Food, housing and clothing are the basic provisions humans need to survive. But beyond surviving, people want to live! Some people just don’t want to eat anything, live anywhere or wear anything. They want to eat healthy, live comfortably and be the cynosure of all eyes when they step out. That’s why people invest a fortune on expensive couture and spend so much time in front of the mirror trying to get the perfect look.
The business of fashion has become a multibillion-dollar industry, its rising revenue coinciding with the rising taste and income of people. Looking good has become so essential; it is no longer the exclusive right of celebrities and top shots. People from all walks of life: professionals, executives, students, and even priests pay top dollar to look good. Perhaps this is down to the cliché: how you dress determines the way you are addressed – it also determines your carriage and the confidence you exude. For a woman dressed in Prada complemented with a Birkin bag and Jimmy Choo shoes, it definitely does something for her self-esteem even though this might not count in the corporate world.
Looking good however is not only about donning designer outfits. A flawless skin, stylish hair and a nice fragrance is just as important as what you wear. Although beauty and skin care is considered a woman’s forte, men also take cognizance of the importance of looking good – they spend as much on personal grooming.
Categorized into hair care (weave-ons, braids, shampoos, conditioners etc.) skin care (anti-aging cream, facials, body lotions, moisturizers etc.) make-up (powders, concealers, nail polish, blush etc.) fragrances (body sprays, deodorants, anti-perspirants, essential oils etc.) and toiletries (bathing soaps, wipes, tissues, tooth paste etc.), the industry caters to daily personal hygiene and care which rationalizes why people all over the world invest a lot on beauty and skin products.
Africa is not left out of this trend. With a population of about a billion people, which consist mainly of young, educated, vibrant youths and the rising income of its middle class, the continent provides a large market for the industry. Besides individual interests, organisations also demand that their staff look and dress in a way that identifies with the company’s brand, drive sales and attract clients.
According to Euromonitor, sales in the beauty and personal care sector in the Middle East and Africa in 2011 was estimated at about $20.4 billion. Of this amount, South Africa generated market revenue of $3.9 billion beating Nigeria to second place with market value of $595.8 million and Kenya to third with $260 million market value.
Nigeria’s revenue is however expected to shoot up to $620.2 million by 2016 due to the increasing population of fashionable youths, and with the recent craze for human hair extensions in the country, this prediction is not far-fetched. The hair, which comes in different categories such as Brazilian, Peruvian, Bohemian, Russian, Malaysian and many more, cost as much as N10, 000 ($60.6) to N250, 000 ($1,517) depending on the quality, type, colour and length and this is exclusive of how much is required to fix it.
It’s no wonder multinational cosmetic companies such as Avon, L’oreal, MAC, Clinique, IMAN etc. and hair extension manufacturers have expanded their markets to the continent, providing a wide range of products to accommodate all social status. Even indigenous companies such as Forever Claire product, Ghana, House of Tara, Nigeria and Suzies’s Beauty, Kenya are taking advantage of the vast opportunities the industry presents, adding an African touch to their products.
Although these companies are cashing in on the African market, they are also providing a wide range of opportunities for organisations and small business owners.
Companies that have distribution rights sell to individuals who own channels such as salons, spas, barbers’ shops, retail stores, pharmacies ad stalls in open markets, ensuring that the products get to the consumers. Another platform people explore is the online marketing platform, which provides a global presence, granting access to a wider range of people.
As demand for these products rise, companies are not resting on their laurels, especially with the intense competition for market share. These companies keep innovating to win the hearts of customers. If you therefore decide to be a big player like the L’Oreal or House of Tara or a distributor or retailer of beauty products, strategic approach is required to cash in on the opportunities and make money from people’s thirst to look good.
