Core Viewpoint - The article discusses the evolution of Dong Yuhui's live-streaming style, shifting from a cultural and knowledge-based approach to a more commercial and price-focused strategy, reflecting broader trends in the live commerce industry [2][3][5]. Group 1: Changes in Dong Yuhui's Live Streaming Style - Dong Yuhui has altered his live-streaming approach, moving away from highbrow cultural references to more relatable anecdotes and commercial tactics [2]. - The shift began in January 2023, with Dong adopting a more theatrical negotiation style during product promotions, indicating a departure from his previous persona [2][3]. - The live commerce landscape is witnessing a trend where top influencers, including Dong, are distancing themselves from their original styles to adapt to market demands [2][8]. Group 2: Market Trends and Consumer Behavior - The live commerce sector has become saturated with knowledge-based content, leading to a decline in the novelty of Dong's initial approach [4][5]. - Approximately 80% of Chinese consumers prioritize price and discounts when shopping through live streams, indicating a shift in consumer preferences towards value [5][6]. - Data shows that 67% of middle-class families in Beijing are shifting towards more affordable alternatives, reflecting a broader trend of price sensitivity among consumers [6][7]. Group 3: Performance Metrics and Audience Engagement - Dong Yuhui's live-streaming sessions have seen significant viewer engagement, with a peak of 18.54 million viewers and sales reaching 1.67 billion yuan in a single day [8]. - However, there is a noticeable slowdown in growth metrics, with a decline in average daily viewers and follower growth in 2025 compared to previous periods [7][8]. - Despite the challenges, Dong's audience has diversified, with 40% of viewers now coming from lower-tier cities, indicating a broader reach [12]. Group 4: Industry Dynamics and Competitive Landscape - The live commerce industry is facing a slowdown, with growth rates dropping from triple digits to single digits, and a projected growth of around 18% from 2024 to 2026 [10][11]. - The reliance on top influencers is decreasing, with more brands turning to smaller creators for sales, as evidenced by the increase in the number of new influencers on platforms like Douyin [10][11]. - Regulatory pressures and market saturation are prompting top influencers to adapt their strategies, with many opting for a more subdued presence during major sales events [10][11][16].

Core Insights - The luxury skincare brands Helena and La Mer are facing significant challenges in reputation and sales during the 618 shopping festival, with Helena's pricing error leading to order cancellations and La Mer criticized for its simplistic packaging [3][4][7] - Despite high sales rankings on platforms like Tmall and Douyin, both brands are experiencing declining sales in China, as indicated by L'Oréal's financial reports showing a downturn in their luxury cosmetics division [7][8] - The high-end beauty market is increasingly dominated by foreign brands, while domestic brands are gaining traction, leading to a shift in consumer preferences and loyalty [8][10] Sales Performance and Market Trends - Helena and La Mer ranked first and fourth respectively in the Douyin pre-sale rankings, but their performance is overshadowed by growing consumer dissatisfaction [7] - L'Oréal's financial data indicates that Helena's luxury cosmetics segment is underperforming, with sales declines for brands like Helena and Lancôme in China [8] - The luxury beauty market is experiencing a dual decline in reputation and sales, with brands like La Prairie also reporting significant drops in revenue [8] Consumer Behavior and Brand Strategy - High-value consumers are increasingly turning to medical beauty and professional skincare brands, leading to a decline in loyalty towards traditional luxury brands [19][30] - Brands are attempting to target middle-tier consumers by collaborating with influencers and creating engaging content, but face challenges in retaining loyalty from high-end consumers [12][15] - The shift in consumer focus towards ingredient efficacy and transparency is undermining the traditional storytelling approach of luxury brands [17][38] Pricing and Distribution Challenges - The pricing strategies of Helena and La Mer have become chaotic, with significant discounts available through duty-free channels, undermining their premium image [21][22] - Internal issues within Estée Lauder's operations have led to price wars between online and offline channels, further complicating brand positioning [22][23] - Reports of unauthorized discounting and product quality issues are contributing to consumer dissatisfaction and brand erosion [28][30] Brand Management and Strategic Direction - The strategic focus of Helena and La Mer is becoming marginalized within their parent companies, impacting their ability to innovate and respond to market changes [32][34] - Estée Lauder's China division has historically lacked decision-making autonomy, which has hindered its ability to adapt to local market dynamics [32][33] - The shift in focus towards more affordable brands within L'Oréal's portfolio indicates a potential long-term decline for ultra-premium brands like Helena [34][37]

Core Viewpoint - The luxury skincare brands Helena and La Mer are facing significant challenges in reputation and sales in the Chinese market, despite their high rankings in sales during the 618 shopping festival. The brands are struggling with consumer perception and declining sales figures, indicating a shift in consumer preferences towards domestic brands and efficacy-driven products [4][9][48]. Group 1: Sales Performance and Market Position - Helena and La Mer ranked first and fourth respectively in the Douyin pre-sale rankings during the 618 shopping festival, and sixth and eighth on Tmall's sales list [9]. - Despite strong sales during promotional events, both brands are experiencing a decline in sales in China, with Helena's high-end cosmetics division showing the lowest growth rate within L'Oréal Group [9][48]. - La Mer's parent company, Estée Lauder, reported a year-over-year revenue decline of 7% and 12% in Q3 and Q4 of 2024, attributing this to decreased sales of La Mer and Estée Lauder products [9]. Group 2: Consumer Sentiment and Brand Perception - Consumers have criticized Helena for canceling orders due to pricing errors and La Mer for its simplified packaging during promotions, leading to a perception of diminished brand prestige [4][9]. - The luxury skincare market is witnessing a shift as consumers increasingly question the value of high-priced products, with many turning to medical beauty and clinic-based skincare solutions [10][12][20]. Group 3: Strategic Shifts and Brand Management - High-end brands are strategically abandoning entry-level consumers and focusing on high-value customers, often resulting in price increases for their products [16][18]. - Helena and La Mer have attempted to expand their reach to middle-tier consumers through collaborations with influencers and short video content, successfully attracting new customers from lower-tier cities [17][18]. - However, the loyalty of high-value consumers in first-tier cities is declining, as traditional brand storytelling and marketing strategies are becoming less effective [18][23]. Group 4: Pricing and Quality Control Issues - The luxury skincare brands are facing a chaotic pricing structure, with significant discounts available through various channels, undermining their premium image [27][28]. - Reports indicate that both brands are struggling with quality control, leading to consumer dissatisfaction and a perception of declining product quality [34][36]. Group 5: Internal Challenges and Strategic Direction - The decision-making power of the China divisions of L'Oréal and Estée Lauder has historically been limited, affecting their ability to respond to market changes effectively [39][40]. - Recent organizational changes within Estée Lauder have aimed to grant more autonomy to the China division, but the effectiveness of these changes remains to be seen [40][48].

Core Viewpoint - The luxury skincare brands Helena and La Mer are facing significant challenges in reputation and sales during the 618 shopping festival, highlighting a structural crisis in the high-end beauty market in China [3][4][22]. Group 1: Sales Performance and Market Trends - Helena and La Mer ranked high in sales during the 618 festival, with Helena at TOP1 and La Mer at TOP4 on Douyin, and ranked 8th and 6th respectively on Tmall [3]. - Despite strong sales, both brands are experiencing a decline in reputation and sales, with Helena's high-end cosmetics division showing the lowest growth rate in L'Oréal's financial report for 2024 [4]. - La Mer's parent company, Estée Lauder, reported a 7% and 12% year-on-year revenue decline in Q3 and Q4 of 2024, attributing it to decreased sales of La Mer and Estée Lauder [4]. Group 2: Consumer Behavior Changes - High-income consumers are increasingly turning to medical beauty treatments, while lower-income consumers seek affordable alternatives, leading to a perception of ultra-high-end beauty products as "intelligence tax" [5][6]. - Brands are strategically abandoning entry-level consumers and focusing on high-value and mid-tier consumers, often resulting in price increases [9]. - The shift in consumer loyalty is evident, with many former loyal customers of high-end brands now exploring more effective and targeted products from medical beauty brands [12]. Group 3: Pricing and Quality Issues - The pricing structure of luxury brands has become chaotic, with significant discounts available through duty-free channels, undermining the premium image of brands like La Mer and Helena [14][15]. - There are reports of quality control issues, with consumers expressing dissatisfaction over product quality and packaging, which has led to a decline in brand loyalty [17]. - The management of offline sales channels has been criticized for allowing practices like private group buying, which further complicates the pricing and service quality [15][16]. Group 4: Strategic Challenges - The strategic positioning of Helena and La Mer in the Chinese market is becoming marginalized, with limited decision-making power for local management affecting product innovation and service quality [19][20]. - Estée Lauder's focus has shifted towards more profitable segments, leaving Helena and La Mer at a disadvantage in terms of resource allocation and market attention [21]. - The overall trend indicates a potential end to the era of high-priced foreign luxury brands relying on storytelling for premium pricing, as consumers increasingly demand efficacy and value [22].