Bar soap

The global bar soap market  size is estimated to grow by $8.76 billion from 2024-2028 at a compound annual growth rate (CAGR) of 4.36 percent, according to research from Technavio. Growing hygiene awareness is driving market growth, with a trend towards growing use of sustainable materials in soap bar packaging. However, stringent government regulations and standards related to beauty and personal care (BPC) products poses a challenge.

Trends Fueling Growth

The bar soap market is witnessing innovation in soap packaging, with new designs and materials gaining popularity. The shift towards sustainable packaging is a response to increasing consumer concern for the environment. The use of Post-Consumer Recycled (PCR) material, derived from previously used plastics, significantly reduces plastic waste and supports a circular economy.

The Bar Soap Market is witnessing notable trends in various sectors, including dishwashing and body cleaning. Consumers are increasingly preferring natural and vegan options, with lemongrass, rosemary, tea tree oil, and eucalyptus being popular choices for their unique scents and health benefits. For those with scalp eczema or sensitive skin, natural and clean products free from GMOs, gluten, and soy are in high demand. Eco-friendly and plant-based soaps, available in various colors and fragrances, are gaining traction in beauty care and skincare routines.

Brands are focusing on moisturizing ingredients like shea butter, cocoa butter, and coconut oil, as well as essential oils and exfoliating properties. Specialty bar soaps, such as those from OilBlends, are increasingly popular for their unique offerings. Offline stores continue to be a significant sales channel, but online retailer platforms are also seeing growth due to convenience and accessibility. . Consumers are embracing multi-step routines and daily rituals for personal hygiene and self-care, leading to increased demand for a wide range of bar soap offerings. Plastic-free clamshells and eco-friendly packaging are also becoming essential considerations for environmentally-conscious consumers. 

Market Challenges

In the US, the Food and Drug Administration (FDA) strictly regulates the use and labeling of chemical ingredients in beauty and personal care (BPC) products, including bar soaps. The FDA enforces regulations under the Federal Food, Drug, and Cosmetic Act (FD&C Act) and the Fair Packaging and Labeling Act (FPLA). Bar soap vendors must comply with these regulations, which include listing all ingredients on labels and adhering to prescribed limits for chemical ingredients in liquid hand soaps to avoid potential health hazards. Some bar soap ingredients, such as parabens, fragrances, and phthalates, may be harmful and must be disclosed. Manufacturers face challenges in penetrating the market due to these regulations, as well as the requirement to avoid making false claims about their products.

The soap market faces several challenges in catering to diverse consumer needs. Stuck drawers due to solid soap bars pose an issue for consumers. Glycerin-free soaps can cause dry skin and sensitivities like eczema. Bacteria growth and maintaining pH levels are concerns in commercial places like schools, colleges, fitness centers, restaurants, and hotels. Cleaning agents and hygiene products like Hand wash, Sanitizers, and Surfactants require careful formulation to avoid allergic reactions. Raw materials like sodium laurel sulfate and chemical emulsifiers are commonly used but may not appeal to consumers seeking natural ingredients. Organic bar soaps made from natural lipid layers, clay, oil cleansing, and herbal powders like gram flour, orange peel powder, and whole wheat flour are gaining popularity.

Read more on the trends around bar soap here.