Sales doubled in 10 years
According to Elfriede Dambacher (Naturkosmetik Konzepte), industry expert and program chairwoman, “natural and organic cosmetics have brought a breath of fresh air to the saturated cosmetics market, doubling the market volume over the last decade.”
With a market share of 8.5% (16.5% including nature inspired cosmetics) and a value of 1.150 billion euros in 2016, the natural and organic cosmetics market in Germany has become the strongest market in Europe. Today, approximately 9 million consumers purchase natural and organic cosmetics several times a year, revealed Elfriede Dambacher during the conference.
Furthermore, demand continues to be strong and sales grew by approximately 2% during the first six months of 2017.
Addressing future challenges
However, the conference was also looking at the future with the aim to address challenges of the future.
“To meet the challenges of the future, we need to look beyond our current vantage point and take the major societal changes into consideration. They are affecting the entire market and changing not only the purchasing behaviour,” stated Elfriede Dambacher added. “There are two forces that the industry needs to stand up to: the global increase of demand and digitalization,” she added.
In its keynote presentation, futurologist and theologian Michael Carl, from 2b AHEAD ThinkTank GmbH, focused on the core topic of digitalization with a thought-provoking presentation. He impressively depicted the power of digitalization and its effects: throughout all industries, digitalization is putting production processes, supply chains and communication on a new foundation, creating a shift in the balance of power and changing every aspect of the customers´ living environment. The expert called for more communication and to start talking to people. His recommendation to the industry: individuality instead of standards, being open-minded, integrate new forms of communication, flexibility, courage, credibility, identity, responsibility, and a positive outlook on the future.
Keynote speaker Dr. Kay Hafner (Hafner & Cie.) provided insights on the topic of digital change from the corporate perspective, casting a critical glance at brand policies. According to his experience, many brands underestimate the gradual process of digital change. His message: digital change is a cultural change. Companies have to be committed to implement digitalization throughout all corporate processes. For Dr. Hafner, this also includes a distinct focus on customer needs.
The conference also featured an informative presentation on Packaging Trends as well as two internationally oriented panels Booming Markets in Asia and From Fairtrade to Realtrade.
As far as Asia is concerned, experts provided insights onto the development of natural and organic cosmetics in Japan, China and South Korea. After Europe, the Asia-Pacific region is the second largest market for personal care products with consumer preferences gradually shifting towards more natural and organic products.