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The home fragrance market registers some surprising developments in 2011. Sales for premium-priced home fragrance products went up just over 4%, contrasting with the decline seen in mass market products in 2011. Unexpectedly, consumers opt for high-involvement wax melts, transforming the segment into the fastest growing.
Increasingly popular wax melts were boosted further by rapid growth of the direct sales company Scentsy. With warmers in the total sales mix, Scentsy has achieved revenue growth in the high triple-digits each year since the company’s founding.
This is an interesting turn in the market. Wax melts is the type of product that demands high involvement on behalf of consumers, and products requiring additional effort tend to see a pattern of declining sales. This trend is projected even in the candles category, as consumers prefer to use long-lasting plug-ins instead of candles. Another interesting development is that this trend is spreading from a direct sales company to mass merchandisers.
For more information see Kline’s Home Fragrances: Market Analysis ans Opportunities.
Filed under: Consumer Products Tagged: | Consumer Products, home fragrances
Very interesting trends. There are a lot of great ways to use fragrances in the home besides candles, and apparently people are becoming very fond of these alternatives.
This was an interesting read. I think perhaps one reason why Scentsy fragrance products are popular even though they have high involvement is because people may want to have one unique aroma one day, a different seasonal aroma the next day, and then the following day maybe they feel like mixing two of their favorite scented wax cubes for a unique fragrance to suit their mood. If you are using a low-involvement longer lasting scent system, you lose out on the previously mentioned benefits and are stuck with the same fragrance.