Consumer Staples

Beauty And Personal Care Trends

<p style="text-align: justify;"><span data-preserver-spaces="true">The cosmetics and personal care industry is one of the fastest growing consumer products sectors in India. India's personal care and cosmetics sector has shown continued strong growth, with increasing shelf space in retail stores and boutiques in India, stocking cosmetics from around the world.</span></p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;" data-preserver-spaces="true">Beauty RX: Functional Cosmetics</span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">The pandemic drove the desire and adoption of at-home treatments as consumers didn&rsquo;t want to sacrifice their beauty routines; rather, they wanted professional results they could perform themselves. As normalcy returns, consumers will still want the convenience and access retailers can afford by offering more professional services.&nbsp;</span></p><p style="text-align: justify;"><span data-preserver-spaces="true">As the hunger for more efficient and potent products and treatments grows, consumers will look further and deeper to find proof that their money is being well spent. The rising influence of professionals and the democratization of science serve to educate consumers and make more information available to them.</span></p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;" data-preserver-spaces="true">Self Care</span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">Consumers ' routines have expanded with more time at home over the last few years. The stress of a global pandemic and lifestyle shifts have led to a new embracing of wellness and self-care rituals and products. As we move back to a state of &lsquo;new normalcy&rsquo;, the amount of time consumers have to spend on wellness routines is contracting. When faced with stress and upheaval, consumers look to find ways of lifting themselves up, and beauty is the perfect product category to support that.&nbsp;</span></p><p style="text-align: justify;"><span data-preserver-spaces="true">The &lsquo;lipstick index&rsquo;&mdash;a financial indicator that uses cosmetic sales to forecast bear markets or recessions&mdash;shows that sales of lipstick rise in times of economic uncertainty as consumers look to find simple, inexpensive ways to treat themselves. Retail has the opportunity to continue its evolution and cement itself back into shopper routines with wellness offerings.&nbsp;</span></p><p style="text-align: justify;"><span data-preserver-spaces="true">No matter the approach brands and retailers take, ensuring that all consumers feel seen and spoken to is critical. Identity, representation and body positivity are changing how consumers see themselves and how they want to be marketed. Research by Starling Bank in the UK found that one in five under-35s are &lsquo;downsizing&rsquo; their lifestyles because of the cost of living crisis. It also found that young adults are around twice as likely as over-55s to say they are using credit cards to help them cope and that they feel stressed about budgeting, with women in particular reporting that money worries are causing them sleepless nights</span></p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;" data-preserver-spaces="true">Ethical Beauty</span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">Natural is no longer the only sufficient claim nowadays. Consumers want their products to be safe for the environment, hence the &ldquo;Ethical Beauty&rdquo;. One of the reports shows that consumers are reading more about the ingredients used in their products, how they are safe for themselves and environment too. Hence the claims like &ldquo;free from&rdquo; etc are in trend. &ldquo;No animal testing&rdquo; or &ldquo;cruelty-free&rdquo; is also most looked at by consumers. </span></p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;" data-preserver-spaces="true">O3 Effect</span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">Almost all retail FMCG companies are adapting to the new digital era, which is resulting in a massive shift of business model. Looking at the success of D2C companies in India, most of all conventional FMCG players came up with separate brands which are sold only on online. On the contrary, D2C companies are also coming into conventional retail supply chains to increase their customer base and maximize their sales in many folds. And hence the O3 effects which is &ldquo;Online to offline to Online&rdquo;.</span></p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p style="text-align: justify;">&nbsp;</p><p><em><span dir="ltr">This article was contributed by our expert </span><a href="" target="_blank" rel="noopener">Dr. Rahul Chumbale, Ph.D.</a></em></p><p>&nbsp;</p><p>&nbsp;</p><h3><span style="font-size: 18pt;"><span dir="ltr">Frequently Asked Questions Answered by </span>Dr. Rahul Chumbale, Ph.D.</span></h3><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">1. How has the demand for natural and organic products evolved in recent years?&nbsp;</span></h2><p style="text-align: justify;">IT has increased a lot... 60% of new launches with either natural or organic claim.</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">2. How do brands navigate the challenges of omnichannel retailing to provide a seamless shopping experience for consumers? </span></h2><p style="text-align: justify;">It is a challenge for them selling single brands at both the places.. so they have separate brands according the consumer set in each channel.</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">3. What are some innovative alternatives to animal-derived ingredients commonly used in cosmetics, and how do they compare in terms of performance and efficacy? </span></h2><p style="text-align: justify;">It can easily replaced by plant origin&nbsp;products and are equally effective.</p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 12pt;">4. How are personal care and cosmetics brands leveraging technology to offer personalized product recommendations and experiences both online and offline? </span></h2><p style="text-align: justify;">It is just a start of the trend.. it is long way to get maturity in personalization due to formulation challenges and its scale.</p><p style="text-align: justify;">&nbsp;</p><p>&nbsp;</p><p>&nbsp;</p>
KR Expert - Dr. Rahul Chumbale

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