New Dermo-cosmetics brands strategy in China – Update 2020

The cosmetics industry is growing rapidly in China and is one of the most important sectors in the country.

According to a report by the forwarding Industry Research Institute, the cosmeceuticals industry maintained a double-digit growth rate, while China’s consumer goods market remains at a single-digit growth rate. The market size soars to 62.5 billion yuan (USD 9.2 billion) in 2017 from 11 billion yuan (USD 1.6 billion) in 2010 at a compound annual growth rate of 28.16 percent. China’s dermo-cosmetics market is expected to hit 81.1 billion yuan (USD 12.0 billion) by 2023.

This significant increase is due to:

Read as well: China Skincare market

Example of a successful dermo-cosmetic brand in China

Pierre Favre – dermo-cosmetic pioneers 

Avène’s official account on Xiaohongshu

Pierre Favre proposes innovative solutions for the care of the skin and the hair according to an intangible principle: to anchor beauty in ethics. Backed by a pharmaceutical laboratory, they design dermo-cosmetic care according to the most demanding criteria of efficiency and safety.

Specialists in dermatological therapeutics with Pierre Fabre Dermatologie, Pierre Favre is No. 1 in Europe and the world’s No. 2 in the dermo-cosmetic market with a turnover of more than one billion euros across 130 countries and a portfolio Of 10 additional brands. They sell exclusively organic products, based on a wide range of flowers and plants. The Pierre Fabre Group has two flagship brands in China: Rene “Furterer “and” Klorane “.

Klorane & René Furterer: quality international brands

  • René Furterer
021716226367

Rene Futurer meets the high-end haircare market.

An inexhaustible source of plant assets, nature has always been at the origin of the great discoveries of the Pierre Fabre Laboratories.

The pioneering spirit that has inspired Pierre Fabre for more than 50 years is illustrated by a process of responsible development aimed at enhancing and preserving the plant world by providing a pharmaceutical culture.

  • Klorane

Klorane is associated with a range of quality family cosmetics. Klorane Laboratories carefully select the most appropriate plant species from around the world and extract the richest ingredients to offer health and beauty to the hair.

ECOCERT acknowledged the excellence of the Klorane Laboratories for their contribution to the challenges of sustainable development.

Dermo-cosmetic brands in China

Such brands enjoy a high international reputation. “International” products in China generally represent the quality of a market associated with counterfeit products and inferior cosmetics.

As the wealth levels of Chinese consumers increase, it is standards and expectations that are multiplying. Strong demand for international cosmetics is installed.

Healthy quality

China, with its 350 million middle-class consumers, is the largest country for cosmetics.

The Pierre Fabre Group has identified a strong demand for its high-quality and high-end cosmetics and has since made China a priority.

They want to bring their passion to the Chinese market by proving their values of quality, authenticity, and awareness of health.

Pharmaceutical industry in China

Respect for pharmaceutical rigor and ethics, botanical know-how, authenticity, and a strong commitment to protecting the plant’s heritage are the main values for which the brand is guided to create its unique products.

It holds the European quality label EFQM (European Foundation for Quality Management) thanks to the Pierre Fabre process of Botanical Expertise. This reputation for quality differentiates the products of competitors throughout the world, it was simply necessary to communicate in China in a very different market context.

Easy visibility for new brands

The Chinese consumer demands an online product before making a purchase. That is why the brand must be present on the platforms.

Without a digital presence, Klorane and Rene Furterer would not have known any reputation.

Digital marketing: finding the good local partner

They have chosen to work with our agency to develop their digital strategy for increased growth.

We have also been charged with improving the sales of e-commerce from their official Tmall store and raising awareness of both brands on the most efficient and targeted platforms.

Improvements in e-commerce in China

We launched a business plan for the Tmall and Taobao stores to facilitate sales.

Brands require in-depth e-Commerce reports on performance and sales statistics, quality analytical data is the most important to ensure an accurate return on sales and marketing.

dermocosmetics-China-768x448

Analyzes of the market competition were also conducted to help the Pierre Fabre Group better target expectations

Using Chinese social media as a launch

Chinese media networks are in vogue in China and must be used effectively.

For the campaigns for Klorane and Rene Furterer, “Weibo” (similar to Twitter) was the subject. This is because it is a very open network, users can see messages from anyone. In 2020, Weibo declared it has 550 million active users.

Advertising of Furterer on Weibo

Weibo (literally translated by micro-blog), is also the main site for Chinese opinion leaders. They are online influencers very well known to the Chinese.

The campaign aimed to attract these KOLs to address brands and offer their services for advertising and promotions in China.

Conclusion

The two brands significantly increased their profile among the Chinese following the campaign.

  • Klorane had 50,000 followers on Weibo and 1.5 million page views.
  • Rene Furterer attracted 60,000 new followers on Weibo and 2.1 million page views.
  • 100 influential people approached brands to represent them, building the foundation for a better and more focused community strategy in the future.

The business plan on Tmall resulted in increased sales and improved market performance.

It emphasizes the importance of a specialized audit and analytical reports in the Chinese electronic commerce for the adaptation of the online sales strategy.

Pierre Fabre’s CEO, said that the company will take steps to adapt to the changing environment, especially as the Chinese economy enters the “new normal” of moderate growth.

“We pay special attention to the economic development of China and the pace of growth of the Chinese economy.” 

Do you want to know more about China’s cosmeceutical market? If you have any questions, contact GMA, a digital marketing agency, specialized in the Chinese digital market, we can help you succeed.

WHY CHOOSE GMA?

  • A team of 70 digital marketing specialists in China
  • Experienced & Professional in supporting companies for their development in China
  • With a deep knowledge of the Chinese lifestyle
  • A passionate international team

Let's Discuss Your Project?

We are the Most Visible Digital Agency in China

Contact us

Leave a Comment

Your email address will not be published. Required fields are marked *