Most Popular in:
Bath & Body
Deodorant Market Smelling Rosy
By: Carrie Lennard, Euromonitor International
Posted: July 31, 2009, from the August 2009 issue of GCI Magazine.
page 3 of 3Worldwide, the segment is highly consolidated and dominated by large multinational players. The strong brand identities of Rexona, Dove and Axe ensure that Unilever is the clear number one company in the category, dominating sales globally.
Rising Production Costs May Threaten Growth
The cost of manufacturing will likely continue to rise, and this will pose a threat to future growth, especially for smaller deodorant companies. It is likely that the global market will become even more consolidated, as multinationals are better equipped to absorb spiralling costs. Discounting and buy-one-get-one-free offers are also set to become more frequent, particularly in Western regions, and this could hit value growth in the sector—with many consumers becoming increasingly price-sensitive and exhibiting a low level of brand loyalty when it comes to choosing deodorants. These factors combined mean that, globally, the deodorants sector is set to post a slightly dampened compound annual growth rate of 2% to 2013. Continual investment in innovative products that offer consumers unique benefits will be crucial to counteract these problems and continue to convince consumers to keep spending more on deodorants.