Chile Country Focus – Part 2: The Body Care Market

n-cosmetics Brasil has been granted access to research undertaken by Mintel (a world leading research company) into the cosmetics market in several Latin American countries. The study maps out each sector of the industry and shows growth over recent years and future projections and perspectives. 

We analyzed the research and over the coming weeks will share this information via several articles on our website.

PART 2: CHILE: THE BODY CARE COSMETICS MARKET

One of the reasons for growth in Chile’s cosmetics sector is connected to the increased presence of women in the workforce: women consumers understand the importance of personal grooming for profession recognition and career enhancement. Accordingly, the last few years have seen an increase in the specialized retail which is part of drug-store chains.

Chile’s body care products retail sales market grew from 2006’s 42,4708 billion Chilean pesos to 2012’s 71,3820 billion, with 2017’s total expected to rise to 101,4215 billion.

The Chilean body care products sector increased in local currency to 8.2% in 2007 and 7.6% in 2012 with a peak of 14.6% seen in 2008. The forecast for 2017 is growth of 6.3% in Chile.

The segment turned over 64,0730 million euros in 2007 and grew to 114,448 in 2012, with predictions for 2017 set at 135,4573 million euros. Also measured in euros, Chile had an increase of just 0.2% in the market value of this segment in 2008 and of 24.6% in 2010, the country’s greatest rise in the body care products sector in the last few years. 2012’s rate was 15.9%, with the forecast for 2017 a growth of 5.0%.

Chilean spending per capita on body care products rose from 3.900 euros in 2007 to 6.577 euros in 2012, with this set to rise to 7.451 euros in 2017.
The body care products retail segment as proportion of Chile’s gross domestic product (GDP) was around 0.051782% in 2006 and 0.054688% in 2012, with this set to hover around 0.053466% in 2017.

Chile’s body care products market segment totaled 66,340.1 million Chilean pesos in 2011, divided into a turnover of 53,255.6 million on products for the body, 12,421.1 million on products for the hands and nails and 663.4 on products for the feet. Total 2012 sales in the segment rose to 71,382.0 million Chilean pesos, with 58,794.2 million spent on products for the body, 11,920.5 million on products for the hands and nails and 667.3 on products for the feet.

Chile’s mean annual growth rate in the body care products segment over the last five years was 7.9%, with predicted average annual growth over the next five years around 6.9%.

Market share of companies in Chile’s body care products sector:

Beiersdorf AG- In 2011 had 27.1% of the market; in 2012, 29.9%.

Unilever PLC – In 2011 had 11.7% of the market; in 2012,10.5%.

Laboratório Durandin S.A.I – In 2011 had 11.0% of the market; in 2012, 10.4%.

Johnson &Johnson Services, Inc. – In 2011 had 10.4% of the market; in 2012, 10.2%.

Belcorp International S.A – In 2011 had 6.2% of the market; in 2012, 7.1%.

Natura Cosméticos S.A – In 2011 had 6.4% of the market; in 2012, 6.7%.

Avon Products Inc. – In 2011 had 7.3% of the market; in 2012, 6.0%.

The L’Oréal Group – In 2011 had 5.6% of the market; in 2012, 5.5%.

Others – In 2011 had 14.3% of the market; in 2012, 13.7%.

Body care cosmetics – market research data

Retail market definitions: The research was carried out in a market which includes products for hands, feet and body care in general for both women and men. Market value is based on sales across all retail channels, including direct sales to the customer. It includes the popular market and prestige lines, and excludes the professional sector, such as sales in beauty salons.

Segment definitions: 
Body: This segment includes general body care products: exfoliates; moisturizers; body-size reduction products; anti-cellulite products and skin nourishment products. 
Feet: This segment includes products such as creams, balsams and wet wipes. 
Hands / Nails: This segment includes hand moisturizers and anti-aging products; nail-food creams and cuticle creams. 

Included in the research: sales to mass markets, such as hypermarkets and drug-store chains, and via prestige points of sale, such as department stores and fragrance stores. 

Excluded from the research: depilatory and skin-whitening products; talcum powder; nail products: false nails, varnishes; foot deodorizers; talcum powder; insoles; medication; baby care products; sun screens, even if they include moisturizers; massage products and soothing oils.

Sources: Mintel and III Caderno de Tendências (3rd Book of Trends) 2014-2015 ABIHPEC (Brazilian Association of the Cosmetic, Toiletry and Perfumery Industry)

To access further research into cosmetics and personal care markets worldwide please visit the Mintel website.

See more cosmetics and personal care articles

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