Increase in allergies to boost the dermocosmetics market growth in Poland

More information on this topic is presented in the PMR report:

According to PMR forecasts presented in the most recent report “Dermocosmetics market in Poland 2017. Market analysis and development forecasts for 2017-2021”, dermocosmetics sales in Poland will grow by around 6% by value y-o-y in 2017-2021.

 

Dermocosmetics market in Poland: PLN 1.9bn in 2021

 

In line with PMR expectations, after slightly weaker results in 2015, the dermocosmetics market in Poland returned to a dynamic growth path in 2016. The increase in the value of dermocosmetics pharmacy sales is positively affected by manufacturers extending their portfolios and an upward trend of people taking care of their beauty. Moreover, positive macroeconomic environment boosts the market growth in 2016 – the economic growth is now driven by household consumption expenditure, while a disposable income rise is the highest reported over the past few years and will stand at 4.6% for the entire 2016, as demonstrated by PMR estimates. In 2017, PMR expects some slowdown in the sales change against 2016, which will result from the high base effect. Nonetheless, in general, the elevated household consumption expenditure growth rate, positive situation on the labour market and disposable income growth, which is additionally influenced by the Rodzina 500+ scheme, will contribute to a stable increase in the Polish dermocosmetics market value in 2017-2021. We also predict a gradual inflation growth, to approach the inflation targeting in 2019. At the same time, in the forecast horizon we expect a gradual slowdown in the consumption and wages growth rate, stabilised unemployment and downward population trend. The forecast takes into account the impact of discussed potential ban on drug sales from pharmacies on companies’ plans (e.g. non-pharmacy sales expansion), but it does not assume the ban introduction in the period covered by the analysis.

 

Competition as a cause of reduced sales growth in certain categories

 

Over recent years the body care dermocosmetics segment has been showing a constant and rather intensive increase in the category of atopic skin products (excluding emollients), products for abrasions, chafing, ulcers, bedsores prevention and treatment, as well as skin wounds treatment – this results from epidemiological (e.g. a soaring number of children suffering from allergies), environmental and demographic trends. PMR foresees that the entire category of body care dermocosmetics will keep on developing in the next few years, but its growth rate will slow down a little owing to fairly strong saturation and competition from products sold through a non-pharmacy channel. The growth will be fuelled by e.g. products used in allergy treatment. In the forecast horizon PMR expects deceleration of growth in the categories of hair care and face care dermocosmetics because of rather high base and competition, as is the case of body care products. In PMR’s opinion, promising categories in the coming years will also comprise children’s dermocosmetics and foot care products. In addition, sales of eye care cosmetics will grow quite rapidly, which is related to epidemiological trends (more frequent allergies and population ageing).

 


More information on this topic is presented in the PMR report:
Dermocosmetics market in Poland 2017. Market analysis and development forecasts for 2017-2021