The global personal care market, projected to reach $167 billion between 2023 and 2028, faces significant shifts. Businesses must now operate amidst geopolitical instability and resource constraints, pushing a re-evaluation of sourcing, formulation, and scaling strategies. Rising raw material costs and heightened sustainability expectations are compelling a move towards greater efficiency and resilience.
Consumers are increasingly linking environmental concerns to personal impacts, like economic threats and health risks. This fuels a demand for products offering tangible benefits such as cost savings or waste reduction, creating what is termed the 'meconomy'. The focus is shifting from abstract sustainability to solutions with immediate relevance.
Ingredient innovation aims to reduce carbon footprint, boost biodegradability, and minimise bioaccumulation. There is a push for bio-based, multifunctional ingredients that simplify formulations, cut transport emissions, and improve efficiency. Brands are also exploring more predictable, bio-based sourcing to counter instability in fossil fuel supply chains. A 'less but better' approach favours concentrated formulas and high-performance ingredients over fillers.
True circularity requires systemic change beyond product design. Successful refill and return models depend on robust infrastructure for collection, convenience, and standardisation. Industry-wide collaboration is key to moving beyond single-use packaging towards systems that foster loyalty and generate commercial value. Return systems, for instance, have shown potential to increase customer spend and repeat visits without discounts.
The industry is seeing a rise in waterless and concentrated formats. These offerings position sustainability as a performance advantage, appealing to consumers seeking value and intentional purchases. Lower-impact formulations are increasingly framed as superior, more potent, and economical.
Trust and transparency are becoming critical. Consumers are demanding clearer, standardised environmental labelling. Sustainability claims need to move beyond offsets to offer tangible proof. Regulation should be seen as a framework for systemic redesign, encouraging proactive industry alignment on shared solutions rather than fragmented individual efforts.
