Market research company Euromonitor International has released a study analysing the rise of natural and organic products in the cosmetics industry. The increase in popularity is evident, as these products have “become among the most sought after on the market” and now come at a 30-50% premium over those without natural claims.
This attractiveness of the natural phenomenon can partly be attributed to an increase in the awareness of chemicals used on the body, a number which some estimates say surpasses 170 in an average grooming routine. The EU has taken steps to monitor this by enacting new legislation in July to outlaw the use of many potentially harmful chemicals used in cosmetics, and requiring many to undergo safety testing.
According to Euromonitor International, “the fact that multinationals are buying into the trend is a sign that natural/organic ingredients are here to stay.” These companies are working on improving their ethical reputation through acquisitions and private-label alternatives. L'Oréal has already jumped on the bandwagon by purchasing The Body Shop and Sanoflore, while Colgate-Palmolive picked up natural oral hygiene brand Tom's of Maine. In a similar step, UK supermarket chain Tesco launched its own organic body care line in February.
However, with this new recognition of socially ethical brands also comes the issue of what constitutes “natural.” There are currently no unified standards in the industry, allowing for companies to claim their products are natural when in fact they still contain potentially harmful ingredients. Despite a lack of universal standardisation, some countries have taken the initiative to develop their own regulations. Canada, for instance, now requires all cosmetic ingredients to be included on packaging labels, and the US is making similar headway by planning legislation that will force brands to differentiate between 100% organic, 95% organic and simply containing organic ingredients on the label.
Another issue accompanied by the trend is sustainability. With the replacement of synthetic ingredients comes the exploitation of potentially scarce ones, such as exotic flora originating in the Amazon rainforest. Symrise, an ingredient manufacturer, has responded to one particular issue by enacting a campaign to protest the use of alpha-bisabolol, a popular cosmetic ingredient derived from the Brazilian candeia plant. Additionally, the rise of marine extracts in brands like La Mer has provoked the UN to begin development on international guidelines for the protection of aquatic resources.
As regulation increases the natural cosmetics industry will condense, according to Euromonitor International, and “only those brands with a high percentage of natural ingredients and an eco-friendly stance [will remain] as credible players.” The implications should benefit consumers, as some companies (Burt's Bees and Aveda being two of more than 500) have signed a pledge proclaiming their commitment to rid products of all toxic ingredients within the next three years.