Excerpts from the Report on China's Cosmetics Industry Operation Data Monitoring from July to August 2021

Data shows that from January to August 2021, 49 investment and financing incidents occurred in China’s cosmetics industry, raising a total of 5.66 billion yuan, with an average single investment of 115 million yuan; companies that raised more than 100 million yuan from July to August include Lin Qingxuan and Xi Mu Yuan and Ke La La.

It is reported that as the government strengthens the supervision of the cosmetics market, capital will pay more attention to those cosmetic companies that have "real technology" rather than just "slogans."

Analysis on the import and export value of China's cosmetics and toiletries from January to August 2021

Data shows that from January to August 2021, China’s imports of cosmetics and toiletries were 102.21 billion yuan, a year-on-year increase of 21.2%; exports were 19.69 billion yuan, a year-on-year increase of 1.6%.

It is reported that the import value of China's cosmetics and toiletries continues to increase, reflecting the increase of Chinese consumers' spending power on imported cosmetics and toiletries, and cosmetics e-commerce can actively deploy the cosmetics import market.

 In August, Douyin held the "818 New Trendy Goods Festival". During the conference, the live broadcast lasted 23.54 million hours, with a total of 30.4 billion viewers and more than 100 million people spending on Douyin, a three-fold increase from last year.

The data shows that the GMV of Douyin e-commerce beauty cosmetics reached 6.37 billion yuan that month, setting the highest monthly GMV data of Douyin e-commerce beauty cosmetics. Beauty care is the second largest sales category in the 2021 Douyin Goods Festival.

2021 Double Eleven E-commerce Shopping Festival Trend Analysis

 Data shows that during the Double Eleven e-commerce shopping festival, the average growth rate in the past five years has been 32.5%, and the shopping atmosphere is active. In 2020, Double Eleven e-commerce shopping festival sales of 90.9 billion yuan in personal care and beauty products, a year-on-year increase of 43%.

Among them, skin care sales reached 75.5 billion yuan, a year-on-year increase of 45%; beauty cosmetics sales were 15.4 billion yuan, a year-on-year increase of 38%. It is worth noting that the holiday time of the Double Eleven e-commerce shopping festival in 2020 will be extended. Pre-sales will be opened on October 21st. Over 70% of personal care and beauty products are sold in the pre-sale stage. Merchants can consider During Double Eleven in 2021, the pre-sale period will be focused on the layout.

In addition, there are data showing that during the Double Eleven e-commerce shopping festival in 2020, the sales of personal care and beauty products are second only to household appliances, mobile phones, and men’s and women’s clothing.

From the perspective of the sub-categories of personal care and cosmetics, the top three sales volume of skin care products are facial masks, facial care packages, and lotions and creams; the top three sales volume of cosmetics products are beauty tools, facial makeup and eye makeup.

It is reported that the 2021 Double Eleven e-commerce shopping festival is coming soon, and beauty businesses can actively deploy related products in the popular personal care and beauty categories in previous years.

Effective ingredients become a new pursuit

Functional skin care used to occupy a place in the beauty field. Nowadays, the effective ingredients of cosmetics are gradually linked to product efficacy. Chemical ingredients such as nicotinamide, amino acids and retinol are popular all over the world and attract consumers' attention.

The data shows that 63.9% and 53.9% of consumers believe that product effects and product ingredients are important considerations when purchasing cosmetics, and they are the first and third largest considerations when purchasing cosmetics, respectively.

The era of "Ta economy" has arrived

In the past two years, the men’s cosmetics market has shown a more obvious growth trend. The "2020 China Men's Beauty Market Insights" report shows that Douyin's male beauty users are close to one-third of the overall beauty users; iiMedia Consulting's "2020 China Men's Beauty Economic Development Special Research Report" shows that 76.8 % of male consumers have the need to buy products with masculine appearance.

According to the latest data from iiMedia Consulting, the consumption level of male cosmetics in 2021 is lower than that of females as a whole, but the gap is not significant. 23.3% of male consumers have an average monthly consumption between 1,000 yuan and 2,000 yuan, and 25.6% of male consumers per month.

The average consumption is between 500 yuan and 1,000 yuan, and the proportion of women with the same consumption level is 22.1% and 33.6% respectively. It is understood that men's cosmetics may become a potential growth point in the industry.

Product form innovation, user experience upgrade

Consumer demand for skin care products is becoming more and more diversified, and product form innovations that can enhance consumer experience or improve product effectiveness will also receive positive responses from consumers.

For example, Mystery of Nyusi separates the jelly-like sleeping mask into packaging, so that consumers can control the appropriate daily dosage, and can also be easily carried when going out. L'Oréal Paris has further innovated the concept of using the mask and innovated the film-liquid separation packaging.

To maintain the freshness and activity of the essence, every time consumers use it is "freshly extracted".