Market updates
1. Rejoice of P&G rolled out a high-end shampoo, costing 99 yuan ($13.9) (the previous iteration was just 9.9 yuan ($1.39) ).
2. Sephora Collection, a private label owned by Sephora, launched its first men's grooming collections exclusively in Chinese stores, including BB cream, concealer, eye shadow pencil, lipstick, etc.
3. Fenty Beauty (pop icon Rihanna’s brand) officially opened its Tmall Global store (Alibaba's cross-border e-commerce shopping platform) and is selling more than 190 beauty products to Chinese consumers.
4. China's popular cosmetic brand Perfect Diary opened its first concept store in Chengdu, covering a total area of more than 1000 square meters. According to its latest expansion plan, the brand aims to open 600 stores in 3 years.
5. Business registration opened for the 2019 Taobao & Tmall 11.11 (Double Eleven) Global Shopping Festival.
6. Forbes China released its top 10 most influential beauty KOLs, including male beauty blogger Li Jiaqi aka "Taobao's king of lipstick".
7. Estee Lauder officially announced Chinese actor Li Xian as its Asia Pacific brand ambassador. Li has become a household name off the back of the huge popularity of the TV series Go Go Squid!. The precocious talent has already amassed a following of 19.23 million followers on Sina Weibo.
8. Gen Z (born 95-2010) has become the largest consumers of hair care products on Tmall. More than half of anti-hair loss products on Tmall are purchased by post-90s and post 95ers.
Regulatory compliance
1. Guangzhou Customs streamlined procedures for enterprises producing cosmetics for export. Now only “one form" is needed.
2. Shanghai Medical Products Administration plans to introduce a cosmetic sampling purchase mechanism, which means regulators will purchase testing samples from the market to assess product compliance and safety. Testing samples have been traditionally been provided free at industry's expense.
3. Hanhoo's OEM enterprise Kolmar Beijing was ordered to rectify several issues related to quality management, expiration of laboratory chemicals, management of plant facilities and equipment, etc.
4. Jiangsu Meiaisi Cosmetics co., LTD and other 5 hair dye products manufacturers were the subject of a negative public notice issued by the China National Medical Products Administration.
5. China National Medical Products Administration issued a notice to implement a new testing regulation - Working Rules for Cosmetic Registration and Filing Testing.
Company dynamics
1. NetEase Inc. reached an agreement with Alibaba Group Holding Ltd. on the latter's acquisition of Netease's cross-border e-commerce platform Kaola. According to the deal, Alibaba agreed to buy Kaola for 2 billion U.S. dollars, and will offer 700 million dollars to finance Netease's Cloud Music.
2. Jack Ma officially stepped down as group chairman of Alibaba, handing over the reins to company CEO Daniel Zhang.
3. Alibaba has agreed to invest in Taiwan-based virtual makeup testing technology company Perfect Corp. Through the company's AR technology, users can virtually test lipsticks, eyeliner and other products on Taobao and Tmall.
Data browse
1. Marubi overtook Jahwa to become China's most valuable domestic cosmetics company and is valued at 22.56 billion yuan(as of the market closed on September 12), less than two months after going public.
2. China’s domestic cosmetic brand Perfect Diary completed a new round of financing with an estimated value of over USD 1 bln.
3. Sasa International, the leading cosmetics retail group in Asia, issued a profit warning after its worst August sales performance in history. The group’s valuation was down about 28% year on year. The plunge was mainly due to weak sales in the core market of Hong Kong.
4. With the arrival of autumn and winter, lip care has entered the peak season. In the past 30 days(data offered on September 20) , the search rate of lip balm on Taobao and Tmall platforms increased linearly, with the sales volume rising 62.57%.
5. In August, the retail sales of cosmetics in China reached 23.2 billion yuan, up 12.8% year on year, outpacing the rate of growth in overall consumer goods.
Disclaimer: all images used are from the internet.
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