German personal care conglomerate Beiersdorf has blamed the diagou situation in China and South Korea for La Prairie’s 9.9% sales decline in the first half (H1).
In the second quarter, the luxury skin care brand reported a decline of 7.5%.
“We recorded negative growth of 7.5% in the second quarter, and the primary reason lies in the significant disruptions of the diagou business in the Asian travel retail markets,” said Beiersdorf CEO Vincent Warnery.
A.S. Watson (ASW) Group is aiming to return to its pre-COVID form of expanding its brick-and-mortar network by 1,000 stores a year.
During the firm’s first half (H1) earnings conference, group managing director Dominic Lai announced that the company has budgeted to unveil over 300 stores in China this year.
“We budget to open over 300 stores this year, based on very stringent financial model payback, and focusing on quality, not just quantity.”
L’Oréal chief says consumer consumption and confidence is improving in China but cautions that the recovery process will be slower than expected.
In April, the French beauty giant reported a sluggish market in China. In the second quarter (Q2), growth returned to mid-teens.
Overall, the market grew by more than 7% in the first half ending June 2023.
The post-pandemic awareness for health and well-being has “opened new doors” for traditional Chinese medicine-beauty brand Botanic Pretti5 to expand into the US and Singapore.
In July, the firm exhibited at trade show Cosmoprof Las Vegas, where it hoped to glean more information about the US market.
Moving forward, the firm is committed to investing more marketing dollars into the US market.
Sa Sa records 53.3% turnover increase in Hong Kong and Macau as more tourists return to its home market in the first quarter (Q1).
The beauty retailer announced that Hong Kong and Macau saw a 31.5% increase in the total number of transactions in the three months ending June 2023.
In Hong Kong alone, offline sales increased 58.3% year-on-year. Macau recorded 67.5% year-on-year growth. In total, offline sales increased by 60.7%.