Hair Care Market: Snapshot
The global hair care market is expanding at a steady pace and is likely to continue doing so during the course of the forecast period. One of the most important factors responsible for this stability is the demand for healthy, lustrous, and manageable hair and this need drives the purchase decisions of most consumers.
The market for hair care products expected to grow significantly across developing and developed regions owing to increasing R&D activities for the enhancement of these products. Moreover, an emphasis on innovation in technology for the formulation of new hair care products is expected to impact the market globally.
The global hair care market was valued at US$81.3 bn in 2015 and is expected to reach US$105.3 bn by 2024, registering a steady 3.0% CAGR during the forecast period.
Availability of Variety of Hair Styling Products and Devices a Key Factor
In terms of revenue, the shampoo segment accounts for the dominant share in the hair care market, and registered a 30.9% share in 2015. The shampoo market is gaining popularity thanks to product innovation based on evolving customer needs. The major players offering a wide variety of shampoos in the market include Procter & Gamble Co., L’Oréal S.A., and Unilever plc.
Hair styling products form a highly attractive segment in the hair care market and is projected to expand at a 4.4% CAGR. Hair styling products include mousse, holding sprays, heat-resistant sprays, sprays for curly hair, serums, and gels. The growing demand for hair styling products due to the changing purchasing behavior and patterns of consumers is likely to boost this product segment. A key trend noted in this segment is the fact that local manufacturers in Africa and APAC have been focusing on new product development and innovation catering to consumer preferences so as to establish a loyal customer base over the years.
Hair colors are gradually witnessing increased demand across the globe. This can be attributed to the ever-rising influence of the fashion industry and a rise in the global aging population. A recent trend noted in this segment is an increase in male consumers. Men’s grooming products have gained much popularity in recent years and this global trend is reflected in the hair color market as well.
MEA offers Immense Scope for Growth with Improving Disposable Incomes of Consumers
Asia Pacific accounted for the leading share of 33.12% in the global hair care market in 2016. The region, which comprises China, Japan, India, and Rest of Asia Pacific, is fueled by the increasing number of people facing hair and scalp problems such as hair fall and damage. In addition, rising self-consciousness among youth about their appearances is supporting the market. The growing variation of hair colors, styling products, oils, conditioners, and shampoos available in the market today is also attracting an increasing number of consumers in the region.
The Middle East and Africa (MEA) market is expected to expand at a strong CAGR of 4.0% during the forecast period. The region, which includes UAE, South Africa, and the Rest of MEA, is expected to be supported by the growing opportunities for hair care products in rural areas thanks to the improving disposable income and changing lifestyles of the consumers. In addition, local and international key players have been investing significant capital in emerging markets since the crisis of 2009 led to a decrease in the prices of hair care products. This, in turn, is anticipated to boost the market for hair care in the region.
The global market for hair care is extremely consolidated owing to the presence of several manufacturers, both domestic and international. The competition among manufacturers is intense and thus, the entry of new players is restricted. Some of the leading players competing in the global hair care market are Henkel Corporation, Procter Gamble Co., L’Oreal S.A., Unilever plc, Revlon Inc., Avon Products Inc., Aveda Corporation, Neutrogena Corporation, Amka Products (Pty) Ltd., and Combe Incorporated.
Global Hair Care Market: Overview
Hair care comprises of five types of products which includes shampoo, hair color, hair conditioner, hair styling products and hair oil. Growing trend in fashion industry and increase in the aging population is booming hair color market globally. In addition, rise in male grooming products is also driving the growth of the hair color market across the globe. The types of hair colors products includes permanent hair color, temporary hair color, semi-permanent hair color, and hair highlights and bleach. In addition, Conditioner segment in hair care market is growing rapidly. Major factors driving the growth of the market include rising economic growth, changing lifestyle, and rising trend towards professional hair treatment is boosting the market of conditioner globally. North America has the largest market for hair conditioner. The growth of the market in this region is directly impacts the revenues of the leading vendors in North America.
Global Hair Care Market: Regional Dynamics
As per current trend, Hair styling products is growing rapidly. Hair styling products includes hair styling mousse, holding sprays, heat Protestants, spray for curly hair, hair serum and gel among others. Increasing demand for hair styling products is due to consumer’s preference and their changing buying behavior towards beauty products. Furthermore, local manufacturers in Africa and APAC, focuses on new product development and product innovations according to consumers preference in order to developed a loyal customer base over the years. In addition, the presence of numerous manufacturers in the nation and their continual effort to develop various types of hair care products as per consumers need is a major driver for the market in the developed country such as U.S, U.K. Canada and others. Moreover, considering the growing hair damage control and hair color products the global key players of hair care market are expected to adopt improved technology for manufacturing professional hair care products.
Hair color products are receiving value among different age groups globally. The key reasons for this growth are the general hair damage and hair color problem. Hair oil market is growing significantly due to the consumer’s preference. Consumers has shown interest towards hair oil market due to its benefits which includes strengthening hair, nourishment, faster and better growth and reducing the problem of falling hair. In addition, consumers in North America and Europe uses hair oil as a hair treatment or scalp treatment products. Asia Pacific has the largest consumer of hair oil in the world.
In addition, increasing awareness regarding the scalp treatment and hair damage prevention is also allowing the products to penetrate into the market. However, a Hair care products is not pocket friendly for the consumers. This, coupled with reduced availability of some professional products is acting as a restraint for the hair care market. Those who require these products to deal with scalp problems and hair problems, very often cannot afford them due to their low purchasing power. The cost of these hair care products acts as a hindrance for customers mainly in the developing nations. The impact of this restraint is high in the short run but it is expected to reduce over the years.
Global Hair Care Market: Competitive Landscape
In order to get a better understanding of the hair care market, a key trends analysis has been included for all the segments. In addition, the key players in the market have also been profiled in terms of their product segments, financial overview, recent developments and business strategies adopted by them. The leading players in the market include Henkel Corporation (Düsseldorf, Germany), Procter & Gamble Co., (Ohio, U.S.), L’Oreal S.A. (Clichy, France ), Unilever plc (London), Revlon, Inc. (New York, U.S.), Avon Products Inc.( New York, U.S.), Aveda Corporation (Minneapolis, U.S.), Neutrogena Corporation (Los Angeles, U.S.), Amka Products (Pty) Ltd. (Sunderland Ridge, South Africa.) and Combe Incorporated. (New York, U.S) among others.
Global Hair Care market can be segmented as follows;-
Global Hair Care Market, by Product Type
- Hair Color
- Hair Styling Products
- Hair Oil
Global Hair Care Market, by Geography
- North America
- Rest of North America
- Rest of Europe
- Asia Pacific
- Rest of APAC
- Latin America
- Rest of Latin America
- Middle East and Africa
- South Africa
- Rest of Middle East & Africa