Pure and pure cosmetics: The challenges of a market beneath stress

The interval of utmost inflation that adopted the pandemic, with its path of delistings from mass retailers and closures of specialist retailers, has turned the pure and pure cosmetics half the mistaken methodology up. This autumn, the announcement of the very best of the Gradual Cosmetics label and the choice by La Provençale (L’Oréal) to desert pure certification for its new launches have been two additional wake-up calls. And nevertheless, irrespective of tighter budgets and ever additional cautious looking for habits, shoppers proceed to favour merchandise which can be perceived to be higher for his or her properly being.

Diverging trajectories

In accordance with the French market analysis firm Xerfi, the pure and pure cosmetics market in France is characterised by the divergent evolution of its two components. The analysis company estimates that product gross sales of pure cosmetics in supermarkets and hypermarkets have elevated by 5.4% in quantity in 2023. In direction of this, product gross sales of pure cosmetics fell by 3.3% over the an equivalent interval. This discrepancy is principally as a consequence of value variations between the 2 programs.

“Pure merchandise have a suggest value index of 120, whereas pure merchandise are at 86,” explains Benoît Samarcq, Analysis Director at Xerfi Strategic Intelligence.

Commerce-offs in favour of primarily essentially the most moderately priced probability are all of the additional large on condition that the advantages of pure cosmetics look like fairly equivalent to those of pure merchandise.

In accordance with a survey carried out by Cosmebiothe affiliation behind definitely one among many essential French certifications, pure cosmetics are nonetheless usually most well-liked for leave-on merchandise (lotions, serums) that maintain involved with the pores and pores and pores and skin for an extended time. In direction of this, for rinse-off merchandise (soaps, shampoos), the precedence is additional on naturalness.

Damien Sineau, President of Cosmébiofurthermore dismisses the thought pure cosmetics are principally costlier. “There are pure merchandise in the slightest degree costs,” he says.

Pure, a progress driver for pharmacies

Though the distribution of pure and pure cosmetics in France continues to be dominated by mass retailers (53% of the market by value, consistent with Xerfi), pharmacies and properly being and marvel retailers (22% of the market) are experiencing the strongest progress prices.

In pharmacies, product gross sales of dermocosmetics have risen by 20% in value between 2019 and 2023. In accordance with Damien Sineau, pure merchandise have carried out a significant place in boosting product gross sales by way of pharmaceutical recommendation. For instance, the pure model The Dewwhich has developed nearly solely in pharmacies and properly being and marvel retailers, recorded 40% progress in 2023!

“Pharmacies are most likely primarily essentially the most dynamic, with a predominance of skincare merchandise,” emphasises Mr Samarcq. Worthwhile that whets appetites! On the top of 2023, the Melvita (L’Occitane Group) and Breathe producers launched their ambition to double their components of sale in pharmacies.

However expectations on this channel are very particular. “In France, 40% of shoppers purchase cosmetics in pharmacies, the place they search for additional technical formulation, reassuring merchandise and recommendation. Suncare and teen merchandise, as an illustration, carry out very correctly on this channel,” confirms the President of Cosmébio.

Inside the meantime, pure outlets, which nonetheless account for 25% of product gross sales, have misplaced flooring. Practically 400 outlets have closed on condition that finish of 2023.

Innovation is important

In accordance with Xerfi, the pure and pure cosmetics market ought to proceed to develop, nonetheless at an additional frequent tempo. “We’re an superior distance from the double-digit progress prices the market has seen prior to now,” components out Benoît Samarcq. Forecasts stage to frequent annual progress of 5%, which ought to take the French market to EUR 1.2 billion by 2026 (in distinction with EUR 1.1 billion in 2024).

For Benoît Samarcq, the half’s progress shall be pushed by revolutionary formulations and by the enlargement of the product providing all by way of all distribution channels. This change in path of democratisation must be accompanied by higher concern for transparency and high quality. As naturalness turns into additional widespread, it is not going to be ample to affect shoppers.

Xerfi furthermore notes that “essential luxurious producers usually is not going to be positioning themselves contained in the pure half in the slightest degree, and little or no contained in the pure half.” Whereas the naturalness of formulations can also be making progress on the extreme finish of the market, it isn’t the one criterion. Model recognition and technical innovation maintain key.

Whereas environmental and properly being points proceed to play an more and more essential place in shopper looking for picks, a recent Euromonitor report highlights that prime top quality, effectivity, and value maintain key components contained in the context of rising dwelling prices.

In abstract, pure and pure cosmetics ought to proceed to develop, supported by useful underlying tendencies. Nonetheless, pure producers are going via trade-offs which can be forcing them to be additional revolutionary and to maneuver into new distribution channels, the place shelf house is popping into more and more dear.

Additional usually, all producers may want to differentiate themselves when it comes to authenticity, high quality and efficacy to forestall the market from understanding of steam. This draw back is all of the additional refined as rivals intensifies and marvel preferences diversify. Producers which can reconcile ethics, efficacy and accessibility shall be forward of the sport.