Market Trends of Russia Hair Care Industry
Surge in Expenditure on Haircare Products
The market is being pulled in ever-increasing directions by the accessibility and affordability of hair care goods, including shampoo, conditioner, oil, spray, and other similar items, which has resulted in increased spending on hair care products throughout the region. Additionally, the market has seen an increase in millennials suffering from hair issues like hair loss and dandruff as a result of changing lifestyle habits and rising stress levels among the population of working-class women, which is anticipated to drive up demand for these products in the coming years. Additionally, the growing per capita income has also led to an increase in the purchasing capacity of the population in Russia, which also includes the expenditure on the hair care products segment. According to the Russian Federal State Statistics Service, almost RUB 519 thousand were spent on final household consumption per person in Russia last year, a significant rise from the year before.
A further shift in consumer preferences and discretionary spending on hair care products by consumers are encouraging manufacturers to bring product innovations, in terms of packaging, to boost the market demand. Additionally, products are offered in dropper packaging for precise dosing and application, such as treatment oils for preventing hair loss, enhancing luster, and reducing frizz. Additionally, companies are now providing travel-size packaging, including sachets, deluxe samples, and mini bottles, for portability and ease, which are driving forces in the market under study. In response to rising expenditure on hair care products, the players operating in the market are following various strategies like product innovation, expansion, promotional investments, and others to occupy the market share.
Increased Internet Penetration Driving the Market
Digitization is one of the emerging trends that has had a direct impact on the growth of the region's hair care products market. The constantly growing use of social media and the internet, in general, has provided players with the potential to raise brand awareness among consumers. The increased internet penetration across the region has been playing a crucial role in driving the market studied.
The majority of haircare products are sold offline in supermarkets, hypermarkets, and convenience stores. As a result, supermarkets frequently showcase haircare items in a separate section with the key items upfront. To entice people to acquire these items, they are frequently presented alongside complementary goods like conditioners and serums. Hence, various players offering haircare products have been attempting to reach consumers via various platforms such as YouTube, Instagram, Facebook, and others. According to the Internet world stats data, Russia accounted for 16.6% of internet users across Europe this year, while the internet penetration in the region was 85.3%. Different companies have been trying to spread awareness about the benefits of the products they offer via online platforms, and the players have also been appointing various influencers and celebrities to promote their products and improve their brand recognition among consumers.
