Consumers all over the world are embracing naturally positioned, clean, and organic beauty and personal care products as the market continues to show a dynamic performance globally. As we begin research on Natural Personal Care Global Series: Market Analysis and Opportunities, we take a deeper look at product trends, key launches, news-making imports, and the competitive landscape across Asia, Europe, and North America, in addition to natural ingredients ratings using Kline’s proprietary rating scale.
Within the global framework, the recently published Canada volume of our Natural Personal Care: Market Analysis and Opportunities report indicates that the market for natural personal care products in Canada reaches almost CAD 1 billion, growing at a slightly faster rate than the U.S. market at more than 10%. Influenced by other fast-moving markets, such as the United States and Europe, trends such as sustainability make their way into the region, as Canadian-based brands place their unique spin on it.
Sustainability emerges as one of the driving trends in the market. For Canadian consumers, it is not enough to produce a naturally positioned product—it should be packaged in recyclable materials, such as glass or paper. Brands such as Rocky Mountain Soap Co. take this eco-friendly commitment further by eliminating the use of plastic bottles for packaging shampoos and instead creating a shampoo bar.
Brands seek to engage consumers online and draw attention to these efforts through marketing initiatives on social media. The Green Beaver Company, which features a full product line of recyclable packaging, promotes its biodegradable and vegan-friendly claims through its packaging and marketing campaigns.
While sustainability becomes increasingly important, incentives for consumers to shop natural personal care products may not be eco-friendly. According to our Consumer Insights Survey from the Natural Personal Care: Market Analysis and Opportunities report, an increasing number of respondents across all age groups indicate that samples, commonly offered in inexpensive plastic packaging, are an extremely important incentive to purchase a product. One online boutique retailer, Clementine Fields, offers a sampling program of up to five products per order.
The increased focus on sustainability, coupled with the lax regulation of the beauty industry in Canada, allows for greenwashing to occur in the ever-growing market. Our custom-designed Natural Rating System (NRS) allows us to rank naturally positioned brands into natural-inspired versus truly natural. Each brand is rated on a scale of 1 to 10, with 1 being highly synthetic and 10 being completely natural or organic. This allows us to divide the whole market into truly natural versus natural-inspired to determine the growth rates and size of the naturalness level of the market.
While the Canadian natural personal care market continues to advance, so does the one in the United States with the new, most talked-about ingredient—CBD—taking center-stage. New brands, particularly in the prestige segment, are increasingly taking space on the shelves of the retailers, with Sephora announcing the rollout of Lord Jones in stores, while Barneys adds more brands to its High End.