Zero Waste Shampoo Market Analysis Report By Product, By Distribution Channel, By Region And Segment Forecasts From 2019 To 2025

Industry Insights

The global zero waste shampoo market size was accounted for USD 101.78 million in 2018 and is anticipated to register a CAGR of 7.18% over the forecast period, from 2019 to 2025. The increasing trend of zero waste and rising consciousness about waste management is majorly driving the market growth. In addition, rising consciousness related to animal cruelty as well as reusable, and recycle of ideology among manufactures is projected to further drive the market growth over the forecast period.

Increasing demand for organic, vegan, and natural content products is anticipated to fuel the market growth. This product is 100% vegan and biodegradable along with environmentally sustainable and ocean-friendly. Additionally, increasing awareness related to the harmful effects of plastic on the environment is expected to drive the demand for recycle and biodegradable products. This scenario is projected to boost the demand for this product from 2019 to 2025.

The rising concern of plastic wastage is also expected to augment zero waste and plastic-free packaging demand. Several manufacturers have set their parameters like natural ingredients, eco-friendly packaging, and animal cruelty-free to produce zero waste shampoo. Further, increasing demand for natural and organic cosmetics, especially among the young population is anticipated to spur the product demand over the forecast period.

The growth of the cosmetic industry and the emergence of a large number of manufacturers are encouraging them for product innovation and product development. According to the Environmental Protection Agency (EPA), packaging and containers contribute around 23.0% of total plastic pollution and land waste. Moreover, with the growing popularity of beauty blogs on social media, companies can identify the zero waste shampoo demand and their perception about the product.

Product Insights

By product, the zero waste shampoo market is fragmented into shampoo bars and liquid shampoo. In 2018, shampoo bars accounted for the largest market share of more than 73.0%. These products are made with natural ingredients and do not use harmful chemicals along with zero percent preservatives. This product is rather better than liquid shampoo and easy to carry while camping, traveling, and other outside activities. These factors are expected to witness significant segment growth over the forecast period.

The liquid form shampoo is projected to grow with a faster CAGR of more than 8.0% over the forecast period. The low price of this product is the major factor driving the segment growth. Companies are concentrating on product development to prevent plastic usage for packaging. Increasing adoption of reuse, recycle packaging material to tackle the garbage-dumping problem is expected to create new avenues for the growth of this segment. Many manufacturers use aluminum metal for packaging, as it is environmentally sustainable and easily recyclable. They also provide refill options to the consumers to avoid the use of plastic.

Distribution Channel Insights

By distribution channel, the market is divided into offline and online channels. In 2018, the offline channel accounted for the largest market share of 79.0%. Easy availability and accessibility of various varieties in zero waste shampoo at specialty stores, supermarkets, and hypermarkets are expected to drive the growth of the distribution channel.

On the other hand, the online segment is projected to register a higher CAGR from 2019 to 2025. Many brands are selling zero waste shampoo on e-commerce portals to target customers across the globe, thereby expected to drive the segment growth in the next few years. In addition, online websites provide offers, discounts, hassle-free product delivery, which is expected to witness a positive impact on market growth. Moreover, easy access to the international brand through e-commerce portals is expected to gain traction from 2019 to 2025.

Regional Insights

North America accounted for the largest market share of more than 44.0%, in 2018. Increasing consumer shift towards cruelty-free beauty products fueled the demand for zero waste shampoo. In 2017, the survey organized by Vegan Society reported that around 72.0% of Americans opposed animal testing cosmetics. In addition, rising awareness about the benefits of using natural cosmetics is expected to boost the regional market growth.

Asia Pacific is projected to grow with the fastest CAGR of more than 9.0% from 2019 to 2025. Increasing demand for natural products is encouraging manufacturers to focus on product innovation. Geographical expansion by international companies in several countries like Australia, China, and Japan are projected to drive the zero waste shampoo demand in the next few years.

Impact of COVID-19

The outbreak of the COVID-19 has negatively impacted the zero-waste shampoo market. Governments across several countries have restricted the cosmetic and personal care manufacturing industry to shut down their operations. Therefore, the sales of zero waste shampoo have decreased during lockdowns due to the disruption in production. Further, many beauty-product outlets and malls are closed due to the pandemic.

However, most consumers have shifted online for purchasing personal care products like zero waste shampoo coupled with increasing awareness regarding organic and eco-friendly cosmetic products is expected to drive the market growth post-COVID-19 pandemic.

Zero Waste Shampoo Market Share Insights

The major players operating in the market include Beauty and the Bees, Lush Retail Limited, J.R. Liggett, Plaine Products, LLC, The Refill Shoppe, Inc., Oregon Soap Company, and Ethique Beauty Ltd. Companies are implementing several strategies such as product innovation, product development, merger & acquisition. The market is consolidated with few players having the majority of the market share. For example, in 2019, the zero waste platform which is known as Loop introduced in a coalition with manufacturers of consumer goods.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels, and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, Million Insights has segmented the global zero waste shampoo market report based on product, distribution channel, and region:

• Product Outlook (Revenue, USD Million, 2015 - 2025)
    • Shampoo Bars
    • Liquid Shampoo

• Distribution Channel Outlook (Revenue, USD Million, 2015 - 2025)
    • Offline
    • Online

• Regional Outlook (Revenue, USD Million, 2015 - 2025)
    • North America
        • U.S.
    • Europe
        • Germany
        • U.K.
    • the Asia Pacific
        • China
        • Japan
    • Central & South America
        • Brazil
    • Middle East & Africa
        • South Africa