They’re already loaded with good-for-you ingredients that promise to give your hair sheen, body and manageability. But today’s shampoos and conditioners promise more than clean, shiny locks. Some of the newest formulas make skin-caring claims; specifically, scalp-caring claims to appeal to health-savvy consumers.

“Consumers now view their hair as an extension of their skin, especially the scalp,” explained Hannah Symons, research manager, beauty and fashion, Euromonitor International. “Scalp health is a growth segment for hair care.”

The move comes at a time when consumers more than ever care about their hair. A mane attraction is the first thing most people notice about each other and looking one’s best often starts at the top. In the US, nearly everyone already shampoos nearly every day; yet, according to IRI data, US mass market shampoo sales, including dandruff formulas, rose more than 3% during the past year to more than $3 billion. Meanwhile, sales of conditioners rose less than 1% to $2.1 billion. The biggest gains, albeit from a smaller base, were in the shampoo and conditioner combo pack category, where sales surged more than 30% to over $230 million, according to IRI.

Within the regular shampoo category, Procter & Gamble dominates with more than 23% of the market. It’s a blowout in the dandruff shampoo segment, where P&G controls nearly 73% of the category, well ahead of private label’s 9.5% share. P&G is tops in conditioners, too, with a market share of more than 19%.

Euromonitor International takes a global approach to the $72 billion hair care market. It predicts that the $16.2 billion conditioner category will post a CAGR of 2% during the next five years, which is faster than 1.5% CAGR expected for the $26.8 billon shampoo market.

The best regions for growth in terms of absolute value are Asia-Pacific, Latin America and North America. But winners and losers in the shampoo and conditioner category are changing, according to Symons.

“We see a change at the top, as P&G is losing share on the global level,” she told Happi.

New Players in a Global Market
Specifically, Procter is falling behind in India and China, where local players that know the consumer’s habits, are making strides. For example, in India, Patanjali is an Ayurvedic company that operates across a range of sectors including food and personal care. Founded by Baba Ramdev, arguably India’s most famous yoga guru, Patanjali’s global sales rose 34% last year, according to Euromonitor International. It’s grabbing market share at the expense of P&G’s Head & Shoulders and Pantene brands.

Also out of India is Dabur, which calls itself the fourth-largest FMCG company in India with sales of more than $1 billion (see Happi’s International Top 30). Products are available in more than 60 countries around the world and international sales account for more than 30% of Dabur’s total revenue.

“Dabur is moving beyond India and into the Middle East, where its products are very popular,” noted Symons. “They understand the consumer market in the Middle East.” 

Another example comes from China, where See Young has posted triple-digit gains during the past two years. Thanks to that surge, the Korean brand has pulled ahead of the likes of Neutrogena and John Frieda in Euromonitor’s global rankings.

As fragmentation takes a toll on multinationals’ market share, Euromonitor notes that indie startups have leveraged social media and e-commerce to expand beyond their traditional borders.

“In the future, the winners in the hair care category will be local players who understand the needs of the local population,” asserts Symons. “Instead of trying to crack the US market, they stay closer to home where they better understand the consumer.”

Fast-growing companies to watch, according to Euromonitor, include Ouai, Verb, Form and Deva Curl. Trends to keep an eye on include Halal, which has become a big part of so many consumer product categories and Symons expects the same to happen in hair care. As a result, more companies are expected to cater to the specific needs of hair covered by religious headwear.

“Only local players understand these needs,” concludes Symons. “We expect locals to continue disrupting the hair care category.”

But that doesn’t mean multinationals are ready to give up their hold on the top spots in the global shampoo and conditioner markets. For example, Unilever’s new DermaCare Scalp is an anti-dandruff shampoo that features “the perfect blend of powerful skin-focused technology with the mild care of Dove,” according to the company.

The six-item line includes 2in1 and shampoo, Invigorating Mint 2in1 and shampoo, and Dryness & Itch Relief shampoo and conditioner. All contain zinc pyrithione to banish flakes, but they also contain a blend of oils to nourish and protect the scalp.

Next month, Unilever launches Love Beauty and Planet, a planet-friendly hair and skin care brand “built on a commitment to do good through small acts of love,” according to the company. Love Beauty and Planet is the result of Unilever’s commitment to its Unilever Sustainability Plan and incorporates distinct purpose into the entire product lifecycle and beyond: giving careful thought to ingredients, formulas, product packaging, value chain and social partnerships, according to the company.

Neutrogena didn’t add any new shampoos or conditioners to its lineup during the past year, but parent company Johnson & Johnson did acquire Vogue International 18 months ago for $3.3 billion. The deal included the OGX collection of shampoos, conditioners and hair treatments, as well as Proganix and Maui Moisture hair care products, and FX hair styling products.


In the third quarter of 2017, sales of OGX helped offset a decline in baby care products at J&J. With shampoo and conditioner formulas such as Biotin & Collagen, Brazilian Keratin Therapy and Bamboo Fiber-Full, OGX was one of the first brands to make hair strengthening a key marketing message. It’s certainly paying off for the brand and for J&J, as OGX has become the leading shampoo and conditioner brand in the US mass market.

Consumers are getting the message when it comes to ingredients that are good for their hair, said Seven Haircare flagship educator Travis Clay.

“Consumers are savvy about ‘bad’ ingredients and are searching for the most nurturing products for their hair. They expect shampoos to lather well and get hair squeaky clean, hydrate and repair while conditioners must proteinize, add moisture, and repair damage too,” he said. “Products that work, smell great, and cover all of these bases are very few and far between. I know we’ve found a game changer with our Kente Bond collection.”

The Kente Bond shampoo, conditioner and reparative spray promise to deliver sustained benefits to damaged hair. The shampoo contains guar, pro vitamin B5 and green tea to intensely hydrate and soften dry damaged hair. The conditioner contains B5, amino acids and lotus to seal split ends and aid reconstruction of broken disulphide bonds, infuse moisture into hair’s cortex and create volume. Finally, the spray is said to target points of damage on the cuticle to protect hair from future harm, add shine and reduce blow dry time.

“The interest for products that do more was inspired by consumers getting older and having drier, more fragile hair. But the real truth is that they wish they had stayed ahead of it before this happened,” explained Clay. “That’s why younger generations are so careful with what they use. They are a more informed group with all the internet information and know they must stay ahead of the game to prevent their hair from ever becoming fragile or dry.”

To help maintain hair, Clay avoids harsh sulfates like SLS and SLES as well as heavy Fragrances as they can sometimes trigger allergies.

“Things I definitely look for in products are coconut oil, aloe and amino acids. Seven hair care uses superoxide dismutase, which has anti-aging benefits to the scalp and actually helps to prevent premature graying—an obvious concern for most of my clients.”

Clay called sweet almond extract in the new Bond system a “smart ingredient,” as it is magnetically attracted to points of damage on the hair shaft, giving the formula “unparalleled healing properties.”

Babies’ hair may not need healing, but formulas have to be gentle. According to a new study by ReportsnReports, the global baby hair care products market post a CAGR of 6.20% from 2017 to 2021, driven in part by BRIC demand. The study ‘s authors note that babies require special, but simple, hair care. As the scalp of infants is fragile and the hair follicles are in the developing stage, they require gentle hair care.

And there it is; whether you’re a middle-aged balding man showing too much scalp, or a newborn babe with cradle cap, good-for-your-skin hair care is the new normal in the multibillion dollar shampoo and conditioner market.

A Colorful Year Ahead • It’s still 2017, but that’s not stopping L’Oréal Paris from declaring Rose Blonde and Smokey Gray as its Hair Colors of the Year—the first time the world’s No. 1 hair color brand has made such a proclamation. And just how did the brand’s color designers reach their decisions? By analyzing search data, traveling the world and drawing inspiration from fashion, design, art, music and automobile industries. “This year, I visited numerous countries studying people from many different cultures, visiting exhibits and art fairs, going backstage at fashion shows and meeting with the top master colorists all around the globe,” said Orrea Light, VP-global marketing beauty innovation and acceleration. “Through this process, rose gold and ‘90-inspired grunge consistently emerged as the top trends.” To help celebrate the findings, L’Oréal Paris launched two collections: Superior Preference Rose Blond and Feria Glam Grunge. “We challenged our color labs with creating hair color shades that would allow people a premium, yet accessible, and fashion-forward way of expressing these trends and are thrilled to introduce them.”