Beauty and Personal Care in Beijing

City Market Report

About This Report

Dec 2017

Beijing is well known for its cultural atmosphere, environmental pollution and busy lifestyles. Health becomes the primary concern for consumers, boosting sales of products made from natural or herbal ingredients and professional medical formulations. Busy lifestyles and local bathing traditions mean consumers turn to professional beauty salons for relaxation.

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Beauty and Personal Care in Beijing

Air pollution and local medical resources boost medical skin care products in Beijing

Highly concerned about the possible negative impact of seriously polluted airon their skin, consumers show a strong interest in skin care products launched by professional medical institutions, which are believed to better protect skin than standard skin care products. Thus, products developed based on traditional Chinese medicine and those launched by modern medical institutions have witnessed strong growth in Beijing.

Busy Beijingers relax at beauty salons

Well known for their busy lifestyles, Beijing consumers have a long tradition of enjoying premium services from beauty salons, bathing spas in particular.These beauty services, including facials, hair removal, bath care and body spas, constitute a significant part in consumers’ personal care consumption and pose a significant challenge to beauty and personal care products via retail channels.

Internet retailing expands into offline channel with flagship physical stores in Beijing

As the headquarters for multiple important internet retailing platforms for beauty and personal care products, including JD.com, Wandougongzhu and Jumei.com, the city not only witnesses rapid growth of online retailing in local consumers’ beauty products shopping patterns, but also sees creative integration of online and offline channels as some online shopping platforms have stepped into the offline channel by opening physical stores in Beijing.

High disposable income levels mean Beijingers prefer premium overseas brands

Local brands still enjoy strong consumer loyalty in the mass market, while international players dominate the middle to high-end segment, as local consumers with high disposable income levels can spend more on premium beauty products; among those international brands, Japanese and Korean brands are most favoured.

Introduction
Beijing: Well known for long history and environmental pollution
Consumer profile : Health-sensitive, practical and culture-orientated
A typical occasion
Key findings
Natural/herbal products are gaining popularity in Beijing
Medical skin care developed by professional medical institutions
Beauty salons: Relaxation from busy lives
Challenge on retail sales from beauty salons
Online shopping platforms offer variety to local consumers
Merging of online and offline channels
Popularity of local brands in mass segment
International brands dominate premium segment
Beijing Dabao Cosmetics Co Ltd
Tianjin Yumeijing Group Co Ltd
Beijing Tongrentang Cosmetics Co Ltd
Key takeaways