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The organic shampoo market size is projected to increase by USD 1.48 billion, at a CAGR of 11.28% between 2023 and 2028. One of the key factors driving the market growth is the growing popularity of natural ingredients. As consumers are becoming more conscious about the products they use on their bodies and are aware of the impact these products have on the environment, there has been a growing demand for natural and organic products. Unlike traditional shampoos, products are made with plant-based ingredients and are free from harmful chemicals such as sulfates, parabens, and synthetic fragrances, which can be harmful to both the hair and the environment. As a result, there was an increase in demand for shampoo products has led to a rise in the number of brands offering these types of products, which drives the market growth during the forecast period.
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The offline segment will account for a significant share of market growth during the forecast period. One of the key reasons is that the offline distribution segment is an effective distribution mode as it offers consumers the touch and feels experience. It is expected that hypermarkets and supermarkets are projected to expand on a large scale, providing a more extensive reach and visibility in the coming years. In addition, The growing retail industry and the establishment of numerous retail outlets are driving sales, which drives the market share of this segment during the forecast period.
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The offline segment was valued at USD 800.80 million in 2018. One of the key reasons for this market growth is due to the availability of products in most organized retail stores, such as specialty stores, hypermarkets/supermarkets, and departmental stores worldwide. These outlets offer consumers a wide variety of products and provide them with the convenience of finding everything in one place. As a result, the growing retail industry and the establishment of various retail outlets are driving sales through this segment.
The market share growth of the liquid segment will be significant during the forecast period. As consumers are becoming more aware of the potential health risks of using chemicals in personal care products, including shampoos, there is an increase in demand as it is perceived as healthier than traditional shampoos. In addition, the growing popularity of sustainable and environmentally friendly products, coupled with the availability of liquid shampoos across grocery stores, drugstores, and other retail outlets, contributed to the market growth of liquid variants during the forecast period.
North America is estimated to contribute 33% to the growth of the global market during the forecast period
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Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. One of the key reasons for the shampoo market growth in North America is the presence of many companies that offer these shampoos in the region. In addition, there is an increasing adoption of online shopping and the expansion of organized retailing which contributes to the market growth as well.
As more people are becoming aware of the harmful chemicals such as thickeners, conditioning agents, preservatives, and modifiers in traditional shampoos, there has been an increase in the popularity of organic products in recent years. As a result, there is a surge in demand for online shopping channels for all types of products, including shampoos. In addition, the online platform offers convenience, accessibility, and affordability to its consumers. Thus it increased the online sales of shampoos, which drives the market growth during the forecast period.
As the ingredients used are often more expensive to source and produce compared to synthetic ingredients such as thickeners, conditioning agents, preservatives, and modifiers used in conventional products, organic products are more expensive than conventional shampoos. In addition, strict adherence to specific standards is required for certification. As a result, there is an increase in the overall price of the products. Due to this, consumers may opt for low-cost alternatives which may limit the market penetration of the products. Thus the high cost may impede market growth during the forecast period.
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market research and growth report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments.
The market is rapidly growing, driven by increasing hair care demands and a shift towards plant-based hair care. Consumers are seeking chemical-free products to address common issues such as hair breakage, split ends, dandruff, and hair fall. Scalp care products are gaining popularity, especially those offering purifying properties and a fresh aroma. Organic conditioners and hair cleaning solutions, including shampoo bars and dry shampoo, that use natural botanicals and water-based formulations are preferred over solvent-based formulations. The shift also includes a growing preference for liquid products over traditional options. E-commerce platforms are boosting the market, with discounts and cashback attracting consumers to cruelty-free products and herbal beauty products. Online influencers are highlighting cruelty-free cosmetics and chemical regulations that ensure environmental sustainability. Consumers are also concerned about animal cruelty and are choosing low-cost substitutes that do not compromise hair health. Salons and spas are adopting these products for commercial purposes and personal use, emphasizing fresh aroma and potassium sorbate for personal hygiene.
Market Scope |
|
Report Coverage |
Details |
Page number |
157 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 11.28% |
Market Growth 2024-2028 |
USD 1.48 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
9.84 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 33% |
Key countries |
US, Germany, China, UK, and Canada |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Amazon Beauty Inc., Amway Corp., Bentley Organic Ltd., Bio Veda Action Research Co., Colgate Palmolive Co., Giovanni Cosmetics Inc., Hindustan Unilever Ltd., John Masters Organics Inc., Johnson and Johnson Services Inc., LOreal SA, LVMH Group., NATULIQUE Ltd., Onesta Hair Care LLC, Organic Harvest, Perse Beauty Inc., Real Purity Inc., The Body Shop International Ltd., The Estee Lauder Companies Inc., The Hain Celestial Group Inc., and Virgin Scent Inc. |
Market dynamics |
Parent market growth analysis, Market growth and forecasting, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the market forecast period. |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Distribution Channel
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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