Maximising Prospects in Hair Care

Delivery

This report comes in PPT.

Key Findings

Strong growth expected in Asia Pacific

North America, Western Europe and Japan are seeing slow growth, with high per capita spend limiting further growth opportunities. Other Asia Pacific markets, such as China and Indonesia, are forecast strong growth, as they grow from lower usage rates and greater access to niche brands with premium qualities.

Conscious hair care develops, with a focus on purpose

Animal cruelty-free, recycled and recyclable packaging, and sustainably sourced ingredients are gaining prominence in conscious hair care, while demand for inclusive brands which place social Purpose Over Profit is growing.

Digitalisation grows communities and supports personalisation

Digitalisation is accelerating post COVID-19, with community building and social shopping supporting this. Companies must maintain their built communities and develop omnichannel capabilities, while improved technology will enable personalisation to support value sales growth.

Hair care goes Back-To-Basics

Consumers are adopting a Back-To-Basics approach to hair care, with an emphasis on efficacy, as consumers have less disposable income following COVID-19.

“Skinification” drives health focus

Demand for healthy looking hair is on the rise, with scalp health, the microbiome, skin-influenced ingredients, bond-building and ingestibles developing in this space. Ayurvedic hair care and emotional wellbeing remain mostly untapped, with more consumers seeking holistic propositions.

Premiumisation, expansion and demographic targeting key to growth

Investment in premium brands and traits can cut across key industry themes driving growth and market perception, while expansion in lifestyle propositions and high-growth markets can solve issues of stagnation. Catering to the needs of overlooked baby boomers offers opportunities, while brands must connect with Gen Z through social media.