White Paper written for Nature’s Baby Organics
Purchasers of Natural/Organic Personal Care Products are Discerning Customers.
Which Products Will They Buy Off Your Shelves?
The organic marketplace is expanding exponentially. While organic foods have consistently led the food industry as a whole in growth, the personal care industry is not far behind. A 4.9 billion dollar industry in the U.S. riding on the coattails of the rapidly growing organic food industry, the natural and organic personal care market appeals to the same reasoning consumers use to purchase organic food: Better for their health, better for their families, good for the environment.
In an effort to assist retailers in deciding which natural and organic personal care products will move quickly and steadily, this white paper examines what criteria consumers use in making purchasing decisions. Where possible, it draws from data collected on consumers in the Asian-Pacific markets.
Asian-Pacific consumers are full participants in the burgeoning organic market. In fact, recent studies indicate that Asian consumers may even be more passionate about the promise organics offer them. Worldwide, Asian consumers purchase more organic products than any other regional group. According to a recent AC Nielsen online survey of over 21,000 internet users around the globe, responders from 13 Asia-Pacific markets surpassed the global average.
While the Nielsen survey focused more on food products, organic personal care products are not far behind. “We are seeing high growth [of natural/organic cosmetics] in countries like Japan, Singapore, Taiwan and Hong Kong as consumers there become more aware of natural and organic cosmetics. Asia is definitely the most prospective market at the moment,” says Tina Gill of Organic Monitor, a business research and consulting group that specializes in international organic industries.
Yet facing premium prices, consumers of organic and natural personal care products are discerning consumers. They have clear criteria for what they are willing to spend their money on and distinctive concerns that drive their choices in the market. And these consumers are not necessarily people with a lot of disposable income, looking only for upscale brands. Another poll conducted by the Hartman Group in 2004 found that more than half of all consumers who the study defines as “heavy” organic buyers earn less than $50,000 per year. The forces driving these decisions go much deeper than prestige or luxury. These are decisions made after weighing financial priorities carefully and judging that these products offer a significant return for the dollar invested. What goes into these decisions?
The number one reason why consumers choose organic products is concern for their health. In a survey conducted by Walnut Acres (an organic manufacturer) and RoperASW in 2002, respondents overwhelmingly cited health as the driving force behind their decision, stating “Organic is better for me and my family” and “Organics are healthier”. The same reasoning is echoed by Asian respondents to the AC Nielsen poll on organic consumption: 66% of shoppers from Indonesia, Thailand, and the Phillipines said the personal health benefits were the main reason for making this purchase.
But does this linkage made between the health benefits of organic foods really extend into the personal care marketplace? It’s beginning to. A 2001 Hartman Group poll found that the second reason people chose organic or natural personal care products was for the health benefits these products offer them. This motivation was only superceded by the desire to find products that work, the primary reason given for purchasing natural personal care products.
And this consumer belief that organic personal care products are better for their health is well-founded. In 1984, the American Journal of Public Health published a study that transformed the way health officials looked at toxic exposure. The study found that contaminants could be absorbed by the body through the skin, even in some cases outpacing ingestion as the primary means of exposure. Depending on the chemical and the conditions, they found that absorption through the skin contributed between 29-91% of the total dose of exposure, an average of 64%.
The specifics of this study made the case for safer skin care products even more compelling. The researchers found that several factors contributed to the rate by which the skin absorbs these chemicals: age, hydration, temperature, and regional variability. As we age, our skin toughens creating a tougher surface to protect us against outside elements. Thus the younger we are, the more our skin allows into our body. Babies and children are the most vulnerable to chemical exposure through skin absorption.
Furthermore, temperature and how well-hydrated the skin is increases the amount of chemicals that pass through the skin. When we use these personal care products in our bath, shower or just after bathing, we are using them under the perfect conditions for maximum absorption by the skin.
Finally, while our hands are pretty tough, our scalp and genital area are especially permeable. A baby, getting frequent diaper changes accompanied by all kinds of lotions and powders, is being exposed to chemicals in his or her most vulnerable areas.
Over the years, studies have built on this one, further expanding our understanding of our largest organ, the skin; its tremendous role in our health and its vulnerabilities. Without question, what we put on our skin, gets into our bodies – our bloodstream, our tissues, our organs - and impacts our health.
Concurrently, another line of research has highlighted the link between human health problems and commonly used ingredients in personal care products, primarily phthalates and parabens. The most disturbing evidence links parabens, a commonly used group of preservatives used in a shampoos, lotions and conditioners, to reproductive disorders. Parabens mimic human hormones. Scientists theorize that they may even be linked to increased rates of breast cancer and low sperm count.
While this and other research linking personal care ingredients to human health problems is still inconclusive, U. S. manufacturers are not required to prove the safety of their ingredients before they go on the market. In most countries, stringent guidelines for food safety and pharmaceutical testing are not carried over into personal care products. An exception to this, the European Union has banned more than 1100 chemicals for use in cosmetics. But the U.S. lags far behind. The FDA has no authority to regulate ingredients used in personal care products. In fact only 13% of the 10,500 ingredients in the personal care products have ever been reviewed for safety.
Responding to the need for clear information on the safety of personal care products, in the absence of government and industry regulation, the Environmental Working Group (EWG) created a database of nearly 25,000 personal care products. The database draws on more than 50 integrated toxicity and regulatory databases and rates each product on a scale of 1-10, 1 being the safest and 10 the most hazardous. “Mothers shouldn’t have to worry about what is in the baby lotion they use, and now they don’t have to,” explains, Jane Houlihan, Vice President of Research at EWG.
And consumers have responded to this resource gratefully. Only three years after being up and running, the database gets more than 1 million unique page visits a month.
So, as consumers become more sophisticated about the impact their personal care products have on their health, they are also becoming increasingly skeptical about what companies tell them about their products.
In the same AC Nielsen poll of global organic buying patterns, Asian consumers, particularly in Taiwan, Korea, China and Thailand, expressed a lack of confidence in organic food labeling. Many of them expressed doubt that the products were actually produced the way the labels described.
And in many cases, this doubt is justified.
The regulations governing organic food production vary widely from country to country and their enforement varies as well. But even in countries, like the U.S., where organic production is pretty well regulated, many manufacturers still take advantage of labeling loopholes.
To qualify as an organic product with the USDA seal of certified organic, a product must contain 95% certified organic ingredients. Yet there are few restrictions on using the word “organic” without the USDA seal on the front of the label. Thus many companies with limited amounts of organic ingredients put “organic” in their company names and product descriptions even when they have a minimal amount of organic ingredients.
Even worse, the word “natural” has no restrictions on its use. A product can have some “natural” water, a sprinkling of herbal essences, and a long list of synthetic components and still claim that it is natural. “Natural” does not mean “organic” which is a specific term used by regulators to describe a method of food production without the use of synthetic pesticides, fungicides, herbicides or fertilizers. And “natural” botanicals can still have residues of chemicals with which they were grown.
Responding to consumers’ attraction to botanicals, almost every manufacturer in the personal care industry has incorporated botanical extracts into their products. However, the concentration of these extracts are completely unregulated. Thus, a shampoo can claim to have a high concentration of lavender in its ingredients because of the amount of lavender extract it uses.
And yet, there is no standard, regulated concentration of lavender in lavender extract. The extract could be 90% lavender and 10% water or the reverse, 10% lavender and 90% water. Even worse, many extracts may be alcohol-based, yet the alcohol content does not need to be listed in the ingredients, only the extract. Consumers looking for a high concentration of botanical ingredients may look at the listing of ingredients and see lavender extract near the top yet still not know how much lavender the product actually contains.
Personal care products manufacturers are required by law to list all preservatives. But many of their ingredients already come to their factory pre-preserved. The law does not require them to identify the preservatives added to their ingredients before it reaches their plants.
Thus, a commonly-used ingredient such as aloe vera, which is very susceptible to bacteria and loses its potency rapidly with time, is in almost every case treated with a preservative at the initial processing plant before it reaches the manufacturer’s floor. Since it is pre-preserved, by law, manufacturers do not have to list the preservative used on the aloe in their product.
Not only do many manufacturers take advantage of this loophole, some even go so far as to claim that they are “preservative-free” even when they use an ingredient like aloe that absolutely necessitates a preservative.
Manufacturers are not required to reveal the components of proprietary blends in their ingredients listing. Instead, they can simply list “proprietary blend” without further explanation.
Will my hair be shiny? Will my skin feel soft? Will I smell good? Too often consumers end up compromising when it comes to natural products: the soap doesn’t spread well, the moisturizer isn’t absorbed, the shampoo smells funny. The number one reason people gave for purchasing natural personal care products, according to the Hartman Group, was because it worked well. People look for products that work and satisfy their senses. All other interests – health, environment, animal testing, safety – were secondary to the primary concern of the consumer – that it works.
Meet these Criteria and Generate High Market Response
To summarize, these criteria – health benefits, truth in labeling and performance – are the primary criteria consumers use in choosing natural and organic personal care products. Along with affordability, availability and attractive packaging, retailers who sell products that meet these criteria will enjoy a strong market response.
Consumer’s Love Nature’s Baby Organics Personal Care Products Because Nature’s Baby Organics Meet These Criteria and More
“I can not thank Natures Baby Shampoo enough (if you
can thank a shampoo)! My son was so sensitive he could not use anything but water to wash with and he loved to fish, play in the dirt and the
sand. He really needed something to get his hair and even his body clean that would not itch or irritate his skin. The sensitive skin
that he had was not bothered at all by the tangerine shampoo and conditioner and it smelled great... until his next catch.
Uhhh, thank you Natures baby products. Now what do you have for not so baby feet?” - Laura Heurer, Jakoter Health Organizers Corporation
“I have become SUCH a fan of your products!! I was so skeptical at first....my 3 year old has thick, curly hair and it gets frizzy and tangled so easily. After about a week of using the shampoo and conditioner faithfully, I noticed a HUGE improvement in the look and health of Ella's (my 3 year old) hair. Tessa (my 1 year old), has fine, straight hair and although there are no tangle issues at this point, using your products has given a gloss to her hair that makes it look like spun gold. And I LOVE the lavender chamomile scent. Your products do not dry out their hair, do not leave any sort of film or build up. I LOVE them. I can't wait for the detangler to become available!! Thank you for caring so much about what goes into your products.”- Emily Carney
“I met you and your mother at the trade show in Anaheim this past March. You looked at my
daughter's horribly broken out skin (she is 8) and gave me a tube of your diaper creme to take the itch out of her eczema. I later
got your shampoo/soap and lotion to try. I sent the soap to school with her and left orders that she is not to use anything else.
Omigosh! The difference in her skin is amazing. She still has eczema breakouts but her skin is not so dry and dull as it
was. People are noticing the change and asking me how we did it. I tell them to check out your product. It has certainly turned the
tide for my daughter.” - Katherine Hamilton
“I love love love your products! The lotion is the first sensitive skin lotion that I have ever used on my face that didn't sting. (They all say sensitive skin and then they all sting me horribly.) It was so wonderful! I love it!
Thank you so much! You really made my day!” - Lisa, Los Angeles
“We love the lavender baby wash. I bought 2 bottles after reading about it online when my second son was born (21 months ago) and have been a devoted fan ever since. I love knowing that it's an all-natural product and that by using it on my boys, it's not only good for them but good for our environment. Plus, it smells great - not overly perfumery and not overly baby-like...just like a nice clean baby!” - Lelani Eickhoff
“I love your baby wash! My son has sensitive skin and
your wash clears it all up so quickly. When we run out of nature's baby and are forced to use the ‘popular store brand’ his skin problem
flares up again. I just hate it
when we run out.” – Kaiulani Ohai, Hawaii
Nature’s Baby Organic buyers don’t use the word “like” when they write to the company - they use the word “love”. How can a product line evoke so much passion? Because it originated in the same deep-seated need felt by so many mothers and fathers to find something safe and healthy - products they could trust - for their children.
Confounded by her first daughter’s persistent rashes, Adena Surabian started researching her daughter’s shampoo, conditioner and lotions. With no technical background to help her, she waded through reams of information about the chemical ingredients in the products she used. She was startled and dismayed by what she began to discover. Many of the products she used on her baby’s hair and skin were classified as biohazards, carcinogens and potential reproductive toxins.
Eventually, she discovered her daughter was allergic to sunscreen as well as sensitive to perfumes and dyes. Her second daughter suffered from atopic eczema and dermatitis. She had to find an alternative.
Unfortunately, even the natural personal care products alternatives came up short. Many of the natural products on the market dried out her daughter’s hair or smelled too medicinal. She wanted products that she would enjoy using – that would make her daughters smell like children. She wanted products that felt good and looked good. Unable to find anything that met her criteria, she decided to formulate her own products.
Out of her mother-inspired passion to find safe, healthy and high-performance personal care products for her children, Nature’s Baby Organics was born. Her passion for products that families can trust and enjoy using continues to characterize her company today.
As they must for Adena’s own family, Nature’s Baby Organics products meets the criteria consumers use in making personal care purchasing decisions.
Nature’s Baby Organics is:
Healthy Adena is assiduous about using quality, safe ingredients. All of her products are paraben-free. Nature’s Baby Organics contains only food safe preservatives, such as potassium sorbate and sodium benzoate. Her products are tested by close to 50 families with children who have skin sensitivities and allergies.
Her products rank among the safest personal care products for babies in the Environmental Working Group’s Skin Deep database.
Organic In her ongoing effort to eliminate toxic chemicals from personal care products, Adena uses as much certified organic ingredients as possible. Almost all of her products use 70 – 95% certified organic ingredients. With three new USDA certified organic products scheduled to be launched in September 2007, Nature’s Baby Organics will be the first U.S. company with baby care products that are USDA certified organic.
Nature’s Baby Organics is a member of the Organic Trade Association and the Organic Rack.
Truthful in Labeling Driven by her experience deciphering her daughter’s shampoo and lotion labels, Adena is adamant about the truthfulness and clarity of her own labels. Nature’s Baby Organics uses the International Nomenclature for Cosmetic Ingredients (INCI) accompanied by common names to help consumers interpret the ingredients listing.
Some natural product manufacturers claim “preservative-free” on products that contain aloe, glossing over the preservatives used on the aloe before it reaches their factory. Nature’s Baby Organics lists all preservatives used.
Many natural product manufacturers use “organic” prominently on the front of their package though they only include a small percentage of organic ingredients. Nature’s Baby Organics is careful to use their company’s organic seal only on products that contain at least 70% certified organic ingredients.
Nature’s Baby Organics uses only the highest quality herbal extracts. The extracts are listed according to the concentration of the herbs used, not the overall volume of the extract itself. This insures that the consumer gets a clear understanding of how much lavender, for example, is actually in the product versus lavender mixed with water in an extract solution.
Nature’s Baby Organics is a signatory to the Environmental Working Group’s Campaign for Safe Cosmetics.
Performance Adena regularly receives “love letters” from people who use her products raving about how well her products worked for them – healthy, lustrous hair, soothing moisturizers, gently delightful scents.
Adena and Nature’s Baby Organics’ head chemist, Cyril Fairies, attribute the exceptional performance of their products to the unique source of their certified organic aloe and it’s proportion in their products. All the aloe that goes into Nature’s Baby Organics comes from a farm only 20 miles away from the manufacturing plant. The aloe is processed and incorporated into their products within 48 hours of being harvested.
Cyril, who has worked with aloe for over 30 years, notes that aloe rapidly deteriorates with time, losing its potency within a few days of harvest. It is also very susceptible to microbial activity. Because they process the aloe so quickly and stabilize it in their products, Nature’s Baby Organics is able to maintain a high level of potency and minimize the use of preservatives.
This fresh certified organic aloe is the number one ingredient in several of their products, bringing with it its exceptional healing, soothing and moisturizing qualities.
All of the other oils used in the products are not only cold-pressed but are also not refined, bleached or deodorized (RBD) as is standard among oil processors. Nature’s Baby Organics also uses no sodium laureth sulfate (SLS), a common cleansing ingredient that can be especially harsh on sensitive skin.
Finally, Adena tests her products carefully. If new products come back from her test families without at least a 96% approval rating, Adena revisits her formulation. The performance of Nature’s Baby Organics products is so noteworthy, that many adults use the products. Thus, Nature’s Baby Organics makes their shampoos and conditioners available in a family size as well.
In recognition of their excellent products, Nature’s Baby Organics received the iParenting Media Award in 2005 for their Shampoo & Body Wash.
Affordability In a comparison with other natural and organic products, Nature’s Baby Organics products are very competitively priced. Nature’s Baby Organics is a family-run business made for families. Although they invest in premium ingredients, they choose to keep their prices affordable so more families can enjoy the healthy effects of Nature’s Baby Organics.
Attractive Packaging In addition to her truthful labels, Adena’s products convey her commitment to families and her company’s integrity. Her products are one of the few natural baby product lines with photographs of children on the packaging. And these children are not professional models. They are Adena’s own two daughters and family friends.
Each product also displays a picture of Adena and her two daughters on the back. Accompanying the photo is a personal note explaining the roots of the company in her own search for products she could trust on her children’s skin. Customers have repeatedly told her how much they appreciate seeing her and her family on the products – how the pictures engender trust in Nature’s Baby Organics products.
Since its start in 2002, Nature’s Baby Organics has had a loyal and growing customer base. Enthusiastic customers share the products with friends and family members and demand that retailers include the line on their shelves.
Where does this commitment to Nature’s Baby Organics products come from? From Nature’s Baby Organics’ commitment to its customers. Nature’s Baby Organics products are made with a passion that consumers detect in the honest labeling, the exceptional performance, the healthy and organic ingredients.
To learn more about how you can add Nature’s Baby Organics personal care products to your retail outlets’ inventory, please contact XX at XX.
About the Author With over ten years of experience as a health educator and writer, Sarah Clachar has created curriculums and materials for a wide spectrum of audiences. She has placed particular emphasis in her work on nutrition, wellness and preventative medicine. Sarah is also an organic gardener and mother of two children. She has a degree in Biology from Oberlin College.
Appendix
There are more and more companies creating products to meet the needs of parents who want skin care products for their children that are healthy and safe. Yet Nature’s Baby Organics still stands out in the crowd. We use some of the highest percentages of organic ingredients and in September (2007) we will be the first U.S. manufacturer to have 3 USDA certified organic products for babies available.
|
Company |
Organic Ingredients |
USDA Certified Organic Products |
Preservatives (used in baby products) This does not include listing of pre-preserved ingredients |
Preservative-Free Products |
Price Range |
# Items in Product Line for Babies |
|
Nature’s Baby Organics |
Yes. 70-95% |
Yes ( 3 products) |
Yes, Food grade sodium benzoate and potassium sorbate
|
Yes |
$8.95-17.95 (2oz-16 oz) |
19 |
|
Avalon Organics |
Yes |
No |
Yes, phenoxyethanol, ethylhexylglycerin, sodium citrate, Food grade sodium benzoate and potassium sorbate
|
No |
$9.95-$11-95 (2oz to 8 oz.) |
7 |
|
Burt’s Bees |
No |
No |
Incomplete Label no preservative listed. Ingredients start with water, Lactid Acid |
1 dry products/Oat Bath |
$5-14 (up to 8 oz.) |
8 |
|
California Baby |
Small percentage in very few products |
No |
Yes, Proprietary Blend un-disclosed to public. Sodium benzoate, polyaminopropyl biguanide, Food Grade methyl/propylparaben. |
No |
$8.95-$19.95 |
30+ |
|
Earth’s Best |
Yes. Label Claims 70% |
No |
Potassium Hydroxide, Benzyl Alcohol, Potassium Sorbate, Sodium Benzoate |
No |
$5-$15.00 (1oz—8.5 oz) |
10 |
|
Earth Mama Angel |
Yes.75-88% |
No |
Uses aloe, but labels claim preservatives-free. (website states no artificial preservatives) |
Yes |
$6.95-$49.95 (1-5.8 oz) |
7 |
|
Logona |
Yes |
No |
Alcohol-based extracts, Limonene, Linalool. Sodium Chloride, Lactic Acid |
No |
$8.50-9.95 (3.4-6.8 oz) |
5 |
|
Weleda |
Yes |
No |
Alcohol-based extracts |
Yes |
$6-13 (1.6 –6.5 oz) |
10 |
Pool, S. (September 2005). AP-Foodtechnology.com. Organic consumption higher than average in Asia-Pacific.
Pitman, S. (August 2006). Cosmetics Design-Europe.com. Asia could hold key to future naturals expansion.
Brown, H. S. et al. (May 1984). American Journal of Public Health. The role of Skin Absorption as a Route of Exposure for Volatile Organic Compounds (VOCs) in Drinking Water.
Underwood, A. (June 2007). Newsweek. Rivers of Doubt: Minute quantities of everyday contaminants in our drinking supply could add up to big trouble.