Cross-border e-commerce platforms are becoming an important new channel for buying beauty products in China. Beauty and personal care have become one of China’s largest cross-border e-commerce categories.
Westwin’s recently released “2018 Report on Cross-border Consumption by Chinese Consumers,” identified women with young children as the largest cross-border e-commerce shoppers. The report finds that the 2017 transaction value of imported products purchased via cross-border e-commerce platforms topped RMB 1.5 trillion. 67% of China’s online shoppers have already made cross-border e-commerce experience. Rapid growth in cross-border e-commerce began in 2015 and sales volumes on major platforms had increased by as much as five times by 2017.
In 2017, the average Chinese shopper made 15 cross-border e-commerce purchases. High-frequency purchases made more than 20 cross-border purchases in the past 12 months and represent more than 26% of all cross-border buyers. More than 53% of all cross-border shoppers spend over RMB 10,000 on these transactions. Nearly 15% spend more than RMB 20,000. This brings the average per capita spending on cross-border shopping to RMB 13,000.
Categories such as cosmetics, clothing, accessories, and footwear top the list of cross-border e-commerce purchases. But the variety of cross-border purchases is becoming increasingly diverse. Cosmetics already represent 84% of cross-border transactions. The ratio of male cross-border purchases is quickly catching up with that of female cosmetics shoppers. The report also finds that cosmetics purchases are distributed across a broad range of platforms.
Consumers prefer large shopping platforms such as Tmall.hk, JD.hk, and Amazon. The report also shows that e-commerce Websites and domestic social media are the main channels for advertising. More than 60% of cross-border e-commerce consumers receive product and brand ads via Wechat and Weibo. Nearly 40% of cross-border e-commerce consumers actively search for products on these platforms.
Key opinion leaders (KOLs) also have become important influencers in China’s cross-border e-commerce market.
The data also indicates that cosmetics are a major purchasing category for outbound travelers. Among top purchases by outbound Chinese travelers, cosmetics rank first, representing 77% of all sales. Middle-age consumers, in particular, are the leading purchases of cosmetics and skincare products.
China Beauty Expo’s Cross-border E-commerce Hall
At the China Beauty Expo (CBE), the number of international exhibitors has increased rapidly. Now, it covers all sub-categories and represents 50% of all exhibitors.
China Beauty Expo 2019 will attract international brands and products from more than 40 countries and regions, including Japan, Korea, France, Germany, Spain, Italy, Israel, Singapore, Thailand, Poland, Pakistan, Hong Kong and Taiwan. This year’s exhibitors will showcase premium products, safety, and fashion.
Visit the Cross-border E-commerce Hall (E8-E9) at China Beauty Expo 2019, May 20-22