Contents:

Introduction Definitions Consumer research Abbreviations Market in Brief France Increasing price competition dampens growth Commodity image Best potential in men’s lines Adding value Low penetration in European terms Aerosols remain the top choice, but roll-ons are gaining in popularity L’Oréal reinforces its leading position Germany Added-value helps market increase in 2006 But long-term trend is falling market value Controlling perspiration is more important than mere fragrancing Aerosols still gaining share Consumers looking for keen prices Market is dependent on the young Italy Back to brands may help market value Shrinking number of core users Greater segmentation Roll-ons gain ground Crowded marketplace and reduced on-shelf visibility Frequent price promotions give grocery multiples a further boost Spain Sales remain strong Positive prospects Increasing penetration Roll-ons more popular in Spain than elsewhere in Europe Big international brands take the lion’s share New product development helps to generate growth and change commodity image Grocery multiples gain further ground UK Brand value Segmentation drives growth Extension not innovation Assured lead for Unilever Consumer trends Future Internal Market Environment High penetration limits further growth Figure 1: Penetration of deodorants, men and women, by country, 2006 Women: Perfumes as alternative to deodorants? Neutral variants may help sales in France Figure 2: Penetration of deodorants and perfume/eau de toilettes, by country, by women, 2006 Figure 3: Penetration of deodorants and male fragrances, by country, by men, 2006 Legislation and regulation REACH Broader Market Environment Ageing population and… Figure 4: Total population by age, by country, 2006 … stable consumer base hold back growth Figure 5: Population trends, by country, 2001-11 Rising consumer expenditure Figure 6: Indexed growth in consumer expenditure at current prices, by country, 2001-06 More working women demand greater convenience and product efficiency Figure 7: Working women as % all women aged 15-64, by country, 2005 Who’s Innovating Germany leads for number of launches Figure 8: Number of new deodorant launches, by country, Jan-Dec 2006 Targeting the male deodorant market Figure 9: Top 10 claims, by country, Jan ’06-Dec ‘06 Unilever most active for new product launches Figure 10: Top 5 companies for number of launches, Jan-Dec 2006 Market Size and Forecast Germany is the largest market Figure 11: Retail value sales of deodorants and bodysprays, at current prices, by country, 2001-06 Spain registered the fastest growth, while the other countries just maintained stable sales Figure 12: Indexed retail value sales of deodorants and bodysprays, at current prices, by country, 2001-06 Spain and Italy increased their weight in the European deodorant market Figure 13: Retail value sales of deodorants and bodysprays, % European market share by country, 2006 Per-capita spend puts UK in the lead Figure 14: Per capita spend on deodorants and bodysprays, by adult (15+), by country, 2001-06 Market Forecast and Prospects UK is expected to be the largest market by 2011 Figure 15: Forecast for total retail value sales of deodorants and bodysprays, by country, 2006-11 Spain will grow faster than the rest of Europe Figure 16: Forecast indexed retail value sales of deodorants and bodysprays, by country, 2006-11 France will see its share reduced Figure 17: Forecast % share of European market, by country, 2011 Mintel foresight France Germany Minimalist trend in fragrances may cross-over; special editions to continue doing well Well-being fad to fade Decline in perfumeries may dent premium sales REACH may prove costly for suppliers Italy Spain UK Market Segmentation Aerosols account for the largest share of the market Figure 18: Retail value sales of deodorants and bodysprays, by type, by country, 2006 Aerosols lead and roll-ons take second place Figure 19: Retail value sales of deodorants and bodysprays, by type, by country, 2006 Market Share Fragmentation and low share for own-label Figure 20: Retail value sales of deodorants and bodysprays, % share market leader vs. others/own-label, by country, 2006 Channels to Market Mass-market distribution leads Figure 21: Retail value sales of deodorants and bodysprays, % by outlet type, by country, 2006 Figure 22: Retail value sales of deodorants and bodysprays, % by outlet type, by country, 2006 The Consumer Similar consumption patterns amongst women, but Britons are more likely to be heavy users Figure 23: Penetration and frequency of using deodorants among women, by country, 2006 Aerosols take the lead except in Spain, where women prefer roll-ons Figure 24: Penetration of deodorants among women, by format, by country, 2006 Deodorants are most popular among British men, and the least among French men Figure 25: Penetration and frequency of using deodorants among men, by country, 2006 Aerosols confirm their popularity among men, even in Spain Figure 26: Penetration of deodorants among men, by format, by country, 2006