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Natural & Organic Beauty Sales Reach $9 Billion

Demand for natural and organic products has spread to every region; however sales remain concentrated in Europe and North America.

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By: Jamie Matusow

Editor-in-Chief

Global sales of natural & organic beauty products are projected to reach $9 billion this year. Although consumer demand for natural and organic products remains buoyant, new research finds the growth rate is slowing because of the weak economic climate.

In its upcoming report on The Global Market for Natural & Organic Personal Care Products, Organic Monitor predicts revenues to climb to $14 billion in 2015. Demand for natural and organic products has spread to every region; however sales remain concentrated in Europe and North America.

Natural & organic products have 2% share of global personal care product sales. In some countries – such as the USA, Germany, Austria – the market share is reaching 10 percent. Widening availability is a major driver of market growth. Natural and organic personal care products are crossing over from specialists to mainstream channels. Premium brands, such as Dr. Hauschka and REN, are targeting high-end retailers. Other brands are entering pharmacies, drugstores, supermarkets, department stores, hotels and spas.

Large cosmetic companies have entered the naturals arena, too. Some like L’Oreal and Colgate-Palmolive have taken the acquisition route, while others have developed natural/organic lines. Recent newcomers, such as Garnier, Henkel and Amore Pacific, are launching certified organic products. Retailer private labels are also becoming prominent for natural personal care products as well.

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