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| NIELSEN FEATURED INSIGHTS HOW THE DESIRE TO BE NOTICED AND BE SEEN AS STYLISH IS DRIVING THE GROWTH OF MALE GROOMING IN INDIA THE MAN IN THE MIRROR Ÿ The size of the male grooming market in urban India is ~INR 5000 crores and is growing at 12.3% vs. last year. Ÿ While products related to Shaving and Face Care continue to account for over 50% of the male grooming pie, newer focus areas like Body and Hair Care are fuelling growth. Ÿ The Modern Trade (MT) retail format is capitalizing on this trend by creating exclusive zones for men in stores – delivering growth of 16%, which is 1.5 times of Traditional Trade (TT). For decades, the beauty and grooming market has been dominated by products and services for women. Beauty services for women have always been expansive and included massage, facial, bleach and much more. On the other hand, grooming services for men have traditionally included only the basic haircut and shaving. In recent times however, metrosexual men have become more conscious of grooming and now demand a far wider range of products and services from the market. Popular culture like movies, serials, cricket and social media have influenced men to pursue trends in styling and grooming. Consequently, manufacturers have begun launching many more grooming products for them. Copyright © 2019 The Nielsen Company 01 Ÿ Innovation in this largely untapped market has resulted in 177 new male grooming brands/variants being launched between MAT March 2018 and MAT March 2019.

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| NIELSEN FEATURED INSIGHTS

HOW THE DESIRE TO BE NOTICED AND BE SEEN AS STYLISH IS DRIVING THE GROWTH OF MALE GROOMING IN INDIA

THE MAN IN THE MIRROR

Ÿ The size of the male grooming market in urban India is

~INR 5000 crores and is growing at 12.3% vs. last year.

Ÿ While products related to Shaving and Face Care continue

to account for over 50% of the male grooming pie, newer

focus areas like Body and Hair Care are fuelling growth.

Ÿ The Modern Trade (MT) retail format is capitalizing on this

trend by creating exclusive zones for men in stores –

delivering growth of 16%, which is 1.5 times of Traditional

Trade (TT).

For decades, the beauty and grooming market has been dominated

by products and services for women. Beauty services for women

have always been expansive and included massage, facial, bleach

and much more. On the other hand, grooming services for men

have traditionally included only the basic haircut and shaving. In

recent times however, metrosexual men have become more

conscious of grooming and now demand a far wider range of

products and services from the market.

Popular culture like movies, serials, cricket and social media have

influenced men to pursue trends in styling and grooming.

Consequently, manufacturers have begun launching many more

grooming products for them.

Copyright © 2019 The Nielsen Company 01

Ÿ Innovation in this largely untapped market has resulted

in 177 new male grooming brands/variants being

launched between MAT March 2018 and MAT March 2019.

MALE GROOMING IS PRIMARILY ASSOCIATED WITH STYLE AND FASHION

Copyright © 2019 The Nielsen Company 02

21,170 MENTIONS TOP HASHTAGS

OVERALL FASHION STYLE

#MENSGROOMING - 4808

#MEN - 2048

#BEARD - 1976

#GROOMING - 1536

#BEARDED - 911

#MENSFASHION - 2218

#FASHION - 1517

#FASHIONBLOGGER - 1170

#FASHIONABLE - 1112

#MENSWEAR - 1071

#STYLE - 1500

#MENSSTYLE - 1241

#OUTFIT - 954

#OOTD - 930

#DAPPER - 836

#MENSFASHION#MENSGROOMING

#MENSSTYLE #OOTDMEN#STYLE

#PARTY

#MEN

#BEARD

FACECORDLESS

WINBUYTAKING VIDEO

GELKIT

SCRUBS

LIPSSHAVE

AESTHETICS

HAIRLOOKHAIRCARE

PICS

STYLING TRENDSWASH TRIMMERGROOMINGFASHIONPOST

STYLEBLOGGERWOMENPERFUME

INSIDESTYLE

FOLLOW

OIL

BLACK

GIFT

DETAILSAMAZON

PHILIPSNATURALSKINCARE

WINTERS2017

SOAP

th thSource: Nielsen Social Media Analytics (Timeline: 12 April 2018 - 11 April 2019)

Shaving has traditionally been the biggest part of the male

grooming regimen, which has gradually evolved first to basic Body

Care and then in recent times to Hair Care. The linear journey has

now got layered with styling products including hair colours and

hair gels, as well as specialized grooming products like facewash

targeted for beards. These specialized products for Body (17.1%)

and Hair (20.4%) are growing at twice the rate of the traditional male

grooming products for face/shaving (8%)

Copyright © 2019 The Nielsen Company 03

THE GROWTH OF THE MALE GROOMINGSEGMENT IS SPEEDING UP

Source: Nielsen Retail Measurement Service

FMCGVALUE 260.4K CRORE 12.9% GROWTH

PERSONAL CAREVALUE 60.4K CRORE 11.5% GROWTH

MALE GROOMINGVALUE 5K CRORE 12.3% GROWTH

THE EXPANSION OF THE MALE GROOMING REGIME

In urban India, the size of the male grooming market is almost INR

5000 crores. There has been a steady growth in the male grooming

segment over the years, with the current year delivering a double-

digit value growth of 12.3% vs. last year.

Copyright © 2019 The Nielsen Company 04

HAIR IS ONLY A RECENT PHENOMENON IN MALEGROOMING, AND IS CURRENTLY FUELLING GROWTH

*The category names have been listed in order of their contribution of each bucket.

Men are also learning that grooming requires careful planning and

dedicated time. The metrosexual man is comfortable with following

a grooming regimen to continuously look his best. Sales figures

show that men’s face cleaning products and creams, alongside

deodorants, are growing in MT five times as fast as the growth in TT.

MALE GROOMINGVALUE 5K CRORE12.3% GROWTH

FACE 53%VALUE 2.6K CRORE8% GROWTH

BODY 41%VALUE 2.1K CRORE17.1% GROWTH

HAIR 6%VALUE 0.3K CRORE20.4% GROWTH

BLADES AND RAZORSAFTER SHAVE LOTIONFACE CARESHAVING PREP

HAIR STYLING GEL HAIR OILHAIR DYES SHAMPOO HAIR CONDITIONER

DEODORANTS TOILET SOAPBODY WASH HAND AND BODY

TOP CATEGORIES AND PRODUCT FORMS OF MALE GROOMINGNew categories such as wax, butter, pomade have entered the male

grooming segment in India. Beard and Moustache Care products in

the form of oil, wash and wax have become a topic of discussion on

social media. The male grooming kits contribute to conversations

because of the 'Gifting trend' promoted by online brands. These kits

help induce trial across categories.

CATEGORY*

Copyright © 2019 The Nielsen Company 05

MOST POPULAR PRODUCT FORMS

CREAMKITOIL

WASHRAZOR/BLADE

GELSOAPFOAM

SPRAYSHAMPOO

COLOURBRUSHSERUMSCRUBLOTION

MASKCLEANSER

CONDITIONERBALMWAX

MOISTURIZERTRIMMERS

COMBBUTTER

POMADEDYE

TONERSHAVERS

20%11%

9%8%

6%5%

4%4%4%

3%3%

2%2%2%2%2%2%2%2%2%

1%1%1%

0.4%0.4%

0.3%0.3%

0.2%

BEARD AND MOUSTACHE CARE

OTHER ASSOCIATIONS WITH MALE GROOMING (EX. FASHION & DRESSING)

PERFUME AND FRAGRANCE

FACE CARE

BODY CARE

SHAVE AND TRIM

HAIR CARE

CATEGORY SOV TOP 3 PRODUCT FORMS ACROSS CATEGORIES

24%

21%

18%

12%

11%

8%

7%

OIL

SPRAY

CREAM

SOAP

CREAM

COLOUR

WASH

OIL

KIT

CREAM

RAZOR

CREAM

WAX

WASH

WASH

KIT

SHAMPOO

th thSource: Nielsen Social Media Analytics (Timeline: 12 April 2018 - 11 April 2019)

th thSource: Nielsen Social Media Analytics (Timeline: 12 April 2018 - 11 April 2019)

Copyright © 2019 The Nielsen Company 06

MEN’S PRODUCTS WITH DUAL BENEFITSMulti benefit products which are simple, easy to use and less time-consuming.

Innovation Trend 2:A pocket-sized solution – The deodorant category was faced with

two significant challenges – First, it was difficult to conveniently

carry deodorant packs given its pack size. Second, there was a dire

need to increase the adoption of the category among a wider base

of people. A leading Indian manufacturer solved both these

problems with a single solution by introducing pocket deodorants

in 2017. In 24 months, pocket deodorants grew to account for a

sizable 13% in value sales of the overall deodorant category and is

growing at more than 100%. Encouraged by the adoption of pocket

deodorants the manufacturer went on to introduce 2-in-1

fragrances in the pocket format, to meet the growing needs of

millennials to smell right for different occasions.

MEN’S FACE & BEARD WASH

SHAVE & FACE WASH

AFTER SHAVE AND TRIM

GROWTH IN THE CATEGORY TRIGGERS PRODUCT INNOVATIONSInnovation Trend 1: From twin blades to twin solutions - Beard Care used to be only

about shaving, but now men want to grow and style their beards.

This has triggered a range of innovative products which provide

dual benefits for men. For instance, a leading Indian personal care

brand has added the benefit of beard wash to its face wash offering.

Similarly another mass brand has launched an aftershave balm that

works for both a clean shave as well as a trimmed beard.

Copyright © 2019 The Nielsen Company 07

ZONAL DYNAMICS IN THE GROWTH OF MALE GROOMING

NORTH ZONEWEST ZONESOUTH ZONEEAST ZONE

247.4%13.5%8.8%9.1%

7.5%14.4%10.0%13.7%

MAT MAR’18

MAT MAR’19

282029

23281929

Source: RMS

ZONAL TRENDS IN THE GROWTH OF MALE GROOMINGThe numbers reveal that North Zone is the largest market for male

grooming & is growing faster than the total India market. West Zone

comes a close second in terms of size but is growing at the fastest

rate. South Zone is the slowest growing while East Zone is the least

in terms of sales.

Copyright © 2019 The Nielsen Company 08

THE ROLE OF RETAIL CHANNELS IN THE GROWTH OF MALE GROOMING Indicative of a growing market, male grooming products have

entered brick-and-mortar stores in large numbers and across

modern retail formats. The figures indicate that a fourth of the sales

in the male grooming category is generated by MT. Importantly, the

category is growing 1.5 times faster in MT than in Traditional Trade

TT. This has made MT the preferred channel of distribution for

brands looking to grow in the male grooming category. Moreover, a

recent rise in acquisitions of niche male grooming brands by large

fast moving consumer goods (FMCG) players, further indicates that

this is a category to watch out for in the near future.

THE MALE GROOMING SEGMENT IS GROWING AT A FASTER PACE IN MT STORES

9.4%2516.0%

757.4%

12.3%2616.0%

7411.0%

MAT Mar’18

MAT Mar’19

TRADITIONAL TRADE MODERN TRADE

8% FACE 79

7.1%21

11.7%

17.1% BODY 68

16.4%32

18.5%

20.4% HAIR 79

17.4%

2133.0%

HAIR IS THE FASTEST GROWING SEGMENT AND WHILE BODY IS THE LARGEST IN MT

Number outside the bar indicates growth

Source: Nielsen Retail Measurement Service

Number outside the bar indicates growth

Source: Nielsen Retail Measurement Service

TRADITIONAL TRADE MODERN TRADE

Copyright © 2019 The Nielsen Company 09

A combination of aspiration and ambition drives the young, urban

male to spend generously on personal grooming. A higher

disposable income, coupled with a hunger to climb the corporate

ladder, have helped redefine the demand for male grooming in

India. To add to this, the prevalent sentiment of focusing on

experiences and living in the moment all help drive the adoption of

grooming. Young urban men are also increasingly well connected

and in tune with global trends in fashion, cinema and

entertainment, triggering the desire to look and feel their best. To

ride this wave, companies looking to expand in male grooming have

introduced a wide range of products at affordable rates while some

have also introduced innovative products with dual benefits.

Male grooming has only just begun to explode in India, and FMCG

majors are looking at this growing segment while planning their

growth. With the right strategy involving right locations, targeting

key audiences and leveraging upcoming trends - male grooming

promises to deliver growth for years to come!

THE FIGURES INDICATE THAT A FOURTH OF THE SALES IN THE MALE GROOMING CATEGORY IS GENERATED BY MT. IMPORTANTLY, THE CATEGORY IS GROWING 1.5 TIMES FASTER IN MT THAN IT IS IN TT.

Copyright © 2019 The Nielsen Company 10

MARKETERS SHOULD PREPARE FOR THE RISEOF THE MALE GROOMING CATEGORY

The rising impact of male vanity is a tangible

phenomenon in the theatre of choice - Modern Trade. It

is one of the manifestations of rising consumer

aspirations and incomes that make new categories

flourish.

In the short to medium term, for male grooming in the Reliance

SMART & Fresh stores, the share of products in assortment, their

visibility and in-store communication will be significantly higher

than that of the category’s market share. Our stores will celebrate

and build this category.

Modern Supermarkets draw more men to participate in Food and

Personal Care choices for the family. When shopping at

supermarkets, men (and women) are more in the ‘family’ mode

than in an ‘individual’ mode. Interestingly, many women shoppers

decide and buy grooming products for men. Men shoppers also

buy everyday toiletries used by other family members. We see

‘male grooming’ products placed in this easy, inclusive context,

rather than in an ‘exclusive for men’ tonality in our stores.

DAMODAR MALLCHIEF EXECUTIVE OFFICER, GROCERY RETAIL, RELIANCE RETAIL LIMITED

GUEST PERSPECTIVE

Copyright © 2019 The Nielsen Company 11

Retail index data reveals that the size of the male

grooming market in India is INR 5000 crores and growing

at about 12%. The opportunity lies in the fact that apart

from shaving blades and deodorants, the penetration of

other male grooming products is still very low. In

particular, there is a growing interest in categories such

as soaps, shampoo and skincare. In effect, there is

substantial headroom for growth by expanding existing categories

as well as developing relatively underexplored categories in the

male grooming segment.

The key drivers of growth in the male grooming segment will be age,

the shifting gender dynamics and the revolution of the retail

format. Almost half of India’s consumers are under the age of

twenty five, very active on social media and have a perennial desire

to be selfie-ready. This generation places much importance on all

aspects of personal grooming from body tattoos to hair styles. On

the gender front, as women get empowered, the role of men and

what is expected of them is undergoing a sea change. Men are now

expected to be both strong and good looking, affecting the demand

for male grooming products. Lastly, the continued rise of modern

trade and digital commerce is prompting new launches at a faster

pace with a higher level of innovation.

At Future Retail, we have noticed that men like to spend less time on

shopping, and so at Big Bazaar we always include male grooming

products at the beginning of the personal care section. We have

also invested heavily in loyalty data through our programs like

Easyday Savings Club and Future Pay.

Data helps us to increase the penetration of newer categories and

reach more male shoppers. We are expanding our presence across

various categories by introducing our own brands too. Our brands

in the male grooming segment include Swiss Tempelle and

ThinkSkin.

KAMALDEEP SINGHPRESIDENT, FOOD BUSINESSFUTURE RETAIL LIMITED

GUEST PERSPECTIVE

Copyright © 2019 The Nielsen Company 12

ABOUT NIELSENNielsen Holdings plc (NYSE: NLSN) is a global measurement and data

analytics company that provides the most complete and trusted view

available of consumers and markets worldwide. Our approach marries

proprietary Nielsen data with other data sources to help clients around the

world understand what’s happening now, what’s happening next, and how

to best act on this knowledge. For more than 90 years Nielsen has provided

data and analytics based on scientific rigor and innovation, continually

developing new ways to answer the most important questions facing the

media, advertising, retail and fast-moving consumer goods industries.

An S&P 500 company, Nielsen has operations in over 100 countries,

covering more than 90% of the world’s population.

For more information, visit www.nielsen.com

ABOUT THE AUTHOR

VIJAY PREMANISENIOR EXECUTIVE, COMMERCIALCLIENT SERVICE, RMS, NIELSEN INDIA

KUNAL SURATIDIRECTOR, RMS COMMERCIAL LEAD, PREMIER ACCOUNT

PARESH VENGULKARSENIOR EXECUTIVE, RETAILER VERTICALNIELSEN INDIA

PALLAVI SURESHDIRECTOR, RETAILER VERTICALNIELSEN, SOUTH ASIA

Vartika Hali and Naashit Ansari from Social Intelligence team contributedto this issue of Featured Insights