Australia Oral Care Market Analysis

Australia Oral Care Market Executive Summary

Australia's oral care market was valued at $423 Mn in 2022 and is estimated to expand at a CAGR of 7.7% from 2022 to 2030 and will reach $765 Mn in 2030. Oral care refers to the maintenance of one's oral hygiene, including the teeth, gums, and mouth. Good oral care is important to prevent dental diseases such as tooth decay, gum disease, and bad breath. It involves a range of practices, including brushing and flossing teeth regularly, using mouthwash, and visiting the dentist for regular check-ups and cleanings.

The Australian oral care market is a dynamic and growing industry that includes a wide range of products and services aimed at promoting oral health and hygiene. The market is driven by factors such as increasing consumer awareness of oral health, rising disposable incomes, and advancements in technology. The Australian government has implemented several policies aimed at promoting oral health and preventing dental diseases, such as the Child Dental Benefits Schedule, which provides eligible children with up to $1,000 in basic dental services over two years. The government also regulates the oral care market through the Therapeutic Goods Administration (TGA) to ensure the safety and efficacy of products and services.

Market Dynamics

Market Growth Drivers

The awareness about maintaining good oral health has increased among Australians. The increasing prevalence of dental diseases, such as cavities, gum disease, and oral cancer, has led to more people adopting better oral hygiene practices. According to a survey conducted by the Australian Institute of Health and Welfare, over 80% of Australians brush their teeth twice a day. The aging population in Australia is contributing to the growth of the oral care market. As people age, they become more susceptible to dental diseases, and they may require more dental care products and services. The proportion of people aged 65 years and over is projected to increase from 15% in 2019 to 21% by 2058. The disposable income of Australians has been increasing, which has led to higher spending on oral care products and services.

According to the Australian Bureau of Statistics, the average weekly earnings for full-time workers in Australia increased by 3.8% from 2019 to 2020. The trend toward natural and organic oral care products is driving the growth of smaller, niche brands. The global natural and organic oral care market is expected to reach USD 5.9 billion by 2025, growing at a CAGR of 5.5%. In Australia, brands like Grants of Australia, Dr. Brite, and Noosa Basics are gaining popularity among consumers. The growth of e-commerce has made it easier for consumers to purchase oral care products online. The convenience of online shopping and the availability of a wider range of products are driving the growth of the e-commerce channel. The online penetration rate of personal care and beauty products in Australia is expected to reach 23.8% in 2023.

Market Restraints

The oral care market in Australia is highly competitive, with a few dominant players like Colgate-Palmolive, Procter & Gamble, Johnson & Johnson, and GlaxoSmithKline. This makes it difficult for smaller brands to gain market share and compete effectively. Australian consumers are becoming more price-sensitive, which is making it challenging for companies to maintain their margins. With the rise of e-commerce and the availability of cheaper imported products, consumers are increasingly looking for low-cost alternatives. The Australian government has strict regulations in place to ensure the safety and efficacy of oral care products. Companies must comply with these regulations to market their products in Australia, which can be costly and time-consuming. The use of plastic in oral care products, such as toothbrushes and packaging, is becoming a growing concern among environmentally conscious consumers. Brands that do not address these concerns may face challenges in gaining market share.

Competitive Landscape

Key Players

• White Glo
• Grants of Australia
• Red Seal
• Dr. Brite
• Pure Smile

Healthcare Policies and Regulatory Landscape

The Australian healthcare policy and regulatory framework for oral care products and services is primarily aimed at ensuring the safety, quality, and efficacy of these products and services. The key regulatory body responsible for overseeing the oral care market is the Therapeutic Goods Administration (TGA), which is a division of the Australian Department of Health. The TGA is responsible for regulating and approving oral care products, such as toothpaste, mouthwash, and dental floss, to ensure that they meet the necessary safety and efficacy standards. The TGA also regulates the use of dental equipment and materials used by dental professionals in the country.

In addition to the TGA, the Australian Dental Association (ADA) is also a key organization in the country's oral care market. The ADA is a professional association representing dentists in Australia and works closely with the government to develop policies and guidelines for the provision of oral health care services. The Australian government has also implemented several policies aimed at promoting oral health and preventing dental diseases. For instance, the Australian Government's Child Dental Benefits Schedule provides eligible children with up to $1,000 in basic dental services over two years.

Reimbursement Scenario

In Australia, the reimbursement scenario for oral care products and services is primarily focused on preventive care rather than restorative care. The government provides a range of oral health services through its public dental health programs, which are aimed at providing basic oral health care to eligible individuals. The public dental health programs provide subsidized or free dental care to eligible individuals, such as low-income earners, pensioners, and children. The services covered under these programs include basic dental check-ups, preventive treatments such as fluoride treatment and dental sealants, and some restorative treatments such as fillings and extractions.