, is good news for packaging which houses deodorants and shaving foams, as developed markets are fast losing interest in it.
The global market for metal aerosol cans grew at just 2% CAGR 2008 – 2013; this figure would have been negative, were it not for robust growth in those key emerging markets which make up BRIC.
Brazil, Russia, India and China are all displaying strong consumer enthusiasm for products in metal aerosol cans, which alongside personal care items, also include household consumer goods like air fresheners.
While most developed nations are experiencing negative growth (e.g. North America), or slow growth (Western Europe), Euromonitor’s Daniel Grimsey notes that the BRIC regions are responsible for keeping up the global market sales.
Grimsey notes that Asia Pacific is seeing CAGR growth at 6%, with sales increasing by double digits in Latin America.
Modern, urban and middle class
The senior research analyst pins the enthusiasm for metal aerosol cans on the modernization currently underway in these countries, as more and more consumers head to the cities, and demand increasingly modern products to match their urban lifestyles.
Indeed, with urban populations growing at a significantly faster rate than rural ones, a trend which is particularly occurring in the Asia pacific region, Grimsey notes that we’re now seeing the rise of the global middle class.
Average disposable incomes has grown in the four BRIC countries substantially; by 13% in China and India, 12% in Russia, and 10% in Brazil in the last five years, according to the market analysis.
“These [emerging] markets exist on the cusp on which consumers are making the transition from traditional methods to modern day solutions; metal aerosols are quite often among the most affordable versions of these modern day solutions, and are consequently quite popular,” he confirms.