In cooperation with Shanghai Safe International Logistics Company, REACH24H held its first offline imported cosmetics regulatory workshop in Shanghai on 10 July 2020. This workshop, featuring the theme of “China’s Cosmetics Market Trends and Regulatory Updates”, drew around 70 representatives from over 60 companies and organizations (including Cosmax, Polish Bureau of Investment and Trade, Consulate general of Spain, Consulate General of Switzerland, etc.).
The workshop covered a variety of topics ranging from influences of China Cosmetic Supervision and Administration Regulation (CSAR) to interpretation of key Chinese import policies to the effective strategies for brand development and multi-channel marketing in the post COVID-19 era. The goal of the workshop was to provide participants comprehensive one-stop guidance in tapping China’s cosmetic market.
Chinese Cosmetic Market Trends and Potential Opportunities
Ms. Ye Chen, ChemLinked Research Analyst, delivered a speech on the market trends and potential opportunities of the Chinese cosmetics industry. She explained that in 2019, the market size of the cosmetics industry in China increased by 7.97% to 425.6 billion RMB. Skincare, make-up, perfumes, hair care, toiletries and deodorants, and oral cosmetics are the main product categories of the market. While skincare was still the leading category, sales of make-up products grew at a much faster rate.
Ye also shared that the cosmetic industry has benefited from the growing e-commerce platforms, which help fill the gap between cosmetics brands and consumers. Niche categories such as eye care products are expected to become more popular, and emerging consumer tribes also show great potential in China’s market.
Product Compliance and Import Policies
During the workshop, Jing Wei, the Regulatory Specialist from REACH24H, interpreted the CSAR and its effects on pre-market approval of imported cosmetics. REACH24H Regulatory Consultant Joanna Ru expounded the new cosmetic ingredient regulations in China and provided clear guidance for foreign businesses on how to register and get administrative approval.
In the afternoon, Jun Ji, the compliance consulting manager of Shanghai Safe International Logistics, presented the supervision on cosmetic ingredients from endangered species. He also elaborated the procedures to import these kinds of products into China and get relevant resources from the official website. This session was followed by a keynote speech delivered by his colleague Wenjie Fu, a senior compliance consultant, on cosmetics import procedure and labeling compliance in China. To help companies stay compliant and smooth customs clearance, Mr. Fu offered an in-depth analysis of several significant labeling regulations.
Online Marketing and Brand Development in China
The increasing popularity of social media channels such as DouYin and RED has been changing the way Chinese shoppers consume products, especially when it comes to beauty products and cosmetics. To enhance the brand competitiveness and succeed in the Chinese cosmetic industry, enterprises shall be equipped with effective online marketing strategies.
Guoqing Zhao, the founder of We Media “Yan An Tang”, shared his insights on how to market products in China. He used his own experience as case studies to discuss the benefits and opportunities of new digital media, providing practical online and offline marketing strategies for boosting brand awareness.