Founded in 2016, the Chinese cosmetics unicorn is one of the most successful beauty brands from China. The company's flagship brand, Perfect Diary, claims to be one of the top make-up brands in China in terms of online retail sales value.
However, the firm has been hampered by what it has observed to be the softening of the colour cosmetics category amid the deceleration of general consumer spending in China.
“This extended into the Singles Day promotion period between November 1 and November 11, during which colour cosmetics sales on Tmall fell by low-single-digit compared to the prior year,” said Huang Jinfeng, founder, CEO, and chairman of the company.
Despite the strength of Perfect Diary, the challenging macroeconomic backdrop saw the company’s make-up sales wane.
“Gross sales from our cosmetic brands, which make up approximately 84% of total gross sales decreased by mid-single-digit year-on-year in the third quarter,” said Huang. “The majority of this quarter's sales came from colour cosmetics. These factors inevitably slowed the group's overall growth.”
On the bright side, the company’s skin care portfolio has had a stellar quarter, growing 257% year on year.
This quarter, skin care accounted for only 14% of total revenue, and the company believes this number has a lot of room to grow.
It is currently undergoing a transition that would improve its skin care sales overall.
“The whole company is taking a transition strategy, which means we are improving our sales in skin care brands. And then right now, skin care brands taking almost 14% of the revenue in Q3 and the total number will be almost increased to 20% in Q4,” said Huang.
"make up" - Google News
December 07, 2021 at 08:41AM
https://ift.tt/3prJv1u
Next stage of growth? The firm behind Perfect Diary refocusing efforts on skin care as make-up wanes - CosmeticsDesign-Asia.com
"make up" - Google News
https://ift.tt/361OGde
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update
Bagikan Berita Ini
0 Response to "Next stage of growth? The firm behind Perfect Diary refocusing efforts on skin care as make-up wanes - CosmeticsDesign-Asia.com"
Post a Comment