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Fueled by rising demand for personal care products, aggressive marketing strategies of companies, and rise of indie brands, the men’s skincare market is expected to hit US$ 10Bn by the end of 2019. With anticipated future growth expected at double digit CAGR through until 2029. Together with a wealth of male oriented brands in the marketplace and an increasing number of men engaging in grooming regime, the men’s skincare products market is going from a non-entity to multibillion-dollar business.
As male consumers are no longer limiting themselves to traditional men grooming products, manufactures are prioritizing new product launches, aggressive marketing, and subscription box services. In addition, rising number of indie brands are competing for a slice of this lucrative market.
Manufacturers are focusing on developing novel products to ride on the new trend wave of natural and organic skincare. Manufacturers have also intensified focus on sophisticated product ingredients and packaging for sharper profit margins. The growing demand for anti-aging products and moisturizers will be an important factor driving the market growth.
The skincare industry, like many other industries, has long been a multibillion-dollar market that caters to wellness and aesthetics needs of consumers. However, like beauty and fashion industries, advertising of skincare products is heavily one sided. Women continue to be recipients of the majority of skincare marketing through TV ads, magazines, and recent social media campaigns.
In 2018, men collectively spent US$ 9.5 Bn in skincare products, growing at a rate of 8% in 2019. In 2018, 37% of the world’s skincare products were launched in the U.K., followed by the U.S. with 25%, and France, close to 15%. Sales of men’s skincare products are mostly concentrated at shaving products, moisturizers, creams, sunscreen, and cleansers and face wash. Europe is expected to hold significant share in men’s skincare products market owing to the exceedingly high concentration of beauty & skincare manufacturers in the region.
However, East Asia will be a lucrative investment pocket for companies in the men’s skincare products landscape, as the J-beauty and K-beauty cosmetic trends are proliferating in western countries. Further high demand for organic products will be one of the key attributes complementing global men’s skincare products market growth.
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Premiumization – The New Trendsetter in Market
Product premiumization has been observed as the latest trend in the men’s skincare products market. Now companies offer natural and organic skincare products with natural extracts in an attractive packaging that comes under the premium category. Globalization and economic growth, especially in developing countries, offer lucrative opportunities for various companies to capitalize on. These companies are resorting to premiumization of their personal care product portfolios to strengthen their market position.
Shave Care at Forefront, Serum and Oils Close in
In recent years, men are increasingly proving to be a lucrative market for skincare products and beard grooming products. Currently, shave care accounts for 30% of total sales of men’s skincare products and is expected to progress on a significant pace soon. Pre-shave and Post-shave care products are also gaining traction amongst the consumers. Shaving foam or gel remains highly sought-after in shave care category and will remain in demand against shaving cream. Manufacturers are also tapping relatively newer categories such as sunscreen, moisturizers, creams, facial scrubs, and polishes specifically designed for men. Brands are set to up their ‘claims game’ in case of non-conventional products such as serums, oils, and treatments that account for a relatively low revenue share in the current scenario. Swift penetration of E-commerce will further complement growing accessibility of such products.
‘Ingredient-first’ Approach – Key Growth Influencer
Despite its smaller size than women’s beauty sphere, the men’s grooming industry is undergoing a transformation. From which ingredients are used and how ingredients are sourced to how products are marketed and where they are sold, the men’s skincare products market will respond to the consumers’ quest. Emerging trend of herbal beauty, greater awareness of benefits of self-care through organic products, rise in demand for clean labels, and gender-neutral marketing will be the key winning imperatives for men’s skincare products market players. The market is moving beyond traditional male marketing tactics and the surge in number of beauty blogs and social influencers advocates for a more transparent exposure that encourages conscious consumerism. High-quality ingredients will thus be a priority for manufacturers of men’s skincare products.
How Growth will Unfold
The global men’s skincare products market is significantly consolidated. Prominent players like Procter & Gamble plc, Beiersdorf AG, Johnson & Johnson Services, Inc., Estee Lauder Companies, and L’Oréal S.A offer men’s skincare under various brands targeting different demographic groups. Pricing continues to be a decisive factor in shaping consumer choices in men’s skincare market and thus, mid-range products will see relatively high sales, especially in Asian countries.
Premium products, on the other hand, are gaining momentum in Europe and North America. Baby boomers are specifically pushing the luxury category. Key players are targeting millennials with high spending capability and are developing premium product ranges endorsed by celebrities. Manufacturers with high risk appetite and investors in premium category will find profits in developed markets. Whereas, brands introducing economy range products in low-income countries will win in the long run.