Brazilian consumers’ desire to keep their skin looking young has influenced an increasingly popular anti-aging trend in the country, which is pushing facial care to become one of the stars of the Brazilian skin care sector.
According to new research from Canadean, skin care has only reached a value CAGR (Compound Annual Growth Rate) of 11.4 percent and volume growth rate at a CAGR of 9.4 percent.
Because of this good, but not-quite-enough, performance, it is being kept out of the top five Health and Beauty sectors in Brazil for 2012 to 2017, says the researcher’s figures.
Body Care held the largest share of the sector in 2013, with value and volume share of 50.2 and 49.0 percent respectively.
“However, the rising popularity of anti-aging products will push Facial Care to show the most growth of the sector,” says Canadean. “Facial Care value and volume will grow at a CAGR of 12.4 and 10.4 percent to 2017.”
Make-Up Remover took the lowest share of the sector in the last twelve months, with a value and volume share of 1.9 and 1.7 percent respectively.
The report also details that Hand Care will display the lowest growth of the sector over the next five years, with a value and volume CAGR share of 9.6 and 8.4 percent to 2017.
Anti-aging product launches have driven the marklet in the last few years, and direct selling companies such as Avon, and local plate Natura Cosmeticos have benefitted from this market trend.
Avon however, has had a turbulent time over the last few years thanks to company changes and also structural changes in Brazil directly affecting its skin care business there.
Direct selling companies have traditionally led the skin care market in Brazil, but problems such as the ones faced by Avon has seen a more moderate forecast for the future, with adjustment time needed to deal with the problems in the market, along with growing competition causing price discounting, taking its toll.