Population shifts will center on a rapidly aging populations, combined with a slow down in growth of the young adult population. Research contained in Mintel's recently published 'Medicated Skincare US' report finds that considering this shift in demography manufacturers will have to adapt their medicated skin care offerings according to the shift in the population make up.
Currently valued at $1.67 billion, growth in this category is expected to increase by 21 per cent to 2009, suggesting that there will be plenty of opportunity for all sub-categories - but planning will need to be strategic.
In recent years one of the biggest growths areas for the category has been products aimed at young adults. While the number of teenagers increased by 7.2 per cent during the period 2000 - 2005, reflecting an increased demand for acne treatments.
However, in the next four years, growth of the young adult population is expected to run at 2.4 per cent as a result of lower birth rates in recent years. Reflecting this there is expected to be a corresponding drop in demand for medicated skin care products dedicated to acne treatment.
Where manufacturers should be considering investment in future product development and marketing is medicated skin care products for the older generation. The number of American consumers between the ages of 55 and 64 is set to increase by three million in the period 2005 - 2009.
With such a significant growth in this population, the research at Mintel suggest that manufacturers could do worse than to start focusing on medicated skin care products focusing directly on this group of older Americans.
Marketeers have already identified this age category as a core target to increase revenues in a number of personal care categories. Known as the agiing baby boomers, individuals in this category are increasingly wealthy and are prepared to spend more on health and beauty products.
Overall the demand for medicated skin care products is grounded in prevalence of the skin ailment and the consumer's propensity to treatment, Mintel survey results say. Accordingly, minor cuts happened to 50 per cent of those surveyed, while 46 per cent reported dry lips, 38 per cent had dry or chapped skin, 22 per cent had minor rashes, 14 per cent had acne and 11 per cent suffered cold sores.
Interestingly, when asked what they would use to treat minor skin conditions, one in five respondents said nothing. Mintel suggests that in light of this, marketers could benefit from educating consumers about potential discomfort and dangers of ignoring skin problems.