Market Overview - In Q1 2025, the global perfume market showed steady growth, with Tmall's perfume GMV reaching 658 million yuan, a year-on-year increase of 4.23%, and the average transaction value (ATV) growing by 10.39%, indicating a consumer shift towards high-end perfumes [1][20]. - International brands like Chanel, Dior, and Hermes continue to dominate the market, with Chanel holding a 13% market share, driven by the strong sales of its classic fragrances [1][24]. Brand Performance - Domestic brands such as Guansha and Diptyque have achieved rapid growth through differentiated positioning, becoming new highlights in the market [3][24]. - The concentration of top brands is high, with Tmall International's self-operated sales accounting for over 16% of the market, leveraging supply chain advantages [3][24]. - Diptyque's sales increased by 41% year-on-year, attributed to successful marketing strategies around Valentine's Day and International Women's Day, with its rose and berry fragrances becoming bestsellers [3][24]. - Eurolon flagship store saw a staggering 312.5% year-on-year sales growth, with strong performance in categories like perfumes and car fragrances [25][29]. Consumer Trends - Consumers' perception of perfumes is fundamentally changing, with 57% of users on Xiaohongshu viewing perfumes as tools for emotional relief, and 44% seeking spiritual empowerment, indicating a shift from perfumes as mere social symbols to emotional healing carriers [3][4]. - Scenario-based consumption is becoming a core driver, with dating, commuting, and travel being the top three demands, while emerging scenarios like camping and music festivals are showing significant growth [4]. Sustainability and Innovation - Technological breakthroughs are reshaping product forms, such as Coty Group's molecular fragrance technology extending scent duration by 30%, and carbon capture technology achieving carbon neutrality across the supply chain [4]. - Sustainability is an irreversible trend, with consumer attention to eco-friendly packaging increasing by 36%, prompting brands to adopt biodegradable materials and streamlined designs [4].