Baby Care Products Market - Growth, Trends, and Forecasts (2023 - 2028)

Baby Care Products Market - Growth, Trends, and Forecasts (2023 - 2028)

The baby care products market is expected to register a CAGR of 5.45% during the forecasted period.

• Growing concerns about infant health are driving the market for baby care products. Because of environmental conditions like UV radiation, desert areas, dry environments, and many more, babies in those regions get affected easily as their skin is very sensitive. The skin related conditions like heat rash, cradle cap, and atopic eczema are some common conditions. To prevent such conditions, consumers prefer baby care products like baby oils, lotions, moisturizers, and many more for their babies.
• Chemicals can occasionally be found in baby wipes and diapers, which can potentially irritate and cause rashes on the skin. As a result, there is a rise in consumer demand for organic baby care products. For instance, in December 2021, Blue Bear Baby launched sensitive baby wipes. The wipes are dermatologically tested and contain no alcohol, soap, or paraben.
• Furthermore, the demand for baby food is increasing owing to rising disposable income. Parents are willing to trade homemade food for branded organic food. Due to the growing working population of women, the demand for baby food with high nutrients is growing. Mothers prefer their baby's food to be rich in nutrients and have health benefits. Demand for HMO (Human Milk Oligosaccharides) rich infant food is also growing in many regions.
• In July 2021, Abbott Nutrition launched 3 infant formulas, Similac Pro-Advance, Similac Pro-Sensitive, and Similac Pro-Total Comfort, with 2'-FL HMO, a human milk oligosaccharide. Therefore, the baby care products market is expected to grow over the medium term owing to the increasing prevalence of diseases, environmental conditions, and demand for organic baby care products.

• Globally, there is increasing demand for fortified baby food, with the rising awareness among parents to adequately fulfill the nutritional requirements of their babies. The increasing demand for infant formula is influencing the market's growth. For instance, Nestle SA, with its Nestle Cerelac Fortified Baby Cereal With Milk Multi-Grain & Fruits, became the leading company catering to the demand for fortified baby food in India.
• Additionally, nutrients used in the baby food fortification process include iron, calcium, zinc, and vitamins (A, D, E, K, C, and B). Iron deficiency and anemia is the most common nutritional deficiency among children. According to WHO, in 2021, 42% of children under five years of age and 40% of pregnant women worldwide are anemic.
• Consequently, key players in the market are introducing fortified baby food products rich in iron and folic acid for the baby's physical and mental growth. In August 2022, Nestlé introduced two new Little Steps multigrain portions of cereal for infants and toddlers in United Kingdom under its SMA Nutrition range. Little Steps multigrain cereals oat, barley, and wheat for babies starting at six months and Little Steps multigrain cereals with fruit for toddlers beginning at twelve months are the two varieties. In addition to being made without added sugars, the multigrain cereals are fortified with vital nutrients, including iron, to help support the proper cognitive development of young children.

• North America and Europe highly dominate the baby care products market. However, Asia-Pacific is one of the fastest-growing markets for baby care products due to the rising birth rate. Increasing brand penetration and a vast distribution network are driving the baby care products market in the region.
• The e-commerce sector is further supporting the growth of the market. Several baby care product websites like FirstCry.com and Hopscotch.com entered the Indian market in the last couple of years. Leading online retailers like Babyoye.com make it easy for customers to deliver their purchases to their doorstep. The online baby-care market mainly consists of baby food, skincare, toiletries/ diapers, toys, gear, and baby nurseries.
• Large multinational consumer goods companies are extending their core personal care brands to introduce premium baby care products. Johnson & Johnson (India) and Unilever PLC introduced extensions of their core brands Aveeno and Dove, respectively, to offer lotions, creams, soaps, shampoos, and body wash for babies.

Leading manufacturers in the baby care product market are leveraging opportunities from the emerging markets of Asia-Pacific to expand their consumer base. Key players are investing in physical retail and promotions to dilute the effect of a single promotion. Omnichannel strategies are likely to drive a return on investment. The market offers a diversified product portfolio, including organic baby infant nutrition and prebiotics-infused infant nutrition products. Nestle SA is one of the leading revenue generators, with popular brands such as Ceregrow, Lactogen, and Gerber, followed by Procter & Gamble, with Pampers being the most popular brand. Large multinational consumer goods companies are extending their core personal care brands to introduce premium baby care products. Johnson & Johnson and Unilever PLC introduced extensions of their core brands Aveeno and Dove, respectively, to offer lotions, creams, soaps, shampoos, and body wash for babies.

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