India Herbal Shampoo Market - Growth, Trends, and Forecasts (2023 - 2028)
The Indian Herbal Shampoo Market was valued at USD 318.1 million in the current year and is projected to record a CAGR of 10.19% over the next forecast period.
Over the period, the herbal shampoo market in India is gaining traction. The market segment is gaining immense popularity among all consumer groups in the country due to the rising awareness of the side effects of chemical formulations. Factors, such as consumer knowledge and increased awareness of products and services, through digital media and other sources, coupled with the advent of social media, are educating consumers about the benefits of various hair care products. This, in turn, is driving the demand for these products. The sales of natural products in personal care categories grew at about double the pace of ordinary consumables as the pandemic enhanced customer interest, awareness, and demand for ayurvedic brands.
Due to the popularity of plant-based ingredients used in personal herbal care & cosmetics products, this category witnessed significant growth throughout history. It is anticipated to maintain its dominance during the forecast period as well. While demand for herbal shampoo is increasing in rural and urban markets, urban consumers have proven to be more extravagant. Additionally, due to the popularity of plant extracts and their use in personal herbal care & cosmetics products, this segment witnessed significant growth throughout the study period. It is anticipated to maintain its emergence during the forecast period as well.
India Herbal Shampoo Market TrendsRising Awareness for Herbal Products and Acceptance of Ayurvedic Brands from IndiaIn ancient Indian history, herbal treatments were incorporated into traditional Hindu medicine. Increasing recognition of traditional herbal products, such as herbal shampoos, as an alternative to chemical formulations in various sectors, including the personal care products industry, contributed to the acceptance of such products. Herbal and Ayurveda's global reach is pushed by Indians migrating to foreign countries and creating a promising market for traditional personal care products. The export rate of ayurvedic and herbal products increased significantly in recent years, affecting the global herbal market's growth. According to the Department of Commerce (India), the sales generated by exporting ayurvedic products accounted for USD 539.87 million in 2021, indicating a 26% increase compared to 2020. Thus, the market studied is expected to witness high demand in the international market.
Convenience Stores with Significant Share of Sales among Distribution ChannelsConvenience stores dominated the Indian herbal shampoo market. The presence of independent small groceries and convenience stores dominates the Indian retail industry. With the demand for such products gaining momentum across all cities in India, especially the developed cities, convenience stores are increasingly stocking higher volumes of these products than ever before for targeted consumers. Additionally, convenience stores have higher penetration compared to modern retail stores. The penetration rate of convenience store shoppers provides a platform for companies manufacturing herbal shampoos to reach a broader consumer base through attractive promotional strategies for retailers. Such factors have increased the sales of herbal shampoos across the country. Therefore, the increasing number of convenience stores across the country further boosts demand. For instance, in October 2021, Reliance Industries Ltd.'s retail arm, Reliance Retail Ventures Ltd., announced it would roll out 7-Eleven Inc. convenience stores in India, following a similar deal from Future Retail Ltd. with the United States-based convenience stores chain.
India Herbal Shampoo Industry OverviewMajor players in the Indian herbal shampoo market include Dabur, CavinKare, Patanjali Ayurved, Himalaya Wellness, and Procter & Gamble Co., among others. As per analysis, the Indian herbal shampoo market is concentrated and dominated by Indian brands and players. Owing to the specific and professional range of herbal shampoos, embedded Ayurvedic beliefs among consumers, consumer acceptance of novel and innovative products, and efficient distribution, leading players are consolidating their positions in the market. Players are developing new and innovative products with global herbal ingredients to maintain their strong foothold in the market.
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