Portuguese market
The organic cosmetics market in Portugal
The organic cosmetics market represents a sub segment of the larger market for cosmetics. A cosmetic includes any substance used to clean, moisture or alter a person’s skin, hair, nails or teeth.
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The organic cosmetics market represents a sub segment of the larger market for cosmetics. A cosmetic includes any substance used to clean, moisture or alter a person’s skin, hair, nails or teeth.
Cosmetics can be distinguished in two categories:
Beauty products: e.g. make-up, perfume, skin cream
Care products: e.g. shampoo, soap, deodorant
Organic personal care and cosmetic products are expected to not contain chemicals such as parabens, phthalates, aluminum salts and petrochemicals, which are potentially harmful to an individual’s health. However, there are several gray areas regarding the distinction between the terms ‘organic’ and ‘natural’ as it will be discussed further on.
Nevertheless, for a cosmetic to be considered organic, it has to contain, in principle, at least 95% of the ingredients certified as organic. [Soil Association]. The public opinion tends to identify them as those products containing ingredients derived from nature and not processed.
Despite macroeconomic circumstances in the last decade and recent turbulences regarding the pandemic, the Portuguese market for beauty and personal care remains rising. With an intense competition new brands are emerging rather quickly, and new products are being launched every year.
This growth is a result of several factors, such as the growing distress of Portuguese consumers regarding environmental issues and the rising concern towards their current physical appearance. In addition, the rising population's standard of living allowing Portuguese to travel abroad and have greater exposure to other cultures, where makeup is part of the daily female routine, are also factors to take into account.
Unlike other European countries such as Italy, UK and Germany, the organic sector is not yet consolidated, showing a considerable potential for investments. In fact, the country represents less than 4% of the total value of organic products in the EU. Nevertheless, the market is expending both from the demand side, with consumers leaning towards natural and biological, and from the supply side, with companies offering each time more possibility of natural products, expanding from alimentation to personal care.
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