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    Local Brands In Cosmetics Market Need To Be Saved

    2008/4/10 0:00:00 8

    Choosing cosmetics from shopping malls is undoubtedly one of the most important activities of Chinese women.

    But in this prosperous market, it is hard to find the local brand.

    People who are a little in pursuit of fashion and quality know that in the presence of foreign cosmetics brands, who else will choose domestic cosmetics?

    Ms. Yin, a white-collar worker working in CBD, Beijing, is talking about the pain of local brands.

    At present, the survival space of domestic cosmetics is gradually shrinking under the pressure of foreign brands. "Although we still have some price advantages in the vast rural areas, foreign brands are also beginning to focus on this meat."

    The Minister of Publicity Department of a cosmetics company in Tianjin felt this way.

    The sales of cosmetics counters in the middle and high-end stores occupy a huge advantage.

    "These counters sell less, but they occupy most of the sales of cosmetics."

    A person who has long been engaged in cosmetic industry observation said.

    Currently, foreign and joint ventures account for about 30% of the total number of cosmetics companies in China. The sales and sales of cosmetics account for about 60% and 90% of the total domestic cosmetics sales and sales respectively.

    Will the low end market be protected?

    In the fully competitive daily chemical market, the survival space of local enterprises is losing day by day. The domestic cosmetics manufacturers can only turn their attention to the low and middle end market, a region where foreign brands are temporarily limited.

    However, in recent years, the influx of multinational enterprises has made the competition in the cosmetics market more and more intense.

    Imported cosmetics not only occupy an advantage in high-end products, but also take a look at the low-end market, relying on capital and brand advantages, and actively penetrate into the domestic low-end market through integration and integration of domestic brands. In addition, although there are about 5000 cosmetic production enterprises in China, small and medium-sized cosmetics enterprises account for 90% of cosmetics companies, while the market share is less than 20%, and only a few of the larger ones are Jahwa, long Liqi, Arche and so on.

    As a result, the advantages of low and medium end market channels that local cosmetics companies pride themselves on and are dependent on are accelerating.

    Chen Xi, an observer for China cosmetic and cosmetics industry, pointed out that high value-added directly depends on the marketing methods, measures and techniques.

    But all these require the space and history of growth.

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