With the facial skin care segment accounting for 92 percent of the total skincare value market in China and estimated to be worth RMB65bn ($10.46bn) in 2012, up from RMB36bn ($5.8bn) in 2007, Mintel predicts the market to grow even further over the next five years to 2017 to reach RMB104bn ($16.74bn), meaning that demand for product innovation has never been more important.
“Increasing urbanization and demand for natural beauty products presents real opportunity for brands looking to capitalise on the Chinese marketplace. An increased number of Chinese consumers from rural areas are relocating for better working opportunities and they are also trading up and demanding more from their beauty products," says global president of the beauty & personal care division, Jane Henderson.
In fact, skincare products with botanical or herbal ingredients claims have dominated the Chinese market in terms of new product development since 2008, according to Mintel’s Global New Products Database - up from 52 percent in 2008 to 73 percent in 2011.
“Plant based cosmetic products that enhance the appearance of the skin are increasingly in demand and organic and natural herbal based skin care products are becoming increasingly popular nowadays amongst Chinese consumers thanks to the international skin care trend and ongoing ingredient scare cases in China."
The market researcher found that skin care containing botanical or herbal ingredients is expected to be a key growth category, along with sun care. The strongest demand from Chinese consumers in that segment has been found to be moisturisation with 27 percent of consumers looking for this aspect, followed by anti-aging (41 percent).
The research also reveals sun care as a category ripe for capitalising on the demand from Chinese consumers for natural products in beauty, with over a third (36 percent) disagreeing that natural and organic sunscreens are not as effective as chemical ones. The strongest demand from consumers in suncare is moisturisation with 27 percent of consumers looking for this aspect, followed by anti-aging (41 percent).
“The advantage of natural and organic skincare products is not just about avoiding the use of artificial chemical ingredients or even harmful ingredients, but rather applying a concept of 'fully nutritional' and 'fully comprehensive' treatment to increase the skin’s healthiness," explains Henderson.
In terms of the long-term application effect, safety concerns and even eco-friendliness, these green skincare products will be a major skincare trend in the future according to the expert.