Over recent years, the Beauty and Personal Care Industry has showed continued and consistent growth, with some research estimating that the industry is worth $180 billion. The industry is one that was not negatively affected as much as others with the onset of the COVID-19 pandemic, as the industry manufactures many cleaning supplies and personal items people are routinely using to protect themselves during the health crisis. Countries in Europe and Asia, as well as the United States, are major players in both importing and exporting and seen as titans in the industry. However, experts and industry insiders are starting to realize that Latin America has the potential to be a strong player in the industry and help it grow and develop even further.
As of right now, hair care items, fragrances, and skin care products are some of the most popular products purchased in Latin America. But, there are new and emerging factors that are changing the industry’s landscape. New trends in male personal care are on the rise, creating an even greater potential consumer base and an increased need for gender-tailored products. Concerns regarding air pollution and sun exposure in recent years has led to a greater interest in the Beauty and Personal Care Industry, with people actively setting out to find products that will give them proper protection, even at a higher price. Studies show that approximately fifty percent of Latin American consumers are willing to pay more for premium or top-quality products, yet another sign that there is a strong focus on this industry in this region, with many opportunities arising. Reports also indicate that consumers are actively seeking out environmentally-friendly, natural products that will have long-term benefits.
These strong interests and desires from Latin American consumers likely will have a lasting effect on the Personal Care Industry as a whole. As of right now, Latin America makes up just over 14 percent of the global market, but sales and interest in this area shows that there is interest in and hope for expansion. Within this region, Brazil makes up just under half of the Latin American market, followed by Mexico with approximately 14.4 percent, Argentina with approximately 8.3 percent, and both Chile and Colombia with approximately 5 percent each. While these numbers might seem small, the potential becomes very clear when looking at each country’s market value. Though Colombia is a relatively small player in comparison to other companies in terms of market share, the country registered $3.5 million in sales in 2019, a 3.08 percent growth over the previous year. In 2018, the Brazilian personal care market was worth over $14 billion dollars, and Mexico’s was worth $10 billion. When taking into account that these two countries come from a region that may not dominate the global market share but contributes almost $25 billion to the total industry, and other countries are seeing noticeable growth, it becomes clear that there is a demand for beauty and personal care products there.
So, where can professionals in the Personal Care Industry go from here? It is clear that there is a demand for personal care products in Latin America, and that demand is rising. But, finding the right channels to market, as well as strengthening and expanding product interest is key. In a time when so many people focus almost exclusively on online sales, research shows that the Latin American industry benefits from multichannel sales, meaning that sales are noticeable from avenues other than just online sales. Taking into account how small the region is in the global personal care market, it is clear that there is room for physical expansion, including more options for domestic manufacturing. By adding this, there will be even greater options for Latin American consumers, as well as an increased ability for exports to make Latin America an even stronger and more powerful player on a global level.
Here at EquipNet, we are dedicated to making sure that you have any and all necessary pieces of equipment that you may need to grow your Personal Care facility. In Latin America alone, we have an extensive inventory that includes equipment for the manufacturing and distribution of Aerosols, Lipsticks and Lip Balms, Deodorants, both Powder and Solid makeups, and more. Over the last five years, our inventory of machinery for Bar Soap production doubled and general Cosmetics equipment grew 52 percent. Even by the growth and demand we are seeing in our inventory, it is clear that Latin America is fast becoming an important player in the global Personal Care market. Curious to see what we have to offer and how it can benefit you? Head to our dedicated Used Personal and Home Care Equipment webpage for more information, or contact us today at email@example.com!
Categorias: Consumer Packaged Goods
Tags: cosmetics latin america personal care industry personal care products phc industry,