The beauty sector is advanced because of the way beauty-loving consumers engage with the category. For decades, they have sought out innovations, embraced the stories behind brands, and enjoyed the shopping experience, solo and with others. For decades, these characteristics have shaped how beauty brands marketed and sold their products. But today, digital is dramatically expanding the beauty consumer’s connection with brands and products. A strong case could be made that the influence of digital marketing and social media has gone further, faster, in beauty than in any other FMCG industry.
(McKinsey)
Growing middle-class population and increasing urbanization is the major factor that is boosting the demand for haircare products. With rising awareness about personal hygiene and focus on aesthetic appeal, consumers are increasingly opting for different haircare products. The rising level of air pollution and the increasing temperature is also harming the quality of hair which is also encouraging people to use haircare products so as to protect them from the harmful impact of these environmental factors.
Skin care continues to dazzle as one of beauty’s fastest growing categories, but the demands on brands are intensifying just as rapidly. The challenges are numerous, ranging from the need to adapt to the changing perceptions of ingredients to expectations on sustainability as well as addressing diversity and inclusivity, connecting with consumers more closely and demonstrating authenticity and transparency, all while being a brand that makes the consumer’s pulse quicken.
The growth exhibited by the global dietary supplements market is a result of various factors such as the developing economies and subsequently increasing income of consumers, rising awareness about nutrition, hectic lifestyle, increasing geriatric population, and spread of chronic ailments. The wide adoption of e-commerce and m-commerce platforms are expected to be crucial factors that will spur a shift in positive direction for this industry.
The beauty and wellness industry is changing at a rapid pace and creating a new playing field. One element of these changes is a trend toward an integrated supply chain wherein sourcing, manufacturing, transportation, and retailing are all interdependent and driven by the end user. The beauty and wellness supply chain is impressive. It can flexibly incorporate innovations while at the same time dealing with complex challenges like fluctuations in the price of raw materials, high-precision production processes, novelty-hungry customers, and short-lived quality and fashion trends. Constant innovation and short product lifecycles makes demand extremely volatile. That has raised the need for supply chain planning and production processes to become more sustainable and minimize waste.
(Astra)