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High Speed growth of Health and Beauty Retailing in China: Ken Research

Posted on 23 August 2016 by KenResearch

Ken Research recently published a report on “Health and Beauty Retailing in China-Market Summary & Forecasts“ which discusses detailed analysis of beauty products retailing, leading players, distribution channels and consumer trends and the report sheds light on how the existing players can use this information to capture major share in the market. Additionally, major trends, Challenges and opportunities have also been covered, describing the market penetration and future potential of each product segment

With the upturn in Chinese economic condition, cosmetic industry in China has witnessed a rapid growth. China has huge consumer base in cosmetics markets, ranks second after ‘the U.S’. The retail market in China for health and beauty products reached CNY398 billion in 2015 and is expected to reach CNY620 billion by 2020.

Major driver for increasing demand for cosmetics products is the growth in disposable income of the households and expansion in young and middle class population. Young generation is inclining towards aping of western culture and their aspiration for better lifestyle is forcing them to spend more on health and beauty products. Distribution of beauty products plays an important role in the growth of the industry and high retail sales. Supermarkets and hypermarkets are the biggest contributors in offline retail sales. In today’s world, purchasing habits of the consumers are changing as they are moving towards online purchase which is more convenient and comfortable to them. All the major brands are doing ecommerce business and are meeting their target sales. Online shopping and online spending on health and beauty products accounts for 6.1% of the total retail sales in the segment in 2015.

The industry is very lucrative from the business point of view and it’s an undoubtedly an optimistic point of investment in China. Forecast about the industry is promising profits in the near future. Chinese consumers are very particular about the products they buy. They not only compare the prices of the products but also look for the health and safety aspects of the product.

There is also an increase in the sale of male cosmetics product. Now retail sales in males cosmetics market is growing at a faster rate than female cosmetics market.. Sales of eye make-up products recorded significant growth in recent years. Retails sales of Anti-aging products are increasing as it helps consumers stay youthful. Also, the sales for Cosmeceuticals such as spot lightening cream, acne treatment lotion and acne ointment is increasing. These cosmeceuticals contains natural ingredients such as aloe Vera and vitamins.

Key Topics Covered in the Report:

  • Detailed analysis of Chinese health and beauty care industry
  • Value and volume analysis for Chinese beauty care market
  • Historic and Forecast value analysis by category
  • Retail landscape and key distribution channels
  • Detailed profiles of leading retailers in China
  • Key issues and trends in the packaging industry
  • Consumer trend framework
  • Analysis of mega-trends
  • Profiling of new products launched in the Chinese beauty care market

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Ken Research

Ankur Gupta, Head Marketing & Communications