Suncare Preparations - Germany - December 2004

INTRODUCTION
Definitions
 ABBREVIATIONS
EXECUTIVE SUMMARY
Mixed influences boost volume sales, but dent value sales
Self-tanning products are the only growth sector
Self-service druggists are the main distributor, but discounters encroach
Nivea Sun remains the best-seller, yet own-labels soar
Consumer concern about skin damage prompts new products
Women and high earners are core users
Volume sales are likely to grow
MARKET DRIVERS
Demographics a mixed bag
Figure 1: Trends in German population, by age, 1999-2003
Families spend more on suncare products, so low birth rate is bad news
Figure 2: Trends in number of German households, by size, 1998-2002
Figure 3: Trends in German child population, by age, 1999-2003
Usage is linked to level of income and working status
Figure 4: Trends in German employment, 1999-2003
The weather is a key market driver
Consumer education raises health awareness…
…but a suntan is still desirable
Skincare and sun protection – blurring of boundaries
MARKET SIZE AND TRENDS
A sharp decline in market value in 2004
Figure 5: German retail value sales of suncare preparations, at current and constant prices, 1999-2004
Self-tanning preparations are the only product sector to grow
Figure 6: German retail value sales of suncare preparations, by sector, 1999-2004
Figure 7: German retail value sales of suncare preparations, % share by sector, 1999 and 2004
Prices are falling
Figure 8: Typical prices of suncare preparations in German retail outlets, November 2004
MARKET SEGMENTATION
Figure 9: German retail value sales of selected specialist suncare preparations, 2001-04
Figure 10: German retail value sales of sun protection preparations, by factor, 2001-04
Figure 11: German retail value sales of sun protection and after-sun preparations, by format, 2001-04
DISTRIBUTION
Self-service druggists lead distribution
Figure 12: German retail value sales of suncare preparations, by outlet type, 2000-04
Figure 13: German retail value sales of suncare preparations, by outlet type, 2000 and 2004
Trading base
Grocery stores and discounters
Figure 14: Number of retail outlets in Germany, by store size, 1995-2002
Figure 15: Major food and daily goods retailers in Germany, by number of outlets, 2002-03
Self-service druggists
Figure 16: Major drugstores in Germany, by number of outlets, 2001-03
Department and variety stores
Figure 17: Major department and variety stores in Germany, by number of outlets, 2002-03
THE SUPPLY STRUCTURE
 BRANDS’ SHARES
Figure 18: Brands’ shares of German retail value sales of suncare preparations, 2001-04
Figure 19: Own-labels vs branded products, sales of suncare preparations, 2001-04
Own-labels at their strongest in sun protection preparations
Figure 20: Brands’ shares of German retail value sales of sun protection preparations, 2001-04
Figure 21: Popularity of sun protection brands, 1999-2004
Figure 22: Brands’ shares of German retail value sales of after-sun preparations, 2001-04
L’Oréal leads in self-tanning products
Figure 23: Brands’ shares of German retail value sales of self-tanning preparations, 2001-04
 COMPANIES AND BRANDS
Beiersdorf AG
Greiter International AG (Johnson & Johnson)
L'Oréal Haarkosmetik und Parfümerien GmbH & Co KG
Sara Lee Household & Body Care Deutschland GmbH
NEW PRODUCT DEVELOPMENT
New product launches 2004
THE CONSUMER
 EUROPEAN COMPARISON OF PRODUCT USE
Figure 24: Penetration of suntan lotions, oils and creams, by country, 2004
 USE OF SUNCARE PREPARATIONS IN GERMANY
Trends in product use by type
Figure 25: Trends in penetration of suntan lotions, oils and creams, by type, by women, 2002-04
Figure 26: Trends in penetration of suntan lotions, oils and creams, by type, by men, 2002-04
Trends in frequency of use
Figure 27: Trends in penetration and weight of use of suntan lotions, oils and creams, by women, 2002-04
Figure 28: Trends in penetration and weight of use of suntan lotions, oils and creams, by men, 2002-04
Use of suncare preparations by product type
Figure 29: Topline use of suncare preparations, by type, by gender, 2004
Figure 30: Penetration of suntan lotions, oils and creams, by women, by age, 2004
Figure 31: Penetration of suntan lotions, oils and creams, by men, by age, 2004
Figure 32: Penetration of suntan lotions, oils and creams, by women, by income and working status, 2004
Figure 33: Penetration of suntan lotions, oils and creams, by men, by income and working status, 2004
Figure 34: Penetration of suntan lotions, oils and creams, by women, by region, 2004
Figure 35: Penetration of suntan lotions, oils and creams, by men, by region, 2004
Figure 36: Penetration of suntan lotions, oils and creams, by women, by presence of children and household size, 2004
Figure 37: Penetration of suntan lotions, oils and creams, by men, by presence of children and household size, 2004
Weight of use of suncare preparations
Figure 38: Topline volume use of suncare preparations, by gender, 2004
Figure 39: Penetration and weight of use of suntan lotions, oils and creams, by women, by age, 2004
Figure 40: Penetration and weigth of use of suntan lotions, oils and creams, by men, by age, 2004
Figure 41: Penetration and weight of use of suntan lotions, oils and creams, by women, by income and working status, 2004
Figure 42: Penetration and weight of use of suntan lotions, oils and creams, by men, by income and working status, 2004
Figure 43: Penetration and weight of use of suntan lotions, oils and creams, by women, by region, 2004
Figure 44: Penetration and weight of use of suntan lotions, oils and creams, by men, by region, 2004
Figure 45: Penetration and weight of use of suntan lotions, oils and creams, by women, by presence of children and household size, 2004
Figure 46: Penetration and weight of use of suntan lotions, oils and creams, by men, by presence of children and household size, 2004
 LIFESTYLE STATEMENTS
Figure 47: Attitudes towards holidays, by all women and users of suncare preparations, 2004
Figure 48: Attitudes towards holidays, by all men and users of suncare preparations, 2004
Figure 49: Attitudes towards media and advertising, by all women and users of suncare preparations, 2004
Figure 50: Attitudes towards media and advertising, by all men and users of suncare preparations, 2004
Figure 51: Attitudes towards personal care and health, by all women and users of suncare preparations, 2004
Figure 52: Attitudes towards personal care and health, by all men and users of suncare preparations, 2004
Figure 53: Attitudes towards quality and brands, by all women and users of suncare preparations, 2004
Figure 54: Attitudes towards quality and brands, by all men and users of suncare preparations, 2004
Figure 55: Attitudes towards ethics, by all women and users of suncare preparations, 2004
Figure 56: Attitudes towards ethics, by all men and users of suncare preparations, 2004
 TARGET GROUPS
Figure 57: Penetration and weight of use of suntan lotions, oils and creams among women, by target groups, 2004
Figure 58: Penetration and weight of use of suntan lotions, oils and creams among men, by target groups, 2004
PROSPECTS
Global warming and health warnings are significant market drivers
More focus on men and children
Scientific innovation to shape the market
False sense of security may bring an end to high SPF craze
Further blurring of suncare and skincare products
FORECAST
Germans less keen to venture abroad
Figure 59: Main international destinations for Germany, 1980-2002
Eastern Mediterranean offers only growth area
Value sales not responding to holiday numbers
Figure 60: Forecast of German retail value sales of suncare preparations, 2004-09
Sunlight at end of tunnel
Age used as sole input factor