March 10, 2023

Emerging Beauty & Home Industry Trends in Africa in 2023

How Can Your Brand Enhance Value for Investors in 2023 and Beyond?

The beauty and healthcare industry is a constantly evolving one, with agility and product innovation being key to staying ahead of the ever-changing and diverse customer needs across geographies. As the world moves beyond the Covid-19 pandemic, stakeholders in the industry, investors and consumers alike, can look forward to an improved industry with accelerated product enhancements.

 

To achieve the next phase of growth and new customer acquisition, industry leaders will need to pay considerable attention to the four key trends that will facilitate the industry’s next growth wave. These trends include augmented reality shopping, social commerce, hyper-personalisation, and natural, clean, and transparent product choices.

Virtual / Augmented Reality Shopping

Augmented reality (AR) shopping is one of the latest trends that pivots the shopping experience to the next level. It enables customers to virtually fit and test products through a digital device such as a smartphone or virtual reality set as if they were in the physical store assessing how a particular product could look on their bodies, homes, or offices. According to industry research and intelligence firm The Insight Partners, the augmented, virtual, and mixed reality shopping market is projected to reach more than $250bn by 2028.

Social Commerce

Social commerce is another trend that provides an opportunity for consumers to receive genuine product or service feedback from their trusted sources, anchored by the influencer market. This trend is already on the rise due to its convenience and non-invasive advertising. It is forecasted to reach $30.73bn in sales in 2023, accounting for 20% of global retail e-commerce sales.

 

Clean & Organic Products

The move towards more natural and clean products is also a global trend across sectors, and the healthcare and beauty sector is no exception. Consumers are now seeking brands that are as transparent in their ingredient schedule as they are natural in their products. This presents a massive opportunity for retailers, as the global organic skincare market was expected to reach a value of $17.57bn by 2028, at a compound annual growth rate of 8.78% over the forecast period (2022 – 2028), currently valued at $9.75bn as at 2021.

As an ever-evolving and self-reinventing industry, there remain several other trends we can expect to see as the industry gears up for its next growth phase. These insights are key to brands gaining a competitive advantage over their peers, enabling them to attract a diversified consumer base thus creating value for investors.