The global hair care market has grown exponentially and is expected to growth at a considerable CAGR of 4.1%  during the forecast period (2021-2027). The increase in disposable income, changing lifestyle, and various hairstyle trends are major factors that are responsible for driving the market growth. Beauty services as a profession have been raised over the century from the 90s.  The popularity has been further driven by the development of technological innovations which has created lucrative demand for hairstyles. Various technology advancements include novel antimicrobial materials, volume enhancement, controlled release & encapsulation of actives, stability enhancement, and fiber strengthening and thickening among others, which will accelerate the growth of the hair care market. Although, these hair treatment methods are expensive which cannot be afforded by every individual, which may hinder the growth of the hair care market.

Moreover, the major factor that contributes to the market growth is the rising hair-related problems along with the technological innovations in the manufacturing of the product. For instance, over 250 million of the Chinese population is suffering from hair loss problems. As per the survey report released in August 2019 by the China Association of Health Promotion and Education (CAHEP), men between the age group of 20 and 40 years are the major group which is suffering from hair loss issues. In addition, men are more likely to experience hair loss as compared to women. The rise in hair loss issues across the globe has accelerated the sales of shampoo by 387% in the year 2019. Majorly the shampoo helps in preventing and reducing hair loss. 

Impact of COVID-19 Pandemic on Global Hair Care Market

During the COVID-19 pandemic, almost every sector of society, individuals, and businesses have been impacted severely. However, the hair care market is the one that has remained unharmed due to the pandemic and is anticipated to show promising growth in the coming years. This is majorly due to the fact that salons remain closed owing to the lockdown imposed, therefore consumers are shifting towards the trend of at-home hair color, hair care, and styling hair among others. The brands which were selling their products only through the retail stores and others have shifted towards online stores. Various hair care brands have ensured hygiene, safety, security while delivering the product, which provides companies to stay competitive in the market. On the other hand, according to the US FMCG industry Association, in-store shopping accounted for up to 85% specifically for hair care products in the year 2019. Additionally, due to the COVID-19 pandemic, around 30% of the beauty product industry had been shut down. For instance, in March 2021, the Australian company Becca Cosmetics announced the closure of the company after operating for 20 years. Moreover, the factors such as the closing of shops, maintenance of the limited store, and occupancy, may further restrict the market growth. The postponement and decline in shipments of goods owing to government cautionary actions have also impacted the market adversely. 

Segmental Outlook

The global hair care market is segmented on the basis of product type and distribution channel. Based on the product type, the market is segmented as shampoo, conditioner, hair oil, hair colorants, hair styling products, and others products. Further, the others products are sub-segmented into waxes, pastes, mousses, and hair treatment products. Based on the distribution channel, the market is segmented as an offline and online channel. Besides, the offline channel is further segmented into supermarket/ hypermarket, convenience stores, specialty stores, and pharmacies/ drug stores. Among these, the supermarket/ hypermarket segment is expected to grow at the highest CAGR during the forecast period. This is due to the availability of a wide range of products and goods under one roof. This also eliminated the need to explore and browse several stores in search of branded beauty and hair care products. 

Global Hair Care Market, by Product Type, 2020 (%)

Shampoo Segment to Hold a Lucrative Share in the Global hair care market

Amongst the product type, the shampoo segment is expected to grow at a substantial share over the forecast period. The segmental growth is attributed to the continuously changing environment. It has been used for the removal of small scalp particles, dandruff, oils, dirt, an environmental pollutant, and others. The major factor which will accelerate the demand for shampoo is that it contains various hair enrichment contents that include botanical extracts, vitamins, minerals, oils, and others, which stimulate the hair from scalp follicles. With the use of shampoo, the consumer is able to remove the unwanted build-up without shedding of hair and sebum (yellow particles in the scalp formed due to dirt and pollutants).

Regional Outlook

The global hair care market is segmented into North America (the US and Canada), Europe (Germany, Spain, Italy, France, the UK, and the Rest of Europe), Asia-Pacific (India, China, Japan South Korea, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East and Africa, and Latin America). The North American region is expected to dominate the market, followed by Asia-Pacific and Europe. This is due to the presence of a beauty-conscious population-basedin the region. Additionally, the increase in growth and demand for the beauty salon and hairdressing business is anticipated to play a vital role in rising demand for the hair care product over the forecast period. China, India, South Korea, Australia, Japan, and the Rest of the Asia-Pacific are the major economies primarily contributing to the growth of the global hair care market in the Asia-Pacific region.

Global Hair Care Market Growth, by Region 2021-2027

Asia-Pacific is projected to highest Contributor to the growth of the Global Hair Care Market

Asia-Pacific is anticipated to the fastest-growing region in the global hair care market. In the region, China, South Korea, Japan, Singapore, and India are showing rapid progress. This is due to the countries in these region experience intense air pollution which lead to regular cleansing of hair. For instance, in 2019, the data released by the Climate and Clean Air Coalition.Org, approximately 4 billion people in Asia-Pacific are experiencing severe levels of air pollution which has increased the risk to their health leading to various problems such as skin allergies, rashes, hair fall, hair damage, and others. Furthermore, the rapidly rising growth of spa businesses in the region is likely to increase in adoption of hair care products in the region. In addition, the government's ambition to spa tourism programs across the countries such as Thailand, Bangkok, Japan, and others will grow the regional market.

Market Players Outlook

The prominent players functioning in the global hair care market include Kao Corp., L'oreal S.A., The Procter & Gamble, Inc., Unilever Group, Johnson & Johnson Services, Inc., Revlon, Inc. Oriflame Holding AG, Shieseido Co. Ltd, and Amway Corp., among others. These key manufacturers are adopting various strategies such as new product launches and approvals, mergers and acquisitions, partnerships and collaborations, and many others in order to thrive in a competitive environment. For instance, in April 2021, Kao Corpo. announced to establishment Kao Beauty Brands Consulting Co., Ltd. This will be established by merging two companies' names as Sofina Beauty Counseling Co., Ltd., and Kanebo Beauty Counseling Co., Ltd. This strategic merger and establishment of a new venture will provide Kao Corp. to expand its presence in beauty and hair care counseling, which will create value for the company's cosmetic brands. Additionally, this will provide a diverse customer base.

The Report Covers

• Market value data analysis of 2020 and forecast to 2027.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the globsal hair care market. Based on the availability of data, information related to pipeline products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.