C-beauty — L'hirondelle

Cultural identity + revival.

The perception of C-Beauty brands is changing.
Formerly alternatives to expensive prestigious brands, they are now gaining notoriety but above all a real consideration in the eyes of the Chinese population.

FUTURE BEAUTY PIONEER

For a long time, international brands have been dominating more than half of the cosmetics market in China, but this trend may well be reversed.With the pandemic, minds have changed, Chinese are going back to their roots and turning to domestic consumption.

C-beauty's reputation is set to change from a cheap alternative to an industry trendsetter.

A NEW ERA

In China, the purchase of national products reinforces the identity and the inhabitants feel responsible for the growth of their country and are proud to contribute to it. A way of asserting their identity more as “citizen” rather than that of “consumer”.

2019: domestic brands accounted for 56% of the market share in China.
2020: 7 of the ten top beauty brands in China are domestic.
The compound annual growth rate of the beauty sector in China from 2015 to 2019 was 10%.
70% of C-beauty consumers are age 18-25 and from top-tier cities like Shanghai, Guangzhou, and Hangzhou.*
42% of Chinese consumers are more likely to go to national beauty brands.
90% of consumers who have already taken the plunge would repeat their purchases in the future.**
**Tencent *CBN Data

Culturally relevant, affordable and digital-first, Chinese brands are gaining credibility and efficiency. If millennials were buying C-beauty because it was more affordable yesterday, they are buying because it’s cool and identifiable today.

Chinese have the will to rediscover and enhance Chinese culture and aesthetics.

Red: an application similar to Instagram, entries of “C-beauty” ↑ 116% year-on-year in the first half of 2019, while over 5 million users shared positive reviews of C- beauty brands.
Strong presence in e-commerce and social platforms Tmall,Taobao, Little Red book, Douyin, Livestreams...
Partners with influencers, celebrities and beauty / health professionals.
Extraordinary physical experience (customize, test...).
Collaborations with brands, artisans, professionals.
Different discounts on each platforms with special endorsement.

Growing brands: Perfect Diary, Florasis, HomeFacial Pro, Winona

Open to the West

Worldwide young consumers have a more malleable perception of China as they were the first to grow up “when China was more than just the factory of the world.” Therefore, brands can win over Millennials, and Gen Z with localizedmarketing and strategies to compete with Western brands and establish among curious customers ready for novelty.

Use personalities, make collaborations related to culture ect ...

END OF K-BEAUTY CRAZE

Now the craze for Korean beauty products is waning. Korean beauty so far referred to a certain idea of aesthetic perfection in Asia, with flawless skin lined with eternal youth.

But the strategies do not change and are not targeted enough, which hurts the groups Amore Pacific and LG Healthcare, until then the two Korean cosmetics giants.The lack of originality of their beauty products as well as the reduction of R&D cycles are a threat for them but benefit the Chinese brands which are nibbling their market places.