Latin America’s share of global salon hair care sales registered a slight increase in 2020, thanks to independent stylists and the e-commerce channel, despite being hit at a level similar to the global average. Brazil was among the best performers, while Mexico was severely impacted by the COVID-19 pandemic.
How did the categories perform?
While all categories experienced declines, hair care fared the best in Latin America because of sales expansion via e-commerce. The hardest-hit category was styling products and sprays, which was impacted by salon closures, prolonged time between salon visits, fewer social interactions, and the work-from-home boom. Growing demand for less-expensive mass styling products also contributed to the category’s decrease.
Which players are defining the market?
L’Oréal and Wella continue to be key market leaders in the region, even though they both experienced sales declines in 2020. E-commerce was the most dynamic sales channel, growing by 60%. L’Oréal Professionnel, Kérastase, and Wella are the three dominant players, accounting for almost half of all e-commerce sales in the region. Kérastase, one of the most dynamic and e-commerce-focused brands, increased by more than 200% in the Brazilian and Mexican markets.
Why are independent stylists important?
A growing number of hair stylists in LATAM are working independently and not in salons. Manufacturers would be wise to target them — in addition to their increase in numbers, they are enjoying more purchasing power than before. In Mexico alone, Kline estimates that the number of hair stylists that work independently soared by 28% in 2020.
To learn more about these and other dynamics at play in the professional hair care industry in Latin America, refer to our just-published Salon Hair Care Global Series, a collection of in-depth reports of a record number of more than 30 markets. For each market, including the markets of Brazil, Chile, and Mexico in Latin America, this comprehensive analysis comprises industry size and growth, product trends, category snapshots, salon services and statistics, distribution channels, and marketing activities, all including forecasts to 2025. Meanwhile, to get a glimpse of the salon hair care industry in the Asia-Pacific region, read our recent blog.