Abstract: Chinese makeup brand INTO YOU and Chinese coffee chain brand Luckin Coffee have jointly opened Summer Project, which includes the launch of a watery velvet lip glaze and a special instant coffee gift box, and will open an offline pop-up store in Chengdu, China on June 22(China Standard Time, all times in this article are China Standard Time). CHAILEEDO notes that INTO YOU was founded in 2019 and is the pioneer in the category of lip mud. Compared to velvet lip glaze, lip mud is more solid with a mud texture at first glance. It still has the smooth application of velvet lip glaze on the mouth while achieving a non-sticky matte finish. In terms of color, the lip mud form has a higher color saturation than the normal texture, where the unique clay shade of INTO YOU makes the connection between the color and the lips more solid, enabling an extremely matte finish under the matte makeup trend. Another major innovation is that because of its mud-like texture, the lip mud itself can also be used for cheeks and eyes, helping users to create the same color look. The product was recommended by a large number of organic traffic and key opinion leaders, which made INTO YOU become famous. The founder of INTO YOU admitted, "Its popularity we did not fully anticipate, but it made us realize the direction to move forward. This time, we found the right one." According to the officially published data, INTO YOU completed a $4.5 million angel round of financing in 2021. On June 16, 2021, INTO YOU's flagship store on the Chinese e-commerce platform Tmall ranked 5th in the Tmall lip glaze category in terms of sales. And in the first quarter of 2022 on the Alibaba platform, INTO YOU sales reached $28 million with 3.87 million units sold and a 220.9% increase in GMV year-on-year. In the 618 shopping festival of 2022, the brand's sales were $7.274 million, an increase of 287.4% year-on-year. Qeyes found that with the beauty business hitting big, milk tea and coffee brands are also joining the cosmetics industry. For example, Starbucks has previously teamed up with a Korean makeup brand Stonebrick to launch limited makeup items - Jackpot lipstick (cherry blossom pink and soy coral) and eyeshadow (brown shade), which are only sold as "giveaways" for the spring coffee collection. The famous Chinese milk tea brand HEEKCAA is more in the cross-border co-branding in a larger investment. According to incomplete statistics, since 2017, HEEKCAA co-branded beauty brands including Maybelline, Benefit, Kiehl's, L'Oreal Paris, Pechoin, Fenty Beauty, Clinique, Mariedalgar and many other well-known brands in China and worldwide. In November 2021, HEEKCAA's association company Shenzhen Meixixi Ltd. Company has also undergone industrial and commercial changes and the company's general business items changed to add cosmetics retail business. According to incomplete statistics, in 2017, HEEKCAA, NAYUKI began to partner with beauty brands followed by LELECHA, The Alley, and other brands also officially announced their beauty "couples". HEEKCAA and LELECHA completed co-branded marketing 9 times and 7 times respectively. The former basically maintains the annual average of one time. The latter reached its peak in 2019 - -there were 5 co-branding campaigns throughout the year. Perhaps it is because of the huge potential of the beauty market that tea and coffee brands continue to cooperate across borders. According to the National Bureau of Statistics, the total annual retail sales of cosmetics in China in 2021 was $60 billion, up 14.0% year-on-year, the largest increase in the past nine years. And according to CBNData, more than 70% of consumers of beauty crossover cooperation models are new customers of the brand. From the per capita consumption amount of new and former customers in the beauty category of cross-border cooperation models, the spending power of former customers is 1.54 times that of new customers, and their purchasing power is significantly higher than that of new customers. Luckin Coffee has long been in the cosmetics field development movement. As early as May this year, Luckin Coffee established Luckin Coffee Enterprise Development (Shanghai) Co. Information has been shown that the company is wholly owned by Luckin Coffee (China) Co. The linkage with INTO YOU will bring traffic to the brand and at the same time, it may bring a fresh shopping experience to consumers.

The sales of SHISEIDO, Clé de Peau Beauté, IPSA, NARS, ELIXIR, ANESSA and AUPRES all exceeded RMB100 million in sales in 618 shopping festival. The sensational 618 shopping festival came to an end, and the sales of the beauty products were also made public. The data released by Syntun shows that the sales of cosmetics across all online e-commerce platforms were $6.1 billion, decreased by 20% compared to last year. CHAILEEDO notes that in the skincare category, Estee Lauder, Lancôme, Olay, SHISEIDO and L'Oreal Paris were the five brands with the highest sales. Among them, Japanese high-end cosmetic brand SHISEIDO sold $80.23 million on Tmall alone, ranking 8th among all skincare brands. On June 20, China Standard Time, Shiseido Company China disclosed the sales data of two channels, Tmall and JD, during the 618 shopping festival in 2022, in which 26 brands of the group participated. Among them, SHISEIDO, Clé de Peau Beauté, IPSA, NARS, ELIXIR, ANESSA and AUPRES all sold RMB100 million ($14.89 million). SHISEIDO, the eponymous brand of the Shiseido Company, sold $80.23 million on Tmall. Specifically, SHISEIDO Vital-perfection White Revitalizing Softener and Emulsion (priced at $214) sold more than 163,000 units, SHISEIDO Ultimune Power Infusing Concentrate (priced at $88) sold more than 120,000 units, and SHISEIDO Bio-performance Liftdynamic Eye Treatment (priced at $137) sold more than 35,000 units. In addition, high-end cosmetics brand Clé de Peau Beauté also performed well in the 618 shopping festival. According to the data, more than 100,000 units of clé de peau BEAUTÉ Softening Cleansing Foam (priced at $71) and more than 70,000 sets of Clé de Peau Beauté ( the prices range from $131 to $442) were sold. ELIXIR, another high-end skincare brand of Shiseido Company, also achieved good sales in the 618 shopping festival. Among all the products, ELIXIR Premium Revitalizing Care Enriched Eye Cream (priced at $71) sold more than 100,000 units and ELIXIR Enriched Lotion and Milk (priced at 91 USD) sold more than 80,000 sets. AUPRES, a high-end skincare brand that has been in the Chinese market for 26 years, sold more than 100,000 sets of lotion and serum (priced at $74). Furthermore, Drunk Elephant, an American skincare brand that just officially entered the Chinese market last year, saw a 466% year-over-year increase in sales of its Portini Cream (priced at $84). High-end sunscreen brand ANESSA sold more than 400,000 ANESSA Sunscreen Lotion (priced at US$34), making the brand the No. 1 in the sunscreen category. According to the report, several brands of Shiseido Company topped the cosmetics subcategory. High-end skincare brand IPSA ranked third in the category of high-end lotion; SERGE LUTENS became the No. 1 in the Tmall International foundation category and the No. 2 in the Tmall International perfume list; ettusais mascara became the No. 1 in the Tmall International and ID mascara categories; and MAQUiIIAGE became the No. 1 in the Tmall international makeup primer list. What's more, high-end skincare brand BAUM, French fragrance brand nariciso rodriguez, men's skincare brand SIDEKICK, oral beauty brand INRYU these four brands are the first time to participate in the 618 shopping festival. According to the first quarter earnings report released by Shiseido Company not long ago, the net sales of the Chinese market in the first quarter fell 20.6% to 51.91 billion yen ($380 million), accounting for 22.2% of total sales; the operating loss was 2.828 billion yen ($20.55 million). In its report, Shiseido Company mentioned that the increased scope of control over COVID-19 (especially in March) affected the group's sales in the offline channel in China, with a decline in sales. The online channel, however, continued to grow, mainly thanks to all promotions launched on the Chinese New Year and Women's Day. In addition, the group expanded its online channels in China during the reporting period, specifically through the presence on JD and Tik Tok China. CHAILEEDO will continue to follow up and report on whether Shiseido Company will be able to turn a profit in China, the group's second largest market, in the second quarter due to the good performance in the 618 Shopping Festival.

Bloomage Biotech, the global hyaluronic acid giant, has joined hands with Rohto Pharmaceutical Co., Ltd and BioMimetics Sympathies(BMS) to establish a joint venture. The main business is to carry out research in the field of regenerative medicine and cell culture medium while conducting commercial operations. According to CHAILEEDO, on June 21, China Standard Time, Bloomage Bio news: Bloomage Biotechnology (Hainan) Co., Ltd., a subsidiary of Bloomage Bio, and Rohto Pharmaceutical Co., Ltd. ("Rohto" for short), BioMimetics Sympathies ("BMS" for short) has officially reached a strategic cooperation and plans to establish a joint venture company with relevant parties. This also marks Bloomage Bio's official entry into the field of regenerative medicine. According to the official website, Bloomage Bio is a hyaluronic acid industry chain platform company integrating R&D, production, and sales. In 2007, Bloomage Bio became the world's largest hyaluronic acid producer. Bloomage Bio has established a whole industry chain business system of bioactive materials from raw materials to medical end products, functional skin care products, and functional foods. Among them, functional skin care products include Biohyalux, QuadHA, MedRepair, Bio-MESO, and other brands. It is reported that the joint venture company established by Bloomage Bio will be located in Haikou High-tech Zone, Hainan, China. The relevant person in charge of Bloomage Bio said that Hainan Free Trade Port is one of the key links in the strategic layout of Bloomage Bio. At the end of 2020, Bloomage Bio settled in Hainan Free Trade Port and built the Bloomage Biotechnology Industrial Park, which has been listed as a key project in Hainan Province in 2022. The joint venture company will be stationed in the industrial park and will give priority to the field of mesenchymal stem cell culture medium. At the same time, Bloomage Bio will build a regenerative medicine production line in the industrial park, assisting the joint venture company to form an industrial ecological chain from R&D to industrialization and commercial operation. In addition, Bloomage Biotechnology Industrial Park will also simultaneously invest in planning a GMP-level cell culture medium production line to support the production of related products of the joint venture company in the future. Cell culture medium has always been known as the "chip power" of the global biopharmaceutical industry. The preparation and production of biological products are highly dependent on the cell culture medium. At the same time, the cell culture medium is also a key consumable for scientific research in the fields of biology and medicine. In recent years, due to the rapid development of the global biopharmaceutical industry and the impact of COVID-19, the research and development of antibody drugs, vaccines, and cell therapy products has shown a rapid growth trend, driving the rapid development of the upstream industry of biological products, and the market demand for culture medium has increased significantly. The partner, Rohto Pharma, is a Japanese pharmaceutical company whose business scope covers eye drops, pharmaceuticals, cosmetics, and functional foods. BMS is a regenerative medicine research and development enterprise that conducts customized cell culture media for cell-targeted therapy of specific diseases. Its culture medium is characterized by not using raw materials of human or animal origin, contributing to the development of regenerative medicine by providing professional cell culture technology while being safe and effective. Through this cooperation, Bloomage Bio has officially entered the field of regenerative medicine. The layout of the regenerative medicine and cell culture medium industry is another important strategic layout of Bloomage Bio in the underlying scientific research, which will further enrich the core technology matrix of Bloomage Bio. At the same time, this move will further enhance the core technical strength of China's regenerative medicine and cell culture medium industries and bring a strong momentum to the development of the Hainan Free Trade Port.

Abstract: Chinese skincare brand Biohyalux released a report on the performance of 618 promotions (Chinese e-commerce mid-year promotion): during the 618 promotions in 2022, Biohyalux omnichannel sales exceeded $50 million. For the performance, the brand said it surpassed the original task. According to CHAILEEDO, data from the National Bureau of Statistics in China shows that from January to April this year, retail sales of cosmetics above the limit totaled $17.4 billion, down 3.6 percent year-on-year with April recording the largest drop of 22.3 percent in the same month in two decades. Thus, the severe situation of the cosmetics retail market is evident, especially with the repeated impact of the epidemic, the beauty industry is slightly weak. The 618 promotion of Biohyalux shows a counter trend growth which also shows the strength of the brand's products and accuracy in marketing. Biohyalux is the core strategic brand of Chinese hyaluronic acid giant Bloomage Biotech whose business covers two major business segments: medical aesthetics and functional skin care products. Bloomage Biotech has developed a series of functional skin care products for sensitive skin, skin barrier damage, facial redness, and other skin problems. It has followed the standards of pharmaceuticals in many aspects of research and development, production, etc., and laid a foundation for the efficacy and safety of the products. From the medical field to the skin care field, Biohyalux has seized the core advantage of hyaluronic acid in its products and brought out this advantage. Hyaluronic acid is the core ingredient of Biohyalux products, and its Biohyalux modified hyaluronic acid sodium gel for injection was approved by the former CFDA for launching, which is the first Chinese cross-linked hyaluronic acid soft tissue filler approved by CFDA. The product fills the gap in this sector in China. According to the report, it shows that the cumulative sales of the super new product HA Anti-Aging Lightening Single Use Essence alone exceeded $9 million. The ace HA Barrier Conditioning Single Use Stoste achieved the cumulative sales of a single product during 618 exceeding $8.2 million, and the cumulative sales of the new HA Barrier Conditioning Toner and Emulsion during 618 exceeded $1.4 million. Biohyalux also mentioned that the online channel Kwai live matrix sales surpassed $7.8 million during the 618 period with a target achievement rate of 435%. 5 super-headed live streamers on TikTok & Kwai dual channel and celebrities and 100 mid-to-low live streamers jointly helped sales exceed $19 million during the promotion. It is reported that the number of 142 KOLs have corporated with Biohyalux on the Kwai platform in 2021 and the volume of related graphic short video content is 176. It can be noted that more and more brands and companies are focusing on Kwai as an online channel to develop new channels for brands to increase their performance. For example, China's No.1 silicone oil-free shampoo brand Seeyoung has joined hands with a KOL with 36 million followers on the Kwai platform to sell goods, and KANS' parent company Chicmax made its debut on Kwai's Super Brand Day creating a GMV of $2 million in single live streaming. It is understood that the monthly growth rate of GMV of Kwai's beauty brand live streaming and buyer scale of brand live streaming are over 50%. In the user portrait, the loyal buyers accounted for 85% of women, and the highest percentage of 20-40-year-old users reached 65%. Sun Lan, the head of Kwai beauty brand live streaming, has said, "Kwai is a trust e-commerce platform. The platform and users maintain a deep trust relationship. Therefore, Kwai has a plan to create an e-commerce ecology to be more complete. For brands, Kwai brand live streaming will be a more long-term and controllable business in the future." Biohyalux's parent company, Bloomage Biotech, has said in its 2021 annual report that in the future, Biohyalux will focus on product technology power, devote itself to creating long-term star products and improve the brand's disposable essence and mask categories. And, the vision of Bloomage Biotech is also to position Biohyalux as a head brand in technological skincare. In 2022, Biohyalux will continue to layout new channels, improve the team's operational capabilities and adapt to changes in the industry environment. And from the performance of this 618 promotion, Bloomage Biotech's strategy is the reason for the excellent results of Biohyalux's online channel on Kwai platform.

Make Up For Ever, a premium makeup brand owned by LVMH, has opened its first pop-up store in Hainan, China, to promote HD Skin Foundation. In the 618 promotion this year, the brand sold $18.9 million on Tmall, achieving an 18.6% year-over-year growth. A few days ago, Make Up For Ever Travel Retail Asia Pacific partnered with China Duty-Free Group (CDFG) to launch the pop-up store “HD Skin Exploration Journey” at the Sanya International Duty-Free Shopping Complex in Haitang Bay. It was reported that this is the first duty-free pop-up store of the brand in Hainan. CHAILEEDO observed that the store was officially opened on June 1, China Standard Time and will remain open until June 28. In addition, this event focuses on promoting the brand's new product HD Skin Foundation, which is popularly known in China as the "true-to-skin" foundation. In fact, foundations have always been the hero products of the brand. Make Up For Ever’s Ultra HD Foundation, launched in 2008, was once the best-selling product of the brand. Over the past three years, 31 of the brand's makeup professionals have worked together to update the formula. Until this year, Make Up For Ever updated its new product HD Skin Foundation, which is upgraded based on the formula of the former hero product. HD Skin Foundation is described as an ultra-lightweight formula with micro-blurring powder that blurs out imperfections and delivers a true-to-skin effect. Furthermore, the foundation does not contain any animal-derived ingredients. The cap is made of bio-plastic and e the glass bottle is both recycled and recyclable. In order to let consumers immerse themselves in the pop-up and explore the charm of HD Skin Foundation, Make Up For Ever has set up interactive games, one-on-one makeup consultations and the customization of makeup routines. The professional makeup services are based on its world-renowned Make Up For Ever Academy. The academy has not only helped Make Up For Ever to gain visibility in the Chinese market, but has also further strengthened its position as a professional make-up brand. Around 2007, LVMH entered China with Benefit and Make Up For Ever. In the early stage, Make Up For Ever focused on developing offline channels and had 60 counters in China in 2015. Whereafter. the brand officially entered Tmall in 2015, Tik Tok China in 2020, and JD in 2021. As of today, according to CHAILEEDO, the brand has 99 counters in China. On Tmall, the brand's best-selling product is Ultra-HD Micro-Finishing Loose Powder (priced at $56) which sells more than 6,000 units per month. On JD, there are 21 products of the brand with over 10,000 reviews, all of which are foundation products. In addition to Make Up For Ever, LVMH also owns Parfums Christian Dior, Guerlain, Parfums Givenchy, Kenzo Parfums, Benefit, Acqua di Parma and Make Up For Ever. Meanwhile, beauty retailer Sephora is also part of LVMH. LVMH's earnings report for the first quarter of 2022 showed that the revenue of the group reached 18 billion euros, achieving a 29% year-on-year growth. To be more specific, the sales of the LVMH's Perfumes & Cosmetics rose 23 percent to 1.905 billion euros. CHAILEEDO noted that the group specifically mentioned in the report that brands such as Dior, Guerlain, Givenchy and Make Up For Ever made outstanding contributions to the growth of the beauty business in the first quarter. Last but not least, it is worth mentioning that the brand's sales on Tmall achieved an 18.6% year-on-year growth to $18.85 million during 618 promotion this year, ranking 11th among all makeup brands. In contrast, Make Up For Ever was the top 17 brand last year. Subsequently, Qeyes will continue to pay attention to and report on whether Make Up For Ever can keep the momentum in China under the context of the recurring COVID-19.

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%. 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.

Abstract: According to the report, China's innovative skincare brand Grain Rain was listed among the Top5 Innovative Brands, and Grain Rain Glabridin Brightening Essence Mask was listed among the Top5 Innovative Products. According to observation from CHAILEEDO, Grain Rain was founded in 2016. The Chinese name of the brand originated from the Chinese traditional seasonal culture. The brand is committed to digging deeper into Chinese culture and promoting Chinese seasonal health culture. It brings natural ingredients through modern technology applied to skincare. In 2020, the annual sales GMV of Grain Rain exceeds $52.3 million ranked in the Top 50 of the whole network and the Top 20 among Chinese beauty brands. In the first half of 2021, Grain Rain's performance exceeded $44.8 million. During the 618 promotion in 2021, GMV of Grain Rain on the Chinese e-commerce platform Tmall exceeded $5.2 million. In this year's 618 promotion, Grain Rain ranked fourth in the overall list of innovative beauty brands in TikTok China. In fact, the development of the functional skincare market has been prevalent in recent years. Grain Rain, which is positioned in the full-scene whitening sector, is one of the representative brands pursuing functional skincare. The brand insists on being additive-free. Its products do not contain controversial ingredients such as alcohol, pigment, hormones, mineral oil, preservatives, etc., and are enriched with natural plant essential oils to provide a healing aroma. It is committed to continuing to create a natural and safe brand image for Chinese products. At present, numerous beauty brands focus on plant-based ingredients in China and the international beauty market, such as the Sisley Saffron Flowers series launched by France's Sisley, the black tea series launched by Fresh, and the above-mentioned Grain Rain Glabridin series. The Sisley Saffron Flowers Sleeping Mask was launched in 2020 focusing on enhancing the barrier and relieving dry skin problems and it is priced at $146 in the Tmall flagship store with a total sales volume of 2000 units. The Fresh black tea series was first launched in 2015 with its Black Tea Firming Corset Cream with tightening facial contours and moisturizing skin effects priced at $131 in the Tmall flagship store with a total sales volume of 20,000+ units. For comparison, Grain Rain Glabridin Brightening Essence Mask claims to have the effect of changing bright skin and repairing redness priced at $40-$74.6 in its Tmall flagship store with a total sales volume of 60,000+ units. It is worth noting that on June 17, the Ministry of Industry and Information Technology of the PRC, the Ministry of Human Resources and Social Security of PRC, the Ministry of Ecology and Environment of PRC, the Ministry of Commerce of PRC, and the State Administration for Market Regulation in China jointly issued the Guidance on Promoting the High-Quality Development of the Light Industry (hereinafter referred to as the Guidance). The Guidance is stated specifically for the cosmetics industry. As for the production end: production technology is based on plant oils, microorganisms, fermentation products and other organisms. And for the brand end, the focus of development in the next four years in the Chinese cosmetics industry will be plant-resources cosmetics, high-end color cosmetics and the construction of new business models, etc. Moreover, the Guidance clearly states that it will promote the development of production technologies that replace petroleum-sourced raw materials with biological sources such as plant oils and fats, microorganisms and fermentation products, and green manufacturing processes for fragrances and flavors. This means that plant resources cosmetics is also a recognized future trend in China. In fact, a number of Chinese brands with big influence in this field have already been formed. For example, Winona has searched for Prinsepia utilis Royle and Portulaca oleracea L from Yunnan's unique plant treasures in China and applied them in its series of products. Dr Plant has used traditional plant resources such as Dendrobium nobile Lindl. and other plants from high-altitude mountains to create advantageous products. And Grain Rain brings together Chinese and foreign botanical experts and research institutions specializing in the research of phytochemical ingredients. Through the use of modern multi-extraction technology, effective natural ingredients are extracted from plants to achieve a scientific combination of plant essences. Thus the brand creates a more suitable for consumers to use the skin of the country's phytochemical efficacy of skincare products.

From entering Beijing in January 2020 to the present, THE COLORIST, an innovative beauty collection store brand, has shrunk to only one store in Beijing. It is reported that most of the closed stores are operated by franchisees, while the rent and operating pressure may be the main reasons for the closure. Most of you should have witnessed the brilliance of China's beauty collection stores in 2019, such as THE COLORIST, HARMAY, HAYDON... Even affected by the epidemic, the pace of expansion of Chinese beauty collection stores in 2021 continued to move forward. However, now, according to public reports, the Chinese top player THE COLORIST currently has only one store left in Beijing, and the rest of the stores are all closed. The person in charge of one of the closed stores said that most of the closed stores were operated by franchisees. Rainbow Store is currently the only direct-operated store of THE COLORIST in Beijing. "In the Beijing market, most of the closed stores are the same franchisee, and rent and operational pressure may be the main reasons for the closure of stores." The above-mentioned person in charge revealed. Moreover, aside from Beijing, THE COLORIST has not developed well in other cities in China. There have been large-scale withdrawals of franchisees before. According to the prospectus submitted by the colorist parent company KK Group to the Hong Kong Stock Exchange in November 2021: at the end of 2020, THE COLORIST has 170 franchise stores and only 59 self-owned stores; as of the first half of 2021, the number of self-owned stores Expanded from 59 to 129, but that of franchise stores shrunk from 170 to 111. Since the top players are still like this, the situation of other brands is even more difficult. There have been many media reports before: WOW COLOUR closed more than 50 stores in 2021, and NOISY Beauty closed nearly 10 stores; in April 2022, HAYDON announced that due to the impact of the epidemic, many stores in many places may be closed. However, the founder of HAYDON has previously publicly stated that he plans to enter more than 16 key cities in China by the end of 2021, with more than 20 stores, and will exceed 100 stores in mid-2023. But at present, it seems that HAYDON has not achieved the established goal in 2021, and is still far from the "Hundred Stores Plan" in 2023. In April this year, HARMAY's first store in Wuhan also opened, and there was no such thing as "limiting the flow of people when entering the store and long queues for checkout" at the door. You must know that the location of HARMAY's first store in Wuhan has been carefully selected. "Wuhan Tiandi International Corporate Zone" is a famous business district in Wuhan with a lot of traffic. In recent years, beauty collection stores have been favored by many young consumers due to their unique decoration, comprehensive cosmetics, and immersive shopping scenes. However, with the increasing number of companies entering the bureau, various problems have arisen one after another. First of all, as an important drainage tool, sample products are generally unauthorized and opaque in supply, which leaves consumers with a lot of doubts, and the sales stores carry certain operational risks for this. In March of this year, Harmay was fined for selling big-name samples of cosmetics that did not comply with the regulations. In response to the problem of supply, the founder of HARMAY has also publicly stated that its supply mainly comes from counters and traders. At present, almost all of the authorized brands are small and medium-sized brands, and they have not yet reached authorized cooperation with big brands. Secondly, with the emergence of a large number of similar beauty collection stores, the products in the stores are converging, the brand image is blurred, and many stores have fallen into a situation of homogeneous competition. From the perspective of the entire market, after experiencing rapid growth in the past two years, the beauty collection store track is now entering the stage of the reshuffle. How to construct recognition in the market and strike a balance in the impact of the epidemic has become a problem that beauty collection stores need to dig into.

Abstract: The first real flower double-cabin shampoo of Chinese personal care brand Kustie, which features true flower petal body wash, was landed in 4000+ Watsons stores across China recently, which is also the first time the double cabin locking fresh packaging design is applied to the shampoo category. The new double cabin shampoo debuted with 5 single products, which have the effects of oil control, anti-dandruff, and smoothing respectively. According to Kustie's research, the natural ingredients and most of the active ingredients of floral extracts tend to reduce their activity under normal conditions and need to be protected from light, oxygen and separate packaging to preserve their activity and performance. According to CHAILEEDO, based on that characteristic, the shampoo launched by Kustie has divided into two materials which are stored in separate compartments with a customized double compartment lock design and ten safety locks. The product is divided into an inner compartment and an outer compartment. The inner compartment is milky white and contains more than 10 active ingredients for repairing damaged scalp hair and solving hair problems. The outer compartment is transparent with facial-grade amino acids + flower extracts added for deep cleansing and gentle care and the design prevents light and oxygen, locking in the active ingredients, and mixing the two ingredients with just a twist and a shake. "The unique inner and outer dual-compartment locking structure is the design of Japanese packaging structure master Toru Ito, which applies the facial essence level preservation technology to hair products, customizing two oxygen-free and light-proof separated sealed compartments according to the locking conditions of each active ingredient." The brand said, "The dual compartment firmly locks in the activity and ensures that the ingredients are fresh and effective at each use." It is reported that the Kustie was established in 2002 focusing on real flower care with the visible real flowers as the research and development concept, bringing natural care and nourishment to the skin. It is also the world's leading brand in adding real flower petals to body washes. In fact, Kustie has spent years trying to solve the problem of preserving true flowers. Adding too many preservatives to preserve flowers would go against the original idea of naturalness. For this reason, Kustie has developed a patented freshness technology with an internationally renowned R&D laboratory, which allows the flower petals to be preserved intact without the need for additional preservatives. In addition, in order to maintain the perfect shape of the petals in the products, Kustie is very strict in the selection of flower materials, purely hand-picked flowers in the half-opening period, and used in the same season. The efficacy of the extracted ingredients, also requires 100% to achieve the effect of gentle skin care. "If we choose machine picking, many of the above requirements cannot be achieved, so we can only hand-pick and select the freshest quality flowers. Then we use the distillation process to extract the active ingredients, and then we add them to the product with strict control over the processing of the flowers to guarantee the real flower form and real active ingredients of the product. This process is very tedious and rigorous with high requirements for craftsmanship and technology." Kustie explains. The products not only add real flower petals, but also present the complete form of the whole flower. It not only aims to maintain the perfect form of the petals, but also to retain the active ingredients of the real flower, which undoubtedly has high demands on the front-end R&D technology. In the process of pursuing ideal products, Kustie is constantly breaking through difficulties and forming its own unique process and advantages. It is understood that Kustie has launched the product lines of true flower body wash, shampoo and scrub. From the establishment of the brand to 2020, the brand's flower body wash has accumulated sales of more than 100 million bottles and exported to 56 countries and regions around the world. After more than a decade of cultivation in the Chinese market, Kustie has deeply analyzed the basic data of personal care, deeply explored and innovated the needs of consumers, precisely positioned the characteristics of "Asian skin type" and upgraded the release of Kustie Sakura Dual-effect Exfoliating Cream. Today, China's market share in the global cosmetic market is increasing. Kustie's products have been exported to more than 50 countries and regions around the world. It have successfully entered the markets of Japan, Korea, Singapore and Malaysia. It is understood that Kustie has launched the product lines of true flower body wash, shampoo and exfoliating cream, etc. The true flower body wash has sold more than 100 million bottles, and is also the best performing petal body wash in the Korean market. After more than a decade of cultivating the Chinese market, Kustie has deeply analyzed the basic data of personal care, deeply explored and innovated consumer needs, and precisely positioned the characteristics of "Asian skin type". More News About China Market?

Abstract: CORDMAGIC, a technology skin care brand focusing on active peptides in China, has launched a newly upgraded "Arreso Renewing And Repair Mask", claiming that it has added Arreso peptide ingredients, which have brightening, anti-aging, and repairing effects. At present, the promotional price of this product on the Tmall flagship store is $19, and the monthly sales volume is 65. According to observation from CHAILEEDO, CORDMAGIC is an efficacious skincare brand with active peptide ingredients. Its parent company is Hemei Bio. The development of innovative raw materials is the core advantage barrier of the brand, which is backed by the technological strength of the parent company. In the context of effective skin care, active peptides are receiving more and more attention from the industry. The history of the application of international active peptide raw materials in effective skin care can be traced back to the 1980s, while the Chinese active peptide industry lacks technical innovation due to the high technical barriers to the original development of active peptide raw materials. It is understood that, in addition to paying a high prices to cooperate with international big brand raw materials, some brands will choose to imitate overseas raw material products or directly produce patent expired molecules mainly. At present, the familiar active peptide raw materials in the industry are about 10, and the number of "peptide" products filed on the Chinese non-special cosmetic record platform has exceeded 70,000. Therefore, the development of higher efficacy and more cost-effective active peptide ingredients has gradually become a point of competition in science and technology. In this context, Hemei Bio., established in 2018, has built a patented bioactive peptide platform, focusing on providing self-developed high-performance bioactive peptide raw materials and integrated solutions for functional personal care products and health food based on this raw material, including efficacious skin care products, scalp care products and intestinal conditioning products. At present, CORDMAGIC has launched a full range of products such as toner, essence, lotion, and sleeping masks, with different peptides added to different products with different efficacy. For example, the star product "Time Reset Concentrate" contains ARRESO® Peptide, which is generated by our own patented ARRESO preparation process and is rich in the optimized ratio of hundreds of active peptides. It helps to actively stimulate collagen production. The other star product "Deep Penetration Radiance" is an essence with the logic of "transdermal peptide + zero age peptide" to accelerate the absorption. After the Time Reset Concentrate gained market and reputation recognition, CORDMAGIC upgraded the product and launched a new generation of Time Reset Concentrate this year, which is formulated with ARRESO® Peptide and A-alcohol slow-release body to protect and reduce collagen. It also adds acetyl hexapeptide-8 and snake venom-like peptide to fight against dynamic expression lines. In addition, ceramide, thiotaurine, carnosine, and ergothioneine mushroom extract are added to provide anti-sugar and antioxidant effects. In the future, the focus of CORDMAGIC revolves around the utilization and development of active peptides, mainly upgrading on ARRESO® technology, and doing in-depth exploration of formulations in the direction of active peptides such as zero-age peptide anti-aging, soothing peptide screen building, whitening peptide, and transdermal peptide. Its parent company Hemei Bio. previously completed a $4 million Series A financing round. It is understood that this round of financing will focus on the development of an innovative bioactive peptide R&D technology pipeline, the construction of an aging science innovation laboratory of Tsinghua Yangtze River Delta Research Institute, and deepening the brand incubation business based on innovative bioactive peptides. Up to now, Qidian Hormi has completed three rounds of financing with a cumulative amount of nearly $7.4 million. The reason why Hemei Bio. is doing a diversified landing downstream is to provide the foundation for the subsequent model replication as well as to enhance the anti-risk capability, according to Hemei Bio. The company's advantage is to master the original technology R&D platform. The technological advantage enables the company to respond quickly and has already established three brands in less than two years of its establishment. Looking horizontally at the efficacious skin care industry in China, the brands represented include The Ordinary, HomeFacialPro, Winona, and so on. The industry is showing rapid growth, with an annual growth rate of over 20%, significantly higher than traditional skincare products. The core efficacy ingredients of efficacious skincare products are constantly being iterated and supplemented with the development of biotechnology and skin science.

Abstract: On June 20, 2022, China Standard Time (all times in this article are China Standard Time), the official account of Chinese makeup brand Judydoll on the Chinese social media platform Weibo(China’s Twitter) posted that $59,880 has been raised for heritage conservation and donated to the Dunhuang Museum. In 2021, JudyDoll and the Dunhuang Museum launched a co-branded makeup and Judydoll's color guardian public welfare program, which means that for every Dunhuang series co-branded makeup product sold, 1 yuan will be donated to Dunhuang heritage conservation or color The project will be used for the preservation or restoration of the Dunhuang heritage. According to CHAILEEDO observation, Judydoll was founded in Shanghai in 2016, is a new trendy makeup brand that leads the color trend and perfectly blends classic and innovation, color, vividness, and playfulness are the brand DNA of Judydoll. The series is inspired by the sacred beasts in Dunhuang's murals and revolves around the theme of images of some Chinese traditional beasts which represent luck and happiness such as a divine dragon, bluebird, nine-colored deer, and winged horse and five traditional Chinese colors of green, white, red, black and yellow are used as the basis for the creative reproduction and interpretation of Dunhuang's cultural heritage in the form of beauty products. The brand and Dunhuang Museum co-branded products include the JudyDoll 20-shade palette and JudyDoll embossed blush. In addition, the products and color schemes are inspired by the Dunhuang Museum's collection of murals and artifacts and the traditional Chinese five-color system, and are co-created with the Dunhuang Museum and rigorously researched by multiple parties, allowing traditional history and culture to be presented to young people in a fun and fashionable way. For example, the JudyDoll 20-shade Eyeshadow Palette in the co-branded collection has a color palette inspired by the colors of the mineral pigments commonly used in Dunhuang color restoration to showcase the millennia-old vitality of Dunhuang murals. The co-branded eyeshadow palette contains a variety of powders including matte fine shimmer, matte gradient, and gorgeous liquid powder, organically blending cultural heritage with trendy makeup. The JudyDoll Embossed Blush shows the beauty of ancient and modern heritage, blending the traditional five colors of Dunhuang with modern colors to create a low-saturation orange Dunhuang color, and a fine embossed print on the powder to show the dynamic posture of the beasts flying, swimming, or playing. JudyDoll Dual Shade Contour shows the artistic charm of the Dunhuang caves, selected by the Dunhuang color restorer professional, take the Dunhuang caves color block, specially adjusted gray-brown tone super suitable for Asian skin tone. Under the ties of color guardianship, the "JudyDoll Color Guardian Public Welfare Program" was launched by JudyDoll and Dunhuang Museum. For every Dunhuang color cosmetics product sold, the company will donate RMB 1 yuan to Dunhuang's heritage conservation or color restoration to promote and inherit history and culture. At the same time, JudyDoll also opened offline pop-up activities to promote Dunhuang color guarding in four major cities in China such as Shanghai, Chongqing, Hangzhou, and Xi'an, presenting the spirit and culture of Dunhuang of the vast millennium to more young people. As of June 20, 2022, the sales of the JudyDoll co-branded Dunhuang Museum collection in the Chinese e-commerce platform Tmall flagship store are 900,000+ total sales volume of JudyDoll Dunhuang Dual Shade Contour, 20,000+ total sales volume of JudyDoll Dunhuang co-branded Embossed Blush, and 10,000+ sales of JudyDoll Dunhuang 20-shade Eyeshadow Palette. In the Chinese sharing platform Xiaohongshu, there are about 600+ notes about the JudyDoll Dunhuang series, and the most read notes have 12,000 likes. According to the official statement of JudyDoll, the brand is committed to guarding and inheriting the beauty of color in nature, art, and culture, and hopes that through this public welfare program and co-branding program. More contemporary young people will become the "color guardians" of Dunhuang, continue the beauty of Chinese art together, and explore the new trend of cultural inheritance and guardianship. JudyDoll is known to Chinese consumers for its eye shadows and blushes. In 2017, JudyDoll opened its store on the Chinese e-commerce platform Taobao. In 2018, the brand's Tmall flagship store was launched. Currently, the top-selling product in its Taobao flagship store is JudyDoll Duo Monochrome Blush Highlight with a total sales volume of 1 million + for $4.5. After gaining popularity online, JudyDoll has also started exploring offline channels. The person in charge of the brand said, in the future, the brand will lay out more first and second-tier cities, and the overall number of offline stores is expected to grow exponentially in 2022. In terms of offline distribution, JudyDoll will continue to accelerate city penetration and bring a full range of brand experiences to more young consumers.

With China's 618 promotion coming to an end, Li Jiaqi, who has been off the livestream for half a month, has not resumed. With different incidents of Chinese super-head anchors such as Wei Ya and the normalization of live broadcast marketing, the phenomenon of self-broadcasting by beauty brands will be increasingly common. Recently, during the "Snack Festival" held in the live broadcast room of China's top sales anchor Li Jiaqi, the signal was suddenly interrupted without warning, and it was impossible to enter. Many consumers believe that "it was Li Jiaqi when he was introducing a certain coffee product, the coffee suddenly spilled, causing the live broadcast to be interrupted". Later, Li Jiaqi posted on Weibo, a Chinese social platform, saying, "Because of a technical failure in the background, we are dealing with it urgently, please wait a moment." At that time, most netizens thought that Li Jiaqi would rebroadcast quickly. But the news that came later was: Li Jiaqi posted again, "I'm very sorry, we can't continue the live broadcast tonight because of our internal equipment failure, everyone, please rest early, the products that have not yet been broadcast will be brought to you in our future live broadcasts. Thanks again." Since then, Li Jiaqi has never broadcast live again. Moreover, Li Jiaqi's suspension of the broadcast coincides with the 618 big promotion event of China's e-commerce in the middle of the year. This is tantamount to "shattering news" for Li Jiaqi, who mainly focuses on live broadcasts, and beauty brands who are counting on the 618 performance. According to statistics, in last year's 618 promotion, 180+ beauty products entered Li Jiaqi's live broadcast room, such as L'Oreal Paris, HR, Kiehl's, etc. On the first day of this year's Tmall 618 event, the highest number of viewers in Li Jiaqi's live broadcast room reached 150 million. In the live preview originally scheduled from June 5th to 10th, it is expected that a number of beauty products will also be launched. However, it was all disrupted by the suspension. During the Tmall 618 promotion period, under the pressure of GMV, the major beauty brands are undoubtedly most concerned about "When will Li Jiaqi be able to rebroadcast", and if it cannot be rebroadcast during Tmall 618. "What should beauty brands do to make remediation?". In fact, since Xueli, Wei Ya and other top Chinese anchors have been "banned" for tax evasion and tax evasion one after another, the phenomenon of brand self-broadcasting will become more and more common. "Now the proportion of our brand self broadcast has gradually reached 60%, and the remaining 40% are influencers." The person in charge of Tiktok China Kwai e-commerce of Chinese skincare brand Forest Cabin said: The era of influencers sales has changed into the era of brand self broadcasting. In addition, Chinese skincare brands such as Herborist and Dr.Yu also put their efforts into the brand's live broadcast room. For example, in Dr. Yu's last wave of 618 promotions, the brand launched an exclusive "8-piece gift" worth $31 in its live broadcast room. Some people in the industry said: Influencer sales can increase sales in a short period, and brands can also use this for publicity. However, from the perspective of the long-term development concept, brand self-broadcasting can better ensure brand power and brand tonality. With different incidents of Chinese super-head anchors such as Wei Ya and the normalization of live broadcast marketing, the phenomenon of self-broadcasting by beauty brands will be increasingly common. From January to December 2021, brand self-broadcasting will show an overall growth trend, with a 10% increase in market share; at the same time, brand self-broadcasting sales are in a state of rapid growth, with an annual growth rate of 494.8%. As the direct provider of the lowest price on the entire network in China, self-broadcasting of beauty brands can be exempted from high cooperation fees. At the same time, it can also avoid the drawbacks that traffic and users cannot flow to the brand itself, and promote the brand to continue to make profits and grow rapidly. Under the blessing of various factors, brand self-broadcasting will become the core channel of normalized marketing and a necessary means of the brand store operation.