LITTLE FALLS, N.J., Oct. 31 /PRNewswire/ -- As the "green" products
trend continues to advance, consumer demand for natural personal care
products is driving a major shift from niche distribution channels to more
mainstream mass retail outlets. This is fueling a sharp increase in sales,
according to a newly published study by worldwide consulting and research
firm Kline & Company.
"For a long time, natural products have been the domain of health and
organic food stores--niche retailers with a core group of loyal customers,"
says Karen Doskow, project manager for Kline's Consumer Products practice.
"Naturals are now becoming commonplace in the aisles of national chain
grocery and discount stores like Wal-Mart and Target. This will have a
major impact on the competitive landscape of the personal care market."
Kline's in-depth report Natural Personal Care 2007: Competitive Brand
Assessment and Ingredient Analysis indicates that the move to mass retail
could help promote a revival of sorts among long-established yet
little-known natural products companies like Jason Natural Products and
Avalon Natural Products. However, it also makes them prime candidates for
acquisition by the major players in the personal care market.
"These small natural companies could pose a threat to the major
consumer product marketers, but rather than try to compete with each other,
it's likely we will see strategic acquisitions. Today's announced
acquisition of Burt's Bees by Clorox is a perfect example," says Doskow. At
first glance, it may seem like an unlikely fit, but Clorox, which is
already solidly entrenched in the mass channels, will provide Burt's Bees
access to this wider distribution network, and Clorox gets a foothold in
the fastest growing, high-margin segment of personal care.
Key acquisitions could also steer greater regulation of product
ingredients, a move which would benefit both marketers and consumers.
Currently, the naturals market is virtually unregulated in the United
States, which means that authentic natural manufacturers must face off
against mainstream imitators and "greenwashing" practices--slick marketing
that only sounds natural.
Kline conducted an ingredient analysis for the natural product brands
marketed by the 26 key players profiled in the study. The results are
presented in the form of ranking criteria that rate the true "naturalness"
of the products and establish benchmarks for what constitutes a truly
natural product versus one made with both natural and synthetic
"Some brands aren't quite as natural as one may be led to believe,"
Doskow says. "Many companies find it very difficult to walk the line
between efficacy and being natural."
Natural Personal Care 2007: Competitive Brand Assessment and Ingredient
Analysis includes profiles of 26 key players in the naturals market, as
well as a critique of their raw materials formulations. For more
information about this market study, go to
www.klinegroup.com/reports/y632.asp or contact Carrie Mellage at
+1-973-435-3412 or firstname.lastname@example.org.
Kline is a worldwide consulting and research firm dedicated to
providing the kind of insight and knowledge that helps companies find a
clear path to success. The firm has served the management consulting and
market research needs of organizations in the chemicals, materials, energy,
life sciences, and consumer products industries for nearly 50 years. For
more information, visit www.KlineGroup.com.
For more information, contact:
Director, Consumer Products Practice