Natural brands are resonating across all categories, according to The NPD Group, with fragrance, skin care and makeup categories growing 37 percent, 13 percent and 12 percent, respectively. This increase is due to consumers viewing products formulated with natural ingredients as better and less harmful, and demanding the removal of harmful ingredients, according to NPD’s Larissa Jensen, Executive Director, Beauty Industry Analyst. Larissa presented these findings, among others, alongside Trendwatching’s Maxwell Luthy, at CEW’s recent sold-out presentation in New York City, noting the increasing interest in naturals is part of a mega-trend, Betterment, identified by Trendwatching as consumers’ universal quest for self-improvement. As part of the trend, consumers expect brands to react to their newfound attitudes about transparency, and Larissa noted that retailers are already responding. Earlier this year, Target announced that it will be banning products that contain hazardous ingredients by 2020 and CVS has pledged to remove harmful ingredients in nearly 600 of its store-branded beauty and personal care products by 2019.

The group to watch for this growing trend is Gen Z, as estimated total core beauty spending for female consumers aged 12 to 17 years old is $2.3 billion. “The number-one thing they are looking for is products formulated with pure and natural ingredients. This won’t go away. It will only accelerate,” said Larissa. Gen Z is also looking for brands that recognize and demonstrate social consciousness, which may include a focus on diversity, equality and cruelty-free processes and goods.

But, it’s not all about naturals. Another mega-trend, Better Business, is gaining steam. As a result of the public having access to a business’ practices through reviews, media exposure, leaks and viral videos on social media, consumers are beginning to look for companies that have a more ethical and sustainable model. Brands will do well to align themselves with causes that are important to consumers, noted Larissa. Companies such as L’Oréal and Estée Lauder have responded through the implementation of sustainability programs and produce yearly progress reports to keep consumers informed of their efforts. Additionally, sustainable brands have seen huge spikes year to date. Among the eco-friendly brands experiencing growth include Clean Beauty (+78%) Tarte Cosmetics (+52%) and Tata Harper (+34%).