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UK’s organic beauty and wellbeing market declines eight per cent

The UK’s organic beauty and wellbeing market experienced an eight per cent decline in sales last year, the Soil Association’s 2024 Organic Beauty and Wellbeing Market Report reveals. This was the first year that the market experienced a decline in sales following 12 consecutive years of growth.

Over 60 per cent of Soil Association Organic certified beauty and wellness brands agree that the cost of living crisis continues to be the number one factor impeding the growth of potential businesses. Other factors that have contributed to the downturn of the market include the war in Ukraine, hangover from the pandemic and the effects of Brexit. The report also notes that a challenging regulatory environment and a lack of regulation has added to these challenges.

The report states that the certified organic market is currently facing a challenging economic climate and disruption to supply chains, which the certified organic beauty and wellbeing market has not been immune. One quarter of Soil Association Organic certified beauty and wellness brands cite the impact of greenwashing for negatively effecting their businesses, while another quarter have been affected by import and export issues – the effects of Brexit are estimated to have wiped £850m from the UK beauty industry’s export market.

However, within the sector some categories have seen strong performance in 2023, with Mother and Baby Care growing by an impressive 65 per cent. This is a strong category for organic where it is over-indexed in baby food, with two thirds of baby food products in the UK being certified organic. Another area that experienced a boost in sales was Health and Personal Care products, which grew by six per cent. This includes oral care, deodorants, feminine hygiene, medical devices and supplements, which reflects a wider market trend that has seen consumers prioritise products with a healthcare focus.

While 2023 was undoubtedly a tough year for many certified organic beauty and wellbeing brands, 2024 looks more positive with 90 per cent of Soil Association certified brands anticipating growth in the year ahead.

You can download the full report for free HERE.

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