Estee Lauder Group China Market March Update: Double-digit growth resumed

A few days ago, Estee Lauder Group released its performance for the third quarter of fiscal year 2020 as of March 31, 2020. The data shows that the Group's global net sales in the third quarter were US $ 3.35 billion (approximately RMB 23.65 billion), and the removal of monetary factors was 9% lower than the US $ 3.74 billion (approximately RMB26.41 billion) in the same period last year.

In the context of the global retail industry continued to be affected by the new crown epidemic, the large-scale closure of retail stores worldwide is the main reason for the decline in sales. However, in the Chinese market, due to the promotion of online business, Estee Lauder Group's performance in China has resumed double-digit growth in March.
 
"At present, the recovery trend in the Chinese market is very encouraging." Estee Lauder Group President and CEO Fabrizio Freda emphasized, "The recovery we have seen in China reflects the consumer's high-end beauty for us. The core brand portfolio has always maintained strong demand. "
 
In terms of brands, the Group ’s Estee Lauder, Dovan, and Le Labo brands recorded growth. In addition, the acquisition of Have & Be Co. Ltd. (Dr. Jart + Tijia Ting parent company) in December 2019 has net sales for the entire quarter Make a positive contribution of 2%. In terms of channels, online channels achieved double-digit growth.
 
The Estee Lauder Group told "Cosmetics Finance Online" that "supporting consumption" and "supporting the economy" are the two key words of its recent strategic deployment in China.
 
Fan Jiayu, President of Estee Lauder Group China, pointed out: "At present, we are actively cooperating with all sectors of society to fully mobilize our own production kinetic energy to help the recovery of the economy and consumption. For the Chinese market, we are committed to a long-term development strategy of intensive cultivation. As domestic demand continues The increasing volume and high-quality consumer market continue to expand, and the Chinese market is bound to continue to release greater potential. "
 
In order to further help deepen China's high-end beauty industry's influence in the global scientific research field, Estee Lauder Group once again emphasized its determination to build a world-class R & D center in China Investment in this performance announcement communication meeting.
 
It is reported that when the new world-class R & D center is completed, it will continue to deliver multiple "Chinese forces" in the high-end beauty field to the world. Including a variety of breakthrough star industry products, patented technologies, new materials and environmentally friendly packaging, including breakthrough US industry innovations.
 
Fan Jiayu emphasized, "Brand power is always our best risk immunity. Whether it is physical makeup, online experience or integrated digital retail, no matter how channels and preferences change over time, as long as we continue to create high levels for consumers Quality and differentiated brand value, through high-touch experience throughout the omnichannel business strategy, we are likely to obtain long-term trust. "