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Acne Treatment Manufacturing OTC in the US Industry Market Research Report from IBISWorld Has Been Updated
Date:8/2/2014

New York, NY (PRWEB) August 03, 2014

The Acne Treatment Manufacturing OTC industry produces nonprescription cleansers, lotions, gels, toners, masks and pads containing acne-fighting ingredients, such as benzoyl peroxide and salicylic acid. According to IBISWorld Industry Analyst Leah Goddard, “The industry benefits from fairly stable demand for these products because acne-prone individuals consider them a necessary expense." However, adolescents comprise the industry's largest market, and high unemployment levels and, thus, low disposable incomes within this shrinking age bracket have caused sales of over-the-counter (OTC) acne treatments to stagnate since the recession. Over the five years to 2014, industry revenue is estimated to marginally decline at an annualized rate of 0.6%, as consumers switched to less expensive products. With the number adolescents decreasing and imports increasing in 2014, industry revenue is forecast to fall 0.7% to $621.3 million.

The industry includes household brand names such as Neutrogena, Clean & Clear, Aveeno, Proactiv and Clearasil, which collectively account for over 70.0% of revenue. In addition to intense competition from leading brand names, market saturation and increasing import penetration has led to some industry consolidation over the past five years. “As the number of competitors has contracted, industry profitability has slightly increased,” says Goddard. Moreover, the rising prevalence of adult-onset and persistent acne conditions has resulted in new, targeted products that appeal to consumers with higher disposable incomes; correspondingly, higher prices for these premium products have also contributed to profit growth over the p
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