United Kingdom (UK) Health and Beauty Market Analysis and Forecast to 2025 report offers comprehensive insight and analysis of the health & beauty market, the major players, key trends, and consumer attitudes. It provides in-depth analysis of the hot issues impacting the market (such as rapid delivery, beauty halls and livestreaming), strategies for success, market sizes and forecasts to 2025, retailer profiles and market shares, and consumer shopping behaviour. Consumer data is based on our 2021 UK How Britain Shops survey, using a panel of 10,000 nationally representative consumers.
The health & beauty market declined in 2020 with spend falling 7.9%, as consumers stayed at home with few reasons to replace non-essential beauty items like makeup and fragrance owing to the lack of occasions. But it is forecast to recover quickly with spend rising 4.0% in 2021 and the sector growing at CAGR of 2.8% between 2020 and 2025. As one of the more resilient sectors in times of restricted consumer budgets, the health & beauty market will return to 2019 levels by 2023. Beauty will gain share of the sector out to 2025 as consumers continue to value self-care and maintain regimes they have started during long periods at home, boosting spend on haircare and skincare. Innovation online will support growth with livestreaming events appealing to young consumers and the wealth of beauty content on social media platforms, namely TikTok, driving frequent purchases.
The health & beauty market declined in 2020 with spend falling 7.9%, as consumers stayed at home with few reasons to replace non-essential beauty items like makeup and fragrance owing to the lack of occasions. But it is forecast to recover quickly with spend rising 4.0% in 2021 and the sector growing at CAGR of 2.8% between 2020 and 2025. As one of the more resilient sectors in times of restricted consumer budgets, the health & beauty market will return to 2019 levels by 2023. Beauty will gain share of the sector out to 2025 as consumers continue to value self-care and maintain regimes they have started during long periods at home, boosting spend on haircare and skincare. Innovation online will support growth with livestreaming events appealing to young consumers and the wealth of beauty content on social media platforms, namely TikTok, driving frequent purchases.
Key Highlights
- The online channel propped up performance throughout lockdown periods and experienced significant growth with spend rising 46.1% in 2020, driving online penetration up 5.9 ppts on 2019.
- Online pureplays are driving growth with key players frequently improving and extending their ranges including ASOS, Cult beauty and BEAUTY BAY.
- As sustainability plays a bigger part in shopping decisions, retailers need to ensure they are offering products that are eco-conscious, considering how items are packaged and sold, and the store environment. Package-free items are also becoming more widely available including shampoo bars and deodorant bars. Health & beauty players must consider sustainability and the environment when implementing any new processes such as fast delivery options to work towards changing consumer needs.
- As flexible working is set to become a permanent trend post-pandemic, the essential nature of wearing makeup daily is declining. Many consumers are choosing to wear minimal makeup on days spent working from home and are opting to wear lighter makeup on days out of the house, stripping back their makeup routine and using fewer products.
Reasons to Buy
- Using our five year forecasts to 2025, learn which areas of the Health & Beauty market will be the fastest performing to enable focus and investment in these winning product areas.
- Understand how drivers of Health & Beauty purchases, such as range, price and quality, vary in importance among different demographics in order to maximise sales potential.
- Use our in-depth analysis of the challenges faced by key retailers in the sector in order to understand how to steal shoppers and market share.
Table of Contents
- Executive summary
- The UK health & beauty market is set to make a full recovery from the pandemic by 2023 and will reach £38.8bn by 2025 driven by beauty
- Online penetration will rise to 17.1% by 2025 driven by improved fulfilment options and an enhanced shopping experience
- Sustainability focus is key as 63.6% see this as an important purchase driver
- KEY TRENDS
- Market drivers
- Market inhibitors
- Key Trends: Long term impact of COVID-19 on product demand
- Key Trends: Health & Beauty retailers introducting rapid delivery
- Key Trends: Rise of experience-focused beauty halls
- Key Trends: Sustainable packaging development
- Key Trends: TikTok and livestreaming
- Strategies for success
- MARKET SIZE AND FORECASTS
- Five year growth 2015-2025
- Market size, 2015-2025
- CATEGORY PERFORMANCE AND FORECASTS
- Key category trends
- Health & Beauty categories
- Market by category %, 2015-2025
- Category segment value and forecast, 2020 & 2025
- CHANNEL PERFORMANCE AND FORECASTS
- Online market, 2015-2025
- Channel growth, 2015-2025
- Market by channel, 2020 and 2025
- Channel value and forecast, 2020 and 2025
- REVENUE AND MARKET SHARES OF TOP 10 PLAYERS
- Top 10 retailers, 2020
- Market shares of the top 10 retailers
- Top 20 most visited and purchased from retailers for Health & Beauty, 2021
- Health & Beauty competitor overlap, 2021
- COMPETITIVE LANDSCAPE: PROFILES OF LEADING PLAYERS
- Boots
- Superdrug
- Holland & Barrett
- Savers
- COMPETITIVE LANDSCAPE: RETAILERS TO WATCH
- Retailers to watch: Lookfantastic
- Retailers to watch: Feelunique
- Retailers to watch: Cult Beauty
- Retailers to watch: ASOS
- Retailers to watch: Glossier
- Retailers to watch: BEAUTY BAY
- CONSUMERS
- Key consumer trends
- Health & Beauty penetration and profile
- Health & Beauty category penetration
- Health & Beauty channel usage
- Fulfilment methods
- Health & Beauty purchase frequency
- Health & Beauty consumer drivers
- METHODOLOGY, DEFINITIONS AND CONTACTS
List of Tables
- UK Health & Beauty Channel Value & Forecast, 2020 & 2025
- Top 10 UK Health & Beauty Retailers, 2020
- UK Health & Beauty Competitor Overlap, 2021
- UK Health & Beauty Category Penetration by Demographic, 2021
- UK Health & Beauty Channel Usage by Demographic, 2021
- UK Health & Beauty Fulfilment Methods, 2021
- UK Health & Beauty Consumer Drivers, 2021
List of Figures
- UK Health & Beauty Market GBP m, 2015, 2020, 2025 & CAGR %
- UK Health & Beauty Market Value GBP bn, 2015-2025
- UK Health & Beauty Market Annual Growth %, 2015-25
- UK Health & Beauty Categories by Value GBP bn, 2020 & 2025
- UK Health & Beauty Categories by Value Growth %, CAGR, 2020-2025
- UK Health & Beauty Market by Category %, 2015-2025
- UK Health & Beauty Online Market Size GBP bn and Online Penetration %, 2015-2025
- UK Health & Beauty Channel Growth, 2015-2025
- UK Health & Beauty Market by Channel, 2020 and 2025
- Market Shares of Top 10 UK Health & Beauty Retailers, 2020
- Top 20 Most Visited Retailers for Health & Beauty %, 2021
- Top 20 Most Purchased from Retailers for Health & Beauty %, 2021
- Boots' UK Health & Beauty sales GBP m, 2015-2020, and annual growth %
- Boots' UK Health & Beauty market share % 2015-2020
- Boots' UK Health & Beauty Penetration %, 2021
- Superdrug's UK Health & Beauty sales GBP m, 2015-2020, and annual growth %
- Superdrug's UK Health & Beauty market share % 2015-2020
- Superdrug's UK Health & Beauty Penetration %, 2021
- Holland & Barrett's UK Health & Beauty sales GBP m, 2015-2020, and annual growth %
- Holland & Barrett's UK Health & Beauty market share % 2015-2020
- Holland & Barrett's UK Health & Beauty Penetration %, 2021
- Savers' UK Health & Beauty sales GBP m, 2015-2020, and annual growth %
- Savers' UK Health & Beauty market share % 2015-2020
- Savers' UK Health & Beauty Penetration %, 2021
- UK Health & Beauty Penetration %, 2021
- UK Health & Beauty Profile %, 2021
- UK Health & Beauty Penetration %, 2021
- UK Health & Beauty Channel Usage %, 2021
- UK Health & Beauty Fulfilment Methods %, 2021
- UK Health & Beauty Purchase Frequency, 2021
- UK Health & Beauty Consumer Drivers %, 2021
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Aldi
- Amazon
- ASDA
- ASOS
- B&M
- Beauty Bay
- Boots
- Cult Beauty
- Debenhams
- Deliveroo
- Feelunique
- Flannels
- Glossier
- Harrods
- Holland & Barrett
- Home Bargains
- Lidl
- Lloyds Pharmacy
- Lookfantastic
- Marks & Spencer
- Morrisons
- Poundland
- Primark
- Sainsbury's
- Savers
- Specsavers
- Superdrug
- Tesco
- The Body Shop
- Well Pharmacy
- Wilko
