Page 31 - CTPA-Annual-Report-2019-book
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  What impact is expected on the GB market from COVID-19?
CTPA Annual Report 2019
   “We expect to see dramatic changes in 2020 because of the shopping disruption that has ripped through Britain as shoppers fight (literally in some cases) for products in the grocers.
“Liquid soap, which includes hand sanitisers, nearly trebled in value for a four week period compared with March 2019, and bar soap grew 160%. Whilst people were in store,
they grabbed their other toiletry essentials as we saw four weekly growth in March 2020 vs 2019 e.g. toothpaste 38%, shampoo 15%, bath & shower 26% and so on.
“However, it is telling that razor blades saw a decline as the male population didn’t consider the need to stockpile these products for the working from home period to come.
“We have already seen usage habits gradually changing, as with 2018, working from home and men with beards are not helping, personal care regimes simplify when we don’t have to leave the house! This is another reason that the fortunes of colour cosmetics (make-up) and fragrance may struggle to recover as their usage will decline during the enforced lockdown.
“The big question will this pan out over 2020? Could hand washing become a new ‘fashion’ as people learn the importance of good hygiene? Will make-up recover and women splash out on treats when this is all over? If they do, where will they purchase? Over 32% of prestige beauty is purchased online for example; will there be many department stores left to attract shoppers?
....and we haven’t mentioned Brexit, will this change purchasing habits? I suspect not initially as any changes will pale into insignificance compared with the crater of doubt created by the COVID-19 virus.
“The Naturals trend and sustainability issues have come more to the fore, any manufacturer should be looking at how sustainable their brand is right now but of course all this is to come. Beauty Treatments (visits to salons) had another good year with value up 6% but again, during lockdown, salons will suffer greatly, maybe driving some back to the retail trade for hair, skincare and other relatable products.
“At this stage, it would be very hard to predict the final outcome for 2020 but it is certainly true that the industry faces more issues than ever before, but maybe, just maybe, it will come out stronger for 2021.
Good luck everyone.
Tim Nancholas

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