Organics boosting beauty packaging sales in the US

By Lucy Whitehouse

- Last updated on GMT

Organics boosting beauty packaging sales in the US

Related tags: Cosmetics packaging market, Cosmetics

Cosmetics and personal care packaging is enjoying sales growth in the US thanks to the rising consumer demand for organics, a new report by Transparency Market Research has revealed.

Along with Europe, the recently released report singles out North America as the key region in which cosmetics packaging is set to profit from the rising consumer interest in organics over the forecast period up to 2019.

The demand for organic cosmetics is certainly going to affect the demand for cosmetic packaging in these regions​,” analysts confirmed.

The global market for organic personal care products should grow to be worth approximately $15.98bn by 2020, according to market estimates.

Sustainability focus

In line with the rising demand for organic cosmetics, there is also a strong and growing consumer appetite for sustainable products, the report observes.

Sustainability poses one of the key challenges to the cosmetics packaging market though, as customer preference in this sector is subject to rapid change in line with fast-moving fashion trends.

While the demand for regular new product is high, resources remain constant, the report observes, noting that plastic is the most used packaging material for cosmetics, accounting for more than 50% of the total demand for cosmetics packaging.

Maintaining a balance

Procter & Gamble is one multinational looking to balance this conflict.

Earlier this year, the personal care company, which owns such brands as Axe and Dove, joined the Flexible Film Recycling Group, which seeks to encourage awareness of widely-used polyethylene film in beauty packaging, and how to recycle it.

"Our aim is to reduce our environmental footprint as a Company and that of the consumers who choose our products,” ​said Stephen Sikra, P&G research and development manager.

“Working with the FFRG and our value chain partners to expand film collection and recycling is a focused priority as we work toward that goal."

Not just the US

Rising demand in the cosmetic packaging industry is not limited to the US; in line with the wider cosmetics industry, the market has witnessed especially high demand growth from the BRIC countries (Brazil, Russia, India and China) too.

This is due, the report states, to improving economic conditions in these regions, and generous cosmetics promotions, which have driven consumers towards a higher per capita cosmetic consumption in the region.

As these markets mature, the demand for rapidly evolving packaging is set to continue to rise.

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