South Africa Professional Skincare Product Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The South African skincare market is projected to register a CAGR of 4.34% during the forecast period, 2022-2027.

The COVID-19 pandemic is still affecting the development of several businesses. The pandemic's immediate impact, on the other side, is varied. While some industries may face a dip in sales, many others remain unaffected and seem to have strong development. Due to the impact of the COVID-19 pandemic, the skincare market has seen significant growth due to rising health and hygiene consciousness among consumers. Consumer priorities switched in 2021 as a result of the pandemic, with a focus on complete health and wellbeing. Consumers also preferred to have naturally healthy and beautiful skin instead of masking imperfections with make-up.

Due to additional causes, such as pollution and hard water conditions, the market for anti-aging products, such as anti-wrinkle cream, face cream, serum, eye cream, and others, is seeing increasing demand over the long term. A growing number of people are becoming aware of the effects of pollution on the skin. Product sales are being driven by increased awareness of skin rituals and the desire to have a beautiful and younger appearance, leading to greater penetration and expansion into new markets.

Natural and organic products are creating a lot of interest among consumers in the region. ORIKI brand founded in Nigeria and now has expanded to become a global brand. Their products are all-natural, including components extracted from coconuts and baobab trees. Furthermore, with the rise of the middle class and greater buying power across several socio-economic categories in South Africa, there is a demand for inexpensive, high-quality skincare products that address the needs of many ethnic groups while also meeting the demand for natural components.

Key Market Trends

Rising Demand Among the Increasing Women Workforce

In recent years, the country has seen a decent contribution of women in the workforce, which is one of the important elements driving demand for skincare products in the country. Now, the African woman is not only engaged in skincare, but it is quickly becoming a daily necessity rather than an indulgence. A increasing desire to understand skin, the impact of the climate, and the demand for solutions that consistently produce the desired outcomes are driving this habit. Women expect high standards and quality of products and services, according to industry experts, as their discretionary income rises and they become more urbanised. Furthermore, South African women, in particular, have a strong preference for herbal and natural ingredients preferring natural active ingredients derived from vegetable extracts, like lavender, aloe vera, and other essential oils. Eyeing on the trend, many manufacturers are introducing innovative products incorporated with active ingredients.

Online Sales to Foster the South African Skincare Market

The market rapid technological development is likely to be a crucial factor in the country's e-commerce boom. One of the major drivers of the e-commerce business in the country is the emergence of simple payment options. Rabaki, an online retail store, has launched, providing opportunity for locally present firms to increase sales and stabilise in the current uncertain economic climate. From inspirational and positive social marketing to material aimed to save the environment, brands are experimenting by being more creative with their narrative across platforms and customer touchpoints throughout the purchase experience. Consumers time spent in the store looking for a certain skincare product, this is encouraging domestic and international firms with a presence in the country to expand their e-commerce offerings.

Competitive Landscape

South Africa skincare market is highly fragmented due to the prominence of several small players in the market. Some of the prominent manufacturers present in the country are Avon Products, Estée Lauder Inc., Unilever and Procter & Gamble. Companies are adopting acquisition, merger and launching innovative products to cater the growing demand for naturally sourced products. The active companies have adopted product innovation as their key strategy to increase their geographic presence and customer base. With the growing demand for natural and effective skincare products, the market studied has witnessed an emergence of new kinds of products to cater to the growing demand of consumers of all age groups having different skin types.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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