With 1.3 billion Chinese people, China is a huge opportunity for companies overseas to export their products. Many of them succeed in penetrating this really different market. The competition is thus now ruder, so how to implement your brand efficiently?
These last years, Chinese consumers’ behavior is evolving very quickly, due to the huge economy’s growth in China. Indeed, a new kind of middle-class emerging was noticed whose the purchasing power considerably increased. With these lifestyle shifting, the Chinese population is expecting more authenticity especially in the luxury area but regarding cosmetics and beauty products too.
Currently, Chinese consumers are more sensitive to their life quality, and also concerning their health. This feature passes through my body and skincare products’ using. Now, this wealthier population is able to buy beauty goods. Moreover, the cosmetics Chinese market represents over 17 billion euros.
Therefore, Chinese cosmetics brands are not as successful as foreign international companies among Chinese consumers.
WHY DO FOREIGN COSMETICS BRANDS WORK IN CHINA?
Nowadays, Chinese population needs to get a cosmetics products’ quality’s high level. Then, they want to use natural and biological goods without harmful effects on their skin, particularly since the counterfeit products scandals. Chinese consumers are more interested in using products overseas which are smarter and refined. These products ensure to users an efficient body care.
The new Chinese middle class is sensitive to their products’ awareness. Thus, surveys released a tourism consumption’s rate’s increasing towards Western countries in order to get luxury products whose prices are less expensive than in China. That’s why international brands are part of their favorite purchasing. Moreover, Chinese consumers represent 40% of Cosmetics and beauty products market in the World.
INTERNATIONAL BRANDS INVEST IN BRANDING !
The famous cosmetics brands got it, the Chinese market is literally progressing. Thus, the most of it didn’t hesitate to access to the big cities. Today, European tourists in Shanghai, won’t be lost by seeing the landscape because they will find the most prestigious luxury brands. These worldwide brands take part 54% cosmetics Chinese market.
At the head of ranks, the famous brand Procter & Gamble which represents 15% of the Chinese market. The American multinational sells beauty and cosmetics products dedicated to the mass market.
At the second place, L’OREAL is part 10% of the market. The French brand is the beauty goods worldwide leader and offers to consumers, innovating and quality products.
Beiersdorf, the German group, has also a huge impact on the Chinese market especially thanks to the Nivea, Labello, Eucerine and Handsaplast brands.
Chinese consumers are also attracted by their children’s skincare. At the top of the sector and taking part 80% of it, there is Johnson & Jonhson.
Chinese consumers men’s rate is also progressing. Moreover, 20% of sales’ increasing was noticed.
HOW DID THEY ADAPT TO THE MAINLAND?
Worldwide luxury and cosmetics giants got it, the Chinese market is one of the hardest to know. Even if these prestigious brands meet a huge success in the Western countries, they had to study this special market before reaching good skills so that penetrate it. Obviously, big brands had enough funds to manage and use the most effective tools in order to learn all of China’s aspects.
Then, they had to pay attention to the Chinese consumers. This particular target has not the same expectations than the Western one and especially concerning the cosmetics and body care products. For example, Chinese girls adapt creams regarding seasons and want to lighten their skin to give it a brightness aspect.
In addition, distribution supports within the Chinese market, as its economy, is shifting very quickly. Tools brands use to represent a huge opportunity to attract the Chinese consumer.
SHOULD BRANDS USE THE CHINESE E-COMMERCE?
Nowadays, e-commerce in China is an important asset for the country’s economy. Chinese consumers are more attracted to this kind of platforms such as Jumei, Lenfeng or Sasa. Brands overseas take the opportunity of using these supports to sell their products. Also, Chinese users pay attention to comments about products, which convert them to purchase it.
Then, Chinese users need to be informed regarding cosmetics and healthy goods. The famous brands put forward their products through videos and photos, by testing it on any consumers.
L’OREAL created its own mobile app on the last June 2015, called “Makeup genius”. It enables customers to virtually test products and observes the effects directly. Also, the app offers to users, tutorial videos, makeup used by celebrities and buy products online.
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