LARGO, FL / ACCESSWIRE / May 21, 2018 / The global green cosmetic market was valued at $10.9 billion in 2017 and is forecast to expand 74% to $18.7 billion by 2022. The younger generation of consumers have preferences for products that contain natural ingredients and are made with respect for the environment, according to Ashwin Sokke.
Forbes reports that sector expansion is driven by larger companies, such as The Body Shop and L'Oreal, who can integrate natural ingredients across value chains. Major market players also have access to large distribution networks compared to medium and small natural beauty companies. The popularity of green cosmetics parallels the rise of customer preferences for healthy lifestyle options across other consumer goods. For example, the global market for organic foods and beverages is expected to follow a similar trajectory, rising from $102 billion in 2015 to $187.85 billion in 2019.
Growth between different green industries is mutually supportive, creating opportunities for partnerships in distribution and marketing under similar lifestyle branding, says Ashwin Sokke. The eco-minded grocery chain Whole Foods carries over 4,000 green beauty brands, none of which contain potentially harmful ingredients such as microbeads, aluminum chlorohydrate and butylated hydroxyanisole (BHA). Retailers such as Nordstrom and Sephora also offer a wide selection of cosmetics that are made from natural ingredients. Allure Magazine reported that more than 1 in 2 women read product labels to avoid certain chemicals when choosing make-up. Moreover, the survey found that 73% of millennial women seek out all natural products, compared to 59% of women that consider buying green cosmetics as important.
Non-traditional marketing techniques, including social media influencing, play a role in increasing knowledge and sales of green cosmetics. Organic products are a good fit with digital platforms, such as blogging or Instagram, that can market lifestyle products to technology-savvy young consumers. In 2016, global views of YouTube beauty videos increased to 219 billion, of which 60% were estimated to be millennials. Branding and education remain important factors in influencing consumer habits, since there is rarely a single definition of an "organic" cosmetic product. Customers who choose natural cosmetics are more likely to be knowledgeable about the impact of unsafe chemicals and to show brand loyalty. Therefore, cosmetic companies who leverage social media influencers to spread information about the quality ingredients found in products are more successful in building brand awareness. Research shows that 92% of consumers will believe recommendations from someone they know over traditional forms of marketing.