” Admittedly, organic and natural cosmetics will not escape consumption shifts towards more accessible organic and natural products or towards conventional brands at low prices. However, the demand will still be there “, say the authors of the study .
Indeed, according to the experts from the sector studies company, the desire of households to favor cosmetics that are more respectful of the environment and their health, the development of the offer in all circuits, and in particular in the large food surfaces (GSA), or even the proliferation of innovations, will be powerful growth drivers for this segment, even if growth should slow down.
According to Xerfi Precepta, the French market for organic and natural cosmetics will grow by only 2% in 2022 then by 6% per year on average by 2025 to reach approximately 1.2 billion euros, without however returning to its pre-crisis growth rate.
In the event that the beauty market remains sluggish, organic and natural products would then represent some 10% in value. Unless, specifies Xerfi Precepta, that the brands are struggling to contain the rise in their prices or that the launch of the EcoBeautyScore environmental rating systemon the initiative of world leaders in beauty, does not change the game.
A market increasingly dominated by supermarkets
With more than one in two organic and natural cosmetics sold on their shelves, GSA have taken their leadership in this segment. They take full advantage of the offensive of the giants of the sector on this market (new brands, organic and natural versions, etc.). NAE (Henkel) and La Provençale Bio (L’Oréal) thus occupy respectively the second and third positions of the best-selling organic and natural cosmetics brands in supermarkets.behind So’Bio Ethoc (Léa Nature group).
The pharmacies and parapharmacies stand out as the second most dynamic distribution channel. Their sales are actually driven by consumer enthusiasm for dermocosmetics (Nuxe, Florame, Cattier, etc.).
On the other hand, penalized by a decline in retail sales of food products, organic stores lost ground again, with this historic circuit capturing only 18% of the market.
The growing weight of supermarkets should encourage the consolidation of organic and natural cosmetics, with large retailers generally favoring the major national brands. This is all the more true as with the crisis, manufacturers’ production costs have literally soared. ” In short, a boulevard seems to be opening up to reinforce the domination of the historical market leaders or of the brands held by the large groups. “say the authors of the study.
Expansion of the offer
Expanding the offer is at the heart of the development strategies of organic and natural cosmetics brands. Already very present in the care, hygiene and shampoo segments, they are now expanding their range of make-up and sunscreen. Maybelline New York (L’Oréal) thus launched Green Edition in early 2022, its first range of natural mascaras and lipsticks.
The continuous improvement of formulations is also topical. For the laboratories, it is then a question of reinforcing the image of their products and convincing consumers who are skeptical about their effectiveness.
To address a wider clientele, sensitive to its carbon footprint and the animal cause, but also to respond to the counter-offensive of conventional brands, the integration of eco-responsible values (supplies from sustainable sectors, reduction of packaging or number of ingredients…) beyond organic is also a growing necessity.
The EcoBeautyScore or the response of conventional brands
Because the giants of cosmetics do not stand still and compete with initiatives in favor of respect for the environment. Henkel, L’Oréal, LVMH, Natura & Co and Unilever thus brought together around fifty players within the EcoBeautyScore consortium in February 2022. Purpose of the operation: co-develop a common rating system for the environmental impact of beauty products.
This rating system could confuse the issue and force organic and natural cosmetics brands to align themselves with the new environmental commitments of the beauty product majors, as the adoption of the ISO 16128 standard has already done in part. on natural and organic cosmetic ingredients and products.
” Such an approach is likely to penalize the organic and natural cosmetics market. It could indeed put forward new purchasing criteria that are also valid for conventional cosmetics. Some organic and natural brands could also be poorly rated by the EcoBeautyScore. Not to mention that improving transparency on the composition and origin of beauty products could reassure some consumers of conventional products. », Analyze the experts of Xerfi Precepta.
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