U.S. salon hair color product dollars grew at 3.5% in 2011, according to a new report from Professional Consultants & Resources titled “2011 Professional Salon Hair Color Study.” The study shows that, at $730 million (manufacturers’ dollars), hair color is the largest fast-growing major category of salon products. As the economy emerges from recession, hair color is projected to grow even more rapidly over the next five years. Growth is due to increased salon visits, as new hair color and styles drive the growth of demi/semi permanents, permanents, lighteners and refreshers. Hair color service revenues at the salon level grew by 3.7%, as salon client visits increased and new hair color services for gray coverage and fashion color grew.
“A major surprise is that Sally Beauty’s Ion and other brands have experienced dramatic growth, making Sally the fourth largest hair color marketer, right behind L’Oréal, P&G and Goldwell. Schwarzkopf now ranks fifth,” says Cyrus Bulsara, president of Professional Consultants and Resources.
Other major findings detailed in the study include:
- Hair color grew robustly in spite of a weak economy and is projected to grow to mid-single digits by 2016.
- Salon distribution realignments have ended and all salon hair color companies are now in growth mode.
- Hair color remained the “axis service” and drove all other salon services, plus sales for hair care products.
- Salon hair color services grew 3.7%, as booth rentals continued seizing share from mid-tier salon chains.
- Demi/semi permanents grew at higher rates than permanents, indicating a new shift and changing trend.
- Creams and gels now completely outsell liquid hair color in the United States—a major paradigm shift.
- L'Oréal remained the traditional category leader with its Matrix, Redken, L'Oréal Technique and Professionnel brands. P&G followed closely and continues its full-service growth for its Clairol, Wella and Sebastian brands. Goldwell/KPSS ranked third while Sally Beauty’s own private label brands ranked fourth, overtaking Schwarzkopf, which ranked fourth in 2010.
- New color category entrants, including Sally Ion, Paul Mitchell, Joico and TIGI, continued to gain market share.
- Emerging hair color companies, including Keune, IT&LY, Davines, Alfaparf, Pravana and Aloxxi, also grew, taking market share.
For more information or to order this report, contact Professional Consultants & Resources.
