In 2017, household care represented $174bn in global spending; chiefly driven by paper products and textile washing products, the sector is dominated by the US and a rapidly growing Chinese market. Solid growth is predicted in the market both across regions and key segments, though there are several notably challenges that need to be taken into consideration. 

Despite the relative tendency towards conservatism in consumer selection criteria for household care and laundry products, innovation is expected to play a key role in overcoming the challenges of changes of consumer trends, environmental issues, and demand for reasonably priced high-performance products. Although established brands have a distinct advantage given the influence of familiarity on consumer choice, diversifying consumer demand may offer new brands opportunities to appeal with cutting-edge innovations.

In the May report from GlobalData, Top Trends in Household Care and Laundry Products 2018, senior innovation analyst Mitsue Konishi explores the key trends impacting the household cleaning and laundry categories. Drawing from research detailed in the report, we take a look at the key drivers behind the household cleaning and laundry sector. 

The fourth-most influential factor for household care and laundry product purchases, tailoring products to specific needs and personalities is likely to be highly important for innovations in the sector. GlobalData’s 2016 Q3 global consumer survey found that more than half of global consumers are influenced by the trend, though it finds slightly more support among women than men (62% as compared to 53%). With such strong support across genders and regions, there is great potential for brands to develop household care or laundry innovations that focus on catering to specific demographics, needs, and lifestyles.

Although the survey found that there was more than 50% interest in products personalised according to three of the five themes identified (lifestyle, gender, age group, religion/beliefs, and ethnicity), personalisation seemed to have the greatest effect when targeting lifestyle (70% female support, 62% male support) and gender (67% female support, 59% male support). Targeting religion/beliefs and ethnicity found highs of only 33% support and are likely best overlooked.

Top Trends in Household Care and Laundry Products 2018 highlights products such as Cool & Cool abaya cleansing shampoo in the UAE which is designed to protect the colour of a black abaya (a garment worn by women) and remove stains, as well as Japan’s Earth Nomat Qun Qum mosquito repellent, which employs a “cute” design device and floral scent, as examples of products successfully catering to specific demographics. Lifestyle products are best targeted towards portability, the report highlights a personal toilet odour eliminator and travel stain remover wipes, with the principle consideration being active and on-the-go lifestyles. 

Notably, although there is broad agreement with personalisation affecting product choices across regions, the trend finds particular strength in Latin America. Where North American and European consumers hovered around the mid-50s percentile for influence by personalisation, 64% of Latin American consumers said they were often/always influenced by the trend when choosing household cleaning and laundry products. There is prevalent opportunity for brands to design products here that target specific consumer sectors and the way in which they may interact with the household care/laundry sector.

One of the chief expectations of products in the household care and laundry sector is a high level of functional performance, far more so than other sectors such as beauty and grooming or food and drink. By catering to consumers’ desire to make housekeeping easier and more efficient, brands that invest in improving functionality or offering new functionality can tap into one of the most powerful sources of resonance with consumers.  GlobalData’s 2015 Q2 global consumer survey found that there was more than 50% preference for more functionality when buying household care and laundry products across global regions, with a global consumer average of 55%.

Of particular note, 69% of consumers in Central and South America and 60% of consumers in the Middle East and Africa expressed a preference for buying household care and laundry products based on more functionality. The Q4 survey of that year also found that 45% of consumers in the Middle East and Africa agreed with the statement that product performance claims makes them buy a particular product for household cleaning, though in Central and South America the number was only 27%; globally, there was only 36% agreement regarding household cleaning products and 32% regarding laundry products.  

In regards to the specific functionality offerings brands should look to make, according to the GlobalData 2016 Q4 consumer survey, 53% of global consumers somewhat or complete agree with the statement that they would pay more for household cleaning products that offer time-saving benefits. Meanwhile, the 2015 Q4 global consumer survey found 69% of global consumers find that their clothes/fabrics smelling fresh even after being stored for a long period of time or after multiple wears is somewhat/extremely important. While innovation in other areas is likely to be welcome, GlobalData’s research that suggests brands should seriously consider configuring their products to best offer improved efficiency and efficacy.

Products in the household care and laundry sector are closely tied to familiarity, GlobalData’s 2016 Q3 consumer survey found only one region (Europe) in which less than 60% of consumers said they were often/always influenced by familiarity/trust-worthiness when choosing household cleaning and laundry products. As a global average, 63% of consumers are influenced by familiarity when purchasing products in the household care and laundry sector. However, there is also a not insignificant consumer desire to see something new in these categories and products that are able to combine both the new and the traditional are likely to find success.

In this trend, named “new traditional”, laundry and general purpose cleaners have particular potential and the appeal of the trend as a whole seems to be greatest in Latin America. The best approach suggested by the research seems to be the inclusion of traditional ingredients into products that are otherwise innovating, GlobalData’s 2017 Q1 global consumer survey found that lemon, baking soda, vinegar, and steam all had high perceptions as effective. Brands should particularly consider the inclusion of lemon as, across regions, it had a 70% plus perception as effective in household care or laundry products. 

Brands should look to not just include these traditional ingredients but ensure to promote their inclusion. Consumers are likely to appreciate combinations of traditional ingredients with new twists but will require products to present with the appropriate level of familiarity. The trick will be finding the appropriate balance between selling innovation and ensuring consumers still respond to the familiarity that drives much of the purchasing in the sector.