DUBLIN, April 20, 2020 /PRNewswire/ -- The "Hand Sanitizer Market - Global Outlook and Forecast 2020-2025" report has been added to ResearchAndMarkets.com's offering. It:
- Offers sizing and growth prospects of the market for the forecast period 2020-2025.
- Provides comprehensive insights on the latest industry trends, forecast, and growth drivers in the market.
- Includes a detailed analysis of growth drivers, challenges, and investment opportunities.
- Delivers a complete overview of segments and the regional outlook of the market.
- Offers an exhaustive summary of the vendor landscape, competitive analysis, and key strategies to gain competitive advantage.
The global hand sanitizer market is expected to grow at a CAGR of over 17% during the period 2019-2025.
One of the main factors contributing to the growth of hand sanitizers is the outbreak of the coronavirus (COVID-19), which has been declared as a global pandemic by the World Health Organization (WHO). While a little is known about the virus and its transmissions, health practitioners are recommending frequent hand washing with alcohol-based hand sanitizers as a possible alternative to keep the virus at bay. Hence, the increased recommendations by healthcare practitioners is expected to contribute to market growth.
With the outbreak of the pandemic, several distillers across the globe have started manufacturing ethanol to prepare sanitizers. While the epidemic has significantly accelerated the demand for hand sanitizers around the world, several companies are repurposing their production capabilities, owing to the shortage of hand rub and the introduction of counterfeit and substandard products.
Moreover, the growing awareness toward personal hygiene and the increased prevalence of several viral outbreaks in several geographies have propelled the demand for hand cleaners. Healthcare, hospitality, residential, education, corporates, and government & defense agencies are major end-users witnessing high demand. However, relatively low awareness of such products and less penetration remains the major growth inhibitors in several APAC and Latin American countries.
Opportunities & Trends
- Increasing Influence of Internet In Shaping End-Users' Purchasing Behavior
- Growing Demand for Flavored & Organic Hand Sanitizers
- Rise in Number of Healthcare-Associated Infections
- Growth in Promotional Activities
- Growing Health Consciousness Among Consumers
- Increased Concerns Over Toxicity in Hand Sanitizers
- Political Turbulences in Key Markets
- Increasing Labor Cost and Cost Trade-Offs
Hand Sanitizer Market: Segmentation
This research report includes a detailed segmentation by product, end-user, distribution, and geography.
The outbreak of COVID-19 caused overpricing of gel-based hand sanitizers across the world. In the US, the price of a liter of hand sanitizer exceeded the price of a gasoline liter in March 2020. Hand sanitizer gel has been available in the market for the longest period, which has increased its acceptance among consumers. These hand cleaners have witnessed a close to 73% spike in the sale since March 2020 in the US alone.
The North American region is expected to record the highest revenue for gel-based disinfectants on account of the outbreak of the coronavirus. The segment is expected to witness growth with key players in the region to follow thought leadership strategies to establish R&D facilities in the region and offshore manufacturing units post-pandemic. Construction, manufacturing, painting, and decoration sectors are the major end-users of liquid-based sanitizers.
As liquid-based disinfectants demonstrate better antimicrobial performance than gel-based counterparts, the segment is expected to witness considerable demand in several segments. Therefore, consumers from painting and oiling activities prefer liquid-based over others. With rising awareness of contagious infections and an increased sense of hygiene at workplaces, workers and employers are maintaining the hygiene by mandating the use of hand disinfectants.
The healthcare sector is expected to generate the maximum revenue by 2025, owing to the outbreak of the COVID-19, which has increased the application. The sector has always been one of the key contributors to the global hand sanitizer market. The high-speed building of new hospitals and healthcare centers is further expected to increase the revenue for the healthcare sector. In March 2020, more than 50 temporary hospitals were built across the world, leading to increased consumption of hand cleaners in the sector.
The segment in North America is expected to grow at a CAGR of over 20% during the period 2019-2025. As the most common form of transmission of pathogens is via hands, the application of hand cleaners is growing. Vendors providing gel-based products in the healthcare sector should focus on building the brand image and ensure that their products deliver end-results. However, the lack of awareness of hygiene and the absence of unanimity over prescribed recommendations have resulted in poor adherence to hand hygiene.
The hospitality sector is another key market segment for hand disinfectants. Hotels, restaurants, and food chains are the major sub-segments, which are witnessing the high application of hand disinfectants. As this segment requires to follow high-level hygiene and maintenance, vendors are developing a wide range of hand cleaners to cater to varying requirements. Further, food chains and restaurants worldwide have started to adopt the practice of placing hand cleaners in their handwashing areas, thereby increased applications. Vendors have been providing need-centric products for the hospitality segment.
The residential sector is a crucial end-user for hand disinfectants. Over the last few years, end-users have become more aware of germs and infections prevailing in the environment. Households with small babies/infants or children have more hygiene conscious. Parents have become more attentive to adopt these disinfectants to prevent widespread disease or germ infections among children daily, thereby increasing the application of in the residential sector. Foam-based ones are in demand in the residential segment, although gel-based sanitizers are also increasing their presence.
Hand sanitizers are primarily sold through retail distribution channels such as supermarkets and hypermarkets, departmental stores, retail stores, and drug stores worldwide. Retail stores are the major revenue generators for several vendors in the hand sanitizer market. Therefore, these stores are important to promote their products. Supermarkets and hypermarkets are some of the store options where vendors can sell their products. Reckitt Benckiser's Dettol and Unilever's Lifebuoy are renowned brands, which occupy large shares.
Digital sales are another important contributor to the overall growth due to advances in technology and increased penetration of the internet. The online sale is growing at a considerable rate, and it is expected to become a significant platform in the coming years across the world. People have started to become digitally inclined, especially with a high penetration rate of smartphones and gadgets, coupled with internet access for consumers across borders. This shift has driven the online sale of hand sanitizer products.
Market Segmentation by Product
- Hand Wipes
Market Segmentation by End-user
- Government & Military
Market Segmentation by Distribution
- Supermarkets & Hypermarkets
- Department Stores & Discounters
- Drug Stores
- Other Retail
Insights by Geography
The US is the largest market for hand hygiene wash and sanitization in the world. Improved economic conditions have boosted the per capita GDP in the US. The rise in healthcare-associated infections results in about 89,000 deaths within the US annually. The H1N1 flu pandemic outbreak in the US resulted in 22 million US nationals being infected and over 4,000 dead, according to the US CDC. Hence, the increase in awareness and knowledge of novel infections is driving the demand for hand sanitizers in the country.
The UK is another key market for both domestic and global vendors. Although flu and infections have not been a pandemic in the country, a lot of health-related institutes and functioning bodies have worked toward spreading awareness among customers to use disinfectants for hygiene purposes. Germany ranks low in the application of hand sanitizers. Several studies and surveys reveal that people do not follow proper etiquette to keep themselves sanitized.
Washing hands less frequently or accurately between the fingers is something the country has not been updated with. Vendors can take up this as an opportunity to promote their brands. While China and Japan account for major markets, countries such as India and Indonesia are expected to witness increased demand due to the rise in government initiatives for hygiene. China offers opportunities for vendors.
Owing to its large population, the country is highly exposed to infections and several pandemics such as COVID-19. Vendors can target the Chinese hygiene industry with an intent to promote their products. The country has been an active member of several global healthcare bodies that are working toward the prevention of diseases and infections. Japan is also focusing its efforts to promote proper hygiene among healthcare workers, and this has been an important component of efforts to prevent healthcare-associated infection in the country.
A lot of initiatives have been taken across the country for increasing awareness of hygiene practices and solutions owing to the frequent hardship involved in the day-to-day activities. Healthcare-associated infections are one of the major causes of illness and death in hospitalized patients in Japan, and the government and hospitals are working toward reducing and preventing healthcareassociated infections. Improving hand hygiene practices for healthcare workers is considered a core strategy to decrease the incidence of healthcareassociated infection in the country.
Market Segmentation by Geography
- North America
- Latin America
- Middle East & Africa
Insights by Vendors
The global hand sanitizer market is fragmented in nature due to the presence of local as well as global vendors. 3M, GOJO Industries, P&G, Reckitt Benckiser, Unilever, and Vi-Jon are the key leading vendors. The competition among these key players is intense.
The market concentration in developed countries such as the US and other Western European countries is high, while it's still in the nascent stage in developing economies such as China and India because of the entry of many international brands and the growth in hand sanitization awareness.
The competition between vendors exists based on offerings, variety, and pricing. Vendors are using new business models and focusing on developing the portfolio of their establishments to drive growth. The focus is heavily shifting toward the use of natural ingredients and raw materials in hand sanitizers.
- The 3M Company
- GOJO Industries
- Procter & Gamble (P&G)
- Reckitt Benckiser Group
- The Unilever Group
Other Prominent Vendors
- Bath & Body Works
- Best Sanitizers
- BODE Chemie
- Cleenol Group
- Deb Group
- EcoHydra Technologies
- Christeyns Food Hygiene
- Kutol Products Company
- Linkwell Deutschland
- Lion Corporation
- Medline Industries
- Safetec of America
- The Himalaya Drug Company
- Vectair Systems
- Whiteley Corporation
- Zoono Group
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