China Prestige Beauty E-commerce Sales in June Grew 87% Thanks to Mid-Year Promotions, According to The NPD Group

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Thanks to the success of this year's '618' Shopping Festival, one of the largest promotions for e-commerce in China, all beauty super-categories recorded growth compared to last year

"With another online festival, Double 11, scheduled for November, it is likely that sales from this event will help China experience record sales for the year.”

China Prestige beauty e-commerce sales increased 87% in June 2020 to $1.3 billion compared to the same time period last year, according to The NPD Group, a leading global information company.

In June, China’s e-commerce market began its mid-year sales festival, one of the largest promotions for e-commerce, also known as China's '618' Shopping Festival. This year, close to 100,000 brands selling over 10 million discounted items participated, which is more than double the number of brands that participated in last year’s 618 event. Thanks in large part to this festival, all beauty super-categories recorded growth compared to last year, with skincare sales increasing by 98% to $489 million, makeup sales increasing 58% to $102 million, fragrances sales increasing 61% to $21 million, and haircare sales increasing 126% to $16 million.

Makeup’s growth was lower compared to other super-categories as it was negatively affected by the pandemic earlier this year, and consumers continued to wear masks outside of their homes. However, as most offices opened in China, and people started to resume normal business practices, makeup started to accelerate its growth. The continued use of masks is evident by the notable shift in focus from traditional lip makeup (12% growth compared to June 2019) to eye makeup (159% growth compared to June 2019).

“The e-commerce channel is likely to keep the fast growth rate in the coming months for beauty products,” said Stanley Kee, Managing Director, APAC, The NPD Group. “In fact, a recent China consumer sentiment study conducted by the NPD Group showed that 26% of Chinese consumers claimed they only purchase beauty products online. With another online festival, Double 11, scheduled for November, it is likely that sales from this event will help China experience record sales for the year.”

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About The NPD Group, Inc.
NPD offers data, industry expertise, and prescriptive analytics to help our clients grow their businesses in a changing world. Over 2,000 companies worldwide rely on us to help them measure, predict, and improve performance across all channels, including brick-and-mortar and e-commerce. We have offices in 27 cities worldwide, with operations spanning the Americas, Europe, and APAC. Practice areas include apparel, appliances, automotive, beauty, books, B2B technology, consumer technology, e-commerce, fashion accessories, food consumption, foodservice, footwear, home, juvenile products, media entertainment, mobile, office supplies, retail, sports, toys, video games, and watches. For more information, visit npd.com. Follow us on Twitter: @npdgroup @npdbeauty

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