naturals berlin kline sep 2013

5/21/2018 Naturals Berlin Kline Sep 2013

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Green Future: Natural Cosmetics Market

by Ewa Grigar, Senior Market Researcher, Kline & Company

A presentation at:

September 24, 2013

www.KlineGroup.com

2013 Kline & Company


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Kline & Company is a leading management consul ting and market research firm

One-way flow of people,

ideas and information

RESEARCH

CONSULTINGRESEARCH REPORTS

accurate, cost effective andexpert business intelligence

within tight timeframes

to resolve tough businessissues and help implement

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and insights to help clients

identify market opportunitiesand create action plans

Analysis of opportunities inspecific product category

Detailed information on thechief competitors, covering a

specific type of marketingprogram, product procurement,

Assessment of trade classes,competition, regional

differences, opportunities andsales forecasts.

and distribution.

We work with large mult inational and mid-sized companies in the industr ies weserve. Our cl ients demand insights and solut ions and expect integrity.

2013 Kline & Company 1


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We serve clients around the globe

Global Headquarters

Parsippany, NJ

We execute local research assignments or global consulting engagements

Kline Europe Brussels, Belgium

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,

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So Paulo, Brazil



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Natural Personal Care: Global Market Brief

Natural Personal Care: Global Market Brief is an

analysis of the global market for natural personal care

products, focusing on key trends, developments,

, ,

ratings. The research addresses such issues as: What is the definition of "natural"?

How big is the market for truly natural products?

brands, and why?

Who are the market leaders?

Where are the opportunities for personal caremarketers?

Features: ingredient analysis and natural ratings

NEW! Plus, 2 optional in-depth companion reports,

w compre ens ve e a s an eep ns g s on eNatural Personal Care Market in China,

And in Japan.



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We define natural as all brands that are positioned as natural, and then

- .

NATURAL PERSONAL CARE

Truly natural brands/products

Natural-inspired brands/products

Skin care products

Hair care products

Excludes:

Back-bar products

Makeup

Fragrances

Oral care products

Other Toiletries

Prescriptionproducts


sa es gures repor e a e manu ac urers eve ac ory ne s pmen s un ess o erw senoted


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The United States accounts for over 15% of the global natural

Sales of Natural Personal CareProducts by Region, 2013

United States

Rest of world

Asia

Europe

Brazil

2013 Kline & Company 5 2013 Kline & Company

Global Sales:USD 29.5 bil lion

(2013 manufacturers level)


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In 2013, sales of natural cosmetics in the U.S. are estimated to reach

.

Growth of the Natural and Organic CosmeticsMarket in the US, 2008 to 2013

5 7%

3

1

2

0

2008 2009 2010 2011 2012 2013-est.


CAGR: 7.1 %


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Certifying associations and organizations worldwide are working hard to

In the United States, a harmonized standard does notexist.

Besides U.S. labels, some of the brands are also certifiedwith European certification bodies, such as ICEA,ECOCERT, or Soil Association.

Products may display the USDA Organic Seal andmust display the certifying agents name and address,

only if:

100% organic- Product must contain(excluding water and salt) only organicallyproduced ingredients.

rgan c - ro uc mus con a n a easorganically produced ingredients (excludingwater and salt).



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Consumers and associations support transparency in labeling

The Organic ConsumersAssociation

(OCA),encouragesretailers to take action to

address widespreadorganic labeling fraud in

In 2010, Whole FoodsMarket introduces its own

policy on the organiclabeling of personal care

products" " "

Product ratings andreviews are availablefrom consumers and

independent

their health and beautycare aisles

Organic Ingredients."

,Skin Deep



10/18

The natural market in the United States is very fragmented with top 5

leadin marketers accountin for 26% of the total market share

AveenoBare

Escentuals

Burt's Bees

Aveda

Arbonne

The market isbe innin to

All other

consolidate withlarge companiesacquiring smallerbrands to gainThe U.S. market in 2013 - estimation


s are o emarket sales.


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Trends in Product Categories

In terms of value, skin care is the leading productcategory in the natural personal care market in theUnited States in 2013.

Fragrances

Makeup

Hair care

Other Toiletries

Skin care


The U.S. natural cometics market, 2013 - est.


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Hair care is the best performing product category in 2013

Hair care is estimated toincrease b almost 7%.

Oral care is the least dynamicwith estimated sales increase

of less than 2%.



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New trend among the U.S. consumers: non-GMO

translates into growing interest in purchasingnon-GMO beauty products.

More consumers are beginning to recognize the

Andalou Naturals is the first complete personalcare brand to be verified by the Non-GMOProject in 2013.

on- ea , w en use on pac ag ng.

Alcohol, glycerin (corn derivatives), soy andcanola oils ingredients with GM risks forcosmetics.



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Channels of distribution

Health and natural food stores and supermarkets

Pharmacies and drug stores

Mass outlets

Department stores

Specialty stores

All other

Direct sales

-10% -5% 0% 5% 10% 15%

% Growth


o a : . on


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Trends in distr ibution channels

ass ou e s o er amp e

shelf space to the privatelabel products in order totake the higher profit

-

ew ran s n e

luxury naturals marketcontinue to rely heavilyon distribution though

products.

,boutiques, and spas.

The smaller brands in theprestige segment continue

to focus on their primarychannel of distribution, nottaking the risk of moving tomass markets.



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Product Trends

Whats hot in natural personal care?

portfolio with organic lines

Increasing demand and offer of

natural fragrances

BB Cream

Makeup with natural ingredients



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The U.S. market for natural personal care products is expected to show

.

6

7

4

5

2

3

0

1



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AmericasKline is a worldwide consulting and research fi rm dedicated

____________

Asia

to providing the kind of insight and knowledge that helps

companies find a clear path to success. The firm has served

the management consulting and market research needs of

organizations in the chemicals, materials, energy, life___________

Europe___________

If you require additional information about the contents of this document or the

services that Kline provides, please contact:

,

50 years. For more information, visi t www.KlineGroup.com.

Kristina ZableckeAccount Manager, Consumer Products

Ewa GrigarSenior Anal st, Ph.D., Consumer Products

Tel: +32-2-776-07-36Email: [email protected]

Phone: +420-222-330-018

[email protected]

www.KlineGroup.com

naturals berlin kline sep 2013

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