The Rise of The Suncare
The scorching heat of the Indian summer has become a major market driver for the suncare segment. As per Statista Market Insights, the revenue in the sun protection segment is pegged at $0.68 billion in 2023. The market is expected to grow annually by 8.58 per cent (CAGR 2023-2027).
According to industry estimates, while pharma companies manufactured medicated or prescription-based sunscreens continue to enjoy around 37 per cent of the total market share, the potential for growth and high consumer demand has made the over-the-counter (OTC) sunscreens rule the market with a whopping 63 per cent share. The Indian sunscreen market is one of the highest and fastest-growing in the skincare segment in India.
All-round Growth
The prescription-based suncare market’s growth rate is at 25 per cent, while the OTC sunscreen market is at 22 per cent. The market size can be understood by the fact that while pharma companies like Glenmark have launched OTC variants of their sunscreens, Hindustan Unilever’s skincare brand Pond too jumped on the bandwagon and added sunscreens to its portfolio this summer.
The Indian suncare market has space for all. Luxury brands such as Kiels, Estee Lauder, Clinique, Laneige and Paula’s Choice enjoy a good market share, along with names such as Lotus Herbals, Aroma Magic, Plum and younger players including the likes of Ayouthveda, Minimalist and Deconstruct, among others.
Ajay Kakar, Founder & CEO, Salve Group, stresses on the need for suncare. "Regardless of skin colour, everyone is at risk of sun damage. People with fair skin may have sunburn more quickly, but individuals with darker skin tones can still experience a sunburn, skin damage, and an increased risk of skin cancer. Therefore, sunscreen products are essential for everyone."
A Place For All
A decade ago, the sunscreen market was dominated by dermatologists prescribed sunscreens that were given to those who had excessive exposure to the sun, sensitive skin or skin issues such as pigmentation. Over the years, external factors such as climate change and growing consumer awareness have contributed to the increase in sunscreen sales in India.
“La Shield was launched in 2012. Over the years, the brand grew its portfolio to offer a range of mineral sunscreens that cater to different skin types. Today the brand has a range of six expert mineral sunscreens,” informs Alok Malik, Executive Vice President and Head of India Formulations, Glenmark Pharmaceuticals.
Another brand that is commonly suggested by dermatologists, Fixderma, too has seen consistent growth as consumers are now more aware, thanks to influencer marketing and access to information. “We make our formulations work according to the consumers’ needs since we are not an OTC brand. And with the market size being huge, specialised suncare products have found their loyalists,” adds Shaily Mehrotra, CEO & Founder, Fixderma.
"Traditionally dominated by legacy brands, the sunscreen sub-category within skincare is now witnessing a boom in consumer affinity towards direct-to-consumer (D2C) companies offering new-age innovative sun-protection solutions. Plum is one of the top 3 D2C skincare brands dominating sunscreen sales in the market currently," comments Rijita Ghatak, Category Lead, Skincare, Plum Goodness.
Decade old brands too are adding suncare to their portfolio. “O3+ is continuing to innovate and provide a range of sunscreens to meet the diverse needs of its customers. We are launching sunscreen for Men that will have more specific features specially curated for men,” says Vidur Kapur, Director, O3+ Professional Skincare.
Cosmetic brands are eager to join the ever-competitive market as well. Colorbar introduced an exclusive suncare range as a part of its recent product expansion strategy. “Over 10 per cent of our total sales is attributed to our SPF (sun protection formula) range. We remain dedicated to developing innovative and effective solutions that are not only performance-driven but also empower our consumers to look and feel their best every day,” comments Samir K. Modi, Founder and Managing Director, Colorbar.
"The increased demand for sunscreen reflects a positive trend of people taking their skin health seriously and taking measures to safeguard themselves from the sun's harmful effects," says Ajay Khanna, CMO, Amway India. Gautam Bali, MD, Vestige Marketing adds to this, "The demand has risen from 13 per cent in 2020-2021 to 22 per cent in 2021-22. In Vestige Marketing, cosmetics and personal care contributes to 17 per cent, where 13 per cent of sales comes from personal care and 4 per cent of sales are in cosmetic products."
Dheeraj Bansal, Founder of Recode Studios comments, "It’s safe to say that the post-pandemic era has a newfound love for skincare trends. Within the last few years, the concept of sun protection has evolved quite a bit. With increasing awareness about skin health and the damaging effect of UV rays, the demand for new-age sunscreens in India has been steadily growing."
Luxury Suncare Grows
Lux brands too have found their place under the sun. Sunscreen is one of the fastest-growing segments for Kiehl’s with an 8 per cent weight of business. “We have seen an uptrend in the last few years as a direct result of consistently educating our customers during our consultations and social media campaigns,” says Priyanka Sachdeva, Head of Marketing, Kiehl's India.
US-based luxe brand Paula’s Choice, which was retailing only through Amazon, is now all set to enter the Indian market through its direct-to-consumer channel later this year, adding to the space.
Laneige is another brand that has become popular in the segment. "Choose a sunscreen that not only protects against UV rays but also hydrates, replenishes, soothes and slows down the aging of the skin. Laneige Sunscreens are getting a huge demand these days and is loved by all who knows Laneige," says Mini Sood Banerjee :Assistant Director & Head of Marketing and Training at AmorePacific Group.
Priya Bhandari, Head of trainings, Skeyndor says, "We are excited to introduce new and advanced formulations of our sun protection range with blue light technology and have things in the pipeline to introduce the Indian market with more such innovative and anticipated launches of the year."
Attracting The Young Entrepreneurs
Apart from decade-old companies, the sun protection market has drawn the attention of new entrepreneurs as well, who prefer ‘science-based formulations’ and online sales only.
“We will penetrate deeper into the market with our suncare categories. We plan to launch more products in extension to our skincare range. Our focus is to expand the presence of our winning products and launch unique solutions for modern Indian skincare needs,” states Prakher Mathur, Co-founder & COO of Conscious Chemist, a four-year-old beauty and skincare brand.
Mohit Yadav, Co-founder, Minimalist, a company formed in 2020, also reiterates the growing significance of sunscreen in the Indian market. The startup places importance on a rigorous testing process in FDA-certified labs. Punitha Vijayakrishnan, Head of Outreach Marketing, CHOSEN says that the company has been exploring the potential of plant based SPF blockers to ease the transition for users from chemical to non chemical based sunscreens. The Lip Balm Company, which has introduced SPF based lip care, has also dedicated 5 per cent of its product portfolio to sun care, says Irene Janet A, Chief Coordinator, E-Commerce Execution.
Apart from chemical and mineral-based sunscreens, ayurveda and other natural sun protection formulations are also gaining demand in India, making a place for young companies to foray into the space.
Newer skincare companies are also adding SPF to their existing range to cash on the demand. “Keeping the harsh summers in mind, we launched our SPF-based cream-based moisturiser, as the first product in our portfolio of skincare range,” states Harsh Jain, Co-founder of OSIA OSIA.
Given the high growth rate of the beauty and personal care sector in India, and of the suncare category within this, most players see it as a sunshine sector in the years to come.
