Solid Bar Soaps

Welcome back to Industry Shifters.

Today we are exploring the brilliant world of bath and shower products.

Will the resurgence of solid bar soaps persist?

Let’s find out!

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Solid Bar Soaps

In Australia, there has been a notable surge in the popularity of solid bar soaps, driven by growing consumer awareness of environmental issues and a shift toward sustainable, plastic-free alternatives. 

This trend towards bar soaps over liquid alternatives has also been driven by a growing preference for products that feature minimal ingredients and are free from harsh chemicals, aligning with broader health and wellness trends

Additionally, the rise of artisanal soap-making and the availability of luxurious, handcrafted bars have contributed to their appeal. 

As consumers become more conscious of their environmental impact, solid bar soaps are emerging as a stylish and responsible choice for daily hygiene.

Potential Impact

The Australia Bath and Shower Products Market, which includes soaps, was valued at roughly $680 million AUD in 2023.

Provided solid bar soaps continue to grow in popularity:

In a low growth scenario, where solid bar soaps only come to account for 20% of this industry over the next 5 years, the market for solid bar soaps would be worth about $136 million AUD by 2030.

In a high growth scenario, where solid bar soaps come to account for 50% of this industry over the next 5 years, the market for solid bar soaps could potentially be worth as much as $340 million AUD by 2030.

Why this WILL be disruptive:

  • Sustainability and Eco-Consciousness: Solid bar soaps are more sustainable than liquid soap alternatives, as they typically come with minimal or no plastic packaging. This aligns with growing environmental awareness and the increasing focus in Australia on reducing plastic waste in personal care products. Solid soaps also have a 25% smaller carbon footprint and are more efficient to store and transport, reducing CO2 emissions.

  • Natural Ingredients and Skin Benefits: Many artisanal and organic solid soaps use natural, chemical-free ingredients, appealing to health-conscious consumers and the clean beauty trend. These soaps are often marketed as safer and more gentle on the skin compared to liquid soaps, which may contain preservatives like parabens.

  • Cost-Effectiveness: While solid bar soaps may have a higher upfront cost, they generally last longer than liquid soaps, offering better value for money and appealing to budget-conscious consumers.

Why this WON’T be disruptive:

  • Consumer Habits and Preferences: Many consumers are accustomed to the convenience of liquid soaps, which are perceived as more sanitary, especially in shared spaces. Liquid soaps are easier to use, store, and share, making them more popular for households, gyms, and hotels. There's a growing preference for liquid soaps due to their perceived luxury, modern appeal, and ease of use. Additionally, liquid soap formulations are innovating with natural and organic options, which may limit the appeal of bar soaps.

  • Hygiene Concerns: Some consumers worry about the hygiene of bar soaps, especially in shared or public spaces, where concerns about cross-contamination may arise. Liquid soaps are often seen as more hygienic because they don’t require physical contact with the soap itself.

  • Variety and Market Competition: Liquid soaps have a broader variety, and established brands with strong market presence dominate the competitive Australian bath and shower market. In contrast, bar soap options, while increasing, may not offer the same range or consumer loyalty. Large multinational companies may also prioritise liquid soaps in their product lines, limiting the reach of bar soaps in mainstream retail.