Hair care is a relatively mature category and with the competitive landscape being fragmented prices continued to be put under pressure in 2018 with discounting and promotions used to drive sales. Nevertheless, most categories saw an improvement compared to the current value growth seen over the review period.
Colour was a key theme for hair care in Finland in 2018 with bright colourants proving popular, while the range of colour shampoos has also been expanded to include more unusual colours such as pink. This trend was reflected in the dynamic growth of L'Oréal Colorista which was only launched in 2017.
Despite another disappointing year, one of the better performing categories in 2018 was salon professional hair care. This was partly driven by the country’s improving economy, but it was also due to growing awareness of the benefits of using these products.
In an otherwise fragmented category L'Oréal Finland Oy retained a healthy lead in hair care in 2018. The company offers a large portfolio of products which benefit from widespread distribution, while it also added L'Oréal Colorista, L'Oréal Botanicals and Matrix Biolage RAW to its range in 2017.
Many of the top performing hair care brands in 2018 had one thing in common which was a more ethical positioning, either through the use of natural, sustainably sourced ingredients, being vegan/cruelty-free, eco-friendly, or a combination of these. Alongside the aforementioned Matrix Biolage RAW and L'Oréal Botanicals, Swedish brand Maria Nila saw dynamic growth with its range of vegan and cruelty-free shampoos while Avon Naturals successfully expanded its range.
One fallout from the growing demand for better quality and natural hair care was a further decline in the share of private label. Having seen an improvement during the economic downturn as things have improved so consumers have started to turn their attention to higher quality shampoos and styling agents.
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This industry report originates from Passport, our Beauty and Personal Care market research database.