A new era in facial care
NIQ data indicates that the facial care category is growing steadily in both value and volume.
This article is available for reading in Trade magazin 2024/4
Hyaluronic acid, the miracle ingredient
The category has been affected by inflation and shelf space expansion in stores recently.
Anett Vigh
senior brand & shopper activation manager
Kenvue
“The facial care category produced a 30% increase in value sales compared to the previous year. Normal facial care is the most dominant segment. Drugstores continue to be the number one sales channel, with 80% of our sales concentrated here”,
says Anett Vigh, senior brand and shopper activation manager of Kenvue.
Kenvue has managed to grow in volume in line with the category last year, by roughly 14%. Neutrogena’s Hydro Boost range accounts for nearly 60% of sales. One of their most popular product launches was the concentrated hyaluronic acid serum of the Hydro Boost line.
Brand loyalty vs. economising
Péter Tóth
trade marketing
manager
L’Oréal Magyarország
“If we divide consumers into two groups, it can be said that brand loyalty is more typical of more experienced and conscious consumers, who know which brand is right for them for a given facial care step. Because they are still experimenting, less experienced shoppers are more likely to switch between brands. The recent inflationary environment has also hit the category, so consumers prefer cheaper products in segments that are less important to them”,
points out Péter Tóth, trade marketing manager with L’Oréal Magyarország.
Under L’Oréal Paris, they are launching the new Bright Reveal range, which provides a complete facial care routine to combat dark spots with niacinamide and amino-sulphonic acid. As for the Mixa brand, the company is putting 3 serums on the market, called Mix&Match.
Drugstores remain the top sales channel
A battle of active ingredients
Anna Kintses
brand manager
JimJams Cosmetics
és JimJams Baby
Facial serums represent some of the most popular facial care categories, which contain concentrated active ingredients to focus on various skin problems such as signs of ageing or pigmentation.
“We see diminishing demand for products that are less accessible to a wider consumer base due to their high price, or those that contain potentially harmful ingredients consumers try to avoid”,
says Anna Kintses, brand manager of JimJams Cosmetics and JimJams Baby.
In the second half of 2023, the JimJams Serum Line range was expanded with six new products, including four new facial serums, a sunscreen moisturizer and a face wash gel. The company’s Pure&Clear range, which focuses specifically on the care of problematic, acne-prone skin, offers nine innovative products.
More and more educated consumers are receiving advice from skinfluencers
Consumer trends
Over the past year Hungarian facial care trends have been heavily influenced by the most popular beauty trends of Asia, mainly from Korea, which focus on maintaining and caring for skin health through a multistep, careful skincare routine. Consequently, more and more products from Asian facial care brands can be found on the shelves of drugstores, primarily in the higher price range.
Szűcs Martina
trade marketing
manager
Primőr
Primőr Kozmetikai Kft. has been offering active ingredient-centric products at affordable prices since the launch of the Revox brand in 2020.
“Active ingredients such as vitamin C, caffeine, niacinamide and hyaluronic acid continue to dominate the facial care routines of consumers”,
explains trade marketing manager Martina Szűcs.
The success of Revox’s Daily Sun Shield SPF50 sunscreen for all skin types has been unbroken for years.
High-level care
Innovation trends are currently pointing towards formulas using natural, pure and fragrance-free ingredients and solutions based on the principle of sustainability.
Nóra Fehér, assortment manager of dm kft. cites the strengthening trend of double face cleansing.
Nóra Fehér
assortment manager
dm
“Many people are affected by the appearance of pigment spots, so there are a number of products that can be incorporated into a consistent anti-pigmentation routine”,
she adds.
Last year several new international and domestic brands appeared on the shelves of dm stores. Products under dm’s own brand Balea are also producing significant growth within the assortment. The Balea Med range is free from dyes, fragrances and parabens, and the formula is free from microplastics and synthetic polymers. //
Inflation makes consumers prefer cheaper products in less important segments
//
Growing demand in the facial care market
The five facial care categories surveyed by NIQ have seen a 27% increase in value sales in January-December 2023 compared to the same period a year before. More than HUF 30bn worth of products was sold in this period.
Guest writer:
Zsófia Horváth
junior analytic insights associate
NielsenIQ
Face and eye cream is the biggest-selling facial care category, with Hungarian shoppers spending nearly HUF 20bn at retail. Sales of face creams were up by 30% in value and 32% in volume compared to a year ago. Growth was clearly driven by the drugstore channel. The share of manufacturer and private label products remained unchanged, with sales by value still split 90-10% between manufacturer brands and private labels.
Face wash was the second biggest segment at over HUF 6bn. The trends in this category have been more divergent, with a 29% rise in value sales but only a 5% hike in volume. There was a significant increase in average consumer prices of 23%. Manufacturer brands have strengthened their positions, accounting for 79% of the market in value. The facial mask category grew by 24% in value and 5% in volume over the past year. Thanks to this growth, the annual market already exceeded HUF 3bn in January-December 2023. Drugstores have the largest weight in this category, with a 95% market share by value.
Cosmetic wipes is the only category where both value and volume sales have declined. Despite a 12% drop in value, the category’s sales revenue remained above HUF 1bn, but the market saw a larger decline of 24% in volume. Unlike in the other facial care categories, cosmetic wipe value sales aren’t the highest in drugstores: 45% of value sales are realised by smaller stores. Face scrubs make up the smallest of facial care category. Thanks to a 29% sales growth, the segment has crossed the HUF 500m turnover mark. //
Rossmann helps with a new facial routine test
Anita Ágnes Varga
marketing manager
Rossmann
A new feature has been added to Rossmann’s online platform and mobile app: Rossmann Routine helps everyone to easily find the cosmetics that best suit them and their skin type. The Routine Wizard guides you through 5 questions, compiled by experts, but before you complete the test, you have the chance to learn about ingredients, with the Rossmann Active Ingredients Kit containing detailed descriptions of more than 20 key skin care components. “When developing Rossmann Routine, our primary goal was to help customers navigate the ever-expanding range of conscious skin care products. We feel it is very important to educate everyone, so that they can consciously take home the products that best suit them”, says Anita Ágnes Varga, marketing lead at Rossmann. //
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