The Summit for Leaders of China’s Top 50 Cosmetics Store Brands brought together retail leaders to explore the future of beauty retail in Suzhou on December 6th. China Beauty Expo (CBE) and L’Oreal jointly organized the event with the theme of “Creativity and Strategy – Win in the New Era.”
Top Brands Partner to Win in the New Era of Cosmetics Retail
Commenting on the event, L’Oreal China CEO, Stephane Rinderknech, noted that L’Oreal was pleased to work with CBE and China’s top 50 beauty retail leaders to explore the future of brick-and-mortar stores in China’s fast-changing market.
Samuel Du, General Manager of L’Oreal China’s Consumer Products Division, opened the summit by explaining that L’Oreal has a unique brand mix and that many of its products are specially developed for Chinese consumers. In addition, L’Oreal has 20 research centers with more than 3,000 R&D staff around the world. Technology is central to L’Oreal’s competitive advantage and connection to consumers. To better reach younger consumers, L’Oreal has developed advertising campaigns across a range of social media platforms. Using Wechat, Weibo, Xiaohongshu, and Douyin, L’Oreal has invited superstars, pop stars, and key opinion leaders (KOLs) to endorse its products.
Now, the world’s largest beauty industry platform, China Beauty Expo has been active in China’s cosmetics market for more than 20 years. CBE distributes in-depth research each year on China’s cosmetics retail sector. At this year’s summit, CBE president, Sang Jingmin, noted that an important goal of CBE’s partnership with L’Oreal is to explore and empower cosmetics industry channels.
Insights on the Outlook for Cosmetics Retail
Ni Yi, Vice President of the retail research division of Nielsen China, reviewed key data that covered Chinese consumer confidence index and consumption trends, products available from specific channels, and growing demand for high-end imported brands.
Chen Xi, Vice President of Databases and Insights at Miaozhen Systems, discussed emerging changes effecting traditional cosmetic retail channels. His analysis covered three important factors: people, product, and place. He noted that it’s important for traditional stores to change their mindsets and rethink the role that they need to play in information and product distribution.
Exclusive Product Launches Customize the Cosmetics Retail Channel
By continuously monitoring the China market, L’Oreal has been able to stay at the forefront of the cosmetics industries. The company has focused on providing quality products, training courses, and personalized salon experiences. Building on strong performance across consumer brands in 2018, L’Oreal expects to break new records in 2019. As it adapts its retail channel strategies to different consumer needs, L’Oreal China’s Shelf Channel Sales Director, Han Jun underscored three important approaches: channel empowerment, product empowerment, and retail empowerment.
Building on the summit’s theme, “Creativity & Strategy – Win in the New Era,” Lin Xiao, General Manager of L’Oreal China’s Consumer Products Omni-Channel Retailing Division concluded that steady growth in consumer demand and growing momentum in the cosmetics market will remain major market trends.