THE BEAUTY MARKET IS LETTING ITS HAIR DOWN
The new individual identity has found its home in a head full of hair. From a mohawk to a fringe, hair can define an individual’s personality. As a result of growing interest, the battle for better hair has gained considerable traction in an age when appearance affects reputation. While both men and women are increasingly placing more importance on their hair, it’s the men who consider hair a priority when defining beauty. Women, on the other hand, look at beauty more holistically, and they have their sights set on various aspects of beauty such as face, skin and more.
HAIR CARE PROVIDES THE OPPORTUNITY FOR GROWTH IN BEAUTY
In the race for beauty, the hair care industry has evolved to a base of INR 22,500 cr (US $3.3 billion). Categories operating in the business have experienced a 9.6% value compound annual growth rate (CAGR). New-age segments have championed this growth; compared with the overall hair care industry, colorants are growing at 1.5 times and conditioners are growing at 1.2 times.
Demand for hair care products is increasing in both rural and urban markets, leading to rising opportunity throughout India. Consumers in urban areas spend 3 times as much on hair care products as those in rural areas, providing significant scope for brands to grow in the hinterlands. Meanwhile, consumers in urban markets aren’t just thinking about basic hair care anymore. Many have moved to problem-solving products. Trade channels are riding on this momentum, as chemists in urban areas are stocking more problem-solving and styling products. On the other hand, the industry should not overlook the rural market. Recent sales data indicates that consumers in these areas continue to seek out entry level hair care products providing nourishment brands with a sizeable opportunity. Both ends of the market spectrum, consequently, are groomed for growth, with a higher momentum favouring rural India.