The UK market for natural and organic personal care products has been growing at a healthy rate. A new report by Ecovia Intelligence (formerly known as Organic Monitor) shows sales revenues have increased by almost 30% since 2012. Natural hair care are the most popular products, with the market share now at 5 percent of total hair care products.
Market growth rates are slowing however because of the uncertain political and economic climate, partly caused by the Brexit vote. The depreciation of Sterling in the foreign exchange is leading to higher prices of imported natural and organic personal care products. Retailers are also becoming more cautious in introducing and / or expanding natural and organic personal care product ranges.
According to the specialist research and consulting firm, consumer concerns about synthetic chemicals in cosmetics and toiletries remains the major driver of market growth. Studies show that consumers are buying natural and organic personal care products as they are perceived to have lower health risks. Another major driver is distribution; these products have been making headway in conventional retail channels, such as department stores, beauty retailers and chemists. Most sales however are from health food shops and organic food retailers.
Certification is becoming more important in the UK natural and organic personal care products. Ecovia’s research shows that about a third of all natural and organic personal care products are now certified; the Soil Association / COSMOS standard is most popular with UK brands. Simultaneously, ethical labels are becoming more visible on products; apart from natural and organic, a growing number of products are carrying Vegan Society, Fairtrade, and related labels.
The UK is the one of the largest and most competitive markets for natural and organic personal care products in Europe. Ecovia Intelligence predicts slowing growth rates to make the market even more competitive. Indeed, a growing number of UK brands are looking at export markets for business growth.