China, the US, Japan, South Korea and Germany are the five biggest skin care market in the world, according to Euromonitor International. From 2015 to 2020, sales rose sharply in China, up 67.8% to top $39 billion. Double-digit gains were also recorded in the US and Germany. US sales rose 26.4% to $21.2 billion and German sales increased 17.4% to $5 billion. Sales in South Korea rose 4.8% to $6 billion. In Japan, sales actuallu declined 7% to $15.3 billion.

During the five-year period, skin care product sales soared in Brazil, the world’s No. 8 skin care market. Sales jumped 51.1% to top $ 2.9 billion, thanks to big gains in the body care subcategory. According to Euromonitor, facial products represent just 38.4% of total skin care sales. In contrast, facial care represented 87.7% in China, 66% in the US, 88.8% in Japan, 85.7% in South Korea and 77.3% in Germany. No surprise, then, that analysts say the facial care market has considerable potential in Brazil. Forecasters predict sales will grow 23.7% in value through 2025. The prediction trails China (+71%) by a wide margin, but beats gains in the US (9.5%), Japan (20.4%), South Korea (8.4%) and Germany (11.4%).

Embracing Diversity
Baby Boomers, Gen X, Millennials, Gen Z and now, Generation A—all have unique skin care needs. According to Fernanda Pigatto, global marketing director, Beautystreams, consumers are increasingly defined through their personal differences such as age, or by special needs, such as vitiligo and birthmarks. These factors create a greater need for personalization and give customers reason to believe in the relevance of a brand.

Companies that move away from “influencers” and toward real, science-backed innovation could benefit. The pandemic has created a need for psychodermatology; i.e., a combination of psychiatry and dermatology that recognizes how psychological states directly affect the skin. As stress levels increased during the COVID-19 pandemic, so too did skin problems. Dermo-cosmetics brands that have therapeutic value and offer products associated with reducing stress, increasing well-being and encouraging a calm and relaxation sense have become increasingly popular with consumers seeking holistic health and wellness benefits.

The movement isn’t limited to marketers. Suppliers have been active in the category, too. BASF launched Sacred Patch, an active ingredient that is said to provide emotional well-being while soothing sensitive skin. The product works in three ways: it offers an instantly perceptible uplift in mood once applied to the skin, helps to soothe sensitive skin, and provides strong moisturization properties. It is based on BASF’s MicroPatch technology to harness the potential of the valuable algal extract sacran. Extracted from the Japanese microalga Aphanothece sacrum, sacran has long been known for its soothing properties. BASF scientists discovered that the polysaccharide helps stimulate the release of oxytocin, a neuropeptide and wellness mediator.


Wellness Trends

According to Segmenta, a Latin American marketing intelligence and research company, “wellness beauty” is a growing trend in the region. Anti-aging accounts for a significant share of sales in this category. In this regard, Segmenta notes that niancinamide is one of the ingredients in the spotlight. This vitamin B3 derivative helps revitalize, firm and smooth skin, and minimizes the appearance of large pores. It also stimulates tissue growth and collagen production, while calming redness, fighting free radicals, and evening out skin tone. Segmenta notes that several brands already market products with niacinamide including The Ordinary Niancinamide 10%, Glossier Super Pure Serum, Skinceuticals Discoloration Defense and Simple Organic. All of these introductions came as interest in vitamin C formulas soared. As a result, astute formulators are combining the two active ingredients.

Garnier Skin Active, for instance, launched Uniform&Matte Sérum Anti-marcas Vitamina C formulated with three ingredients: vitamin C, salicylic acid and niacinamide, which is said to promote a peeling effect for less visible marks and moisturizes skin, without oily effect. Avon (Natura&Co) introduced Renew Máscara Facial Uniformizadora, a facial mask for evening out skin tone. It contains niacinamide, salicylic acid and exfoliating micro granules. Neutrogena launched the Face Care Intensive, which combines vitamin C, niacinamide and collagen for its Antissinais FPS 22 and Antisinais Reparador creams. The first is said to combat fine lines. It also promises to firm skin and even out skin tone. The formula contains the exclusive Helioplex technology that protects against UVB-burning and UVA-aging rays. The second, for night care routine, repairs and corrects marks and restores daily skin damage during sleep.


The Main Players

According to Euromonitor, Natura and Avon Renew (Natura&Co) are the brand market leaders in Brazil with shares of 10.4% and 10.1%, respectively. In third place is La Roche-Posay (L’Oréal) with 7.8% in 2020.

Considered the brand’s greatest innovation in the past eight years, Natura Chronos just launched the Super Sérum Redutor de Rugas (Super Wrinkle Reducing Serum), the first in the portfolio with triple action that combines probiotics with the nutritional power of prebiotics from Brazilian biodiversity (Jatobá and Casearia) to promote the skin restoration, and reduce deep, moderate and fine wrinkles. The formula is said to act on all layers of facial skin and strengthen its microbiota. According to Natura, Super Sérum Redutor de Rugas stimulates collagen, elastin and hyaluronic acid production, connects the skin layers and reorganizes its structure. The end result is a visible and significant reduction of fine lines and wrinkles.

Avon’s Renew Tratamento Duplo Antissinais e Marcas de Acne combats the signs of aging while reducing the appearance of acne scars. According to Avon, adult acne is very prevalent, causing damage to the skin, such as spots and marks.

The new formula is said to improve the appearance of reddish and brownish acne marks, and reduce the appearance of lines, wrinkles and pores. It contains Biotics Complex, a blend of pre-and post-biotics including lactic acid.

The skin care market, especially facial care, has great potential in Brazil. Successful marketers will consider the consumer at the center of their innovation efforts. That means, diversity, transparency and well-being claims are paramount.

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Daniela Ferreira
Correspondent
danief@uol.com.br
55-11-993880867
 
Daniela Ferreira is a marketing and communication professional in the cosmetic market. She has a master’s degree in fashion from the University of São Paulo (USP). The study presented in the thesis, integrated product launching in fashion and perfume, mainly comprising marketing studies related to brand, product and consumer behavior. At present, she is lecturer on marketing issues. Her expertise comprises managing and launching products, communication planning and market studies for identifying new business opportunities.