According to a report by Mordor Intelligence, the South African cosmetics and personal care products market is expected to show compound annual growth of 6.62% from 2021-2026.
The South African cosmetics and personal care market, has however, been severely hit by the COVID-19 pandemic. Especially, the colour cosmetics and fragrances, as these were not seen as “essential” items. Consequently, during the height of the COVID-19 lockdown, these companies and brands were forced to stop all production.
Nonetheless, the production and retail of personal hygiene, skincare, hair care, deodorants, and sanitary items continued. However, the reduced workforce and output due to strict health and safety policies also hampered the continued supply to the market.
The South African cosmetics industry recorded good growth in 2018, buoyed by the increased focus on grooming and the growing presence of regional brands. The weakening of the local currency and rising economic uncertainty remain the major concerns for the local market.
There has also been a significant increase in the demand for men’s grooming products. Additionally, natural and organic personal care and cosmetics products have also grown in popularity.
Personal care products are mainly used to maintain personal hygiene, including cleaning, conditioning, moisturising, and others. Cosmetics or make-up products are the items used by consumers to enhance their beauty.
Personal Care products include hair care products (shampoos, conditioners, hair styling and colouring products); skin care products (facial care products, body care products, lip care products) and bath and shower products (shower gels, soaps, bath salts).
Oral care, men’s grooming products, deodorants and antiperspirants also fit into personal care.
Cosmetic products include facial cosmetics, eye, lip and nail products.
There is a growing focus on improving living standards among South African consumers, driven by a surge in internet access, with the number of the country’s internet users more than doubling during the review period.
Social media is gaining more traction, with consumers’ inclination toward global fashion and beauty trends. The grooming trend has also been aided by an increase in spend per household for skin care products.
The rising consumer awareness supported by the surging purchasing power of the local consumers is driving the demand for skin care products made of natural ingredients, thereby giving rise to local manufacturers, like Lulu & Marula, that produce a wide range of skincare products like cleansing bar, body balm, facial kit, and others, all made of natural ingredients.
The strong desire among individuals to retain a youthful appearance has been a major factor supporting the South African skincare industry. The trend is driving demand for anti-aging products.
Nearly 23% of makeup products consumed in South Africa are natural cosmetics and anti-aging products, driven primarily by the 45-54 age group. South Africa’s rapidly ageing population and demographic has led to a robust demand for anti-ageing products that overcome wrinkles, age spots, dry skin, uneven skin tone, and hair damages, creating room for innovations in the cosmetics industry. In the long turn, longer life spans can translate into a significant boom for the cosmetic products market in South Africa.
The South African cosmetics and personal care products market is dominated by the large multinationals including Unilever, followed by Procter & Gamble, Avon, and other major players. Brand value plays a major role in driving the sales of cosmetic products, as consumers develop an affinity toward cosmetic brands and beauty products over a period.