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May 2017

| May 2017 | Active Lifestyle

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Global Mega Trends @ Evonik Personal CareWhat are social trends?

| May 2017 | Active Lifestyle

And why are trends important?

- Trends are durable sociological evolutions that concern a

large group of individuals and that are related to even

more profound historical movement of the society

- Trends are transversal, i.e. they express themselves in

several areas of life at once and their expressions/

manifestations change over time as the trend evolves

- They define what is both socially desirable and personally

relevant to individuals

- Trends are the visible face of change. Observed correctly

they are an invaluable help for developing the most

relevant concepts for the future

- We cannot fully understand people`s behavior without

understanding the influential trends behind them

At Evonik Personal Care - we merge social trends with

market intelligence and scientific know-how

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Where did we get the trends from?

GLOBAL TRENDS

EXPERT TEAM

International qualitative

analysis by an expert

global trends team

SOCIAL MEDIA

• Social Media Listening

• Crowd Storming

BEAUTY CARE EXPERT

KNOW-HOW

• Fairs, Trade Shows

• Cooperation with

dermatologists/ consultants

POP CULTURE

• Trend Scouting

TREND MONITORING

TOOLS

• Trend databases

• Specialist literature

| May 2017 | Active Lifestyle

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Future developments that will lead to new needs in beauty care

MEGA TRENDS

CONSUMER TRENDS

Mega Trends

• are influential social adjustments that accompany

major changes in society

• last between 5-20 years

Consumer Trends

• emanate from mega trends and trickle down in our

consumer culture

• exist for approx. 5 years

• hold immediate implications for consumer marketing

Technology is

everywherePopulations are

ageing

Awareness

is growing

| May 2017 | Active Lifestyle

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Active LifestyleRoute map

1. Key drivers

2. Market Movements &

Opportunities

3. Inspiring Formulations &

Ingredients from Evonik Personal

Care

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Key takeaways

Influenced by the rise of wellness culture, increasing

numbers of global consumers are adopting an active

lifestyle.

The key aims are living longer, finding direction, and

making progress, rather than reaching unattainable

perfection. Nutrition is just as important as exercise and

fitting beauty care is on the rise.

Running and cycling are extremely popular, being easy to

pick up, providing meditative time alone, and appealing to

one’s competitive nature.

Sport and beauty are joining forces for collaborations that

combine health and fitness with cosmetics. Evonik

Personal Care offers a selection of inspiring formulation

ideas targeting this trend.

| May 2017 | Active Lifestyle

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Key beauty drivers for an active lifestyle

| May 2017 | Active Lifestyle

Inside/ Outside Health

• Beauty from within

• Peace-of-mind purchases

Body Culture

• 24/7 Beauty

• Reshape

Digital Wellness

• Digital Influencers

• Health/ Sport Tech

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37% of UK adults put “exercising more” as their 2nd top personal goal in 2014

48% of all

Americans participated in at least

one outdoor activity in

2015*

An active global movement which continues to grow

| May 2017 | Active Lifestyle

56% of all

Chinese consumerssay that they would like to

improve their skin through

good physical fitness**

34% of Germans claim to have exercised more in 2014 than 2013

Source: *The outdoor foundation I **Mintel

$3.7 trillion: global wellness market (Global Wellness Institute)

~$1 billion: beauty and anti-aging portion of the wellness market (Global Wellness Institute)

66% of consumers are willing to pay extra for products and services that come from companies that are committed to positive

social and environmental impact

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The active lifestyles consumer target group offers market potential covering all generations

| May 2017 | Active Lifestyle

Source: The Physical Activity Council’s annual study tracking sports, fitness, and recreation participation in the US (2015)

Boomers1945 - 1960

Gen X1961 - 1980

Millennials1981 - 1995

Gen Z After 1995

37% 48%

49% 80%

were involved in high

calorie burning exercisesparticipated at least once a

week in a fitness activity/sport

were involved in high

calorie burning activitiesof Gen Z were active

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Consumers' interest in beauty products for active lifestyle

| May 2017 | Active Lifestyle

Source: Lightspeed/Mintel; Ipsos Observer; QQ Survey

Base: 2000 UK internet users aged 16+; 2000 Italian and Spanish internet users aged 16+; 950 US female internet users aged 18+ who use colour cosmetics; 3000 Chinese internet users aged 20-49

of Italian consumers would

be interested in using

bodycare products designed

for specific exercises

of Spanish consumers would

be interested in products that

help their hair stay in

condition during and after

exercise

46% 49%

HAIR CONDITIONMATCHING BODYCARE TO

EXERCISE

of US women who use color

cosmetics are frustrated by

products that don't last, while

35% are frustrated by

smudges

39%

SEEKING MAKE-UP THAT

LASTS

of Chinese consumers say

regular exercise is important

for healthy lifestyles

60%

REGULAR EXERCISE

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Main consumer beauty challenges for active lifestyle products

| May 2017 | Active Lifestyle

Sweat

Malodor

Extra Moisture/

Care

Indoor Outdoor

CH

AL

LE

NG

ES

NE

ED

S

Sweat ControlConvenience Protection against

malodor

Selfie readyHygiene

UV-Light

Temperatures

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Inspiring Formulations & Ingredients from Evonik Personal Care

| May 2017 | Active Lifestyle

Prepare | Dry and light deo stick (ACH free)FU 07/10-31

Selfie-ready | Exercise proof foundationCHN CT041/0027

Refresh | Refreshing power wipeRY 5814/092

Recharge | All-in-1 recharge for SPORTRY 5830-098

Revitalize | After sun energizing & nourishing spraySAC 6053-86

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