Shampoo and Conditioner - US - April 2008

Table of Contents

• Consumer survey data
• Abbreviations and terms
• Abbreviations
• Executive Summary
• Market size
• Big four dominate mass channels...
• ...but hundreds of competitors play
• "Masstige" migration continues
• Increasing specialization crowds shelves
• Brands re-invent themselves, bright colors are still hot
• Major brands target young women, with a few notable exceptions
• Population shifts suggest that seniors and Hispanics will grow influence
• Shampoo and conditioner widely available across channels--mass merchants lead growth
• Heavy advertising
• Market Size and Forecast
• Key points
• Competitors push to add value to the category...
• ...but market dynamics in the aisles keep sales growth in check
  • Figure 1: Total U.S. sales and forecast of shampoo and conditioner, at current prices, 2002-12
  • Figure 2: Total U.S. sales and forecast of shampoo and conditioner, at inflation-adjusted prices*, 2002-12
• Wal-Mart sales
• Competitive Context
• A battle for market share
• Young women' s market is the battlefield
• Brand re-invention a key competitive weapon
• A shampoo and conditioner for every kind of bad hair day
• Big four dominate mass channels...
• ...but hundreds of competitors play
• "Masstige" migration continues
• Segment Performance--Shampoo vs. Conditioner
• Key points
• Like twins, but not identical
  • Figure 3: U.S. sales and forecast of shampoo and conditioner, at current prices, by segment, 2002-12
  • Figure 4: U.S. sales of shampoo and conditioner, by segment, 2005 and 2007
  • Figure 5: U.S. sales and forecast of shampoo, at current prices, 2002-12
  • Figure 6: U.S. sales and forecast of shampoo, at inflation-adjusted prices, 2002-12
  • Figure 7: U.S. sales and forecast of conditioner, at current prices, 2002-12
  • Figure 8: U.S. sales and forecast of conditioner at inflation-adjusted prices, 2002-12
• Retail Channels
• Key points
• Breadth of category offerings lines up with breadth of channels
  • Figure 9: U.S. sales of shampoo and conditioner, by retail channel, 2005 and 2007
• Retail Channels--Supermarkets
• Key points
• Competitive pressure has forced supermarkets to emphasize the perimeter at the expense of personal care
  • Figure 10: U.S. sales of shampoo and conditioner at food stores, 2002-07
• Retail Channels--Drug stores
• Key points
• Drug stores court the premium market
  • Figure 11: U.S. sales of shampoo and conditioner at drug stores, 2002-07
• Retail Channels--Natural Channels
• Natural channel/SPINS
• Challenges in natural/organic personal care
  • Figure 12: Natural product supermarket retail sales of shampoo and conditioner, at current and inflation-adjusted prices, 2005-07
• Natural channel sales by segment
  • Figure 13: Natural product supermarket retail sales of shampoo and conditioner, by segment, 2005-07
  • Figure 14: Natural product supermarket retail sales of shampoo, at current and constant prices, 2005-07Figure 15: Natural product supermarket retail sales of conditioner, at current and constant prices, 2005-07
• Shampoo and conditioner natural channel brands
  • Figure 16: Manufacturer brand natural supermarket sales of shampoo and conditioner, 2005 and 2007
• Retail Channels--Beauty Salons & Barbershops
• Key points
• Growth continues despite diversion to mass
  • Figure 17: U.S. sales of shampoo and conditioner at beauty salons and barbershops, 2002-07
• Retail Channels--Other
• Key points
• Wal-Mart leads the mainstream, but plenty of room for other offerings
  • Figure 18: U.S. sales of shampoo and conditioner at other channels, 2002-07
• Market Drivers
• Targeted opportunities among seniors and Hispanics
  • Figure 19: U.S. population and projections and usage of shampoo, by age, 2003-13
  • Figure 20: U.S. population and projections and usage of conditioner, by age, 2003-13
  • Figure 21: U.S. population and projections and usage of shampoo, by race/ethnicity, 2003-13
  • Figure 22: U.S. population and projections and usage of conditioner, by race/ethnicity, 2003-13
• Leading Companies
• Key points
• P&G leads, but others maintain solid positions
  • Figure 23: Sales of leading shampoo and conditioner companies, 2006 and 2007
• Brand Share--Shampoo
• Key points
• Among major brands, re-stages move market share
  • Figure 24: FDM brand sales of shampoo in the U.S., 2006 and 2007
• Brand Share--Conditioner
• Key points
• Conditioners key to brand share growth
  • Figure 25: FDM brand sales of conditioner in the U.S., 2006 and 2007
• Brand Qualities
• Pantene
• Head & Shoulders
• Garnier Fructis
• Suave
• Sunsilk
• Innovation and Innovators
• Bright colors are hot, and getting hotter
• A new idea for aging hair from Dove
• The long tail of innovation
• Advertising and Promotion
• Overview
  • Figure 26: Media expenditures for shampoo and conditioner brands from Brandweek' s Superbrands report, 2007
• Brand campaigns, with product-focused messages
• Targeting is young and female, with a few notable exceptions
  • Figure 27: Pantene television ad, 2007
  • Figure 28: Garnier Fructis television ad, 2007
  • Figure 29: Garnier Fructis television ad, 2007Figure 30: Herbal Essences television ad, 2007
  • Figure 31: Head & Shoulders--Male television ad, 2007
  • Figure 32: Head & Shoulders--Female television ad, 2007
  • Figure 33: Suave--television ad, 2007
  • Figure 34: Dove Pro-Age--television ad, 2007Conditioners starting to take center stage
  • Figure 35: Garnier Fructis Deep Conditioner television ad, 2007
  • Figure 36: Pantene Conditioner television ad, 2007Figure 37: Pantene Conditioner television ad, 2007
  • Figure 38: Head & Shoulders Conditioner television ad, 2007
• A variety of executional approaches, along with a few category conventions
  • Figure 39: Pantene television ad, 2007
  • Figure 40: Garnier Fructis television ad, 2007
  • Figure 41: Herbal Essences television ad, 2007Figure 42: Dove television ad, 2007
• Usage
• Key findings
• Usage and frequency of shampoo and conditioner
  • Figure 43: Usage of shampoo and conditioner, by gender, May 2006-June 2007
  • Figure 44: Male usage of shampoo and conditioner, by age, May 2006-June 2007
  • Figure 45: Female usage of shampoo and conditioner, by age, May 2006-June 2007
• Types of hair problems
  • Figure 46: Types of hair problems, by gender, February 2008
• Type of shampoo used
  • Figure 47: Types of shampoo used, by gender, May 2006-June 2007
• Types of conditioner used
  • Figure 48: Types of conditioner used, by gender, May 2006-June 2007
  • Figure 49: Types of conditioner used by females, by age, May 2006-June 2007
• Product Preferences and Attitudes
• Attitudes toward shampoos and conditioners
• Key points
  • Figure 50: Attitudes towards shampoos and conditioners, by gender, February 2008
• Purchase factors for shampoo and conditioner selection
  • Figure 51: Purchase influences, by gender, February 2008
  • Figure 52: Purchase influences, by age, February 2008
• Average price paid
  • Figure 53: Average price paid for shampoo and conditioner, by gender, February 2008
  • Figure 54: Average price paid for shampoo and conditioner, by age, February 2008Nature-friendly product claims
  • Figure 55: Nature-friendly product claims, by gender, February 2008
• Brand Loyalty and Brands Purchased
• Key points
• Brand loyalty
  • Figure 56: Brand loyalty, by gender, February 2008Shampoo brand usage
  • Figure 57: Use of shampoo brands among males, by age, May 2006-June 2007
  • Figure 58: Use of shampoo brands among females, by age, May 2006-June 2007
• Conditioner brand usage
  • Figure 59: Use of conditioner brands, by gender, May 2006-June 2007
• Race/Ethnicity
• Key points
  • Figure 60: Usage and frequency of shampoo and conditioner, by race/ethnicity, May 2006-June 2007
  • Figure 61: Types of hair problems, by race/ethnicity, February 2008
  • Figure 62: Attitudes toward shampoos and conditioners, by race/ethnicity, February 2008
• Teens and Kids
• Key findings
• Teens
  • Figure 63: Usage and frequency of use of shampoo and conditioner by teens, by age and gender, May 2006-June 2007
  • Figure 64: Types of shampoo used by teens, by age and gender, May 2006-June 2007
  • Figure 65: Types of Conditioner used by teens, by age and gender, May 2006-June 2007
• Kids
  • Figure 66: Use and frequency of use of shampoos by adults, teens, and children, by age, May 2006-June 2007
  • Figure 67: Use of shampoo brands by children, by age, May 2006-June 2007
• Appendix: Other Useful Consumer Tables
• Attitudes
  • Figure 88: Attitudes and purchase preferences, by income, December 2007
  • Figure 89: Attitudes towards shampoos and conditioners, by age, February 2008
• Types and brands used
  • Figure 90: Types of shampoo used by males, by race/ethnicity, May 2006-June 2007
  • Figure 91: Types of shampoo used by females, by race/ethnicity, May 2006-June 2007
  • Figure 92: Use of shampoo brands, by race/ethnicity, May 2006-June 2007
  • Figure 93: Use of conditioner brands, by race/ethnicity, May 2006-June 2007
• Appendix: Trade Associations