A pilot study of awareness and consumer behaviour towards organic cosmetics

1. A pilot study of awareness
and consumer behaviour
towards organic cosmetics

2. Flow of presentation
▪ Introduction
▪ Problem statement
▪ Objectives
▪ Research methodology
▪ Results and discussions (ONLINE DATA)
▪ Results and discussions (OFFLINE DATA)
▪ Major findings and recommendations
▪ Conclusion
▪ Limitations of research
▪ References

3. Introduction

4. What is Organic cosmetics ?
Manufactured from natural ingredients of plant
extracted under eco-friendly conditions.
Products include under body care, facial
care and sun care conditioners, shampoos, hair colours, mouthwashes,
toothpastes, mascaras, lipsticks, foundations, feminine hygiene products and
deodorants among others.
These products do not contain synthetic chemicals such as parabens,
phthalates, petrochemical and aluminium salts.

5. Organic cosmetics – why?
Ordinarycommercial cosmetic products,
often contain toxic and chemically-potent
substances capable of causing long term
adverse impacts on human skin.
Organic cosmetics replaceall harmful or carcinogenic
ingredients.

6. Some ingredients can seriously damages !
a family of preservatives called “Parabens” – added up to 75%-90% in
cosmetics causes,
• Damages protein molecules on skin
• Breast tumours and endocrine disruptor
Propylene Glycol, added in many cosmetics,
• Speeds up the aging of the skin
• Cause irritation and contact dermatitis.
Artificial fragrances, mostly obtained from petroleum by
products, causes
headaches, lung problems, skin irritation and dizziness.

7. Situation in India
One third of all cosmetic and hair care products in India contain
carcinogenic ingredients that have proven to be extremely harmful to the
human skin.
Penetration levels of international brands are still quite low at only 20
percent. Remaining 80 percent of the consumers use low-cost cosmetic
products.
The size of the organic and natural cosmetic products is less than 5
percent (of the total cosmetic market of India than normally used cosmetic
products.)

8. The best part about Organic Cosmetics is that unlike chemical
based cosmetics
• These do not interfere with the body's absorption of vitamin D.
• Causes a healthy skin, lustrous hair and glowing complexion in a completely
natural way.
• Naturally-made cosmetics also help in skin tissues and cell repair.
• Organic cosmetics contain organic vegetable oils and organic essential oils.
Vegetable oil is rich in active substances, essential fatty acids, vitamins which
have a natural feel and texture and thus have a moisturizing effect on
the skin.
• Organic cosmetics do not contaminate the environment or cause
pollution.
• There is little chance of harsh reactions on regular bases.
• It does away with experiments on animals and promotes fair trade.

9. Problem
statement

10. Despite of being so human friendly, why people are not aware?
1.Shorter shelf life of organic personal care products is a factor limiting consumer demand.
Organic personal care product manufacturers have a hard time sourcing organic
ingredients as an alternative to synthetic preservatives, causes lesser options available to
consumers
2.Lack of information on consumers' side regarding the difference between
the beneficial effects of organic and conventional skin care
Ultimately causes lack of awareness towards such health concern products, which should
be highly promoted

11. Objectives

12. To study of general awareness towards
organic among people.
• Evaluate which factors are more essential to
enhance such awareness among mass.
• To study of consumer buying behaviour on organic
cosmetics consumers.

13. Research
Methodology

14. Mixed – method analysis
In qualitative study, exploratory research by taking in-depth interview of owners of organic
product retailers.
In quantitative method, an online and offline surveys has been conducted in that primary data
has been collected via convenience sampling to check awareness among general people.
Approximate total number of people surveyed online was around 300-320, in that only 100
responded. Questionnaire included 11 questions, both closed ended and scaled questions.
An offline survey , consisted 7 questions, conducted to see consumer buying behaviour of organic
cosmetics using point to purchase sampling technique, total 25 participants responded.

15. Results and discussions
(ONLINE DATA)
N= 100

16. Chi-square technique (relationship between gender and awareness of
organic cosmetics)
HO: There is no relationship between gender and awareness towards organic
cosmetics.
H1: There is a significance relationship between gender and awareness towards
organic cosmetics.
Gender yes no
Male 1 48 49
Female 9 42 51
total 10 90 100
Awareness of
organic cosmetics
Observed
value
Expected
value
(O-E)2 (O-E)2/E
1 4.9 15.21 3.104082
48 44.1 15.21 0.344898
9 5.1 15.21 2.982353
42 45.9 15.21 0.331373
Observed
value
6.763Degree of freedom: (2-1)*(2-1)
= 1
Critical value at alpha (5% level of significance): 3.841
H0 hypotheses is rejected which means awareness of organic cosmetics is gender biased (more towards
female).Female tend to know more about cosmetic

17. Chi-square technique (relationship between age group and awareness of organic cosmetics)
HO: There is no relationship between age group and awareness towards organic cosmetics.
H1: There is a significance relationship between age group and awareness towards organic cosmetics.
Age groups
yes no
18 - 25 2 36 38
26 - 35 5 33 38
36 - 45 2 15 17
46 - 55 1 6 7
total 10 90 100
Awareness of
organic cosmetics
Observed
Value(O)
Expected
Value (E)
(O-E)2 (O-E)2/E
2 3.8 3.24 0.852632
36 34.2 3.24 0.094737
5 3.8 1.44 0.378947
33 34.2 1.44 0.042105
2 1.7 0.09 0.052941
15 15.3 0.09 0.005882
1 0.7 0.09 0.128571
6 6.3 0.09 0.014286
Observed value 1.570102
Degree of freedom: (4-1)*(2-1) = 3
Critical value at alpha (5% level of significance):
7.815
H0 hypotheses is accepted, Age group does not have effect on awareness of organic cosmetics.

18. Do you use cosmetics?
Yes 79
No 21
Total 100
79
21
Yes No
Are you aware of organic cosmetics products?
Yes 10
No 90
Total 100
10%
90%
Yes No
General awareness

19. Which media that you mostly use to get information about cosmetics products?
Television Magazines Radio Internet
Friends/
Family/Doctors
Others:
Series1 64 4 0 0 32 0
64
4 0 0
32
0
Television is more preferred media for cosmetics may be because of advertisements.
Friends, family or doctors are also an another medium for information.

20. 5. Whether you presently buy organic cosmetics or not, please
indicate how important each of the following factors would be to
make you more likely to buy organic:
This question comprises responses from people who rates factors from extremely
important (5) to not so important (1).Then rank to each factors have been given. This will
give the idea about what factor should one consider in order to enhance awareness of
organic cosmetics.

21. More knowledge
about organic
cosmetics.
12 63 25 0 0 3.87 3
Greater availability of
organic cosmetics.
2 20 35 29 14 2.67 8
More advertisements
for organic
cosmetics.
60 36 4 0 0 4.56 1
Wider product
selection for organic
cosmetics.
0 33 14 53 0 2.8 7
Strong influence from
friends/family/doctors
13 52 18 16 1 3.6 5
Scientific evidence
organic cosmetics
are healthier.
60 27 13 0 0 4.47 2
Usage of hazardous
ingredients used in
chemical cosmetics.
0 54 13 33 0 3.21 6
Organic cosmetics
are considered safer
for my health.
28 24 48 0 0 3.80 4
Strongly
disagree
Factors RankMean
Strongly
agree
Agree Neutral Disgree

22. Next section considers consumer behaviour on buying conventional cosmetics
which ultimately provide a useful information about what care should one take
to promote organic cosmetics and what steps should retailers of organic
cosmetics should do in order to compete their products with conventional
chemical cosmetics.
Here Likert scale questions have been asked to respondents where they have to
give feedback from strongly agree (5) to strongly disagree (1) depending upon
their perceptions.

23. 0 0.5 1 1.5 2 2.5 3 3.5 4
IFTHERE ARETWO PRODUCTSTHATARE EXACTLYTHE SAME, I
WOULD PURCHASETHEONETHAT HAS MORE ATTRACTIVE
PACKAGING
IFTHERE ARETWO PRODUCTSTHATARE EXACTLYTHE SAME, I
WOULD PURCHASETHEONETHAT IS LESS EXPENSIVE
I ALWAYS COMPARE PRICES IN DIFFERENT COSMETIC STORES
WHEN I INTENDTO BUY COSMETIC
IFTHERE ARETWO STORESWITH EXACTLYTHE SAME PRODUCTS, I
WOULD CHOOSETHE ONE HAS BETTER DECORATION AND MORE
BEAUTIFUL INTERIOR DESIGN
I WOULD PREFER A STORETHATOFFERS BETTER PROMOTION
WHEN I INTENDTO BUY COSMETIC
3.58
3.71
2.97
3.13
3.12
Mean

24. Yes No
18-25 0 15 (30.61%)
26-35 0 21 (42.85%)
36-45 0 8 (16.32%)
46-55 1 (2.04%) 4 (8.16%)
18-25 2 (3.92%) 21 (41.17%)
26-35 5 (9.8%) 13 (25.49%)
36-45 2 (3.92%) 6 (11.76%)
46-55 0 2 (3.92%)
Awareness on organic cosmetics
Male
Female
49
51
Age groupGender Total
3 way table
for
measure of
awareness
Awareness doesn’t relate with age group but there is relationship between
gender and awareness of organic products
Only 2 % of male (1 out of 49 total male respondents) has some idea about
organic cosmetics.
Women from age group of 26-35 are more aware of these products (10%).
Still only 10 out of 100 respondents aware about organic cosmetics which
clearly shows there is a significance lack of awareness among people about
organic products.

25. Results and discussions
(OFFLINE DATA)
N= 25

26. 1. Gender Male 2
Female 23
total 25
2. How often do you buy organic cosmetics?
Male
8%
Female
92%

27. 3. Why do you choose organic products?
Health concerns,
20
Ethical reasons, 0
Quality and
effectiveness, 3
Protect the
environment, 2
0
5
10
15
20
25
1
4. Do you believe that organic products are ‘healthier’?
Yes 25
No 0
total 25

28. 5. If the price of organic products continued to rise, would you continue to purchase organic
products?
13
2
10
0 2 4 6 8 10 12 14
Yes
No
Not sure
6. Do you believe whatever organic cosmetics you purchased is 100% organic (no chemicals
used)?
12
0
13
0 2 4 6 8 10 12 14
Yes
No
Not sure

29. 7. Which media that you mostly use to get information about organic cosmetics?

30. Major Findings and
recommendations

31.  Relatively lower awareness about organic cosmetics.
 Health concern and lifestyle related ailments is the most accepted reason
to buy organic products. Even though shorter shelf life and lesser varieties
are available, organic cosmetics have big market due to their safety
concern.
 Some of the organic products are expensive. But increased awareness can
cause higher demand which could give these companies to take advantages
of economies of scale and cost reduction.
 People’s inclinations towards lesser price products, attractive packaging,
and promotional offers.

32. Awareness towards organic cosmetics in mass found less, so there could
be so many factors one can consider while creating awareness through
marketing.
 Awareness of such products are found gender biased mainly towards
female. Female should focus more during marketing
 Television is the most preferred medium to take out information of
cosmetics, so to enhance awareness of safer cosmetics television
medium should be used.
 Doctors can become helping hands to promote these products.

33.  Factors which can influence more on promotion of organic products are
 Advertisements (Television advertisement can become a good option
as people prefer television more. )
 Scientific evidences of safety of organic cosmetics,
 and more knowledge spread regarding their health concerns,
protection to environment.(Seminars, events, leaflets, hoardings, etc.
can become weapons to spread information of their benefits.)
 Digital Marketing is another good way for Organic Brands to create
visibility and likeability among consumers

34. Conclusion

35. Overall organic cosmetics requires as vigorous
marketing and promotions as conventional
cosmetics to increase awareness, attract more
customers and make them buy more safer
cosmetics.
For that organic cosmetic company must expense
more on marketing and promotions in small cities
like Vadodara and help retain people to promote
their products as per their intentions to make, train
them for same and reward system can be
implemented.

36. Limitation of research
Convenience sampling techniques which can provide biased results.
There is only one shop in Vadodara which claims they are the only retailer of organic
cosmetics so it could have been more source of information regarding organic cosmetics
market and consumers’ preferences for referring of such products.
The area was wide since it is confined only to Vadodara city so results cannot be
universally accepted.
Online survey has some limitations too. .Limited sampling and respondent availability.
Certain populations are less likely to have internet access and to respond to online
questionnaires.
These has tremendous scope for further study as it has proposed many hypotheses
untouched. Many new factors can also be considered.

37. References
1. Sameer A. Virani (2014) “Herbal (Organic) Cosmetics the way ahead in Modern India” Int. J. of Trade
and Commerce-IIARTC, Vol. 3, No. 1, pp. 182-194
2. Consumer behaviour towards organic, natural and conventional skin care products: a pilot study
^Alina-Aida Dragan, ^Dacinia-Crina Petrescu
3. Cornelissen G., Pandelaere M., Warlop L., Dewitte S., 2008 Positive cueing: Promoting sustainable
consumer behavior by cueing common environmental behaviors as environmental. International Journal
of Research in Marketing 25(l):46-55.
4. Chain Store Age (2010), "Forty Under 40: Small Chains Flourish," 85(1), 22-27
5. Leonard A., 2010 The story of stuff. Free Press, New York.
6. http://bioorgcosmetics.com/home.html
7. http://www.thehealthsite.com/beauty/making-the-big-switch-chemical-to-organic-make-up/

38. 8. http://www.usda.gov/wps/portal/usda/usdahome
9. http://www.ams.usda.gov/AMSv1.0/getfile?dDocName=STELPRDC5068442
10. http://math.hws.edu/javamath/ryan/ChiSquare.html
11.http://www.transparencymarketresearch.com/organic-personal-care-
products.html
12. http://www.paulaschoice.com/expert-advice/natural-skin-care/_/organic-
cosmetics-is-natural-better
13.http://www.cancer.org/cancer/cancercauses/othercarcinogens/athome/cosmetics
14. http://zeenews.india.com/exclusive/go-organic-on-your-skin_6648.html

39. THANK
YOU !!
Any
questions ?