The Chinese cosmetics market was worth US$6.34 billion in 2020, growing by 12% YoY.
Relatively new players like Perfect Diary, Florasis and Judydoll, or The Colorist, and WOW Color (for beauty retailers) are gaining market shares.
In only 2 years, The Colorist opened around 100 stores. Their first Beijing store achieved US$28,000 in sales on its first day!
Their global strategy is to:
– Focus on high-quality yet affordable mid-market products
– Target Generation-Z
– Boost their sales with e-commerce and omnichannel strategies
– Design trendy collections and stores that encourage virality on social media
This resurgence can be seen in other categories as well. During this year Tmall 6.18 festival, Top 3 best-selling brands in womenswear during the 1st wave of sales are all domestic brands!
International brands can – and should – learn from their Chinese competitors before they are definitely out of the picture.