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Organic Personal Care Products Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

·5-min read

The global organic personal care products market is growing at a CAGR of 7. 61% during the forecast period (2021-2026). The recent Covid-19 outbreak has impacted the growth of the market for organic personal care products.

New York, Dec. 01, 2021 (GLOBE NEWSWIRE) -- announces the release of the report "Organic Personal Care Products Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" -
An increase in the number of cases worldwide has led to a global lockdown and restricted supply chains. Consumer’s discretionary spending has reduced, and companies have been witnessing a behavioral shift towards safe and reliable products.

The coronavirus pandemic has significantly affected the organic personal care products market globally. Apart from affecting sales of finished products, it has disrupted the flow of raw materials. Lockdowns in various parts of the world have disrupted supply chains of natural ingredients and increased freight costs because of flight cancellations. Some natural personal care companies have stated COVID-19 has mainly affected their business through delays in the delivery of raw materials.

Some personal care companies that source directly from growers have been less affected. A German natural cosmetics company stated that they had not suffered raw material shortages because they work directly with small farmers and producers that have not been as affected as larger exporters. Organic personal care companies that use locally sourced ingredients have also not been affected by raw material shortages.

The current situation has also resulted a generation of opportunities for many private players to emerge in the markets, to cater the inflated demand. Furthermore, COVID-19 has led to a major consumer shift, as customers are no more brand loyal in developing countries and are trying new brands in the low-stock environment.

The market studied has witnessed a significant growth due to growing awareness of organic ingredients and increasing concerns about the environment thus, resulting in consumer inclination toward organic personal care products during the study period.

Personal care products increasingly use natural and organic ingredients. Consumer concerns about synthetic chemicals in personal care products, which is helping support this demand. Also, consumers are avoiding chemicals, such as parabens, phthalates and sodium lauryl sulphate, as they are concerned about associated health risks. As consumers view organic and natural ingredients as safer for human health and the environment. Thus, growing number of personal care product companies are therefore replacing synthetic chemicals with natural and organic ingredients. This trend is driving the demand for natural and organic personal care products in the market.

Consumers have been a pre-requisite in the demand for natural and organic products, while the preference for these products has gone beyond environmental concerns, moving towards health and prevention. This change is partly due to an increase in people suffering from allergies and eczema, which has raised awareness about the possible health consequences of the ingredients contained in personal care products. Consumers have a mindset that can be reflected in quality over quantity, with a preference for products with few but effective natural ingredients.

The recent trends in the organic personal care market can be dissected by analyzing the types of cosmetic users and their subsequent behaviors. By product type, the skincare products segment dominates the global personal care products market.

Key Market Trends

Organic Skin Care Holds a Major Share in the Market

The market for organic skincare witnessed a significant demand due to the increasing interest in natural formulations in facial skincare regimes. Moreover, increased concerns regarding skin problems, like skin blackening and burn, are also driving the market growth during the study period. Furthermore, skin sensitivity and awareness about the harmful effects of chemicals and synthetic products are few factors augmenting the growth of this market.

Companies are focusing on developing products that are specifically designed to cater to various consumer needs, such as dry, sensitive, acne-prone, aging, oily, or normal skin. For instance, Acure offers Organic facial cleansing cream, which is made of organic Moroccan argan oil, acai berries, mint, and calendula, designed for normal/dry skin types during the dry season and cold winter months, as it helps to replenish the lost moisture. Consumer demand for healthy and natural products has increased since the COVID-19 outbreak which is expected to drive the market growth during the study period.

Asia- Pacific is the Fastest Growing Market

Asia-Pacific holds great potential in the personal care products market. The market has witnessed a significant demand due to the rise in consumer preference for products that are scientifically proven to be organic and contain natural ingredients. The growing popularity of ethical consumerism has influenced the demand and attention of how products are produced, sourced, and tested. An aging population coupled with increasing disposable income, with a rising number of women in the workforce, are few factors driving the organic personal care products market in the region. In the region, China is the biggest market for organic personal care products and has been expanding rapidly over the past few years. Additionally, increasing awareness about beauty & wellness and quickly changing lifestyles are major drivers in this region.

Competitive Landscape

The global organic personal care products market is highly competitive with the presence of regional and global level players. L’Oréal S.A., Beiersdorf AG, and Korres S.A. Natural Products are few key players prominent in the market. Major companies are investing heavily in research and development to introduce organically sourced product ranges in the market in order to address the growing demand among consumers. Product innovation is the most adopted strategy by the players operating in the market studied, followed by expansion and mergers and acquisitions. Key Players in the market are continuously investing in research and development to launch novel and innovative products with higher demand for clean and organic personal care products for aware and conscious consumers. For instance, in January 2021, Beiersdorf AG launched a new COSMOS natural certified skincare collection, Florena Fermented Skincare.

Additional Benefits:

The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report:

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