Men’s Skin Care Products Industry ESG Thematic Report, 2023

Environmental, Social and Governance (ESG) in Men’s Skin Care Products Industry

Over the years, the demand for men's skincare products has witnessed a growth, primarily due to the rising awareness among men regarding personal hygiene and grooming globe. Global demand for men's skincare products is being driven by factors like increased consumer disposable income and the proliferation of distribution channels. The market is also being significantly influenced by the growing popularity of products for men's skincare made from sustainable resources. In response to the rising demand for natural components, well-known brands within the sector are focusing more on green formulations.

The growing preference for natural or chemical-free goods among consumers worldwide is driving the market for men's skincare products. Men's skincare products made from naturally derived substances help minimize the use of compounds obtained from petroleum. As a result, over the years, the demand for natural skincare products for men has been driven by the idea of sustainability.

ESG Trends

According to a survey, more than half of customers feel sustainability is important to them when choosing skin care products. Last year, leading manufacturers of men's skin care products came together to co-create a score system and environmental impact assessment for skin care and cosmetics products. According to the consortium, the score system will be brand-neutral and will make it easier for consumers to assess and contrast the environmental effect of cosmetic items while accounting for the entire product life cycle.

According to Zero waste Europe, the beauty and skin care business produces 120 billion packaging units annually, and the UN estimates that just 9% of all plastic waste ever generated by any industry has ever been recycled. A leading skincare company is using environmentally friendly and low-impact ingredients, recycled and recyclable packaging, and has decided never to test their products on animals.

ESG Challenges

Men's skin care products may contain substances like parabens and sulphates that are harmful to the body. For instance, parabens, also known as methyl, ethyl, and isobutyl parabens, are known carcinogens. Sulfates are recognized allergens and are frequently reported as sodium laureth sulphate and sodium lauryl sulphate. Consumers are becoming aware of the negative impacts, and they read the ingredients before buying a skincare or cosmetic product which ultimately can affect reputation of men skin care companies. The environment may suffer a heavy price if the skincare market continues to expand. The environmental effects of skincare products are complex and touch on several important environmental problems.

Coconut oil, shea butter, palm oil, and cocoa butter are all prevalent constituents in many skincare items and are often the fallback for many skincare products. This normally involves cultivating monocultures, which decrease soil carbon sequestration levels. However, monocultures can also be to blame for "high rates of forest loss," particularly in the case of palm oil. In fact, monocultures have an impact on the area around them as well, "reducing biodiversity in adjacent fields and ecosystems." There is no way to create an emissions-free production process for men skincare brands because most emissions fall under Scope 3. Instead, businesses can choose to neutralize or offset their emissions. Additionally, some cosmetic chemicals included in men's skin care products pollute open waters, causing hormone disruption in aquatic creatures and serious problems with their health and ability to reproduce.

There are many things that businesses of all sizes can do, such as refraining from using single-use packaging, harmful ingredients, and rapacious business practices.

Growth of the Men’s Skin Care Products Market

The men’s skin care products market size was valued at USD 11.6 billion in 2019 and is expected to expand at a compound annual growth rate (CAGR) of 6.2% from 2020-2027. The growing demand for men's skincare products will be aided by people’s increased exposure to social media. Men are also becoming more conscious of the importance of self-care, hygiene, and body image. Additionally, skincare companies are increasingly focusing on consumers through the internet (e-commerce) and providing them with convenient access, which will result in a rapid expansion of the product line soon.

Key Companies in this theme

    • Procter and Gamble

    • Unilever

    • L'Oréal

    • Johnson & Johnson Consumer Inc.

    • Edgewell Personal Care

Scope of the Men’s Skincare Products Industry ESG Thematic Report:

    • Macro-economic and ESG-variable analysis of the industry, including regulatory, policy, and innovation landscape

    • Key insights on infrastructure developments and ESG issues affecting the theme

    • Identify key initiatives and challenges within the industry

    • Identify ESG leaders within the industry

    • Understand key initiatives and the impact of companies within the sector to fuel an informed decision-making process

    • Analysis of industry activities based on multi-media sources, including significant controversies and market sentiment

Key Benefits of the Men’s Skincare Products Industry ESG Thematic Report:

    • Developing a comprehensive understanding of macro-economic, Policies & Regulations and innovations affecting the men’s skin care products sector, globally

    • Key insights into environmental developments and ESG issues affecting the theme

    • Identifying ESG risks and opportunities to business among leading players in the men’s skin care products Industry

    • Obtaining a clear and relevant understanding of company actions, progress, and impact and find opportunities for investment