Investment Rating - The report does not explicitly provide an investment rating for the beauty industry Core Insights - The domestic beauty industry is undergoing significant restructuring, with brands like Chao Di Shang Hui and Jing Sheng Zhi Yuan exiting the market, indicating a challenging environment for local brands aiming to become the "Chinese L'Oreal" [4] - The next-generation skincare products featuring sterile preservation and precise anti-aging properties are redefining effective skincare, with the market for single-use skincare expected to exceed 70 billion yuan by 2025 [5] - The Chinese beauty industry is accelerating its globalization, with leading companies enhancing international competitiveness through capital operations and mergers [6] - The domestic fragrance market is expanding, with local brands entering the high-end segment, although they still lag behind international brands in sales [6] - The beauty talent landscape is evolving, with cross-industry appointments driving innovation and strategic flexibility [7] - The Double 11 shopping festival is seeing a shift in brand ambassador strategies, focusing on younger idols and sports figures to engage new consumer demographics [8] - The "milk beauty" trend is gaining traction, emphasizing sensory experiences and self-care in skincare products [9] - The body care market is experiencing growth, with a projected online market size of 40.1 billion yuan by 2025, driven by consumer demand for personalized products [10] - Instant retail is rapidly expanding in the beauty sector, with a projected market size of 2 trillion yuan by 2030, emphasizing speed and emotional value [10] Industry Trends - The domestic beauty market is witnessing a shift towards high-end and personalized products, with brands leveraging technology and consumer insights to drive growth [4][5] - The capital market is increasingly favoring companies that can demonstrate a strong global strategy and innovative product offerings [6] - The rise of instant retail is reshaping consumer purchasing behaviors, with brands adapting their strategies to meet the demand for quick and convenient shopping experiences [10] Top Brand News - The launch of a new functional fragrance brand by the former CMO of Proya, focusing on integrating scent into daily life [11] - Yatsen Global's introduction of a new skincare brand, "Rui Ke Hu," which emphasizes scientific research and clinical validation [12] - The rapid growth of Sanjing Pharmaceutical in the beauty sector, achieving a 1000-fold increase in GMV within eight months through effective influencer marketing [12] - Naturals' application for a Hong Kong IPO reflects the growing importance of local brands in the global beauty market [13] - The emergence of brands targeting middle-aged consumers, such as Kawai Duo, which has achieved significant sales through targeted marketing strategies [14] - Coty Inc.'s strategic evaluation of its mass cosmetics division amid financial pressures, indicating a shift towards high-end products [15]

Group 1 - The domestic beauty market is undergoing significant changes, with brands like Chao Di Shang Hui and Jing Sheng Zhi Yuan exiting the market, indicating a tough competitive landscape ahead for domestic brands aiming to become the "Chinese L'Oreal" [3] - The "2024 China New Consumer Brand Growth Power White Paper" analyzes market trends based on over 8,000 consumer surveys and expert opinions, providing strategic guidance for companies to overcome growth bottlenecks [3] - The next few years are expected to be challenging for domestic beauty brands, with 2025 being particularly critical [3] Group 2 - The next-generation skincare market, particularly single-use skincare products, is projected to exceed 70 billion yuan by 2025, driven by technological advantages such as sterile packaging that maintains ingredient efficacy [5] - Domestic brands are leading this market, expanding into categories like sunscreen and color cosmetics, with recent product launches focusing on anti-aging and repair [5] Group 3 - The third quarter of 2025 saw accelerated globalization of the Chinese beauty industry, with competition evolving from "brand export" to "global ecosystem construction" [6] - Leading companies are enhancing international competitiveness through capital operations, cross-border mergers, and diversified strategies, such as Proya's investment in color cosmetics and Nature Hall's Hong Kong IPO application [6] - The influx of capital into upstream technology fields like synthetic biology indicates intensified competition and a new round of industry reshuffling [6] Group 4 - Domestic fragrance brands are rapidly entering the high-end market, with new stores opening in key locations ahead of the Golden Week, aiming to strengthen brand narratives and marketing [7] - The global fragrance market is expected to grow significantly, with the Chinese market showing a compound annual growth rate of 8% [7] Group 5 - The beauty industry is experiencing a talent war, with strategic cross-industry appointments driving research and development, as seen with Estée Lauder hiring FMCG executives to innovate their R&D systems [8] - The competition has shifted to a "boundary-less" capability war, emphasizing the need for diverse talent sources and global experience [8] Group 6 - The Double 11 shopping festival has seen beauty brands increasingly focus on younger consumers, with new-generation idols becoming preferred brand ambassadors [10] - Brands are adopting a more nuanced approach to endorsements, with specific roles for ambassadors to enhance product marketing [10] Group 7 - The body care market is experiencing a surge as temperatures drop, with online market size expected to reach 40.1 billion yuan by 2025, driven by consumer demand for personalized products [13] - Brands are innovating with ingredients that address both efficacy and emotional value, catering to the growing need for effective winter skincare solutions [13] Group 8 - Instant retail is rapidly expanding in the beauty sector, with the market expected to exceed 2 trillion yuan by 2030, driven by high consumer demand for quick and convenient shopping experiences [14] - Major platforms are competing fiercely in this space, with brands adjusting their strategies to capitalize on the instant retail trend [14] Group 9 - Proya's former CMO has launched a functional fragrance brand, emphasizing the integration of scent into daily life, with plans to expand into other fragrance categories [15] - The brand aims to combine aesthetics with functionality, targeting a mid-to-high-end market segment [15] Group 10 - The domestic beauty brand "Rui Ke Hu" has been launched by Yixian E-commerce, focusing on oxygenation skincare products developed in collaboration with a hospital, marking a shift towards self-owned brand incubation [16] - The brand's introduction reflects a broader trend of domestic companies diversifying their product offerings and enhancing their market presence [16] Group 11 - Sanjing Pharmaceutical has achieved explosive growth in the Douyin beauty sector, with a 1000-fold increase in GMV within eight months, primarily through influencer marketing [17] - The brand's strategy includes low pricing and simplified product offerings, but it faces challenges in maintaining long-term brand competitiveness [17] Group 12 - Nature Hall has submitted its IPO application to the Hong Kong Stock Exchange, highlighting the growth potential of the Chinese cosmetics market, which is expected to exceed 1 trillion yuan by 2026 [18] - The skincare category is projected to dominate the market, with domestic brands outpacing international competitors in growth [18] Group 13 - The brand "Kaweido" has rapidly gained traction in the middle-aged skincare market, achieving over 100 million yuan in monthly sales by targeting specific consumer needs [20] - The brand's success is attributed to its effective marketing strategies and product positioning, although it faces challenges related to brand reputation and regulatory scrutiny [20] Group 14 - Coty Group is evaluating its mass cosmetics division, which generates 8.5 billion yuan in revenue, in response to financial pressures and declining sales [21] - The company plans to focus on high-end fragrance and beauty segments, indicating a strategic shift in response to market dynamics [21] Group 15 - The launch of JD's first self-operated medical beauty store aims to address traditional industry issues by ensuring transparency and quality in services [25] - The store's model emphasizes customer satisfaction over sales targets, reflecting a shift towards consumer-centric business practices in the medical beauty sector [25] Group 16 - The rise of creative markets during the holiday season indicates a shift towards experiential consumption, with younger consumers willing to pay for immersive experiences [26] - These markets not only drive sales but also serve as platforms for cultural exchange and community engagement [26]