Dermatologicals in the Netherlands

2020 IMPACT

Dermatologicals sees limited impacts from COVID-19 overall, as mature category typically follows historical patterns

Dermatologicals saw limited effects from COVID-19 in Q1 and Q2 2020. There was a small degree of stockpiling in Q1, for example with nappy (diaper) rash treatments as consumers feared a potential shortage, but this was much lower than other categories in consumer health.

Antipruritics sees boost as consumers treat dry and sore skin caused by excessive handwashing

Antipruritics shows the second strongest growth in 2020 and is a more significant category of note, as a higher number of consumers are turning to antipruritics to treat the skin of their hands which has become dry and sore from excessive handwashing due to COVID-19. Whilst this segment is also expected to return to more normal historical levels over time, antipruritics is seeing the greatest benefit from COVID-19.

GSK and Bayer show strong competition, as smaller player Remark wins shares by capitalising on the caterpillar plague with its specialist product

GSK Consumer Healthcare maintains a small lead on Bayer Consumer Care BV in company terms in dermatologicals in 2020. However, in brand terms, Bayer takes top place with its Canesten brand, with GSK’s Lamisil and Zovirax coming in second and third place.

RECOVERY AND OPPORTUNITIES

Developments in antipruritics show best scope for ongoing progression during COVID-19 and beyond

Antipruritics shows the greatest scope for opportunities over the forecast period. Whilst dermatologicals is a mature category and therefore options are more limited for development, the ongoing need for more regular handwashing as a result of COVID-19 is expected to increase the need for such products to ease dry and sore skin.

Players offer portfolio diversification with less expensive, yet similar, products

Pre-COVID-19, there was a swing towards premiumisation in dermatologicals. However, lower consumer disposable incomes as a financial result of the crisis mean this trend has been dampened.

Importance to identify sub-segments with lowered demand as a result of COVID-19

Moving forwards, it is important for players to adapt to meet changing trends and to notice which sub-segments to invest further in, against those which are seeing restrictions. For example, with COVID-19 related personal contact limited, cold sore treatments are likely to see a decline in sales.