Over the course of time, a notable increase has been seen in the
demand for personal care products across the globe. These products are demanded
more and more on a daily basis because of increased emphasis on personal care
and hygiene in the more developed parts of the economy. Examples of personal
products include toiletries, tooth brush, toothpaste, deodorant, cologne, nail
files, make up etc. personal products today play a very important role in
grooming of a person as it makes a person more presentable and gentle towards
others. This is another reason as to why personal care products, and the
industry as a whole are flourishing.
Speaking of the recent developments in the personal
products sector, we see that firms have started being more and more
creative and innovative. They today try to be more adamant to consumer
preferences and priorities. Similarly, as the recent trend suggests, they try
brining out a Unique Selling Point in their products so that they can sell
easily. Given the nearly saturated status if this particular market, firms have
to be really fast to the changing external environment. Therefore, everyone in
this industry tries to be different from others and develop products that stand
apart from everyone else. An example is of Bodyshops’ motto of “No animal
testing”. Similarly, development of fairness creams for men, and anti-aging
creams and lotions are something consumers are really fascinated with and they
didn’t think that such products can ever exist, let’s say a decade back from
today. Similarly, electronic toothbrush that automatically cleans your mouth
and takes care of all germs that go unnoticed when using a manual conventional
toothbrush is another recent development that has filled quite a wide market
gap. To find out more about new developments in this sector, visit www.bidnessetc.com.
If we have a look at the major firms who have been dominating this
particular market, we see that these few names have been consistently topping
the list for more than a decade now. They are Unilever, Reckitt Benckizer, Proctor and Gamble, Kimberly
Clark Corporation and L’Oreal. These companies have managed to maintain their
financial stakes in a very efficient manner and have managed to serve the
consumers in an impeccable manner. Their outstanding performance in terms of
product range, consumer devotion and constant research and development has been
acting as a barrier to entry for any new firms who wish to enter this
particular market. If we analyse their performance
on the top global stock exchanges like NASDAQ, we see that the global personal
care products industry is heavily concentrated in nature. The top 50 companies
account for a combined market share of around 85%, of the total industry. All
these top companies have been listed n the global top stock exchanges. They
have managed to raise considerable amount of finances using their brand name
and loyalty. Investors today trust these brands more than anything else. These
companies operate globally and have stakes invested in all major stock exchanges
be it in London or New York.
However, doubtlessly there are certain discrepancies that set all
these firms apart. They trade at different prices and this is because of the
varying ratios these firms provide to the investors e.g. P-E ratio, profitability
ratio etc. Nevertheless, amidst the plummeting demand for personal goods, this
industry as a whole is flourishing and the surge in volume these markets are
entitled to on the Stock Exchange cannot be negated at any cost whatsoever. For
more information about the personal goods industry, please log on to
bidnessetc.com.
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