Explore how genAI systems enhance growth opportunities for the chemical testing equipment industry.
Chemical Manufacturing
October 31, 2024
Personal care and beauty brands are some of the most secure in the global market. Through economic uncertainties, personal care product sales tend to remain stable while other sectors may experience revenue strain.
Between now and 2034, the personal care market is expected to grow beyond $1.15 trillion. Growing consumer awareness, changing demands, and technological innovation have begun driving this growth forward.
Because these are essential products, industry competition is intense. Companies are now challenged to achieve more automated operations, safer manufacturing processes, improved product development, and more personalized customer engagement. From raw material sourcing to online sales, artificial intelligence (AI) tools are becoming more widespread across the industry — turning these challenges into opportunities.
How is generative AI technology reshaping the personal care industry and the chemical manufacturing processes involved?
Let’s consider how AI specifically supports personal care manufacturers, marketers, and sales teams.
To address the changes in personal care manufacturing and sales, here are the most significant factors currently shaping the industry.
Changes in the supply chain have impacted care chemical companies that supply raw materials to personal care manufacturers. Volatile availability of materials, increased transportation costs, and tightening regulatory measures impact product development and sales.
These supply chain uncertainties can also lead to inventory management issues. When certain ingredients become scarce or reliable sources suddenly leave the market, companies must find new suppliers to fulfill production. This puts holds on product manufacturing and as a result, compromises the brand’s demand forecasting.
In this case, GenAI can help manufacturing and sales teams quickly identify alternative providers of certain ingredients. When supply chain disruptions occur, these tools can encourage continuity for both manufacturers and customers.
Personal care companies must meet increasingly stringent regulations related to ingredients’ safety and environmental impact. Compliance with these standards is required for both raw material suppliers and end-of-line product manufacturers. Authorities such as the FDA’s MoCRA act and the EU Cosmetic Product Regulation pay special attention to these requirements since products like skincare, cosmetics, fragrances, dental hygiene, and other care items come into close contact with people’s bodies every day.
GenAI tools help manufacturing and sales teams navigate complex standards, providing updated information on regulatory requirements, ingredient use cases, and safety. For example, Evonik — a leading specialty chemicals company that serves industries including personal care — offers a portfolio of active ingredients to help its customers create products with scientifically proven and compliant claims.
The rise of indie beauty brands combined with consumers’ growing demand for innovative, hyper-personalized products makes this already-competitive industry even more cutthroat. Additionally, the abundant competition puts pressure on larger, established companies to continue to differentiate and adapt. To stay ahead, companies must capitalize on “recession-proof” growth opportunities in all market conditions.
A generative AI solution like Nesh empowers sales teams in this position to rapidly access product information to deliver personalized recommendations, encouraging customer satisfaction. AI analyzes market conditions and audience preferences to predict demand, meet unique customer expectations, and position marketing teams to stand out in the crowded landscape.
Even personal care companies with the most sophisticated product portfolios can turn to AI for product customizations, clean ingredient alternatives, and omnichannel sales strategies that disrupt the conventional sales model.
Today, consumers are favoring products that focus on sustainable and eco-friendly options. This is both a challenge and a major opportunity for personal care companies. With insights into ingredient properties and sustainability comparisons, generative AI can help sales teams identify current and future trends, suggesting products that align with consumer patterns.
For example, a popular skincare company might develop alternative products involving organic, plant-derived, or biodegradable ingredients that meet both performance criteria and environmental preferences. AI can facilitate sourcing new materials from chemical companies that supply these ingredients. Then, it can tailor new audience messaging so sales teams can attract the ideal customer base, providing accurate information on these new sustainable ingredients.
When it comes to technical sales for care chemical ingredients that are carefully used during production, generative AI is transforming the landscape.
In the U.S. alone, the personal care industry is projected to see more than $46.3 billion in revenue this year. Product innovation is vital for brands trying to stay ahead. This requires brands to source new raw materials to create fresh, standout products that capture buyers’ interest and meet diverse needs. GenAI tools like Nesh help sales teams remain updated on the latest additions and improvements to their growing product portfolio. This ensures commercial teams can better collaborate with their customers’ R&D teams to streamline material discovery and product development processes.
Chemical companies that serve personal care manufacturers have extensive product portfolios of raw materials and ingredients. Generative AI can help sales teams navigate these portfolios more effectively, make sophisticated product comparisons, and ultimately find the best products to meet a customer's requests. This capability is particularly valuable when customers are looking to reformulate existing products or develop new ones with particular attributes.
Another way GenAI helps sales representatives is by compiling comprehensive knowledge of their product offerings so that they can apply this information to effectively serve customers. Generative AI provides quick access to detailed product information so that sales reps no longer have to rely on internal experts. It can also suggest cohesive product messaging, helping sales teams communicate the benefits and applications of various products and raw materials.
Chemical companies serving the personal care industry need reliable technologies that can navigate complex supply chains, ensure regulatory compliance, meet sustainability demands, and stay relevant in a highly competitive market.
Nesh's generative AI platform addresses these critical needs by providing sales teams with rapid access to alternative ingredients, up-to-date regulatory information, sustainable product recommendations, and market trend insights. By leveraging Nesh, chemical sales representatives offer tailored solutions and navigate complex product portfolios to provide value-added support to personal care customers.
To learn more about simplifying the manufacturing and sales strategies of your care chemicals, contact Nesh for a demo. Discover how our AI-powered platform equips your team to drive growth and innovation in this competitive market.
Want to learn more about AI for the chemicals industry? Check out our Ultimate Guide to AI in Chemicals.
Explore how genAI systems enhance growth opportunities for the chemical testing equipment industry.
Discover how to enhance your technical sales strategy with pre-call planning and generative AI (GenAI).
.png)
Generative AI and retrieval-augmented generation (RAG) have become essential tools for chemical technical sales teams.
