Shampoo Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Shampoo Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The Shampoo Market size is expected to grow from USD 32.86 billion in 2023 to USD 41.50 billion by 2028, at a CAGR of 4.78% during the forecast period (2023-2028).

Key Highlights

• The shampoo market is witnessing significant growth due to increased spending on hair care products among millennials and Gen X consumers globally. Over the medium term, anti-dandruff shampoo is anticipated to be the fastest-growing segment within the shampoo market, driven by the increased hair loss due to changing lifestyles, the convenience of using these products, poor hygiene conditions, and exposure to the environment with rising pollution levels.
• Moreover, the increasing celebrity endorsements and growing awareness about the harmful effects of chemicals and synthetic products are boosting the demand for natural and organic products. The ease of usage and availability of small travel-size packs are also major trends in the shampoo market.
• On the other hand, the herbal shampoo market increased exponentially in recent years and is gaining immense popularity among all consumer groups in the global market, especially in the Asia-Pacific region. The primary reason for this popularity is directly related to aggressive marketing campaigns mainly directed toward young consumers. As customers demand more advanced benefits over basic benefits, companies are launching product solutions that meet consumers' evolving needs and expectations and help spur the demand within the country.
• For instance, in May 2022, Medimix, a brand of the renowned AVA group of companies, launched its new product called Total Care Shampoo. Medimix Total Care Shampoo is infused with natural ingredients to cater to all needs of all hair types. Thus, the increased launch of new products in the market is anticipated to drive the overall market growth over the forecast period.

Shampoo Market Trends

Rising Awareness for Natural and Organic Hair Care Products

• The global shampoo market witnessed an increasing demand for natural and organic products due to the rise in consumer awareness about the harmful effects of certain compounds, such as paraben and aluminum, in regular shampoos. This recently enhanced the demand for safe, natural, and organic shampoo products. Herbal shampoos formulated using natural ingredients have gained massive acceptance among all customers.
• Moreover, several research papers confirm the benefits of herbal shampoo over chemical shampoos. Thus, natural and eco-friendly herbal shampoos are increasingly becoming popular among health and eco-conscious consumers. People realize that maintaining healthy hair can be difficult because they are constantly exposed to harmful chemicals in synthetic shampoos and conditioners. This demand led most companies to launch natural-inspired products, such as plant-based and premium botanical ingredients.
• As a result, the players in the market are using natural ingredients such as jojoba oil, argan oil, coconut milk, and onion to formulate herbal shampoos as per consumer demand. Furthermore, the increasing trend of organic concept stores for organic products among consumers is also anticipated to enhance the growth of natural and organic hair care products in the market.

Asia-Pacific is the Fastest-Growing Market

• The shampoo industry in the Asia-Pacific region is witnessing tremendous growth owing to the changing consumer dynamics coupled with increasing awareness about hair and scalp hygiene products, particularly in China, India, Japan, Thailand, and South Korea. The hair care regime is an important aspect of their everyday life.
• For example, the Chinese population considers shampoos an essential hair care product intended to keep the hair's moisture balanced. Additionally, in China, the demand for anti-hair fall shampoo is growing rapidly, mainly attributable to the high-pressure life and increasing pollution levels. Moreover, urban and young people are predicted to place more emphasis on the premium market and will be willing to invest more money in high-end shampoos that deliver quick results. Thus, this is expected to influence market growth in the upcoming years.
• Furthermore, the rapid adoption of novel products, such as 2-in-1 shampoos and conditioners, intended to clear the scalp and make hair soft and silky across the Asia-Pacific region is expected to fuel the overall market in the future.

Shampoo Industry Overview

The shampoo market is highly competitive, with the presence of various international and domestic players. Key players in the shampoo market are focusing on leveraging opportunities posed by emerging markets to expand their product portfolios, thus catering to consumers’ needs. Some major shampoo market players are L'Oréal SA, Unilever PLC, Shiseido Co. Ltd, Johnson & Johnson, Procter & Gamble Company, and Kao Corporation.

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