22 Jun 2021
Posted in Consumer
Thailand’s haircare market to reach US$1.7bn by 2025, says GlobalData
The Thai haircare market is projected to grow from ฿38.2bn (US$1.2bn) in 2020 to ฿52.4bn (US$1.7bn) in 2025 at a compound annual growth rate (CAGR) of 6.5% over the 5-year period, says GlobalData, a leading data and analytics company.
GlobalData’s report, ‘Thailand Haircare – Market Assessment and Forecasts to 2025’ reveals that the market is majorly driven by the growth of the salon haircare category, which is forecast to register the fastest value CAGR of 7.5% during 2020–2025. This is followed by the shampoo category, which is expected to record a CAGR of 6.8% during the same period.
Anjali Singh, Consumer Analyst at GlobalData, says: “The haircare market in Thailand is affected by seasonality, with peaking summers leading to a demand for products with a cooling effect, providing customers a sensorial experience. The resurgence of COVID-19, may lead to consumers preferring value-for-money products with added benefits.”
‘Hypermarkets & supermarkets’ was the leading distribution channel in the Thai haircare market in 2020 followed by convenience stores and health & beauty stores.
Per capita expenditure (PCE) of haircare grew from US$12.9 in 2015 to US$17.3 in 2020 in Thailand. It was higher than both the global (US$11.4) and the regional levels (US$7.3). Furthermore, per capita expenditure is expected to increase and reach US$24.3 by 2025.
Unilever, Proctor & Gamble, and L’Oreal S.A. were the top three companies in the Thai haircare market by value in 2020, while Sunsilk and Clear were the leading brands.
Ms Singh concludes: “Resurgence of COVID-19 infection across the country might impact consumer buying patterns, leading them to focus on salon alternatives. Also, with growing concerns over the harmful effects of chemical-based haircare products, Thai consumers will increasingly seek products which are labelled organic and consist of natural ingredients.”