Any parent wants the best for his or her child and the natural products industry is happy to oblige. Whether the product is shampoo or diapers, natural and environmentally-minded companies have flooded the market with non-food options aplenty.
Data from SPINS, a market research and consulting firm for the natural products industry, show stores neglecting this market might miss out on a new kind of baby-care boom. Natural diaper sales have gone up nearly $2 million from 2006 to 2008. Meanwhile, natural skin care, soap and hair care products for babies made almost $13.5 million in natural stores in the 52 weeks ending Nov. 29, 2008.
The numbers in the conventional channel are even more impressive. According to SPINS, six baby-centric natural categories—diapers, skin care, hair care, wipes, soap and oral care—have seen their sales figures at least double since 2006.
A few reasons can be attributed to the brisk growth. "Today's parents are older and more educated with disposable income," said Rosemary Anthony, founder of Love Me Baby Me. The Tarzana, CA-based company produces an array of baby care products such as Hairy Putty and Butt Balm.
Anthony adds another tidbit: Out of the more than 4 million births each year in the United States, 40 percent of those are first-time moms, who "always spend more." According to Love Me Baby Me's business plan, these moms spend more than $27 billion a year.
You can bet this is a market built on a healthy dose of parental concern—cost and economic uncertainty be damned. "Yes, parents are looking to save money," said Adena Surabian, founder and president of Woodland Hills, CA-based Nature's Baby, whose company offers an array of natural products for babies, some of which are also certified organic. "But being a mother of two, it was never at the expense of sacrificing what was best for my children. Their health, safety and well-being were always my first priorites."
What's the source of that parental concern? "We're learning more and more every day about the different chemicals found in mainstream products and the harmful effects they have," said Christine Bingham, marketing project manager at BNG Enterprises in Phoenix, whose all-natural Gentle Care line features Butt Dust Talc-Free Baby Powder and Keester Kream.
"Many parents are taking extra steps to ensure their babies are not exposed to these chemicals and turning to natural products as a result," Bingham continued. "The natural market definitely has staying power. People are starting to read labels more carefully and as awareness of the benefits of using natural products grow, so will the industry."
Added Lewis Goldstein, vice president, marketing, Kiss My Face, "The more parents learn that our skin is our largest organ and absorbs 60 to 70 percent of everything that is put on it, the more they will turn to a natural solution." The Gardiner, NY-based company's Obsessively Natural kids' line premiered in June 2008.