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April 2021 As frequent cleaning and disinfecting are becoming the new norm, consumers' needs for household care has increased significantly. ● Household care products, more specifically, wipes are highly valued and growing rapidly during the fight against COVID-19. ● Wipes used to be considered a specialty cleaning product but now have became a daily essential. TABLE OF CONTENTS
M A R K E T F R A G R A N C E TRENDS OVERVIEW COLLECTION 1 2 3 M A R K E T OVERVIEW ➢ COVID - 1 9 i m p a c t
➢ k e y f a c t s
➢ wipes forecast
➢ k e y b r a n d s 1 ➢ market leaders ➢ focus on private - l a b e l
➢ c l a i m s
➢ consumer insight
➢ types of wipes
- 1 - MARKET OVERVIEW - COVID-19 impact
Shifts In Consumer Routines
Wipes have been a key growth driver in surface cleaning but the segment has grown to the point where it can no longer be considered a niche 55% product hence becoming a daily essential. Consumer will look for of consumers in the US are worried convenient packaging, better performance, safer ingredients and about their risk of enhanced functionality. exposure to COVID-19.
The impact of COVID-19 is apparent in every industry globally especially in the household care segment.
Following cleaning wipe usage will become complementary to other household cleaning practices.
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 2 - MARKET OVERVIEW - key facts
CLEANING WIPES Cleaning wipes have became necessities as the COVID-19 outbreak embedded the understanding of disease prevention through cleaning practices
Consumers have a convenience-driven Quick-clean-up mind-set when it comes products are designed to cleaning the home to tackle messes that has not only fueled quickly and efficiently the market and interest such as multipurpose in quick cleanup products and products, like disposable wipes disposable wipes
Wipes have been a key growth driver in surface 68 cleaning but the new household segment has grown to wipes were the point where it can launched no longer be considered in 2020 a specialty product
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 3 - MARKET OVERVIEW - wipes forecast
Wipes Blowing Up Since the wipes format has been prevalently growing in popularity, the category is forecasted to consistently increase for the next 3 years. From 2017 to 2019, wipes grew its share of the total surface cleaning category from 16.9% to 18.8%
>$4 B forecasted for retail sales of household wipes by end of 2024
Source: Freedonia 2020 | Euromonitor International, 2020 - 4 - MARKET OVERVIEW - key brands
Traditional Market Players New Players Big household market leaders’ products can be found in As time goes by, the market evolves and new brands food, drug and mass stores. These renowned emerge. Mass, niche and specialty brands offer brands offer eminent wipes. ground breaking innovations and trendy wipes.
- 5 - MARKET OVERVIEW - market leaders
Market Leader Breakdown for Household Wipes % by segment (value in USD), US, 52 weeks ending August 11, 2019
19.1% $76.4M Increase of private label sales (2018-2019), Others while The Clorox 9% Co. decreased $228M by 0.8%
Private Label 27% The Clorox Company 45%
Reckitt Benckiser $390.3M Group plc 19%
$164M
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 6 - MARKET OVERVIEW - market leaders
Market Leader Household Wipes Recently launched product examples pertaining to the market leader breakdown
Mandarin Grove Fresh Brazilian Blossoms Green Apple & Aloe Lemon Scent AUNT FANNIE’S CLOROX LYSOL TOTAL HOME (CVS)
Source: Mintel GNPD, 2021 - 7 - MARKET OVERVIEW - focus on private-label
Store Brand Wipes on the Rise Private-label brands have been stealing sales from bigger players – more than one quarter of wipe value sales are now attributable to store brands. The rise of store brands suggests that these product attributes have mainstreamed, and these conglomerate brands need new innovations to maintain their differentiation over value wipes.
1. 2.
11% 26.6% of the household of the wipes market market value was by share at the end of private-label brands 2019 consisted of in 2019 private-label brands
1. Fresh Scent GREAT VALUE @ Walmart 3. 4. 5. 6.
2. Fresh Air scent // Lemon scent KIRKLAND @ Costco
3. Lemon NICE! @ Walgreens
4. Fresh Scent SOLIMO @ Amazon
5. Lavender & Bergamot EVERSPRING @ Target
6. Lemon Verbena 365 @ Whole Foods
Source: Mintel, Market sizes 2020 | Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 8 - MARKET OVERVIEW - claims
Top Claim Categories of Household Wipe Launches Top Claims % of products by segment, North America, 2018-2020 North America, 2018-2020
Ethical & Environmentally Friendly product
Free from Toxins Free 10% Ethical & Environmentally Friendly packaging Ethical & Natural environmental 13% 33% Ease of use Anti-Bacterial Time/Speed Botanical/ Herbal Functional 17% Sustainable Biodegradeable Alcohol Free Convenience 27% Hypoallergenic Aromatherapy Odor Neutralizing
Source: Mintel GNPD, 2021 - 10 - MARKET OVERVIEW - consumer insight
Consumer Preferences in the Household Market
Convenience
Efficacy
Experiential & Functional Efficacy
Natural
Ethical & Environmental
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 9 - MARKET OVERVIEW - types of wipes
Function Types for Household Wipes Household care wipes vary for types of usage from glass to floor or kitchen to bathroom. Formulations can be different based on the surface sensitivity like wood cleaners vs granite cleaners.
GLASS
Key Room: BATHROOM
- Bathroom SPECIFIC - Kitchen
Key Surface:
- Glass - Floor
Specific: MULTI-PURPOSE KITCHEN - Granite - Counter/Stone/Wood - Leather - Electronics
- 11 - MARKET OVERVIEW - types of wipes
Top Function Types of Household Wipe Launches New Innovative Wipes # of products by segment, North America, 2018-2020 North America, 2021
140
120
100
80
60
40
20 To Go Wipes removes stains 0 TIDE
- Most consistently launched products include all-purpose cleaner, bleach/ disinfectant & glass care. They are most commonly used across different areas around the house for cleaning. Cleaning Vinegar Wipes eco-friendly alternative for - Specific areas need special products to clean without damaging the material. Wood floors & multi-purpose cleaning furniture, granite counter tops and stone all need specially formulated cleaning products to clean AUNT FANNIE’S sensitively.
- Stain removal & furniture care are new types of wipes in the game.
Source: Mintel GNPD, 2021 - 10 - TRENDS
➢ c l e a n
➢ environmental footstep
➢ n a t u r a l 2 ➢ h o m e - s c e n t s T R E N D S - c l e a n
CLEAN Movement A new trend emerging is the clean label as consumers want to purge their homes of unwanted chemicals and use a safer alternative to mainstream products.
There is no official definition of “CLEAN” but we can define the key values of this movement by SAFETY, SUSTAINABILITY and TRANSPARENCY.
Clean is better aligned with consumer lifestyle goals around health and wellness. It’s already common to talk about clean living, clean eating and clean beauty.
Compostable wipes Cruelty free Without harsh 100% essential oil 100% natural fragrance chemicals or fumes scent Compostable cloth Plant-based cloth Hypoallergenic Non-toxic Dermatologically tested Non-toxic
CLOROX EVER SPRING AUNT FANNIE’S
Sozio has jumped ahead and has developed its own CLEAN FRAGRANCE label. Ask for our SOZIO CLEAN FRAGRANCE collection available for home care, personal care and candle.
- 16 - T R E N D S - environmental f o o t s t e p
Eco-Friendly Household Wipes Household brands are taking into consideration the safety of the environment and the footprint they leave behind. Products are transitioning to be more environmentally friendly with ingredients, as well as using eco-friendly packaging.
1. 2. 25% 53% Of US adults think of UK and US shoppers “biodegradable” is said reuse is important important when to them when it comes choosing household to environmentally cleaning products friendly packaging
1. Biodegradable Wipes HELLO BELLO - uses biodegradable, plant-based ingredients that are non-toxic and safe for messy skin and sticky surfaces
2. Renewing Rain Disinfecting Wipes ARM & HAMMER 4. - anti-bacterial, botanical, new take on a tub packaging with a rounded square shape (recyclable, convenient 3. packaging, eco-friendly package)
3. Crisp Lemon Cleaning Wipes CLOROX - refillable dispenser for disinfectant cleaning wipes
4. Lavender Probiotic Power Cleaning Wipes AUNT FANNIE’S - with probiotic and plant-based ingredients, features a 100% essential oil scent, and comprises 100% biodegradable material
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 13 - T R E N D S - n a t u r a l
Inspired by Mother Nature As brands have been launching products increasingly based on a natural positioning, their consumers have consistently been favoring nature-oriented options.
1. 2. 3. 27% 37% Of US household Of US parents care buyers are prefer to use using natural natural cleaning products more products often
1. Lavender & Argan Oil LOVE HOME AND PLANET - Made with ethically sourced extracts and plant based cleansers
2. Citrus & Basil EVERSPRING - Made with 100% natural fragrance
3. Garden Mint SEVENTH GENERATION 5. 4. - Made with 98% USDA certified biobased product and 0% synthetic fragrances or dyes
4. Citrus & White Flowers ART OF GREEN - 98% naturally-derived formula and infused with plant- based scent
5. Water Lily GREEN WORKS - Naturally-derived cleaning agent and fragrance with essential oils
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 14 - T R E N D S - h o m e - s c e n t s
Unique-Scented Wipes A growing population of consumers are turning from air care to household cleaning products to bring scent into the home. Many wipes will emphasize the ability to create a clean ambiance in addition to removing germs and bacteria.
1. 2. 3. 50% 55% of US consumers of US consumers clean more often think scent is compared to a year important when ago so their house choosing household smells clean cleaning products
Mintel The Future Of Household Cleaners, US- March 2020
1. Kumquat & Pomelo DENKMIT (Germany) 4. 5.
2. Eco-Respect Vanilla & Berries with essential oils AJAX
3. Scentiva: Tahitian Grapefruit Splash // Pacific Breeze & Coconut // Tuscan Lavender & Jasmine CLOROX
4. Lime + Sea Salt METHOD
5. Brand New Day: Green Apple & Aloe // Mango & Hibiscus // Berry & Basil LYSOL
Source: Mintel CLEANING THE HOUSE INCL IMPACT OF COVID-19, US- April 2020 - 15 - FRAGRANCE COLLECTION
➢ d a t a
➢ Sozio analysis
➢ f e a t u r e s 3 ➢ traditions x today ➢ new scent profiles FRAGRANCE COLLECTION - d a t a
Top Fragrance Categories of Household Wipe Launches Top Fragrances # of products by segment, North America, 2018-2020 North America, 2018-2020
Fresh Lemon Citrus Aromatic Lavender 16% Eucalytpus Mint Citrus 40% Orange Floral 16% Breeze Lilac Spring Grapefruit Lime Fresh 28% Ocean Sage Rose Basil
- 22 - N O I T C E L L O C E C N A R G A R F
Fresh Citrus Fresh CITRUS PLEDGE Crystal Rain Fresh ScentFresh Rain Crystal
WINDEX FRESH - s i s y l a n a o i z o S - 12 -
French Lavender AROMATIC METHOD
Fresh Brazilian Blossoms Brazilian Fresh FLORAL CLOROX FRAGRANCE COLLECTION - f e a t u r e s
Following Sozio’s olfactive analysis of market products and current industry trends, fragrances from the collection were formulated for household cleaning wipes.
Based on a restrictive guideline, Sozio developed its own CLEAN FRAGRANCE label and some fragrances for household wipes have been formulated according to blacklisted ingredient list that are forbidden to use.
The fragrance collection offers two Clean fragrances and three other standard fragrances for household wipes. The fragrance collection is broken down into themes as the following:
Today x Traditions - Well known household cleaning scents meet modern twists Look for the Sozio Clean label to identify Sozio New Scent Profiles Clean fragrances: - Breaking traditions with trendy new olfactive perspectives
Sozio has developed EPA compliant fragrances. Ask for our EPA fragrances in which some are compliant in EPA registered bases effective against SARS-COV-2 virus.
- 24 - Traditions x Today
Functional | Traditional | Modern
Lemon & Mint EVER SPRING
Lavender & Tahitian Argan Oil Grapefruit Splash LOVE, HOME CLOROX SCENTIVA & PLANET
- 17 - FRAGRANCE COLLECTION - traditions x t o d a y SZUSM001046 SZUSM001044 SZUSM001045
Lemon Blossom + Lime Lavender + Green Apple Ocean Air + Mint Citrus // Floral Fruity // Floral Fresh // Citrus
Top: Sparkling Orange, Top: Anjou Pear, Lavender, Top: Grapefruit, Zesty Citrus, Lime Zest, Lemon Peel Sweet Orange Wild Rosemary, Salted Air
Middle: Cotton Flower, Middle: Jasmine, Bluebell, Middle: Mint Blossom, Neroli, White Rose, Jasmine Petals Lilly of the Valley Green Algae, Rosewater
Base: Fresh Musk, Base: Blonde Woods, Base: Cedarwood, Cashmere Woods Sandalwood, Sheer Musk Sandalwood, Sea Moss
Alternate Name Alternate Name Alternate Name Mandarin & Lime Lavender & Pear Sea Mint & Citrus
- 26 - FRAGRANCE COLLECTION - traditions x t o d a y SZUSM001047 SZUSM001048
Pink Grapefruit + Nectarine Bamboo + Jasmine Citrus // Aldehydic Fresh // Green
Top: Pink Grapefruit, Top: Bright Citrus, Pomelo, Watery Greens Fresh Cut Grass
Middle: Peach Blossoms, Pineapple Middle: White Jasmine, Leaf, Rhubarb, Muguet Mai Rose, Peony Petals
Base: White Musk, Base: Sandalwood, Sugarcane, Soft Woods Sweet Woods, Sheer Musk
Alternate Name Alternate Name Apricot & Pink Pomelo Fresh Citrus & Cedar
- 26 - New Scent Profiles
Unique | Out-of-the-Ordinary | Trendy
Mango & Hibiscus LYSOL
Pacific Breeze Renewing Rain & Coconut ARM & HAMMER CLOROX SCENTIVA
- 17 - FRAGRANCE COLLECTION - n e w s c e n t p r o f i l e s SZUSM001051 SZUSM001049 SZUSM001050
Green Pear + Melon Mango + Orange Coconut Water + Sea Salt Fruity // Green Fruity // Tropical Fresh // Woody
Top: Green Apple, Top: Mango, Ripe Berries, Top: Tropical Fruits, Citrus Blend, Golden Pineapple Sunny Orange Salted Sea Air, Citrus Peel
Middle: Pear Blossom, Middle: Pink Hibiscus, Middle: Tiare Flower, Violet Leaf, Pink Peony Orange Flower, Sweet Peach Dewy Florals, Tonka
Base: Blonde Woods, Base: Coconut Wood, Base: Creamy Coconut, Sheer Musk, Dewy Greens Warm Amber Sand Sandalwood, Cloud Musk
Alternate Name Alternate Name Alternate Name Crisp Apple & Melon Mandarin & Peach Nectar Sand Petals & Coconut
- 26 - FRAGRANCE COLLECTION - n e w s c e n t p r o f i l e s SZUSM001052 SZUSM001053
Spring Rain + Cucumber Coastal Citrus + Driftwood Aquatic // Floral Woody // Citrus
Top: Cucumber Water, Top: Lemon Zest, Orange, Fresh Marine, Dewy Melon Petitgrain, Marine
Middle: Rosewater, Middle: Lavender, Violet, Lotus, Leafy Greens Rose, Geranium, Fir Needles
Base: Blonde Woods, Base: Blonde Woods, Floral Musk Rosewood, Oakmoss, Musk
Alternate Name Alternate Name Cucumber Rain & Lotus Beach Lavender & Lemon
- 26 - Fragrance Collection
Clean Collection Sozio Code Name Olfactive Family Label
SZUSM001044 / Lemon Blossom + Lime Citrus // Floral
SZUSM001045 / Lavender + Green Apple Fruity // Floral Traditions x SZUSM001046 / Ocean Air + Mint Fresh // Citrus Today Citrus // SZUSM001047 Pink Grapefruit + Nectarine Aldehydic
SZUSM001048 Bamboo + Jasmine Fresh // Clean
SZUSM001049 / Green Pear + Melon Fruity // Green
SZUSM001050 / Mango + Orange Fruity // Tropical
New Scent SZUSM001051 / Coconut Water + Sea Salt Fresh // Woody Profiles
SZUSM001052 Spring Rain + Cucumber Aquatic // Floral
SZUSM001053 Coastal Citrus + Driftwood Woody // Citrus Latin & North America Sozio Inc
51 Ethel Road West Piscataway, NJ 08854 USA Phone: (+1) 732 572 5600 Fax: (+1) 732 572 0944 [email protected]