The body care segment in Chile: a growing market

The body care segment in Chile: a growing market

By Silvia Lourenço

Chile, quite differently from the other Latin American countries, has been able to keep its economy stable during the last years. After going through a couple of years of a steady growth, the country’s economy has slowed down in 2015, but the outlooks for 2017 – 2020 is that the country will grow back again.

The body care retail market in Chile has remained in an ongoing growth. In 2012, the segment’s retail market value was 102.0 billion of Chilean pesos. In 2016, it was 129.9 billion, and the forecast for 2020 is 160.9 million of Chilean pesos in retail. The retail market growth in local currency was 7.6% in 2012; 6.1% in 2016, and the outlook for 2020 is a 5.6% growth.

In US dollars, the retail market value for the body care segment in Chile was 209.7 million in 2012. In 2016 the retail market hit 191.9 million of dollars and the forecast for 2020 is that it will invoice 231.6 million of dollars. In percentage, the segment growth was 7.0% in 2012, 2.6% in 2016, and the outlook for 2020 is a 5.9% growth.

The retail market spend per capita of the Chilean population in the body care segment was 12.06 US dollars in 2012, 10.58 in 2016, and the outlook for 2020 is that it will hit 12.29 US dollars.

The retail market spend as a proportion of the Chilean GDP (Gross Domestic Product) was 0.07853 in 2012, 0.07768 in 2016 and the outlook for 2020 is that it will be around 0.07628.

The body care retail market segmentation by value in Chile added up to 122.4 billion of Chilean pesos in 2015, divided in a 106.6 billion revenue in body products, 10.5 billion in hand and nail products, and 5.3 billion in foot products. In 2016, the total sales in the segment reached 129.9 billion of Chilean pesos divided in a 113.8 billion revenue in body products, 10.7 billion in hands and nails products, 5.4 billion in foot products.

Overview: The annual growth rate

  • In the last 5 years the average annual growth rate for the body care segment in Chile was 6.2%
  • During the next 5 years the forecast is that the average annual growth rate will be 5.9%

Company retail market share in the body care segment in Chile

  • Beiersdorf AG – 22.8% of the Market in 2015, 22.9% in 2016
  • Natura Cosméticos S.A. – 18.0% of the market share in 2015, 18.5% in 2016
  • Laboratorio Durandin S.A.I.  – 12.7% of the market share in 2015, 12.5% in 2016
  • Unilever PLC – 8.3% of the market share in 2015, 8.4% in 2016
  • Belcorp Corporation – 6.0% of the market share in 2015, 5.8% in 2016
  • The L’Oréal Group – 5.2% of the market share both in 2015 and 2016
  • Laboratorio Arensburg S.A.I.C. – 3.6% of the market share both in 2015 and 2016
  • Johnson & Johnson. – 3.3% of the market share in 2015, 3.2% in 2016
  • Avon Products Inc. – 2.0% of the market share in 2015, 1.9% in 2016
  • Others – 18.1% of the Market share in 2015, 18.0% in 2016

Body care products. About the research process

Retail market definition:

The research was carried out within the retail market that covers hand, foot and general body care for women & men. Market value is based on sales through all retail channels including direct to consumer. It includes mass market and prestige lines but excludes the professional sector, including beauty salons, to the consumer.

Segment definitions:

Body: This comprises general body: exfoliates/scrubs; moisturisers/hydrators; and slimming/anti-cellulite/firming products
Foot: This comprises cream/balms/wipes
Hand / Nail: This comprises hand moisturisers and anti-ageing products; and nail nourishes, cuticle creams/ridge fillers
Inclusions: This should be through both mass market channels (e.g. hypermarkets drugstore chains) and selective/prestige (e.g. department stores, perfumeries)
Exclusions: Depilatories and bleaches, talcum powder, nail polish/varnish/cosmetics/colour, foot deodorants/talc/insoles. Medicated. Products specifically for babies. Sun care even if they have moisturisers. Massage/calming oils.

Article produced in August 2017. Source: Mintel. “Body Care – Latin America – Mintel Market Sizes”.

 

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