Canadian market sector opportunity: men’s grooming.

The men’s grooming market in Canada has grown considerably within the last few years, with purchasing preferences slowing moving from standard razor blades and cans of shaving foam, toward more skin-friendly products such as pre- and after-shave hand-made lathering soaps, skin care essential oils, beard moisturizers (balms and oils), and hair-styling products.

A study done in Toronto, Canada, found that local barbershops and owners of men’s shaving product companies recently saw a definitive growth in demand for skin-friendly options – so much so, that at times these companies were working overtime to ensure that the demand was being met.

The research found that while “hipster males” may have initially boosted the trend, the artisanal men’s grooming market is becoming a mainstream commodity. Men aged 25-35 are the target demographic, having expressing interest in – and actively purchased – specialty product lines, with marketing programs actively geared toward that segment.

According to Euromonitor, men’s grooming in Canada is expected to record a negligible Compounded Annual Growth Rate (CAGR) of $1 billion by 2020 (at 2015 prices), where men’s toiletries are expected to see a positive value CAGR of 2 per cent (at constant 2015 prices).

The number of small start-up men’s toiletries companies in Canada is growing, but there is room for imports. Currently, Canadian wholesalers seem quite receptive to importing soap options from the United States. The province of Ontario offers the strongest market option – it is currently importing a value of just over USD $19.6 million (from the state of Wisconsin). However, market options can also be found in British Columbia, Alberta, Manitoba, Saskatchewan, Quebec, and New Brunswick.

Overall, Canada imports a total of just over USD $501 million in soap options globally (though this figure does include more than just men’s lines). It is important to mention that the market does have some of the traditional big players that have been around for quite some time (i.e., manufacturers of razor blades and shaving foam). However, the rapid growth observed offers many new opportunities for high quality, all-natural ingredient-based products that are well curated and marketed.

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