Professional Documents
Culture Documents
9833-39
October 2012
Contents
Section
Slide Numbers
Executive Summary
Hand HygieneIntroduction
10
17
26
30
34
41
50
Competitive Scenario
54
Strategic Recommendations
59
62
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Executive Summary
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Executive Summary
Industrial hand hygiene, which is the act of cleaning hands in industrial scenarios, is covered in this
study.
Hand hygiene products are segmented according to their mode of action:
o Cleansing
o Sanitizing
o Protecting
o Restoring
The industries covered are food and beverages, services and hospitality, automotive service and
transportation, and manufacturing and industry. The healthcare industry is not covered, although it is
the largest application for hand hygiene products.
Cleansing products have the largest segment in the market and will continue to dominate the market.
Sanitizers are gaining acceptance because of their ease of use. However, they are suitable in only a
few industries and are ineffective as cleansing products, which will limit their use.
Developed nations are far ahead in use of hand hygiene, and the opportunities there are greater,
because education and awareness drive the growth of the market for hand hygiene products. Strong
regulations for industrial hand hygiene are not in place but can be expected in the future as
governments start focusing on public health and well being.
Source: Frost & Sullivan analysis.
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Hand HygieneIntroduction
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IntroductionIndustry Overview
Source: World Health Organization, Center for Disease Control and Prevention, and Frost & Sullivan analysis.
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Product Segmentation
Industrial Hand Hygiene Market: Product Segmentation, Global, 2011
Cleansing
Soap solutions
and other
washing solutions
for effective
cleaning
Sanitizing
Alcoholic or nonalcoholic sanitizers
used for
decontamination
Protecting
Restoring
Solutions to
protect skin from
occupational
hazards prior to
starting work
Solutions to
restore skin after
work
Wipes, Towels,
and Gloves
Wipes, paper,
and cloth
towels which
can be used for
cleansing or
other
applications
The study covers hand hygiene products used for cleansing, sanitizing, protecting, and restoring.
Wipes and towels (paper and cloth) are not covered.
Source: Frost & Sullivan analysis.
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Industrial Segmentation
Industrial Hand Hygiene Market: Industry Segmentation, Global, 2011
Food and
Beverage
Includes
agriculture, food
manufacturing and
processing, and
food services
Manufacturing and
Industry
Includes automotive
after market service,
transportation, and
logistics
Includes all
manufacturing
industries such as
automotive
manufacturing,
electronics,
mining, and
engineering
Services and
Hospitality
Includes public
safety and
service,
janitorial
service, waste
disposal, and
emergency
medical staff
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40.0%-45.0%
Direct Sales
Specialized
Distributors
20.0%-25.0%
End User
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10
IntroductionIndustry Overview
The industries covered in this market insight are:
o Food and beverages
5.0
Growth Rate (%)
6.0
4.0
3.0
2.0
1.0
0
Food and
Beverages
Growth
Rate (%)
4.2
3.5-5.0
Automotive
Service and
Transportation
Manufacturing
and Industrial
Services and
Hospitality
4.5
4.0-5.0
4.7
4.5-5.0
4.5
4.0-5.0
Industries
Note: All figures are rounded. The base year is 2011. Source: Frost & Sullivan analysis.
11
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12
This demand also drives the growth of the after market and service
segments.
The global logistics industry is projected to create a large number of employment opportunities as the
industry grows at around 7.0 percent to 8.0 percent globally.
The growth of employment in the automotive service and transportation industry, along with increasing
awareness of industrial hygiene, is expected to drive the global growth of hand hygiene products.
Asian countries have become the manufacturing and sales hub for the automotive segment, which will
increase the importance of hand hygiene in developing areas.
In the automotive service industry, workers are often exposed to soils, irritants, grease, temperature
swings, and exposed working conditions. Vehicle maintenance, repair, painting, and services require
workers to practice hand hygiene.
Hand hygiene minimizes the risk of occupational dermatitis and skin problems, such as soreness,
redness, and chapping, and reduces sickness through skin safety.
Source: Frost & Sullivan analysis.
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Manufacturing is controlled by the end applications to which it caters; however, positive growth is
expected for the industry.
Hand hygiene has been gaining importance in manufacturing with as awareness of and concern for
health increases.
Different types of hand hygiene products are used based on the type of industry. Certain industries
prohibit the use of alcohol-based sanitizers for employees working in environments close to fire.
They are exposed to soiling, potential irritants, temperature change, grease, paints, and chemicals.
Employee health and wellness are important to companies, so hand hygiene products have become
essential.
Source: Frost & Sullivan analysis.
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14
The growing demand for services and increasing awareness of personal hygiene and disease prevention
is expected to drive the growth of the hand hygiene market.
Sanitizers are gaining market share because of their ease of use in the services industry.
Hands are the primary vehicle for the spread of germs and are responsible for a number of infections
and skin problems. Consequently, hand hygiene methods such as cleaning, sanitizing, and protecting the
hands are important.
People working in closed environments or in proximity with each other have a higher possibility of
carrying and passing on germs, which and can lead to localized outbreaks of diseases.
Source: Frost & Sullivan analysis.
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15
China
Growth
Industry
Growth
Services and
Hospitality
Services and
Hospitality
Food and
Beverage
Food and
Beverage
Manufacturing
and Industry
Manufacturing
and Industry
Automotive
Service and
Transportation
Automotive
Service and
Transportation
South America
Industry
Africa
Growth
Industry
Australia
Growth
Industry
Asia
Growth
Industry
Growth
Services and
Hospitality
Services and
Hospitality
Services and
Hospitality
Services and
Hospitality
Manufacturing and
Industry
Manufacturing and
Industry
Manufacturing and
Industry
Manufacturing and
Industry
Automotive Service
and Transportation
Automotive Service
and Transportation
Automotive Service
and Transportation
Automotive Service
and Transportation
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1,540
increasingly
Employees (000s)
o Food manufacturing
outsourced.
1,560
1,520
1,500
1,480
1,460
1,440
Note: All figures are rounded. The base year is 2011. Source: U.S. Bureau of Labor Statistics, Frost and Sullivan analysis.
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18
Job Type
Food and
beverages
Agriculture
Manufacturing
Processing
Food service
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19
5,200.0
5,000.0
Employees (000s)
4,800.0
4,600.0
4,400.0
4,200.0
4,000.0
3,800.0
3,600.0
Employees
('000s)
1998
2008
2018
4,168.10
4,504.90
4,950.40
Year
Note: All figures are rounded. The base year is 2011. Source: U.S. Bureau of Labor Statistics, Frost & Sullivan analysis.
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20
Overview of Occupations
Industrial Hand Hygiene Market: Overview of Occupations and Use of Hand Hygiene in the Automotive
Service and Transportation Industry, Global, 2011
Industry
Job Type
Servicing
Industrial operators
handling manufacturing
machinery and other
heavy and light
machines
Powerful cleansing
products remove heavy
and light soils
Vehicle servicing
Logistics
Maintenance and repair
Cleansing solutions
remove chemicals from
paints, oils, and
adhesives. Sanitizing
foam and gels ensure
personnel hygiene.
Protecting hand hygiene
products prevent contact
with skin irritants
Moisturizers promote skin
healing
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21
25.0
Manufacturing Share (%)
20.0
15.0
10.0
5.0
0
U.S.
China
Germany
India
1985
22.0
2.5
11.0
1.0
1990
20.0
3.0
11.0
1.0
1995
23.0
6.0
8.0
1.5
2000
22.0
9.0
7.0
1.8
2005
21.0
12.0
6.5
2.0
2010
20.0
18.0
6.0
2.5
Year
Note: All figures are rounded. The base year is 2011. Source: Frost & Sullivan analysis.
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22
Overview of Occupations
Industrial Hand Hygiene Market: Overview of Occupations and Use of Hand Hygiene in Manufacturing
and Industry, Global, 2011
Industry
Job Type
Manufacturing
and industry
Manufacturing
Cleansing products
remove heavy and light
soils, chemicals, paints,
and adhesives
Chemical manufacturing
workers
Workers in mining,
engineering, construction,
painting, coating, and printing
Assembling
Semiconductor processors
Stationary engineers and
boiler operators
Water and wastewater
treatment plant and system
operators
Removal of adhesives
Personnel hygiene
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Employment Growth
North America
Low
High
Europe
Low
High
China
Low
High
India
Low
High
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Overview of Occupations
Industrial Hand Hygiene Market: Overview of Occupations and Use of Hand Hygiene in the Services
and Hospitality Industry, Global, 2011
Industry
Job Type
Contract cleaners
Food service
Removal of microbial
contamination
Cleansing products
remove soil and dirt
Antibacterial products
reduce microbial spread
Janitorial services
Firefighters
Waste disposal
Controlling spread of
waterborne diseases
Janitors
Emergency medical
staff (paramedics)
Moisturizers promote
skin healing
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o Skin cancer
o Skin infections
o Other skin diseases
Poor personal hygiene has been a major cause of
outbreaks in the food industry, and hand hygiene can
reduce outbreaks, effectively controlling healthcare
costs. Cross-contamination and food poisoning often
result from a lack of hand hygiene.
High healthcare costs, a lack of effective hygiene,
hospital-acquired infections have prompted regulators to
enforce a greater rate of compliance with hand hygiene
rules.
The same efforts can be expected in the food service,
manufacturing, and services and hospitality segments,
because public health is at stake.
Improper
Holding
Temperature
37.0%
Food from
Unsafe
Source
5.0%
Inadequate
Cooking
11.0%
Contaminated
Equipment
15.0%
Poor Personal
Hygiene
22.0%
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27
Mental ill
Health
29.0%
Occupational
Asthma
6.0%
Back Injuries
35.0%
Rhinitis
2.0%
Hearing Loss
1.0%
Source: Health and Safety Executive, and Frost & Sullivan analysis.
28
29
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Regulation
North America
Occupational Safety and Health Administration (OSHA) requires employers to make hand washing
facilities available to employees who are in contact with potential blood-borne pathogens. These rules
apply to healthcare personnel, firefighters, law enforcement, and public safety workers. There are also
hand hygiene guidelines for hurricane-affected areas.
CDC has guidelines for hand hygiene in healthcare settings to prevent seasonal flu, during and after
disasters, and aboard ships.
The FDAs Food Code contains the federal recommendations for preventing food-borne illness in the food
service industry. The code is used by local, state, and federal regulators to develop and update their food
safety regulations.
Europe
Health and Safety Executive (HSE) has recommendations to avoid the spread of occupational dermatitis.
European Commission Regulation (EC) No 852/2004 on the hygiene of food stuff lays down certain rules
for hand hygiene, including providing hand washing areas.
Australia
Regulations for hand hygiene are in place only in the healthcare industry. However, local regulatory
bodies enforce hygiene standards in Food and Beverages manufacturing and services.
Asia-Pacific
There are no regulations for industrial hand hygiene in this region, but regulations or recommendations
can be expected in the future, depending on governmental attention to industrial safety and the well being
of workers.
Source: Frost & Sullivan analysis.
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Regulatory Scenario
Industrial Hand Hygiene Market: Regulatory Scenario, Global, 2011
High
The push for regulations
in the Industrial Hand
Hygiene is strongest in
developed parts of the
globe, including North
America and Europe.
Market Growth
Europe
North America
Australia
Asia-Pacific
Low
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High
33
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These products are used to ensure hands are physically clean and
free of visible dirt.
They are usually sodium or potassium salts of fatty acids with
surfactant properties.
The detergent properties result in the removal of lipids and adhering
dirt and soil. They also remove various organic substances from
hands.
Cleansing products can remove loosely adherent microbial flora. They can also be improvised to have
antimicrobial properties.
Continuous use of cleansing solutions can cause skin irritation and dryness.
The need for running water and washing stations decreases the convenience factor of these products.
They are increasingly being replaced by sanitizing hand hygiene products.
Cleansing products find applications in all industries and are used as primary cleansing products.
Source: Frost & Sullivan analysis.
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Protecting hand hygiene products are pre-work solutions that protect the
skin from contaminants in the working environment.
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Restoring hand hygiene products are usually used after work and help
maintain and restore healthy skin.
These products can condition dry, sore, or chapped skin and promote
healing.
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Market Stage
Cleansing
Sanitizing
Restoring
Protecting
Development
Growth
Maturity
Decline
Time
Source: Frost & Sullivan analysis.
39
Dispensers: Overview
Hand hygiene product dispensing systems or product dispensers are used for their
ease of use and are essential for storage of hand hygiene products.
The dispensers come in different formats. The simple ones are equivalent to bottles
which have spouts for dispensing the product.
Industrial dispensers contain large amounts of hand hygiene products and are often
wall mounted.
Touch-free or no-touch dispensers are gaining in popularity. They bring the advantage
of not having a common touch point.
According to the American Journal of Infection Control, microorganisms, such as the
influenza virus, can survive on surfaces for up to 72 hours. Therefore, touch-free
dispenser are safe and effective hand hygiene products.
Important, essential attributes of dispensers are:
o
Product visibility
Reduced dripping
Use of touch-free dispensers is growing the most in the food and beverages industry, along with the services
and hospitality industry. This growth is attributable to increasing awareness of the importance of hand hygiene
in controlling the spread of infections and to regulatory reform aimed at improving public health.
Source: Frost & Sullivan analysis.
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Industry Segmentation
Healthcare is the dominant end-user industry;
food and beverage manufacturing, processing,
and services are also key industries using hand
hygiene products. Healthcare is the largest end-user
application for hand hygiene products. The healthcare
market for hand hygiene is regulated, and demand is
extremely high. The driving forces are the growing
medical industry, increased healthcare spending, and
awareness of the importance of hand hygiene in
reducing hospital-acquired infections.
The non-healthcare segment is comparatively smaller
and unregulated. The products are essential to
maintain and improve occupational health and safety,
but no laws mandate their use, which is limited to
developed countries.
Industrial
30.0%
Healthcare
70.0%
Note: All figures are rounded. The base year is 2011. Source: Frost & Sullivan analysis.
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Legend
Hand Hygiene Hotspots
Emerging Economies
Least-developed Economies
Source: Frost & Sullivan analysis.
43
Outbreak of infectious
diseases
Lack of laws in
non-healthcare
industries
Denotes current impact
Denotes long-term impact
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Market Restraints
Market Restraints
Market Drivers
Market Drivers
Industrial Hand Hygiene Market: Key Market Drivers and Restraints, Global, 2012-2018
44
1-2 Years
3-4 Years
5-7 Years
Increasing Focus on Health and Well-being: In almost all parts of the world, healthcare is gaining in
importance, and governments are closely working to improve healthcare and the public health sector.
Accordingly, there is an increasing focus on improving health in the services and food sectors.
Growing Food Services and Hospitality Industries: The growing food and beverages industry, along
with the leisure and hospitality industry, in developed parts of the globe presents numerous opportunities
for hand hygiene products.
Food and beverage processing, manufacturing, and servicing are the largest applications of hand hygiene
products, after healthcare. These industries are also regulated by the FDAs Food Code, making the
market opportunity for hand hygiene products higher.
Outbreak of Infectious Diseases: Outbreaks of infectious diseases, such as the H1N1 outbreak in 2009
and the cholera outbreak in Haiti in 2010, have increased awareness of and stressed the importance of
hand hygiene at work. These outbreaks have substantially increased hand hygiene products sales.
Source: Frost & Sullivan analysis.
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1-2 Years
3-4 Years
5-7 Years
Lack of Laws in Non-healthcare Industries: Food and beverages is the only non-healthcare industry
which has regulations (Food Code) for hand hygiene. Since hand hygiene is not mandated in other
industries, it is often not implemented or removed as part of cost cutting. This is a high impact restraint and
will limit the growth of industrial hand hygiene products.
Lack of Awareness and Education about Hand Hygiene: A lack of awareness of the use of hand hygiene
products is an equally important restraint. However, awareness and education are expected to increase in
the future and lower the impact of this restraint. A lack of knowledge limits the capabilities of employees to
demand better hygiene products.
Low Return on Investment (ROI) Restraining Investment in New Technology and Market Growth:
Specialized products in the hand hygiene industry are limited, and most products are commoditized, so price
competition is intense and profit margins limited. The low ROI also holds back market participants from
investing in HH products.
Source: Frost & Sullivan analysis.
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Bargaining Power
of SuppliersMedium
Intensity of Rivalry
Bargaining Power
of CustomersMedium
Medium
Threat of SubstitutesHand hygiene products cannot be replaced by personal protective equipment such
as gloves and aprons. With the increasing awareness of employers and employees about improving personal
hygiene, these products are not replaceable.
Bargaining Power of CustomersCustomers prefer products that balance quality and cost and meet
certain specifications. Customized and specialized products prevent customers from bargaining. As a majority
of products used are commoditized, though, bargaining power becomes medium.
Threat of New EntrantsA few multinational companies have a strong foothold in the market and control it.
However, new entrants are targeting niche applications with specialized products. The investment required for
commoditized hand hygiene products is low, helping new entrants.
Bargaining Power of SuppliersBargaining power is high when products are specialized and targeted to
certain industries, such as the protecting and restoring hand hygiene products. For cleansing products such
as soap, which are commoditized, the bargaining power is low.
Source: Frost & Sullivan analysis.
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Product Opportunities
Industrial Hand Hygiene Market: Product opportunities, Global, 2011
Product Type
Application
Cleansing
Sanitizing
Protecting
Restoring
Opportunity Size
Low
High
Low
High
Low
High
Low
High
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Cleansing
products
Market Size
Sanitizing
products
Protecting
products
Restoring
products
Low
Low
High
Growth Rate
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Industry Trends
Industrial Hand Hygiene Market: Industry Trends, Global, 2011-2016
Impact
Product Type
Industry Trend
Cleansing
Sanitizing
Protecting
Impact:
High
Medium
2011-2012
2013-2014
2015-2016
Low
Source: Frost & Sullivan analysis.
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Industry Trend
Restoring
Dispensers
2011-2012
2013-2014
2015-2016
Impact:
High
Medium
Low
Source: Frost & Sullivan analysis.
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Industry Trend
2011-2012
2013-2014
2015-2016
o Easy to spread
o Non-stick faster application
o Non-clogging
o Minimized dripping
Compliance
monitoring
products
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Competitive Scenario
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Industry
Rank
II
III
IV
Rank
Cleansing
Sanitizing
II
Restoring
III
Protecting
IV
Source: Frost & Sullivan analysis.
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55
Industry Focus
Products
Deb Group
Automotive
Dispensers
Commercial (educational
establishments, leisure environments,
and public facilities)
Food service
Hand sanitizers
Transportation
Cleansing soaps
Retail
Dispensers
Automotive
Diversey (Sealed-Air
Corporation)
Ecolab
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Industry Segment
Product Segment
Georgia Pacific
Corporation
Food service
Manufacturing
Commercial (retail, lodging, and
convenience stores)
GOJO Industries
Kimberly Clark
Corporation
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Industry Segment
Product Segment
Kutol
Laboratoires Anios
Food processing
Cosmetic manufacturing
Ophardt Hygiene
Food service
Industrial
Commercial
Food handling
Industries (chemical, construction,
agricultural, print and paint,
maintenance, and plastic)
Whiteley Corporation
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Strategic Recommendations
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Strategic Recommendations
Key Takeaway: Innovation, proximity to end users and being a one-stop solution are the key factors
to succeed in the market.
Industrial Hand Hygiene Market: Strategic Recommendations, Global, 2011
Widespread distribution
network and global reach.
Environmentally-friendly and
sustainability are excellent
value additions.
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