Hair Colorants Market - Growth, Trends, and Forecasts (2023 - 2028)

Hair Colorants Market - Growth, Trends, and Forecasts (2023 - 2028)

The hair colorants market is expected to register a CAGR of 5.55% over the next five years.

The growing use of hair color by the aging population to cover their grey hair is the primary driver for the growth of the hair color market. The aging population in many regions of the world, including Europe, Eastern Asia, and Southeast Asia, creates a robust opportunity for the growth of the hair colorants market.

Increased incidence of grey hair among the young working population due to stress and improper diet is primarily driving the market. Permanent hair colorants offer long-lasting hair color, which is why they have a high demand among consumers. The potential health risks due to the toxic chemicals in hair colorants hamper the market's growth.

To tackle the issue, companies are coming up with better solutions, like using natural ingredients and refraining from using ammonia. The increasing prevalence of skin allergies among consumers is anticipated to drive the growth of the global organic hair color market. Overall, the global outlook of the organic hair color market is expected to remain positive over the next five years.

Premium hair colors and dyes are comparatively expensive owing to the amount of research and development that goes into formulating these and the higher cost of ingredients used in the product. For instance, Vegetal Safe Color offers natural hair color developed from 100% natural herbs and extracts like Indigo, shikakai, brahmi, and manjistha, among other organic ingredients. Furthermore, this chemical-free hair color is free from harmful chemicals like PPD, Ammonia, Peroxide, and Paraben. Increasingly, this category is widely being used by hair styling professionals, hair salons, and spas to treat consumers’ hair. It also is available from specialty stores and online retailing platforms. A few mainstream brands, such as Unilever and Procter & Gamble Co., are capitalizing on the consumer interest in ethical and eco-friendly hair coloring products. Additionally, they are focusing on developing new products to maintain consumer interest, despite the existing broad product portfolios. The leading players are utilizing robust digital resources to maintain a solid online presence, which is vital for the success of the premium hair colorants segment.

The increased overall population in China and India, coupled with an increase in the aging population in Japan and other Southeast Asian countries, is generating higher demand for hair colorants. Rapidly changing lifestyles and urbanization in emerging markets create demand for products such as hair colorants, which provide stylish looks. The millennials are very much influenced by celebrities and choose to color their hair to keep up with fashion trends. Hair colorant products are gaining immense popularity among all consumer groups across the region. The primary reason for this popularity is directly related to aggressive marketing campaigns mainly directed toward young consumers. The market is highly competitive, with vendors competing based on product differentiation, portfolio, and pricing. This scenario equips the key players to spend more on R&D to launch innovative products that can meet customer demands.

The hair colorants market is competitive as the major players are trying to cater to the demands of the consumers in terms of color options while offering safer products. The demand for funky and neon colors is also rising due to the exchange of cultures and the spread of fashion around the globe. Some major players in the market are Henkel AG & Co. KGaA, Revlon, Coty Inc, L'Oreal SA, Kao Corporation, Mandom Corp., Aveda Corp., Unilever, Avon Products, and HACO Tiger Brands. The demand for hair colorants to cover gray hair is constantly growing globally. However, people are still worried about the side effects of using hair colorants and think twice before acting upon the thought of hair coloring. Thus, the manufacturers of hair colorants have an opportunity to offer safer coloring solutions in more color choices to capture the potential market.

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