Market Overview

The haircare market (as a total of four categories) expanded to 536,700 million yen in FY2024, reaching 102.1% of the preceding fiscal year’s level. Heightened awareness of hair health and appearance stimulated new demand and supported price increases for products and services offered by market players. As a result, all four categories recorded year-on-year growth.

Future Outlook

Although structural risks remain, including a declining population, ongoing labor shortages, exchange rate volatility, and rising raw material costs, the market is also benefiting from new growth opportunities. In particular, the extension of the retirement age under the Act on Stabilization of Employment of Older Persons, along with the increasing number of active seniors, is contributing to a longer customer lifetime value.

Nevertheless, the current customer base is aging, with the core demographic concentrated among consumers in their 40s to 70s. To sustain long-term growth, market players will need to cultivate new customer segments with high lifetime value potential, notably women in their early 50s (the so-called Dankai Junior, Japan’s second baby-boomer generation) and men in their 20s and 30s who are concerned about existing or potential hair loss.

Research Outline