Latin America’s H&B heavyweights
Spending and trending with regional Beauty bias
In the realm of beauty product sales in Latin America, our latest findings paint a vivid picture of shifting landscapes and emerging opportunities. To tap into the Latin American beauty market, brands must tune into the unique frequency that resonates across different countries. This involves not just understanding what people are buying but also where and why they are making purchases.
A standout is the 35-49 age group, the most significant spender, especially in Brazil. But there's more to this than just throwing money at products. Let's delve deeper.
Brazil is a key player in the Latin American beauty market, contributing significantly to the region's total sales. A noteworthy aspect behind those sales lies in the usage data — Brazilian women have 43 weekly beauty product occasions at home (five more than their counterparts in Western Europe and the US) Additionally, they are much more engaged in receiving professional treatments. Two thirds of women say they have had such treatments in the past six months. This high usage rate correlates with the country’s robust sales figures, especially in the haircare segment, which has exhibited strong growth.
The implications of Brazil's high product usage are twofold. First, it indicates a strong demand for beauty products, presenting opportunities for both local and international brands to expand their offerings. Second, it highlights the importance of product effectiveness and quality, as consumers in Brazil actively use a variety of products in their beauty routines.
Spending heavyweights: 35 to 49-year-olds
This age group takes the lion's share of the market, holding 41% in Brazil, 38% in Colombia, and 37% in Mexico. On average, they make up 39% of the health and beauty (H&B) market in Latin America. These aren't just numbers; they're a testament to the economic clout of this demographic. In the past year alone, their spending increased by 22%.
Brazil stands out here. While the 35-49 age group spends freely, their actual usage of H&B products shows only 4% growth compared to 2019 and has remained stable in the last year. This disconnect between spending and usage presents an intriguing question for brands and retailers alike and another reason not to look at either in isolation.
Despite the spending power of 35-49s, the 50+ demographic is still not to be overlooked. Their spending is growing faster than any other age group, at a rate of 26% year-on-year, except in Mexico where they’re out in front.
35-44s account for almost 30 billion beauty occasions in the week in Brazil
The young and the restless
The youngest age group we reviewed, those up to 34 years old, make up 20% of the market in Mexico and 26% in both Colombia and Brazil. The Latam average stands at 23%. What's worth noting, particularly in Brazil, is the 7% increase in usage occasions among younger women (17-34) since 2022. Their engagement with the H&B market is on the rise.
Brazil’s gender dynamics
Let’s look to Brazil for a deeper dive. In Brazil, men aged 35-44 are somewhat disengaged with their personal care routines, yet they still handle their own shopping. While they're less engaged in their personal care routines compared to women, they're not entirely disengaged. Their grooming habits shift between clean-shaven and stubbly looks, suggesting that they can be reached through a diverse range of products. The implication is clear: brands should not pigeonhole this demographic into narrow product categories like beard care or skincare. A more diversified product range could be the key to higher engagement. More targeted marketing campaigns could also be a key to unlocking this latent demand.
Women, conversely, are at the height of their engagement with H&B products. The 35-44 age group in Brazil spends a lot. Deodorants, fragrances and body washes tend to lead sales. Within those sales, we’re seeing an inclination towards environmentally friendly or natural options. In other words, they're not just buying for the sake of it; they're buying with intent and preference. This group leans towards brands that reflect their values, particularly those that are environmentally friendly or natural. This is not a mere trend but a strong buying signal for brands. The key takeaway here is the importance of aligning brand values with consumer sentiment.
It's also important to recognise that women in this demographic are also chasing a look with intent, sculpting their presence with a bold stroke here, a soft touch there. They know what they want: lips not just painted but shaped, eyes not just highlighted but defined. The group is also focused on a range of skin issues, including dark circles, blackheads, and fine lines. Hair problems include frizz, hair loss, and greying. Their purchases are intended to achieve specific outcomes. And they’re a valuable army, delivering almost 30 billion beauty moments each week, standing firm against rising prices.
In other words, targeting the 35-44 cohort is not just about catering to the natural trend but about understanding their nuanced demand for specific beauty articulations. Brands have the opportunity to develop targeted solutions that can address these varied concerns and rising demands from this group. They’re real-world challenges that create demand for solutions.
Of course, each country has its own preferred paths when it comes to products. As we noted, in Brazil it’s deodorants, fragrances, and hand and body wash. But in neighbouring Colombia, it's fragrances, skin moisturisers, and hair shampoo. Understanding these local nuances is crucial for any brand calibrating product portfolios across the region.
Channels of change
One of the fascinating aspects of the H&B market in Latin America is the variety of channels through which people make their purchases. In Brazil, supermarkets, drugstores, and door-to-door sales are the primary contributors. The picture changes slightly in Colombia and Mexico, where supermarkets and discounters share the stage with door-to-door sales.
To sum it up, the Latin American Health & Beauty market is not just a monolith but a complex ecosystem of varying consumer needs, preferences, and spending patterns where the intersection of usage and purchase is important to come to grips with.
Data-driven strategies that consider usage patterns, economic factors, and cultural influences are essential.
