Industry Analysis
Porsche Wigs and accessories is a home based and online store which offers wig, styling, customization and accessories.
Its unique value is its personalized wig services, in-person fittings, same-day appointments, DIY tutorials. Its target market are women between the ages of 18-65,budget&friendly buyers, professionals seeking premium look and styles.
Porsche Wigs and accessories fills a valuable niche in the Canadian market by focusing or personalization, inclusivity and expertise
Also, with the smart use of social media and its operational model, it has a strong potential to build a loyal customer base and customer retention
The Wig and hair extension industry in Canada has seen significant growth over the past few years, with an increasing number of consumers seeking for high quality Wigs . The market is projected to continue to grow in the coming years and this is driven by evolving beauty standards and fashion trends.
The market was valued at 7.5billion USD in 2024 and is expected to grow to 12.6billion USD by the year 2034 (bonafide research.com, 2028)
According to the statistics of Canada information via the NAICS code classification the value of import is at $27,288,179
Industry Major Players
| Major players | Key feature | Why they stand out |
| Amazon | Affordability, Style variety, Material option | Fast and reliable Shipping (Amazon prime), Massive selection of products, Catering for a diverse audience of all wig types for all genders |
| Aliexpress | Global variety, Free or Low cost shipping, Wholesale and drop-shipping friendly, frequent promotions | Global supplier Access (Buying directly from manufacturers), Options of picking cap size, Color and hair origin |
| The Luxe_ hair | Color Variety, Ontario based wig seller offering costume wigs, specializes in natural looking goods with focus on comfort and fit | Offering Costume wigs, lace fronts, bundle sales |
POTENTIAL BARRIERS TO ENTRY
Import Regulations: Many wigs and hair extensions are imported. Compliance with Canada border services Agency (CBSA) rules, tariffs.
Taxation and Licensing: Taxes and business registration can be discouraging and over-whelming.
Price Sensitivity: Consumers often like to buy from well-known brands making market entry challenging for new players.
Cost Volatility: Raw materials prices for human hair fluctuate and this impact profit margins
Capital Requirements: It can be capital intensive especially for those who wants to open a store from the inception of the business
KEY SUPPLIERS
Major key suppliers for these wigs are china, Vietnam and while major suppliers in Canada are; World wide hair hub which is located in Vancouver and are known for non-surgical hair extension.
The hairbru company located in Winnipeg specializes in unprocessed Indian human hair wefts
Luxy Hair Canada focused on human hair extensions and related accessories including styling tutorials and hair guides.
REGULATORY AND ECONOMIC FACTORS
- Wigs and hair pieces particularly when treated or containing chemicals must conform with safety standards
- Prohibited Substances (Like certain PFAS, asbestos) cannot be used in hair accessory products
- Consumer demand and spending power: Inflation or economic downturns may reduce the purchase of premium wigs
- Fashion trends and desire for personal expression or styling
- Distribution channels: can include online, specialty stores, salons.
FORECAST AND FUTURE GROWTH
Growing demand for ethically sourced human hair and eco-friendly is shaping product positioning and attracting the environmentally conscious segment.
The Canadian hair wigs and extensions market is expected to grow to 12.6 Billion USD by 2034
Future Trends;
Gender-Inclusive Fashion: The industry now is expanding to include men and varieties of beauty products
Brands are increasingly finding options for transparent supplies
RISK FACTORS FOR DECLINE
Supply chain vulnerabilities: Dependence on human hair from regions like India, Vietnam, exposes the market to geopolitical risk and fluctuations of raw-materials pricing
Competitive Analysis (SWOT Analysis)
| Competitor | Strength | Weakness | How to out-perform/My Competitive advantage | |
| Direct | Ali-express | Online presence/Broader reach, lower prices, product variety, 24/7 support. | Lack of product expertise as they just deal with vendors of the product who can make the wig/hair accessories available as at the time of order. | Providing in-person fitting or touch-feel, having an exchange policy. |
| Amazon | Online presence/Broader reach, lower prices, product variety, 24/7 support. | Lack of product expertise as they just deal with vendors of the product who can make the wig/hair accessories available as at the time of order. | Providing in-person fitting or touch-feel, Having an exchange policy | |
| Indirect | Beauty Salon(Terrace) | Accessible locations, wide range of hair accessories and tools, brand familiarity | Not wig focused as it is a salon and no specialty in wigs, limited customer service on wigs/extensions, offering basic knowledge of wigs | Wig customization, You-tube video subscription of DIY (Do it yourself) styling, Immediate booking/same day service i.e. client do not have to wait for appointment dates. They can book ahead or same day appointment |
| Secondary | The Luxe Hair | Geographic location i.e. presence in the big city (Ontario), existing clients | Limited Inventory, lack of wig specialization/product expertise | More product variety since it is my area of expertise/specialization, Purchase of more demand type of wigs |
| Shoppers | Local access to smaller towns, existing clients, | Lack of product expertise, Not focused on wig specialization. | Accessibility or Home service to clients based on request. | |
| Substitute Competitor | Ardene | Accessible locations, sales of substitute beauty products like hats, scarves, turban. | Limited style variation, May not meet styling needs of all users | Provision of versatile wigs made with face-caps and scarves to suit customer’s need |
| Winners | Easy to wear, comfortable for long wear (hats, scarves, turban). | Limited style variation, May not meet styling needs of all users | Provision of easy to wear wigs for customer comfort. |
Competitive Analysis 2
| 4 p’s of Marketing | Aliexpress/ Amazon (Direct) | Beauty Salon (Indirect) | The Luxe-Hair, Shoppers (Secondary) | Ardene/Winners (Substitute) | Porshe wigs and accessories/My business |
| Product | Huge range of wigs from human hair to synthetic hairs | Fashion wigs, accessories, styling tools | Basic wigs, extensions and styling accessories | Fashion headwear, scarfs, wraps | Specialty in wigs and hair accessories, hair customization, styling , coloring. |
| Price | Low prices, wholesale prices benefit | Low to Medium prices | Retail prices, discount is decided by owner or at owners discretion | Low prices | Low to medium prices and also luxury prices |
| Place | National/ International E-commerce, They can ship anywhere. | Accessibility to users, physical store | Chain stores in urban centers (Shoppers) | Physical store downtown | My apartment and Online presence |
| Promotion | E-mail or messages campaign, influencing, Google Ads | Loyalty programme, in-store deals. | Social media, Loyalty programme, radio ads sometimes by shoppers | In-store promotions (Sales), Loyalty programme | First timer subscription, loyalty programme, self-ads on YouTube, Facebook and Instagram |
Additional Information:
| Direct competitor (Amazon, Aliexpress) | Indirect competitor (Salon) | Secondary Competitor (The Luxe hair/shoppers) | Substitute Competitor (Ardene, Winners) | |
| Positioning | Affordable, wide selection, convenience | Convenient beauty service | Value driven and sometimes DIY focus | Comfort and casual |
| Reputation | Reviews | Strong client retention/Loyalty | Geographically recognized/region recognized (The luxe hair), Nationally recognized (Shoppers), reliability | Strong cultural or community trust especially for small brands |
| People | Very large organization, employ different staffs from sorting, dispatch, online support team. | Specialized staffs in styling of natural hairs, stylist, trainee-stylist | Trained retail store staffs in each section of the store but not a wig expert(Shoppers), stylist, receptionist(the luxe hair) | Trained retail store staff |
| Partnership | Manufacturers, vendors. | Beauty suppliers | Cosmetic brands and beauty suppliers | The small brands do have local makers (First Nations Community), Community markets. |
References:
‘Canada Hair Extension and Wigs Market Overview, 2028’ Market Research Reports Store| Bonafide Research Canada Hair Extension and Wigs Market Size, Share, Analysis, Trends
Statistics Canada.(2022). North America Classification System. 670420 – Wigs, False Beard, Eyebrows, Eyelashes and The Like – Human Hair – Canadian Importers Database (CID) – Import, export and investment – Innovation, Science and Economic Development Canada