Core Viewpoint - A beauty brand has been fined for false advertising regarding the efficacy of its product, specifically the "MAOGEPING BEAUTY Luxury Caviar Mask," which claimed to have a "soothing" function not included in its official registration [2][5]. Group 1: Company Actions and Penalties - Beijing Wugeng E-commerce Co., Ltd., operating the WeChat video account "BaiJiaErJie Ai FenXiang," was fined 4,539 yuan and had the same amount confiscated for selling the mask with misleading claims [2][5]. - The administrative penalty was based on the "Consumer Rights Protection Law of the People's Republic of China," which prohibits false or misleading advertising [6][7]. Group 2: Product Information and Misrepresentation - The "MAOGEPING BEAUTY Luxury Caviar Mask" is officially registered with claims of "repair," "moisturizing," "anti-wrinkle," and "firming," but does not include "soothing" as a function [6][8]. - The product was marketed as suitable for pregnant women, which contradicts its registration that specifies the user group as "ordinary people" [5][6]. Group 3: Industry Context and Trends - The issue of false advertising in the domestic beauty industry is not isolated, with many brands exaggerating or misrepresenting product efficacy to meet consumer demand for effective skincare [8]. - Previous cases include Lin Qingxuan and Proya, which faced penalties for similar misleading claims regarding "anti-aging" effects that exceeded regulatory definitions [8].

Core Viewpoint - The article discusses the significant changes in the management structure of Proya Cosmetics, highlighting the shift towards innovation, digitalization, and internationalization strategies under the new leadership of Hou Yameng, who took over as General Manager in September 2024 [1][4][6]. Management Changes - In the past nine months, Proya has experienced frequent changes in its senior management team, with the departure of key figures and the introduction of new executives focused on research and digital strategies [3][4]. - The company has seen the exit of veteran leaders, including co-founder Fang Youyou and former Vice General Manager Wang Li, while bringing in new talent such as Wang Yifeng, Sun Peiwen, and Hu Ningbo [4][15][16]. Strategic Focus - Proya's recent appointments are closely aligned with its strategic goals of enhancing research innovation, internationalization, and digital transformation, supporting its ambition to rank among the top ten global cosmetics companies in the next decade [4][14]. - The company has upgraded its talent requirements from "execution and professionalism" to "learning ability, collaboration, and self-drive," aiming to attract cross-industry talents with backgrounds in internet and fast-moving consumer goods [5]. Digital Transformation - Hu Ningbo, the newly appointed Chief Digital Officer, has established a digital value assessment system focused on ROI to ensure that technological investments translate into measurable business growth [11][19]. - The company is implementing a "brand innovation development" model to enhance long-term brand growth by integrating market demand, research, product development, and marketing [20]. Organizational Structure - Proya has undergone multiple organizational structure adjustments since its listing, with the latest changes reflecting a shift towards a brand-driven approach, emphasizing research, branding, supply chain, and digitalization as core components [21][24]. - The company has seen significant revenue growth, with reported revenues of 6.385 billion yuan and 8.9 billion yuan in 2022 and 2023, respectively, marking year-on-year increases of 37.8% and 39.5% [25][26]. Marketing Strategy - The shift from a marketing-driven to a brand-driven strategy is a key focus for Proya, as indicated by the recent appointment of Wang Yifeng, who will lead efforts to enhance product development and brand growth [27].

Core Insights - The 618 shopping festival has seen significant changes in rules and strategies across e-commerce platforms, leading to a transformation in the beauty brand landscape, with international brands making a strong comeback while domestic brands face challenges [1][22] - The shift from a "price war" era to a focus on brand value and consumer experience marks a new phase for beauty brands, emphasizing the importance of quality and innovation [24] E-commerce Platform Performance - Tmall's 618 pre-sale data shows that international brands dominate the top rankings, with only a few domestic brands making it into the top 20, indicating a 5:15 ratio of domestic to international brands [2] - JD.com reported a nearly 300% year-on-year increase in sales for perfume and makeup sets on May 20, with overall beauty product sales doubling during the festival [5][11] - Douyin's beauty brand rankings have shifted significantly, with high-end international brands achieving explosive growth, while white-label brands have virtually disappeared from the charts [9][22] Changes in Promotional Strategies - The 618 festival duration has been extended to 35-40 days, with platforms simplifying promotional mechanisms to enhance consumer shopping experiences [13][16] - Platforms have moved towards straightforward discount strategies, eliminating complex promotional tactics that previously deterred consumer engagement [16][17] - E-commerce platforms are now focusing on balancing the interests of consumers, platforms, and merchants, moving away from strategies that heavily favored consumers at the expense of merchants [17][18] Brand Dynamics - International beauty brands have regained competitive advantages during the 618 festival, with brands like Helena and SK-II seeing significant sales growth on Douyin [22][23] - The shift in platform strategies towards supporting high-quality brands is beneficial for established international brands and leading domestic brands like Proya, but poses challenges for mid-tier domestic brands [23][24] - E-commerce platforms are investing heavily in brand support, with Tmall and JD.com committing substantial resources to foster brand growth and improve the overall shopping experience [19][21]

Core Viewpoint - The 618 shopping festival has undergone significant changes this year, with a longer duration and simplified promotional rules, leading to a shift in the beauty brand landscape where international brands are regaining prominence while domestic brands face pressure [2][20]. Group 1: Performance of Beauty Brands - Major beauty brands such as Proya, Lancôme, L'Oréal, and SK-II achieved over 100 million in GMV during the early stages of the 618 festival [3]. - International beauty brands outperformed domestic brands on platforms like Tmall, with a ratio of 5:1 in terms of brand representation in the top 20 rankings [3]. - The beauty category has become a core driver of sales growth across various platforms during the 618 festival [12]. Group 2: Changes in E-commerce Platforms - This year's 618 festival is the longest in history, with platforms like Tmall and JD.com extending the promotional period to around 39-40 days [13][14]. - E-commerce platforms have simplified promotional mechanisms, moving away from complex discount strategies to more straightforward price reductions and coupons [15][16]. - Platforms are focusing on balancing the interests of consumers, brands, and the platform itself, moving away from the previous price war strategy [16][20]. Group 3: Growth Trends and Strategies - JD.com reported significant growth in beauty product sales, with categories like lipsticks and serums seeing over 100% year-on-year growth [6]. - Douyin's beauty brand ecosystem has shifted, with high-end brands experiencing explosive growth while white-label products have disappeared from the rankings [9][20]. - Platforms are investing heavily in supporting quality brands, with Tmall and JD.com committing substantial resources to enhance brand visibility and sales [17][18]. Group 4: Implications for Domestic Brands - The shift towards supporting established brands may pose challenges for mid-tier domestic brands, which now face a more competitive environment [21]. - Domestic brands like Proya are solidifying their market position, while others must adapt to the changing landscape to maintain growth [22]. - The end of the price war signifies a new phase focused on brand value, product innovation, and user experience, presenting both opportunities and challenges for domestic brands [22].

Group 1 - Tmall's 618 shopping festival saw over 13,000 brands double their sales in the first hour, with 43 brands including Apple, Midea, and Nike surpassing 100 million yuan in sales, marking a 50% increase in the number of brands in the "billion yuan club" compared to last year [1][4][9] - Beauty brands such as Proya, Lancôme, and L'Oréal achieved over 100 million yuan in sales within the first hour, while 32 products exceeded 10 million yuan in sales within 30 minutes [4][5] - High-end and light luxury sports brands experienced significant growth, with brands like lululemon and Hoka one one seeing sales increases of over 160% and 400% respectively [5][9] Group 2 - Tmall's adjustments to promotional rules, such as eliminating cross-store discounts and lowering coupon usage thresholds, contributed to a better shopping experience, leading to increased brand sales [9][10] - The focus of this year's 618 festival shifted from price wars to high cost-performance competition, emphasizing product quality and service rather than just the lowest prices [10][18] - Tmall's president emphasized the importance of supporting quality brands that can create innovative products and retain customer loyalty [13][20] Group 3 - Major e-commerce platforms, including Tmall and Pinduoduo, are investing heavily in supporting quality merchants, indicating a shift in competition from traffic acquisition to quality enhancement [18][22] - Alibaba plans to invest 2 billion yuan in cash subsidies for brands and merchants during the 618 festival, while Pinduoduo announced a 100 billion yuan support plan over the next three years [20][21] - The simplification of promotional rules is expected to help merchants better plan their sales activities and focus on providing quality products [20][22]

Core Insights - The "Global Brand China Online 500 Strong List" (CBI 500) highlights the importance of consumer purchasing behavior in evaluating brands, moving beyond traditional metrics like sales revenue [2][5] - The beauty industry is identified as having the highest "brand index" among daily consumer goods, with a clear trend towards brand competition concentrated among leading brands [11][14] - International brands continue to outperform domestic brands in overall scores and representation on the list, indicating a need for domestic brands to focus on brand building [11][14] Industry Trends - The beauty sector's CBI score reached 75.83 in Q1 2025, an increase of 2.82 from Q1 2023, reflecting a strong brand presence among top players [11] - The CBI index emphasizes quality over quantity, with a scoring system that includes brand awareness, novelty, loyalty, and reputation [7][11] - The online retail market in China is significant, with the beauty segment accounting for 64.35% of total online transactions, amounting to approximately 6910.52 million yuan in 2024 [5][11] Competitive Landscape - The latest Tmall sales data indicates a growing head effect, where leading brands are capturing more market share, pushing lower-quality products out of the market [3][15] - In the recent Tmall 618 event, brands like Proya and Lancôme achieved significant sales milestones, showcasing the competitive dynamics between domestic and international brands [15][20] - International brands are regaining market strength, with companies like L'Oréal reporting a 6.9% sales growth in Q1 2025, indicating a recovery in the Chinese market [20][21] Brand Development Strategies - Tmall is shifting its focus from low-price strategies to supporting quality brands, aiming to enhance brand loyalty and consumer engagement [22][24] - The platform is investing heavily in brand support initiatives, with a budget of 200 billion yuan aimed at fostering innovative and high-quality brands [22][25] - The competition is evolving beyond product offerings to include brand equity and market positioning, with both international and domestic brands needing to adapt to these changes [25]

Group 1 - The core viewpoint of this year's 618 shopping festival is a shift from aggressive price competition to simplified promotional strategies, emphasizing collaboration and technology [1][2][10] - The sales performance during the 618 event indicates a rise in consumer rationality, with last year's sales dropping by 7%, marking the first decline in 16 years [1][10] - Major platforms are adopting differentiated strategies, with Taobao and Tmall moving towards direct discounts, while JD.com combines low prices with enhanced services [2][7][10] Group 2 - JD.com has integrated national subsidies with its own promotional resources, allowing consumers to save up to 2000 yuan on select products, while also enhancing service commitments [7][9] - The offline expansion strategy of JD.com includes thousands of self-operated and partner stores participating in the 618 event, aiming for an integrated online and offline shopping experience [9] - Douyin and Kuaishou are also participating in the 618 festival with their own promotional strategies, focusing on live streaming and content-driven sales [10][11] Group 3 - The rise of live commerce and content commerce is evident, with platforms like Taobao, JD.com, and Kuaishou offering significant cash subsidies to boost participation [11][13] - The balance between top influencers and store broadcasts is shifting, with brands increasingly relying on their own channels for sales growth [13][14] - AI tools are being utilized to enhance marketing efficiency, with platforms offering AI-driven insights and digital personas to improve sales performance [14][16] Group 4 - The competition in the food delivery and instant retail sectors has intensified during the 618 period, with major players like JD.com, Meituan, and Taobao engaging in aggressive subsidy strategies [17][18] - Instant retail is emerging as a new growth engine for e-commerce platforms, reshaping traditional retail logic by integrating high-frequency delivery with various product categories [17][18] - The overall competition landscape has evolved from simple subsidies to a multi-dimensional efficiency competition, leveraging instant retail, content commerce, and AI technologies [18]

Investment Rating - The investment rating for the retail industry is "Positive" (maintained) [2] Core Insights - The retail industry is experiencing a significant shift with the 618 e-commerce promotion, characterized by extended activity periods and simplified consumer engagement strategies [27][28] - Domestic beauty brands are showing strong performance, with notable sales figures during the 618 promotion, indicating a trend of rising domestic products [5][32] Summary by Sections Retail Market Review - The retail industry index rose by 1.72% during the week of May 12 to May 16, outperforming the Shanghai Composite Index by 0.96 percentage points [7][16] - The internet e-commerce sector saw the highest growth, with a weekly increase of 5.81%, while the brand cosmetics sector led the year-to-date performance with a 20.30% increase [19][22] 618 Promotion Insights - The 618 e-commerce promotion has begun, with platforms like Taobao, Douyin, and JD extending their promotional periods and simplifying discount mechanisms to enhance consumer experience [27][28] - Sales performance during the promotion has been strong, with Li Jiaqi's live stream achieving a GMV of 25-35 billion yuan on the first day, showcasing the rising dominance of domestic beauty brands [5][32] Investment Recommendations - Focus on high-quality companies in the emotional consumption theme, particularly in sectors like gold jewelry, offline retail, cosmetics, and medical aesthetics [8][35] - Recommended companies include Lao Pu Gold, Chao Hong Ji, Mao Ge Ping, Peiliya, Juzi Biology, and Shangmei Shares, which are expected to benefit from current market trends [38]

证券研究报告·行业跟踪周报·商贸零售 商贸零售行业跟踪周报 618 大促节奏进一步前置，国货品牌首日表 现亮眼 增持（维持） [Table_Tag] [投资要点 Table_Summary] 2025 年 05 月 19 日 证券分析师 吴劲草 执业证书：S0600520090006 wujc@dwzq.com.cn 证券分析师 石旖瑄 执业证书：S0600522040001 shiyx@dwzq.com.cn 证券分析师 张家璇 执业证书：S0600520120002 zhangjx@dwzq.com.cn 证券分析师 阳靖 执业证书：S0600523020005 yangjing@dwzq.com.cn 证券分析师 郗越 执业证书：S0600524080008 xiy@dwzq.com.cn 研究助理 王琳婧 执业证书：S0600123070017 wanglj@dwzq.com.cn 行业走势 -19% -13% -7% -1% 5% 11% 17% 23% 29% 35% 2024/5/20 2024/9/17 2025/1/15 2025/5/15 商贸零售 沪深300 相关研究 《酒店集团业绩显著 ...

Investment Rating - The report maintains an "Overweight" rating for the retail industry [1] Core Insights - The 2025 618 shopping festival has been advanced, with discounts shifting from "spend 300 get 50 off" to direct reductions, enhancing consumer shopping experience and reducing the need for bundling [4][9] - The performance of domestic beauty brands has been strong, with notable sales figures during the initial live stream of the festival, achieving a GMV of 25-35 billion yuan [4][11] - The report highlights the rapid growth of brands like Zhenjia in the home cleaning sector and recommends focusing on companies like Juzi Biological, Shangmei Shares, and others during the 618 festival [4][13] Summary by Sections Industry Outlook - The 2025 618 shopping festival started on May 13, 2025, approximately 7 to 10 days earlier than in 2024, extending the event duration to 35-40 days, marking the longest period in history [4][9] - Major platforms such as Taotian, JD, Pinduoduo, and Douyin launched their promotions simultaneously, indicating increased competition [4][9] Market Performance - From May 12 to May 16, 2025, the Shenwan retail index increased by 1.72%, while the beauty care sector rose by 3.08% [14] - Year-to-date performance shows the Shenwan retail index up by 8.93%, outperforming other indices like the Shanghai Composite [14][21] Company Valuation - The report includes a valuation table for various companies, with several brands like Perleya and Juzi Biological receiving "Buy" ratings based on their projected earnings growth [17][18]