Oct. 5 – Chinese consumers are becoming more sophisticated in their needs of personal care and cosmetics, the local players are catching up by use natural ingredients. The size for such markets and also their ingredients market size, main local suppliers provide valuable insight for those companies wanting to break into the China’s personal care and cosmetics market.
Personal Care and Cosmetics China Market
With an estimated $50 billion in domestic sales in 2015 and 7% to 10% annual growth predicted beyond, China is projected to become the largest market for personal care and cosmetics products globally in the next five to ten years. The China personal care and cosmetics market is driven by a rise in disposal incomes and the growing awareness and inclination of Chinese consumers towards value-added beauty and personal care products with specific functionalities, above all, transforming personal care products to further accommodate to particular requirements among Chinese consumers are forecast to boost value sales. According to a related report, China’s personal care and cosmetics products market remain dominated by multinational companies, and 90% of the top ten largest vendors of personal care products being foreign companies in China, among others, the three largest sellers in China currently are Procter and Gamble, L’Oréal and Shiseido. China related statistics indicate that this trend is also reflected in cosmetics market with over 80% of products produced via foreign-owned or joint ventures. In a related report, Chinese consumers are forecasted to buy 44% of the world’s luxury goods by 2020, predominant particularly in cosmetics with an average purchase of $275 and a total annual spend of $644 per annul. Perpetual innovations and improvisations in products have led to the demand for multinational and cosmetically products. Moreover, innovative brand positioning strategies and large media penetration have kept the sizeable market, including related natural ingredients that make up varied cosmetics, and main local players and local suppliers play an important role to keep the momentum rolling for China’s personal care and cosmetics market.
Ingredients of Personal Care Products with Specific Features are Favored
Cosmetics Market (makeup or beauty products) are mixture of chemical generally used to enhance the appearance or odor of the human body. Chinese consumer’s attention to personal care products with specific features or functionalities resulting in a trend towards products that use of natural ingredients. There is a growing fashion to use of natural and healthier ingredients in personal care and cosmetic products are observed among various local manufacturers. This trend provides to the ever swelling demand for natural or organic personal care and cosmetic products among Chinese customers. There is also a trend of using of herbal cosmetic products minimizes the chances of any possible side effects of the product, eventually increases the usage of personal care cosmetics among individuals, the challenge here is how to apply ingredients to with ‘state of the art’- concept, with the best possible technology, natural and healthier ingredients requires more proof on the products of the superlative quality. For example, hair care products with different functions, such as scalp care, hair loss treatment, anti-dandruff and anti-ageing, were designed to cater to the different needs of consumers. A similar trend was evident in oral care, exemplified by toothpaste equipped with particular functionalities, such as whitening, breath-freshening, sensitive care and gum health, alongside child-specific products. At this moment, new invention is main trend of personal care and cosmetics products among various local manufacturers.
Main Local Players and Local Suppliers are Catching Up
With personal care and cosmetics products, despite of multinational manufacturers and key international players take the lead in China market, whilst the local manufacturers are catching up. At the moment, International players enjoy competitive advantages such as established brand images and high product quality, supported by strong research and development resources, as well as effective marketing and sales activities, facilitating those key players to maintain their leading roles in China personal care and cosmetics market in 2016. Nevertheless, stimulated by the domestic market demand, and China personal care industry is stretching even toward at the local level, some local key players are striving to invent its novelty products with strong investment in R&D. This growing trend and its impacts to the market development can’t be underestimated. Currently, China’s domestic key players, particularly at the local level were gradually catching up by releasing products at competitive prices, and running active persuasive strong advertising, particularly, with effective natural healthier ingredients to meet the demand and condition of particular needs of Chinese majority consumers. with personal care and cosmetics products in China market, local key players are not only to create novelty products by use natural ingredient, but also conduct inventive marketing campaigns in order to maintain being competitive position in second- and third-tier cities in the Chinese market. For List of Chinese Manufacturers / Distributors of Cosmetic Products in China is available upon request, please contact with DCCC, or email to: email@example.com