DEPPON(SH:603056)2026-03-16 02:20Summary of Conference Call Notes Industry Overview - The beauty industry is experiencing a recovery in sales and consumer behavior following a public relations crisis in 2025, with key brands showing positive trends in their performance metrics [1][5][6]. Key Companies and Their Performance 可复美 (Kefumei) - Sales Recovery: In March 2026, GMV (Gross Merchandise Value) reached 38%, with an order rate of 7.1% and a return rate of 21.5%, returning to pre-crisis levels [1][5]. - 2026 GMV Target: The company aims for a GMV of 2 billion yuan in 2026, postponed from the original 2025 target due to the 2025 crisis [1][6]. - Marketing Strategy: The brand has normalized channel costs, eliminating extra fees for top influencers, and increased marketing investment, as indicated by a rise in the TR (advertising spending/GMV) from 15%-17% in January to 19% in March [1][4]. 毛戈平 (Mao Geping) - Sales Growth: Achieved a GMV growth of approximately 45% in January and February 2026, with a significant increase of 159% during the March 4-8 period compared to the previous year [7]. - 2026 GMV Target: The target for 2026 is set at around 2.3 billion yuan, following a growth from 1.3 billion yuan in 2024 to 1.9 billion yuan in 2025 [7][8]. - Operational Strategy: The focus has shifted to cost-effective marketing strategies, reducing high-cost brand advertising and increasing investment in influencer-driven short videos and live streams [8][9]. 林清轩 (Lin Qingxuan) - Strong Growth: The brand reported a GMV increase of 54% in early 2026, with a staggering 431% growth during the March 4-8 period [9][10]. - 2026 GMV Target: Aiming for a GMV of 2 billion yuan, with potential to reach 2.2-2.3 billion yuan if marketing strategies are effectively executed [9][10]. - Consumer Engagement: The brand has a high repurchase rate of nearly 30%, and employs strategies to convert online customers to VIP members, achieving a conversion rate of 50% [11]. Market Trends - "Oil-based Skincare" Segment: This segment is currently valued at 10-12 billion yuan, with a potential ceiling of 20 billion yuan and a CAGR exceeding 30%. Key players include Lin Qingxuan, Afu, and Lan, all working to expand the market [1][12]. - K-shaped Market Dynamics: The skincare market is showing a K-shaped recovery, with high-end and low-end products performing well, while mid-range products face significant pressure [2][14]. - Ingredient Trends: The skincare industry is evolving with new ingredient trends emerging approximately every 2-3 years, with current focus shifting from collagen and hyaluronic acid to PDRN and other innovative components [2][13]. Additional Insights - Consumer Behavior Recovery: Key consumer metrics for Kefumei have largely returned to pre-crisis levels, indicating a positive shift in consumer sentiment and purchasing behavior [5]. - Marketing and Advertising: There is a notable increase in brand marketing investments, reflecting a renewed confidence among brands to engage consumers through various channels [4][10]. This summary encapsulates the key points from the conference call, highlighting the performance of major beauty brands, market trends, and consumer behavior insights.