Retail sales of cosmetics in China by month 2022-2023
Cosmetics retail developmentIn the last decade, the cosmetics market in China has been developing rapidly. In 2022, the retail sales value of cosmetic products reached 393.6 billion yuan. As the demand for cosmetic products expands further in second-and third-tier cities of China, cosmetics retail is expected to maintain its growth momentum in the near future. In addition, the changing attitude among men towards skin-care fosters the booming of men's cosmetics market in China. From 2013 to 2018, the sales value of men’s grooming products in China increased by around 37 percent.
Brands and sales channelsForeign cosmetics brands play a dominant role in China’s cosmetics market. Four out of five leading beauty and personal care product brands in China were foreign-funded. L’Oréal, the world’s third-largest cosmetics company, still holds the largest share in China’s overall cosmetics market as well as color cosmetic product market, despite of a significant decline in market share since 2011. Apart from an adjusted brand strategy, shifting preferences among Chinese consumers towards premium brands and increasing competition may be seen as the main reasons for the steady decline of L’Oréal’s share in the color cosmetics subsector.
Among the main distribution channels for cosmetic retail in China, online retail has been expanding significantly over recent years, while traditional retail channels such as hypermarkets and department stores were losing ground. In 2018, online shopping accounted for around 74 percent of China’s overall cosmetics retail sales and was forecasted to reach nearly 80 percent by 2024.