Dry Shampoo Market Size, Share & Trends Analysis Report By Form (Spray, Powder), By End User (Men, Women), By Distribution Channel (Online, Offline), By Region, And Segment Forecasts, 2020 - 2025

Report Overview

The global dry shampoo market size was valued at USD 3.46 billion in 2019 and is estimated to expand at a compound annual growth rate (CAGR) of 6.9% over the forecast period. The market is mainly driven due to some of the specific features such as absorption of excess oil and grease without the use of water, along with providing shiny and fresh look as compared to other normal wet shampoos. The growth of the market is also attributed to the growing consumer preference for waterless products due to the scarcity of water in major countries around the world.

The rise in the number of product innovations such as the addition of organic and natural content by market players has also contributed to the growth of the industry. For instance, in May 2018, KAIA NATURALS launched a dry shampoo, namely Takesumi Detox Overnight Dry Shampoo with natural content to eliminate odor and sweat and absorb oil and impurities from hair. An increasing number of hair related issues among the women population and changing hairstyle patterns are giving rise to innovations in products. Moreover, improving living standards among the working and high-class population is expected to contribute to the demand for these products, thereby driving the growth of the global market.

Demand in the younger population possesses a huge impact on the hair care products market growth. This is attributed to the increasing usage of these products among the working population due to time management issues in their schedule. However, a major section of the population also tends to spend a large amount on premium category hair care products.

The cost of these products is high than the normal and wet shampoo type, thereby increasing the sales revenue in the industry. Moreover, increasing penetration of the global companies such as L’Oreal SA; Johnson and Johnson; Avon Products Inc.; Procter and Gamble; Helen of Troy Limited; Unilever; and Estee Lauder Companies Inc. in the dry shampoo category provides lucrative growth opportunities for the market.

The impact of e-commerce channels, social media advertisements, and many beauty specialist retailers provide a lucrative opportunity for the growth of personal care products in the market. The market growth is also attributed to a rise in the purchasing power of the consumers and inclination towards premium-priced dry shampoo products in the market. Moreover, demand for the anti-aging products from generation X due to fresh and shiny look from products is likely to boost the market growth over the forecast period.

Dry Shampoo Market Trends

The rising consumer awareness regarding wellness solutions has been leading to an uptick in product adoption across spas and salons worldwide. At a macro level, a steady rise in spa and salon establishments worldwide has been driving the growth of the dry shampoo market. According to a report published by the International SPA Association (ISPA), the U.S. spa industry surpassed the USD 18 billion mark in 2018, a USD 800 million increase from the previous year.

The increase in revenue growth was driven by a steady rise in the number of spa visits countrywide. According to ISPA, the average revenue per visit in the U.S. increased to USD 93.7 per customer in 2018, a USD 1.20 increase from 2017.

According to the Global Wellness Institute, a U.S.-based non-profit organization, the total number of spa locations worldwide increased from 121,595 in 2015 to more than 149,000 in 2017. As per the institute, spa facility revenues contribute approximately USD 93 billion to the global spa economy annually. Consumers typically prefer spa & salon services for the professional information and advice these establishments offer concerning skin and hair.

The rising global demand for dry shampoo is also attributable to the increasing instances of product innovation across regions. While the developed markets of Europe and North America have witnessed significant market penetration over the years, there is a growing interest in marketing dry shampoo in emerging markets. This is particularly true for African countries where regular shampooing practices are considerably lower owing to concerns regarding the frail nature of the hair of certain populations in Africa and the African diaspora.

While dry shampoos containing natural ingredients are gaining immense popularity worldwide, rising consumer concerns regarding the relevance of alcohol-containing aerosol dry shampoos continue to impede market growth. Recently, there have been growing consumer concerns about a possible link between ovarian cancer and asbestos-free talcum powder.

As a sizable number of commercially available dry shampoos contain talc, a mineral that can contain asbestos particles in its natural state, the demand for these products is likely to shrink considerably throughout the forecast period. Though there is no known case of cancer from dry shampoos containing talc, the American Cancer Society a U.S.-based voluntary health organization dedicated to eliminating cancer encourages consumers to avoid using such talc-based products until further research has been done. Despite its 'hair health halo,' many consumers complain about the damage caused to the hair or scalp by the overuse of dry shampoos. The overuse of dry shampoos without washing the hair can lead to particle buildup on the user’s scalp, leading to fungal or bacterial infection in the hair follicle.

Form Insights

The spray form segment accounted for the largest share of 62.1% in 2018. The segment is driven by its property to apply the product to hair roots. The product also helps to add content and volume to the hair and eliminate residue build up on the hair and scalp. Moreover, an increase in demand for waterless products, along with natural ingredients such as charcoal content, is likely to drive the segment over the forecast period. For instance, in December 2017, IGK launched a dry shampoo in spray form with black charcoal content to clean hair and absorb excess oil and grease.

The powder form is anticipated to exhibit the fastest CAGR of 8.3% from 2019 to 2025. Rising demand for this form due to its aerosol free content is anticipated to boost the segment growth in the dry shampoo market. This form type finds its application among consumers that more concerned about the reaction of chemicals to hair. The powder mixes well with hair and scalp and provides even nourishment to every part of the head than other forms such as spray and foam. For instance, Captain Blankenship provides a mermaid dry shampoo in powdered form with organic arrowroot powder, kaolin clay, and organic essential oils.

Distribution Channel Insights

The offline channel accounted for the largest share of 87.4% in the year 2018. Growth in offline sales is attributed to the increasing preference among consumers to access products physically and verify the quality before purchasing. Moreover, searching for different products through stores with access to real-time bargaining from shops is likely to boost the segment growth over the forecast period. Moreover, ease in price comparison for different categories and brands is driving the segment. Increasing stores of salon products and the emergence of trendy products in specialty and department stores and mass merchandisers have contributed significantly to the offline sales of products in the market.

The online segment is expected to emerge as the fastest-growing channel with a CAGR of 7.8% over the forecast period. The segment is driven by the rising number of e-commerce websites such as Myntra, Amazon, and Flipkart, offering a wide range of products to the consumers. The market seems to drive its accessibility majorly among the young population who seeks to prefer trends in hair care and lifestyle. Deals, offers, and discounted items offered through the online sector, along with an increasing number of developed and online distributors in the industry are fueling the growth of the segment over the forecast period.

End-User Insights

The women's end-user segment accounted for the largest share of 58.5% in 2018. The product is pursued as a hair care product among the celebrities and high-class population, thereby contributing to the growth of the segment. Product demand is expected to rise among the women population due to the acceptance of shampoo for longer resistance of coloring agents. Moreover, women with dark-colored hair prefer these products for their residual property to resist gray hair. Product demand is also anticipated to increase due to the growth of the working women population who requires extra care for their long hair in restricted time.

The men segment is expected to expand at the fastest CAGR of 8.1% from 2019 to 2025. The growth of the segment is attributed to trendy lifestyles and increasing trends in the fashion and hair care industry. Products such as glossy and shiny hair care products are gradually gaining acceptance in the men's market. Moreover, the growing acceptance of products in the corporate sector population for ready to dress items is contributing to the growth of the market over the forecast period. Product demand is also increasing due to the acceptance of the product in the men’s grooming category for saving time during the proper styling of hair.

Regional Insights

North America held the largest share of 37.8% in 2019. The growth of the application sectors such as hair care products due to the growing aged population has boosted the demand for products. Increasing demand for anti-aging products for beauty and trendy hairstyles is a key factor driving the regional market. The growth is also attributed to the growing working population and increasing disposable income. For instance, U.S. personal care products for hair care, skincare, and oral hygiene generated a revenue of USD 128.2 billion in 2015 and are estimated to expand at a CAGR of 4.5% over the forecast period.

With a growing number of hair salons offering dry shampoo treatment services, the regional population is highly interested in trying out new products with different features and benefits. According to the NPD Group report 2015, in North America, especially in the U.S., women spend the most on professional salon and hair care services, approximately around USD 204 annually, which is more than the expenditure on grocery products.

Women in the U.S. are more open to experimenting with new and upcoming hair care products and services that are globally recognized. This trend is increasingly apparent in cities such as New York, California, Los Angeles, and Miami, which are the largest markets for hair care services in the country. Several women in the country opt for unique, original, and high-quality hair care products and do not mind paying a higher price for these products.

Asia Pacific is expected to expand at the highest CAGR of 9.4% over the forecast period, on account of rising demand for beauty and natural care products in the region. Growing awareness among consumers regarding beauty and personal well-being is anticipated to boost the demand for different hair care products in the region over the forecast period. In China, expenditures on personal care products grew at a rate of 15.0% from 2001 to 2016. Moreover, the retail sales for beauty and personal care are likely to grow at a rate of 14.0% over the forecast period, surpassing U.S. retail sales by 2022.

According to global reports Q4 2018 consumer survey, it is estimated that approximately 21% of South Korean consumers are willing to pay for time-saving and instant-ready hair care products and 61% of people tend to spend on quality and premium products. The launch of new products in the market by big manufacturers such as Amore Pacific and Kao Corporation in the region is likely to boost the demand for dry shampoo in the coming years.

Key Companies & Market Share Insights

Rising demand for products such as natural and organic materials leads to an increase in product innovations and market developments, thereby fueling its demand in the market. The market is identified by several strategic activities such as acquisitions and mergers, product innovations, and capacity expansion. They are initiated by the key manufacturers including Unilever; Shiseido Company Ltd.; Procter & Gamble Company; Pierre Fabre; Revlon Inc.; Church & Dwight Co, Inc.; New Avon LLC; The Estee Lauder Companies Inc.; L’Oreal SA; Henkel AG & Company; KGaA; Kao Corporation; and Coty Inc.

Key players in the industry are focusing on expanding their presence to obtain a major share in the market. Strategic partnerships and joint ventures with buyers to introduce new applications and products are projected to remain a critical success factor over the forecast period. Manufacturers are also likely to focus on product launches and innovations owing to the rise in the promotional activities and brand endorsements by manufacturers. For instance, in July 2017, Yellow Wood Partners acquired Freeman Beauty, a leader in dry shampoo and facial mask manufacturing, for its broad distribution in the beauty and hair care categories.

Report Scope

Global Dry Shampoo Market Segmentation 

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For this study, Grand View Research has segmented the global dry shampoo market report based on form, end-user, distribution channel, and region:

• Form Outlook (Revenue, USD Billion, 2015 - 2025)

  • Spray

  • Powder

  • Others

• End-User Outlook (Revenue, USD Billion, 2015 - 2025)

  • Men

  • Women

  • Children

• Distribution Channel Outlook (Revenue, USD Billion, 2015 - 2025)

  • Online

  • Offline

• Regional Outlook (Revenue, USD Billion, 2015 - 2025)

  • North America

    • The U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa