Kline study throws light on the huge potential of CBD beauty

By Simon Pitman

- Last updated on GMT

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Getty Images

Related tags CBD

A new study by market intelligence provider Kline Group underscores the huge potential in the market for CBD beauty and personal care products.

The new study coincides with the Cosmetics Design webinar ‘How to Tap into the CBD Beauty Trend the Right Way’, which is due to be broadcast on October 8th​ at 11:30am CT and you can sign up for it by clicking here​.

We spoke to Naira Aslanian, project manager at Kline Group, to get a bit more insight on the study, titled ‘Cannabis Beauty: U.S. Market Analysis and Opportunities’​.

This article poses questions to find out more about the profile of CBD beauty consumers, why the forecast for growth is so big, delving a little bit deeper on the not-so-much discussed area of CBD hair care, and trying to find out what this area might look like in the future.

Who is the typical CBD beauty fan?

Naira Aslanian, project manager at Kline Group

We don’t have specific data on the typical profile of a CBD beauty fan. However, it can be assumed that it’s an educated consumer that has conducted her research, understands CBD and its difference with THC, and is willing to try the new trendy ingredient to reap its benefits.

Presuming CBD beauty is almost exclusively younger consumers, what would get older consumers on board, if anything?

While we cannot substantiate the claim that CBD beauty is exclusively younger consumers, we do believe that younger consumers are the one to catch on to the trend quicker. So, the gen Z consumers and millennials are ones to try and test the product. However, as increasing number of retailers shelve CBD beauty products and more doctors recommend it, the demographic will shift towards older consumers. The perceived benefits of CBD thus far are its soothing and anti-inflammatory benefits. The older demographics are certainly expected to become the new consumer. In addition, should the consumers of all ages feel that they’re reaping the anti-stress and anti-anxiety benefits, they are likely to also use the beauty products.

Kline figures are forecasting CAGR growth of 75% 2018 – 2023, what sort of product types are going to be mainly driving this expansion?

The main drivers are expected to be the skin care product class. However, the brand will evolve, and with time, will offer other toiletries and personal cleansing products such as bath salts and bombs – which already exist in the market, but, not on a large scale. I believe it’s mainly because the industry is still largely concentrated in the prestige segment, and the personal cleansing and other toiletries (deodorants, etc.) are more in the mass market.

There is quite a body of scientific evidence on CBD skin care benefits, but not so much on hair care. What risk does this pose to CBD hair care brands?

I don’t believe that there are many hair care brands or products in the market. But, increasing number of non-CBD brands, such as Briogeo, infuse the “trendy” ingredient in the formulation to reap the opportunity of growth of this segment.

Does the Kline team view the regulatory hurdle to be diminishing? Where do you see the situation in, say, five years time?

This is a grey area that remains to be seen. It will largely be impacted by the brands and the claims and the substantiations that they make. Unless there is a body of evidence that proves that there are no negative effects of the ingredients in the topical form for the consumers, the FDA may not intervene in the segment - as long as brands don’t make specific claims without specific clinical trials.

How do you see CBD brands evolving in the future, as they grow in popularity and there is more investment behind them?

The CBD brands are expected to expand into different categories and those brands that were only in facial skin care, for example, will expand their product offerings into other categories such as body care, personal cleansing etc.

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