World Market for Home Care

Delivery

This report comes in PPT.

Key findings

Private label benefits from inflation, while brands respond through innovation

High and sustained inflation has shifted habits, and private label is performing better than it has previously and is expected to continue to perform strongly over the forecast period, as it has proven its ability to compete with brands on quality in more advanced product areas. Brands respond to consumer downtrading in part through portfolio diversification across different price tiers, but mostly through innovation towards maintaining and establishing product superiority across existing and new categories.

Brands are investing in new packaging solutions amidst the plastic pollution crisis

The industry is focused on packaging waste and balancing short-term recycling against long-term permanent solutions. An overarching direction is shared, and while all brands tend to at least do a little of everything, there are nuances and differences in priority across corporate policy and strategy. Cost pressures and pending regulations on extended producer responsibilities and circularity are set to drive further innovation in compaction, new packaging materials, and formats.

Direct-to-consumer brands are expanding into offline retail

Multiple D2C brands gained scale opportunities during the pandemic, the e-commerce boom, and the disruption of traditional supply. Following years of growth, some of these pure players are now breaking into retail and enter a new stage of profitable growth as they displace conventional rivals on the shelves.

Self-care products are growing faster over time, with solid long-term drivers

There are subcategories more closely associated with self-care at home where wellness is experiencing growing sales via faster growth rates. This presents an opportunity for brands to bond with consumers within an emotive subject and unlock premiumization opportunities. Beyond this, the lists of ingredients considered 'pro-health' and the list of materials and ingredients considered 'toxic' are also growing, driving inclusion and sometimes exclusion in the market.

Vested self-interest is driving laundry stakeholders toward cold wash solutions

All laundry stakeholders, from additives and appliances to apparel, have made significant promises regarding carbon emission reductions, partly driven by regulations, while maintaining ambitious growth targets. Automatic laundry can only expand beyond its current household penetration in emerging and developing countries if efficient cold wash is achieved, which is one of the reasons why there is considerable investment going into creating cold wash solutions.