Trends Shaping Innovation in the Personal Care Industry
There are a number of global trends in the personal care industry that are shaping the open innovation needs of both mid-sized companies and large global brands. How these companies embrace innovation can have a big impact on their bottom line. The global personal care product market is forecasted to reach more than $650 billion by 2024. In the U.S. alone, the personal care market is more than $36 million annually, with an expected annual growth rate of 9.3%. User penetration is at 28.3% and is expected to grow to 33.1% by 2022. The Asia Pacific region holds the largest market share and is expected to maintain its dominance in the market.Personal care product makers must reinvent classic products to meet the environmental and social requirements of their consumers.Click To Tweet
Here are the five most important trends in the personal care product market:
- Increased demand for male grooming products. Men are not only buying more products, but they are also making their preferences heard. They are looking for natural, multi-purpose, fast-acting and fast-applying products for beard care, skin care, and more.
- Beauty from within. This trend started in Asia and is spreading to the West. Consumers are calling for products that mimic the benefits of healthy eating, including vitamins, minerals, anti-oxidants, and probiotics. They want these types of solutions not just for consumption, but also for external application via personal care products.
- Digitized and personalized experiences. One-size-fits-all beauty products are no longer personal enough for most consumers. Nor are products segmented by age. Consumers want to customize their product, experience, and results through a combination of digital platforms, accessible spokespeople, and mix-and-match products.
- Socially conscious and environmentally friendly companies and products. Personal care product makers must reinvent classic products to meet the environmental and social requirements of their consumers. For example, they should be looking to find more waterless or low-water products, and bio-based or bio-mimicking ingredients that provide a “clean” claim, rather than a natural claim.
- “All about Korea.” The Korean personal care culture will to continue to dominate innovation in Western products.
We’ve worked with many companies who manufacture and sell personal care products. Our experiences include:
- Scouting and organizing an Innovation Tour for a client seeking novel technologies for deodorant products. Following a two-day tour, our client struck a deal to purchase prototype machines from one of the companies we included on the tour.
- Scouting 30 opportunities for a client seeking safer chemicals for hair strengthening. Three of these companies entered into an NDA with our client. The top company was chosen to co-develop a new product with our client.
- We conducted a Strategic DealFlow program for a client seeking out-of-the-box technologies for personal care. We presented 27 opportunities that represented the best of adjacent industries – including digital, materials, electronic and water technologies. Our client selected four of these solutions as “extremely interesting” and entered into collaborations with the top leads.