According to The Freedonia Group's new Cosmetic & Toiletry Containers study, U.S. demand for cosmetic and toiletry containers is projected to increase 2.8% annually to reach 25.5 billion units by 2012. Container advances will reflect accelerating growth in cosmetic and toiletry product shipments, driven by favorable domestic demand and opportunities for US-produced cosmetics and toiletries in offshore markets. Gains will be moderated by low overall population increases and the maturity of some markets.
Among material types, plastic will register the fastest growth through 2012 in both units and value. Growth will be aided by a relatively favorable cost structure and healthy shipment expansion in a number of key applications, such as hair and skin care products and cosmetics. Continued material and processing improvements will provide enhanced container aesthetics and performance, and enable plastics to further penetrate prestige applications.
Though more moderate prospects are anticipated for paperboard, glass and metal containers as a result of market maturity and competitive drawbacks, growth opportunities will exist. Advances in full-body can shaping will continue to broaden the range of applications for aluminum aerosols. While demand for folding cartons will be constrained by source reduction efforts, continued usage with prestige goods and the upscaling of mass brands will stimulate demand for higher value folding cartons. Glass container demand will register a modest increase as glass holds its niche against the encroachment of plastics in key applications.
Hair care, skin care and oral care were the three largest markets in 2007, together accounting for over two-thirds of unit demand. Through 2012, the fastest growth is anticipated in the skin care and liquid soap markets. The cosmetics and oral care markets will advance approximately in line with the overall cosmetic and toiletry container average, with both benefiting from heightened demand for innovative performance-driven formulations (e.g., tooth whiteners, mineral makeup). The hair care, fragrance, deodorant and antiperspirant, and shaving markets will expand more moderately, though the positioning of mass brands closer to prestige types will support value gains for packaging through greater use of more costly containers.
For a PDF of Freedonia's PR, which includes a chart of market demand growth by material and year, click here. For information on ordering the full report, click here.