16 May 2012

Asia, a market in the forefront So if you want to anticipate the real stakes of “beauty from within,” you have to leave Europe to go into the sales outlets in Japan, which alone dominated the market with $1.3 billion in 2010, representing 43% of world sales. The Japanese, hungry for new things and innovations, make up a population dedicated to cultivating beauty. Japan has by far the greatest number of products, the most innovative ranges and the most affordable prices. Total freedom reigns over the creation of “beautyfoods” of every kind, geared to 4 successful ingredients – collagen, lycopene, coenzymes (natural protectors of skin) and aloevera. Collagen by far takes the gold. Shiseido has devoted an entire world in Japan to a website that displays happy young 30-year-old women, to the music of Kylie Minogue’s “I should be so lucky.” It’s a real message of fulfillment, contrary to surgery, which is not yet at that point.

In fact brands don’t lack imagination on collagen variations. Setting aside the powder version to dilute, it’s possible to eat chocolate marshmallows at Craneshild, green tea enriched with 70% collagen at Hanamai, instant coffee at Nestlé, which launched its Body Partner coffee with collagen in Singapore, or dietetic soups at Asahi. And if collagen is the star of the business, makers already feel the potential of other ingredients like vitamins B2, B3, B7,  zinc and selenium, which are highly sought after for formulations.

The  nutricosmetics market thus benefits from this craze that’s very oriented towards Japan, followed by  China with sales of 724 million dollars, the “beauty from within” concept corresponding perfectly to its traditional medicine. Behind these harsh Asian and European realities, the USA maintains their share of the pie through doctor brands (Dr Perricone or Dr Murad for example). And according to Sandie Jaidane, if the US market looks better than our European market, it’s because it is carried by famous cosmetics brands, providing the necessary beauty guarantee. The product benefits no longer have to be proved. Yet, even if the Americans are inclined to consume vitamins or supplements making up for their deficient lifestyle, they  are still seeking products that provide quick results, which leads the market to level off behind Asia. In 2010, sales of special beauty food supplements reached $60 million only.

Consequently, and after the observation that Japan is a precursor, that China is a country that will count, that Europe is culturally distant and that the USA is slowly becoming a part of this trend, where can a good outlook be located? Carrie Lennar, a beauty analyst at Euromonitor confides: “Emerging countries like Brazil, India, even Eastern European countries are very certainly the future players of nutricosmetics. In the end, and with a bit of education, it is likely that this segment will become truly successful. In spite of that, Japan and China have every chance of holding onto their leader position on this market, which will push makers to become very quickly interested and to invest.”

Another real launchpad rests on anti-aging products, says Sandie Jaidane, an attractive perspective when you know that this category of products represents the largest purchasing volume of face care. So brands should provide clear beauty claims and slalom between the precise rules of EFSA, the European Food Safety Authority, and the legal blurriness that partly surrounds this business. It’s an essential guarantee according to Kline Group, which already warns in its study on nutricosmetics in 2008 that in Europe, success will come through guarantees and innovation.

Priska Sarraméa

Beyond Beauty MAG # 33

Please find here below the Part 1 of the article : Part 1