Beauty and personal care: Euromonitor’s latest state of the global market
The report, Beauty and Personal Care: Quarterly Statement Q1 2019, described as a ‘strategy briefing’ by Euromonitor is available to purchase on the company’s website.
From the ongoing dominance of premium beauty to regional insights on the US, China and Japan, we take a look at the key factors impacting on the global beauty and personal care market.
Premium beauty: big rewards, but big risks
According to Euromonitor’s Q1 update, premium beauty and personal care is expected to add USD462 million comparatively to mass that will only add USD96 million through to 2022.
At the same time, the premium segment is subject to higher market uncertainty especially in developed markets where the majority of sales come from and where it relies on GDP to a greater extent.
US: skin care spotlight
Skin care in the US is the major category to benefit from the Q1 upgrade with value sales forecast to reach USD21.4 million by 2022.
Acting on soft drivers such as product variety by innovating and launching new products would represent a great opportunity to capitalise on lucrative skin care.
China keeps up momentum
The market in China is witnessing an upgrade despite growing concerns about a domestic demand slowdown and the impact of the US-China trade war, says the firm.
Major market players including L'Oréal and Estée Lauder reported significant gains in China, noting that they experienced no slowdown in the latest quarter. Check out our update on L'Oréal's 2019 so far here, including its China focus.
Growth of the upper middle class in future will continue driving positive BPC performance in China pushing companies to further explore significant unmet potential in the Chinese BPC market.
Olympics approaching: Japan to benefit
Population and demographics are limiting BPC volume potential as Japan’s population is ageing rapidly, while birth rates are forecast to further decline.
However, Euromonitor finds that J-Beauty has a unique appeal and international reach to a certain extent, which bodes well to counteract the ageing population.
Likewise, the firm reckons that the industry has the potential for a boost given the number of tourists expected to visit Japan for the Olympics in 2020.
