2021 Home cleaning care market characteristics and consumption trends insight

Overview of home cleaning care market in China

In the post-epidemic era, the household cleaning care market has ushered in new development opportunities and challenges under the combined effect of China's demographic transformation and consumption upgrading

Acceleration of urbanization

According to the data of Qipu, China's urbanization rate will reach 63.9% in 2020 from 50% in 2010, with an average annual growth rate of 1.4%, and it is in a stage of rapid urbanization development

According to the 14th Five-Year Plan, China's urbanization rate will reach 65% by 2025

Family structure is miniaturized

China's family structure shows the characteristics of continuous miniaturization, one-person households accounted for nearly 20%, two-person households accounted for nearly 30%, small family consumption for convenient consumption demand is higher, for the miniaturization of household goods, higher degree of refinement

Consumption upgrading continues

Consumption upgrading is a slow but continuous process. In 2020, China's per capita GDP is 10,500 US dollars, and according to the central bank's forecast, China's per capita GDP will reach 22,000 US dollars in 2025, which is close to entering the medium developed countries. Therefore, with the development of our economy, consumption upgrading is an inevitable event

The performance of consumption upgrading is that people pay more attention to quality consumption, health consumption and service consumption

Under the dual impact of consumption upgrading and the post-epidemic era, Chinese consumers pay more and more attention to health and hygiene, household cleanliness has become a key area of concern, and the importance of quality and brand has increased

Market space: China's home cleaning care market has a large scale, steady growth, and great potential in the future

More than 100 billion, the growth rate is steady

In China, after years of development, the overall growth rate of the industry has slowed down, but with the support of a huge population base and rigid demand, the industry is large and the growth is still stable

According to Euromonitor data show that the domestic household cleaning care (referred to as home cleaning) market size in 2020 is 118 billion yuan, the compound annual growth rate dropped from 7.5% in 2011 to 2015 to 3.1% in 2015 to 2020, in 2020, the demand for elimination products broke out to hedge some of the negative impact of the epidemic. Home Qing industry with an increase of 2.5%, higher than the social zero growth rate

Long-term market growth potential

Domestic per capita spending on household cleaning and care products is still 4-6 times higher than that of the United States and Japan, mainly because domestic consumption is still dominated by basic products, and the popularity of upgrades and derivatives with high added value is not high; In the future, with the acceleration of urbanization, driven by consumption upgrading and new consumer groups, the domestic home clearance market still has a large room for growth

Subdivided categories: based on basic cleaners, of which laundry detergent accounts for more than 90% in clothing care, much higher than the proportion of developed countries

Clothing care accounts for more than 60%

In 2020, China's household cleaning care market will mainly focus on clothing care, accounting for more than 60%; From the perspective of the structure of sub-categories, the Chinese market accounts for a relatively high proportion of basic clothing care and tableware cleaning; Hard surface care (including toilet cleaning products) has a faster growth rate of 13%, which is the fastest growing segment in 2020, and the gap with the global proportion is narrowing

The proportion of laundry detergent in China is much higher than that in Europe, America and Japan

China's clothing care market is dominated by basic detergents

In fact, whether it is the Chinese market or the European, American and Japanese markets, laundry detergent is the main part of clothing care, of which China accounted for the highest 94%, the European, American and Japanese market accounted for an average of about 60%; China's share is much higher than the European, American and Japanese markets

2. China's home cleaning care online market

Comprehensive e-commerce platform: complete categories, high sales, from high growth to steady growth; Category growth shows differentiation

Ali platform Jia Qing market category is complete, large scale, after experiencing a high growth rate in previous years (growth rate of more than 30%), it has entered a more stable growth, from January to September 2021, the year-on-year growth rate is about 11%, mainly disinfection products in 2020 after the outbreak of normal

In the first three quarters of 2021, the market size of clothing care and home environment cleaners is large, and the growth rate of aromatherapy and indoor deodorization/fragrance products is fast

Data description: Compared with the commodity promotion data of the sales volume of various categories in January and August 2021, some data have been desensitized, and the flying melon data.

The innovation of the concept of household cleaning has driven the diversified development of cleaning products, and the new categories of household cleaning that help "exquisite laziness" are emerging

With the acceleration of urbanization and the miniaturization of family structure, more and more post-90s and post-95s have become the main force of household cleaning, and the new concept of family cleaning is also being reformed

According to Dyson's first insight report on the cleaning needs of new middle class families in China released in 2020 - "China's new middle class Family" cleaning Concept "Report" (hereinafter referred to as "cleaning concept") found the trend change of leading new middle class in family cleaning

Every side, all sides: the daily cleaning of the home is a 3D battle. Whether it is the ground, the height, or the surface of the furniture, cleaning is to cover all aspects

Every inch, every micron level of refinement: home is no longer just a simple living space. Cooking, fitness, entertainment, visitors, with the increasing richness of home life, there are higher requirements for a healthy home environment

Able to lie down rather than stand up, able to rely on technology: the structure of the new middle-class family is young and diverse. "Using science and technology to reduce the burden of life" has gradually become a trend

Pursuit of time cleaning freedom: the cleaning schedule is more flexible, and tends to use daily fragmented time to complete the cleaning work

Clothing cleaner/care agent: The category is more diversified, and the specialized sub-track is favored

From January to September 2021, Ali platform clothing care sales data show that conventional laundry detergent still occupies a large market share

High demand for delicate and lazy emerging categories: laundry condensation beads, clothing softener, clothing bactericide, fragrance beads, dry cleaning agents and other emerging categories are accompanied by the upgrade of consumer products, gradually open the market, sales are larger, faster growth

The subcategories of specific scenes and effects continue to expand and grow rapidly: underwear laundry detergent (Ali new expansion classification), bleach, special material laundry detergent, color absorption tablets, collar net and other subcategories are growing fast

Home environment cleaner: The trend of functional differentiation is very obvious, and consumers are willing to choose cleaning products with different functions for different scenarios to create a good family environment

At present, Ali platform has a total of 25 three-level categories under the category of household environmental cleaners, and the three-level categories are constantly increasing. From 15 categories in 2020 to 25 categories in 2021 through category expansion or category adjustment, the new categories include special cleaning products for fruits and vegetables, antibacterial spray, toilet cleaning gel, household appliance cleaning agent, washing machine slot bubbling tablets and other subdivided cleaning products for different scenarios

The diversified market and the rise of new categories attract more new brands to enter the online market, and the competition is more fierce

Different from the high industry concentration of the overall household cleaning industry, the online market to Ali platform of clothing care and household environment cleaners as an example, due to the category segmentation, the rise of new categories, the market competition is more fierce, especially the category of many household environment cleaners market

3. Upgrading trend of household cleaning and care products in China

Changes in the consumer market will continue to promote the innovation and upgrading of household cleaning products

China's current trend of deepening urbanization, family miniaturization, health, safety and environmental awareness will continue to promote the continuous upgrading of household cleaning products in the long run

From the point of view of consumer demand, for household cleaning products can be summarized as "in the premise of safety and health, convenient and quick to complete the household cleaning work, and can get a sense of accomplishment and pleasure from cleaning", which is also the goal of upgrading household cleaning products

Function upgrade: In the post-epidemic era, sterilization has become the new normal of healthism life, and health and safety needs have become the most important needs for current family and personal cleaning

The epidemic has raised people's health awareness to an unprecedented high, disinfection and bacterialization are deeply rooted in the hearts of the people, more than 80% of consumers said that they pay more attention to cleaning and hygiene at home after the epidemic, and the most concerned are home disinfection and air purification

Bacteriostasis has become one of the core functions of clothing cleaning and household cleaning products

In the post-epidemic era, consumers' demand for health and safety continues to increase, and laundry detergents with anti-bacterial and anti-mite effects to meet safety and health are sought after by the market.