Kao Corporation has underlined the immediate need to revitalise its declining hair care business amid stiff competition in the mass market sector.
The firm faces stiff competition in this sector as there are many brands, even ones from smaller companies, flooding the market.
As such, it would take “unprecedented initiatives”, such as introducing the global brands in its portfolio into the domestic market.
The Estée Lauder Companies has put in place a six-month plan to recover the market share it has lost in China due to the COVID-19 pandemic disruptions that occurred in the first half of 2022.
The company plans to recover the lost market share in China over the next six months.
First, it will focus on its premium hair care brand Aveda, which launched in China just last month on Tmall and unveiled its first freestanding store.
Yatsen Holdings has announced its intention to close more underperforming Perfect Diary brick-and-mortar stores considering the worsening retail environment in China.
Since the start of the year, Yatsen had shuttered 58 Perfect Diary stores. As of June 2022, the company still operated a total of 228 brick-and-mortar stores.
Speaking during the firm’s second-quarter earnings conference on August 25, CEO Huang Jinfeng said the firm was not done closing down more Perfect Diary outlets.
Shiseido is planning to invest JPY10bn (USD75.5m) in both brand equity and its employees as part of plans to go on the offensive and buck the declining trend of the market.
CEO Masahiko Uotani expressed that the firm has to shift its stance and push itself to take a more “offensive” approach to ensure growth moving forward.
“Top priority in our strategy… is to strengthen brand equity which serves as a basis for our bond with consumers and for continuous purchases of our products by consumers,” Uotani said.
Beiersdorf has plans to expand La Prairie’s offline presence in China with 10 more touchpoints as the brand rebounds strongly in the pandemic-plagued market.
Despite the COVID-19 restriction difficulties, it managed to record organic sales growth of 1.8% in the first half of the year and grew by 17% in June.
The company plans to continue its expansion plans in China on the back of this performance. It will open 10 new doors – nine of which are located outside of Beijing and Shanghai – by the end of 2022.