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Consumer and Market Insights: Skincare Market in Germany
CT0026IS
Sample Pages
November 2014
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Example Table of Contents
• Introduction
• Market overview
• Retailer and packaging
• Demographic cohort consumption patterns
• Consumer trend analysis
• Innovation examples
• Actions
• Appendix
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Reasons to buy this report
This report brings together consumer analysis and market data to provide actionable insight into the behavior of consumers.
This is based on Canadean’s unique consumer data – developed from extensive consumption surveys and consumer group
tracking – which quantifies the influence of 20 consumption motivations within your industry.
Consumer trends analysis An overview of the key demographic groups driving
consumption in your industry, and what their motivations are
for doing so. This enables the reader to identify the most
important trends within the market and also determine
whether beliefs over what influences consumer behavior
within the category are accurate.
Future outlook The report provides insight to highlight the "so what?"
implications behind the data, and analysis of how the
need states of consumers within your industry will evolve
in the short-to-medium term future.
Recommended actions Strategic recommendations of how to capitalize on the
evolving consumer landscape are offered at a sector and
category level, allowing product and marketing strategies
to be better aligned with the leading trends in the market.
Product innovation examples Examples are provided of innovative international and
country-specific product development within your
industry, with analysis of how these products effectively
target the most pertinent consumer need states.
Demographic analysis Key demographic groups driving consumption within the
Indian market are identified. The figures showcase the
number of Skincare occasions attributed to specific age
groups and genders, as well as identifying whether these
demographic groups "over" consume in the category.
Market sizing Market value and volumes are given over 2008–2018 for
every category in the sector. In addition, distribution and
packaging dynamics are studied to provide a complete
review of current and future market dynamics.
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Canadean has identified nine mega-trends that drive consumer choice and these can be broken down into 20 sub-trends
Aspiration
Beauty
Better Value
Busy Lives
Changing Age Structures
Changing Life Stages
Connection
Experience Seeking
Fun & Enjoyment
Individualism
Indulgence
Media
Technology
Trust
Urbanization &
Migration
New Gender
Behaviors
Personal Space & Time
Quality Seeking
Health
Ethics
MEGA-TRENDS:
CHANGING
LIFESTAGES
CONNECTIVITY
CONVENIENCE
ETHICS
EXPERIENCE &
ENJOYMENT
HEALTH &
WELLNESS
INDIVIDUALITY
TRUST
VALUE
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0%
1%
2%
3%
4%
5%
6%
7%
0% 1% 2% 3% 4% 5% 6% 7%
2010-2
013 P
rivate
Label
Valu
e in E
UR
C
AG
R (%
)
2010-2013 Brand value in EUR CAGR (%)
Facial Care
Body Care
Make-Up Remover
Hand Care
Depilatories
Demand for private label Skincare products is growing faster in comparison to branded products
Private label value performance compared to brand value performance, by categories, in the German
Skincare market, 2010-2013
In the German Skincare market private label products are gaining market share from branded products across all
categories, with growth highest in Hand Care, Depilatories, and Make-up Removers. They recorded a higher CAGR
of X.X%, X.X%, and X.X% respectively for private label products compared to that of branded products, which were
at CAGRs of X.X%, X.X%, and X.X% respectively during 2010-2013.
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German women consume Skincare at a 'heavy frequency'
Canadean has also broken down Skincare consumption in Germany by type of consumer:
Light consumer
X.X consumption occasions
per week
Medium consumer
X.X consumption occasions
per week
Heavy consumer
X.X consumption occasions
per week
Breakdown of consumption by whether it is the
result of heavy, medium, or light consumption, by
gender, 2012 ‘Heavy user’ consumption frequency is valued at
XX times per week for Body Care, XX times for
Depilatories, XX times for Facial Care, XX times
for Hand Care, and XX times per week for Make-
up Remover.
German women have a higher ‘heavy frequency’
consumption pattern, with nearly two-thirds of
consumption accounted from ‘heavy’ users.
Furthermore, a significantly higher proportion of
‘heavy frequency’ and large proportion of ‘medium
frequency’ consumption among Males indicates
the growing importance of grooming among men. X% X%
XX% XX%
XX% XX%
Female Male
Light Medium Heavy
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How the Better Value for Money trend influences Skincare consumption habits in Germany
German consumers are seeking Better Value from their
Skincare products
Despite its relative stability in the recent economic crisis,
German consumers have become more price-conscious, and
seek Skincare products offering Value. Manufacturers have
responded to this growing demand by introducing a larger
number of multifunctional products such as moisturizers with
added SPF protection and anti-wrinkle agents. Promoting the
value associated with ‘2 in 1’ offerings will encourage consumers
to spend more for the added convenience of having a product
which meets more than one of their Skincare needs.
Manufacturers should also focus on providing lower-cost
alternative products, as although indulgence has a large
influence on consumer behaviour, Value needs are more
important, particularly in ‘everyday’ products.
In more premium products, manufacturers can encourage
consumers to trade-up for a superior experience, and by offering
products made from the finest quality ingredients, charge higher
prices. Marketers should highlight the science behind any claims
these products make to sceptical consumers.
Larger brands should also be aware of the necessity of
defending their market share from private label options, as more
value-conscious German consumers are becoming more
confident in the quality of private label offerings, which held a
previously poor reputation.
Lacura private label
Q10 Night Cream from
Aldi, offers consumers
a quality product at a
lower price than
branded, more
recognisable
competitors.
Crevil Facewash Gel
also acts as a
moisturiser, with added
Aloe Vera to meet the
needs of consumers
with sensitive skin,
offering a range of uses,
promoting value.
Demand for private label products is
increasing
Multifunctional products will appeal to
value-conscious consumers
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Manufacturers can capitalise on the New Gender Behavior trend to drive consumption of Skincare
Formulation
Positioning
Packaging
Occasions
Formulations must reflect the differing
needs between the genders. Women for
instance will need a facial moisturizer to
wear under make-up, while men will need
one to soothe their skin post-shave. Women
are also more likely to seek an indulgent
product that takes time to apply whilst men
opt for fast, functional formulations.
Skincare products for men can be
positioned alongside essential toiletries
items such as shaving equipment. This will
encourage men to incorporate Skincare into
their daily grooming routines and therefore
become more frequent users. Women are
more likely to shop around and choose the
product best suited to their needs and
desires.
Packaging targeting men should be bold
and masculine in order to appeal to men.
With women, marketers should be aware
that modern women will not purchase a
product simply because it is in pink
packaging, rather they will opt for similarly
bold packs with a feminine touch.
Consumers will display their evolving gender
behaviors each time they use Skincare.
Women are more likely to choose a
specifically feminine and indulgent product for
treating themselves or for gifting purposes, as
such more luxurious Skincare can be targeted
towards special occasion use. With men,
companies need to work on Skincare
becoming a daily occasion for them.
Targeting the New Gender Behavior trend in the right way is crucial for success
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Innovative new product launches in the global Skincare market
Brand: Ultimate Care Body Lotion
Manufacturer: Burt’s Bees
Launched: 2013, UK
Trend: Individualism, Health
Burt’s Bees positions its products as
being more natural and less chemically
formulated. The company claims their
new Ultimate Care Body Lotion provides
an ideal moisturizer for dry and cracking
skin by combining a variety of baobab oil,
pumpkin seed oil, and green tea extracts.
Brand: MDNA Skin
Manufacturer: MTG Co., Ltd.
Launched: 2014, Japan
Trend: Aspirations, Beauty, Experience
Pop star Madonna had launched her own
celebrity Skincare line in collaboration
with Japanese cosmetics major MTG Co.
Ltd. The product range includes: chrome
clay masks, skin rejuvenator, and a skin
serum to appeal to consumers seeking
aspirational Skincare and new, innovative
and exciting experiences.
Brand: ANEW
Manufacturer: Avon Products, Inc.
Launched: 2014, US
Trend: Experience, Beauty, Value
Avon launched its ANEW Vitale
collection, which includes a Day Cream,
Night Cream, Eye Gel Cream, and
Cleanser. The range also includes
‘ANEW Vitale which offers SPF 25 and
gives consumers a vibrant look
throughout the day, while offering the
added function of sun protection.
Brand: Bi-Facial Waterproof Eye
Makeup Remover
Manufacturer: Lancome
Launched: 2014, Australia
Trend: Experience Seeking, Indulgence
Lancome’s new Eye Make-up Remover
consists of a new ‘bi-phase’ formula.
Formulated for use by even the most
sensitive of consumers, the product
offers a new, convenient way to cleanse
the eyes of even hard to remove
waterproof mascaras.
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How to successfully target the Individualism trend
Body Care Facial Care Hand Care Depilatories Make-Up Remover
Pro
du
ct
Formulation • Scented products add a further element of personalisation
• Meeting the needs of different skin types is important in allowing consumers to choose a product personal to their needs
• Specific ingredients such as those for anti-aging or those that create a protective barrier allow consumers to choose a product best suited to them
• Depilatories suited to different skin types such as dry or oily skin, mean consumers have a choice personal to them
• Adding anti-aging, refreshing or moisturizing benefits allows the product to become more customizable
Positioning
• Body Care can take a premium positioning through pairing with a popular brand
• Ranges need to be positioned where consumers feel they can choose the one tailored to their needs
• Taking a regular use, on-the-go position can increase consumption frequency in the Hand Care category
• Although functional, the positioning of depilatories should still include variations between skin types
• Make-up Remover positioned towards different skin types is important, such as being suitable for sensitive skin
Packaging
• The packaging needs to immediately communicate the uniqueness of a product so consumers feel it is tailored to their needs
• Emphasizing the skin type a product is intended for use on is important to ensuring that consumers select the correct product with ease
• Ranges of Hand Care products must include different size packs to allow consumers to choose if they want a product for home use or for on-the-go use
• Consumers may have differing preferences for application types, therefore variation within the range is key
• Packaging needs to be robust such that consumers can take the product on-the-go
Occasion
• Consumers individual needs and preferences need to be targeted at every Body Care occasion
• Facial care is important to women on a daily basis as it serves as a conditioner prior to Make-up application so those suited to skin types are essential
• Hand Care can be targeted towards all occasions but targeting is particularly important in the winter when dry hands are more common
• Depilatories can be marketed more effectively by emphasizing seasonal use such as summer wear or Christmas parties
• Consumers preferences could change by occasion, for instance, night time Make-up removal can be targeted with lavender infused items
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Summary Methodology
MARKET DATA
• Method: Analyst triangulation of
consensus numbers based upon
comprehensive primary and desk
research as part of an international
research programme.
• Coverage:
• 50 Countries fully researched
• Category and segment breakdown
• Eight channels
• Value and Volume data
• Internationally comparable data
• 100% standardized definitions
CONSUMER DATA
• Method: Extensive consumption surveys
and consumer group tracking with strict
age and gender quotas to ensure
nationally-representative results.
• Coverage:
• 10 Countries
• 20 Consumer Trends
• 26 Consumer Groups
• Category breakdown
• Integrated market sizing at the
country and category level
• Interim 2013 Consumer data
generated by mapping 2013 Market
size data onto 2012 Consumer data
consumption values
Details on the methodology for both of these research programs can be found in the Appendix.
This report is comprised of two data research programs
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