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Organic Beauty and Wellbeing Market 2020 Report

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With consumers becoming more educated on environmental, ethical and sustainable factors when purchasing their organic beauty and wellbeing products, the growth of certified organic and natural products has risen a significant 23% over the past year, the first most extensive percentage growth since 2010. Brands must be aware of and adapt to this market trend. 

Wellbeing

The wellness market is shifting from becoming a “trend” to becoming an essential part of daily life. The wellness industry is estimated to be worth $4.5 trillion in 2019, and this is expected to progress in the coming years. Many different factors come into consideration when addressing wellbeing, with the most common being mental health, anxiety and sleep.

It is estimated that 3 out of 4 individuals feel overwhelmed or unable to cope due to stress, and individuals are looking for alternative ways to overcome these issues. With holistic wellbeing expected to grow over the coming years, the connection between mind and body has become a popular form of wellbeing worldwide. 

Efficacy

The organic industry is rapidly increasing, with brands showing that organic products are just as effective as non-organic products. It is estimated that 83% of people felt it was better for their health if a beauty or wellbeing product was organic, and 83% of brands said efficacy was a key driver in their customer’s loyalty. 

Mindful ingredients

One of the main drives for increasing the organic beauty and wellbeing market is that brands use more naturally occurring ingredients in their products, with traditional and herbal medicinal practices remaining popular. 

Holistic home

The organic market has not only seen an increase in the beauty and wellbeing market, but there is also an increase in the organic cleaning products and organic candle market, with 33% of individuals have increased their purchases of eco-friendly household care products, and 45% of people using an eco-friendly household product within the last six months. However, the market of “eco-friendly” products can be confusing to some consumers, with 43% of people unsure of what brands mean by eco-friendly. 

Air pollution

Is it well understood that global pollution is increasing with society’s development, with 9 out of 10 individuals worldwide breathing in polluted air. Pollution is the biggest aggressor for the skin and has been linked to the rise in people with skin sensitivity, premature ageing (due to oxidative stress) damaging free radicals, which reduces the skin’s ability to repair itself properly.

Waterless beauty

Brands are looking to get rid of water within their products by removing the needs for preservatives altogether. Doing so will reduce the carbon impact of shipping water and improve efficacy. The World Wildlife fund states that by 2025, two-thirds of the world’s population may face water shortage; however, consumers are becoming more educated and aware of these environmental issues, with 27% of consumers now trying to reuse or use less water.

Sleep and anti-anxiety

In 2013, it was estimated that 8.2 million people in the UK suffer from anxiety, with a quarter of people experiencing some form of mental health issue in their lifetime. It is a common understanding that mental health issues can impact the overall wellbeing of the body, and sleep deprivation is a common symptom. The market for essential oils is increasing as a natural and traditional alternative to relieving sleep-related issues. The market has seen an increase in lavender and bergamot essential oil sales as these products have been proven to help with sleep and stress-related issues. 

Environmental concerns 

2019 has seen an explosion of the environmental movement, and consumers are demanding more from brands. With the Organic beauty and wellbeing market expected to be a $12 trillion industry by 2030, sustainability is now a key focus for consumers, businesses, brands and politicians alike. 79% of people are more likely to buy a beauty product if it’s organic, and 87% of people feel passionate about supporting environmental initiatives.

Ethics

With the increase of consumers becoming more educated on the environmental issues surrounding the beauty and wellbeing market, more consumers are looking for the COSMOS and the leaping bunny logo when buying their beauty products. It gives them peace of mind that the product has passed rigorous independent testing. 56% of people said they looked for logos because it allowed them to support the causes they care about, while 47% said they chose organic because it involves no animal testing, and 81% said they would feel they were doing the right thing for the environment.

Transparency

65% of consumers want to buy from purpose-driven brands that advocate sustainability, but in reality, only 26% currently do.

Plastic

Education about where our plastic goes once we are done with it has drastically impacted consumers purchasing habits. Over 80 billion plastic bottles are disposed of a year from just shampoo and conditioner alone, and 40% of our total plastic use is from the packaging. 64% of consumers asked said they look for products with recyclable packaging.

The challenge/opportunity

For the first time, Kantar has measured the ‘organic beauty sales’, reporting a vast sales increased from £343k to £2.5m in 2019. Retailers will be choosing to stock more certified brands, improving accessibility (both with availability and price point variety) – although consumers will still need to look for the logo to be confident of the impact of their purchase. 

Get in touch with us today, and with our certified organic ingredient portfolio we can help with your upcoming mindful product launches.