China 618 Promotion Data was Released

During the 2022 China 618 promotion, the sales of the whole network in China reached $103.898 billion. Among them, the sales of beauty and skincare and fragrance makeup products in China are $4.584 billion and $1.538 billion respectively, a year-on-year decrease of 18.9% and 22.1%.

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In order to stimulate consumption and help merchants, this year's 618, China's major e-commerce platforms have given "maximum efforts". For example, Tmall and Taobao's cross-store full discount rule is "300 yuan minus 50 yuan", which is a further improvement from last year's "200 yuan minus 30 yuan" on Tmall Double 11; JD is also "299 yuan minus 50 yuan" across stores. Without superimposing other discounts such as red envelopes and consumer coupons, just calculating the full discount across stores is equivalent to a 13% discount. In addition, platforms such as Vipshop, Pinduoduo, and Xiaohongshu also launched the "618" promotion early.

According to statistics, during the 618 promotion period in 2022 (20:00 on May 31, 2022, to 24:00 on June 18, 2022, China Standard Time), the total online transactions in China are $103.898 billion (excluding new retail platforms and communities buying platform), a year-on-year increase of 20%. Among them, the total sales of China's comprehensive e-commerce, mainly Tmall, JD, and Pinduoduo, reached $86.982 billion, an increase of only 0.7% over the same period last year.

During the 618 promotion period, the sales of beauty and skin care and fragrance makeup in China are $4.584 billion and $1.538 billion respectively, down 18.9% and 22.1% year-on-year. Some industry media said that this 618 was the first 618 without Wei Ya nor Li Jiaqi, so it was extremely bleak; secondly, because the epidemic lasted for two years, the overall economic and employment situation in China was not optimistic. People's spending power has gradually weakened, and everyone has turned to necessities, reducing the purchase of beauty and skin care products.

Specifically, looking at the categories, the top 5 sales of 618 beauty and skin care brands in 2022 are Estee Lauder, Lancome, Olay, Shiseido, and L'Oreal Paris, with a combined sales of five brands of $4.584 billion. It can be seen that the TOP5 brands are all international beauty brands, and there is no Chinese brand. Chinese skin care brands still have a long way to go to catch up with internationally renowned brands.

For the 618 promotion last year, the TOP5 brands were L'Oreal Paris, Estee Lauder, Lancome, Olay, and SK-II. While in this year, Estee Lauder replaced L'Oreal Paris, winning the first. Lancome and Olay ranked second and third respectively. Previously, L'Oreal Paris, which ranked first in Tmall Beauty for three consecutive years, dropped to fifth place, a major change in the ranking.

In the JD official flagship store of Estee Lauder, the highest-selling product is "Advanced Night Repair (Synchronized Multi-Recovery Complex)", which is priced at $79/15ml and has a sales volume of 200,000+. The main function is to reduce fine lines, repair and anti-wrinkle.

In 2022, on June 18, the total sales of fragrance water makeup category reaches 1.538 billion US dollars, and the top 5 brands in sales are YSL, Florasis, Colorkey, M.A.C, and Perfect Diary. The international brand Saint Laurent rose from the third place last year to the first place, and M.A.C replaced 3CE to enter the top five and ranked fourth.

In the JD official flagship store of YSL "YSL Rough Pur Couture The Slim 2.2g" is the single product with the highest sales in the store, with a sales volume of 200,000+ and a price of 52 US dollars.

Among the top 5 brands in the fragrance and color cosmetics category, Chinese color cosmetics brands occupy 3 positions and perform well. Among them, Florasis remains a stable role, leading China's makeup, and the innovative makeup "dark horse" Colorkey was amazing, surpassing Perfect Diary and taking third place, while Perfect Diary, the previous leader, slipped to fifth place.

In the JD flagship store of Florasis, "Florasis Yurong Sunscreen Makeup Primer" is priced at $30, with PA+++, and a sales volume of 50,000+, which is the single product with the highest sales in the store.

The changes in the global economic environment caused by the epidemic have profoundly changed the needs and behaviors of consumers. Although the 618 promotion this year is no longer lively, the beauty industry is facing huge challenges under the sluggish macroeconomic environment. However, referring to the economic cycle in history and the development history of century-old beauty companies such as L'Oreal and Estee Lauder, every " crisis" is also an "opportunity". Enterprises must have confidence and courage to accumulate confidence and face challenges.