Consumers more trusting of dermocosmetics purchased in professional channels
The dermocosmetics sector could enjoy major growth if it can find a way to sell products, while catering to consumers’ hunger for professional advice. According to research from L.E.K., customers are more trusting, and more likely to buy products they engage with in a professional environment, such as a pharmacist – so partnerships in the space cannot be ignored.
Revenue in the global skin care market is expanding rapidly. Income amounted to $198.35 billion in the last year, while Statista research suggests the market may grow annually by a 3.53% CAGR from now until 2030. In part, this is tied to the increasing privatisation of wellness. With healthcare systems increasingly underfunded and improperly staffed, getting an appointment for ‘essential’ treatment on the National Health Service is still subject to extensive waiting periods. So, when patients encounter an issue with their skin, their instinct is increasingly to seek remedies from products available online or in stores.
This presents a major opportunity for ‘dermocosmetics’ – or products specially designed to care for the skin, which are said to have beneficial dermatological actions. Marketed as the intersection of medicine and makeup, there is no precise legal definition, but producers usually develop their goods in collaboration with healthcare professionals, including doctors and dermatologists.
While revenues for beauty and personal care products as a whole are growing steadily at 2.1%, then, the CAGR for dermocosmetics is much higher. According to research from L.E.K, the segment has already expanded by 9.5% between 2018 and 2023. According to the researchers, democosmetics producers could cash in on this growth even further in the future, too.
Again noting that “dermatology clinics” might normally be where consumers sought professional consultation, if private providers were to offer similar services, they would up their chances of a sale notably. Illustrating how, the researchers pointed to European pharmacies, “where much of the skin care assortment is devoted to dermocosmetics”, and “pharmacists are trained to offer advice on skin care.”
“Brands can capitalise on the opportunity to build brand credibility via distribution within the professional channel and specialised pharmacy market,” the report states. “Environ and Biologique Recherche, for instance, have lines or products with higher levels of active ingredients that are available only through professional consultation.”
Polling consumers on their thoughts, L.E.K. found that there were multiple reasons why this would be beneficial. Primarily, in the void left by under-resourced national healthcare providers, consumers are simply hungry for professional guidance.
A 60% majority told L.E.K. that they were simply more likely to try a product if it was recommended by a professional they spoke to. Meanwhile, 52% said they would trust a product purchased in a professional setting more, because it had therefore been “approved by experts”. A further 51% said they would be very likely to be loyal to products purchased in this setting.
Of course, there is still a place for dermocosmetic brands in the traditional beauty and personal care segment too, to reach a broader audience. To that end, L.E.K. added it was worth noting global online purchases in that segment had been growing 15% a year, so a focus on online strategies, through owned websites as well as distribution partner sites, could yield another effective way to reach consumers at home and around the world.
