Clean Beauty Asia Allie Rooke
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- Zaken en persoonlijke financiën
Entering Asia as an independent beauty brand can be daunting. I am passionate about indie Beauty and about its potential in Asia. With this interview series I want to help brands get off to the best possible start in Asia.
The aim of this podcast is to inform and connect people in the Beauty industry around market entry and expansion in Asia.
If you want to go deeper and get the fact and figures checkout my online course dedicated to beauty brands entering China through cross border e-commerce: https://clean-beauty-asia.teachable.com/p/get-set-course
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33. China vs South East Asia Ecommerce landscape
Looking back at 2022 it has been a tough year for China
Lockdowns, uncertainty, closed borders all whilst the rest of the world opened up, travelled, met in person
It was hard to watch from the outside and even harder from within
This impacted many businesses – year 3 of not being able to travel in or out but also, more so the negative press coverage of China causing brands to put China on hold or reassess later
This is not how all brands have tackled China – some saw the opportunity to double down and are reaping the rewards
More are looking elsewhere – South East Asia has been a hot topic.
I recorded a podcast with Kelly Hazemans who has worked in ecommerce in both China and South East Asia as a trade partner and a brand ecommerce head and now as a consultant.
In this discussion we talk about:
What you need to have a successful relationship with your trade partner
Partnership
Transparency
Trust
*it is not all a one way relationship – hint hint
Online marketplaces in Asia. Exploring the differences between China and South East Asia market places – looking at costs, openness and integration
Importance of your own .com site in SEA vs. China
Explore the unique customer service landscape which is similar in China and South East Asia and demands the brands attention
Listen to the full interview to gain a real insight into Ecommerce in Asia
Do get in touch with Kelly directly on LinkedIn or her website -
32. Premium Chinese hair care brand’s advice
This episode I talk to the founders Sophy and Joanna, of La Terapia a Chinese premium haircare brand
We hear about their story – why they launched the brands and the pain points that were not met by products on the market.
The difference with Asian hair but that within Asia brands were still not meeting the need.
Two major trends in Chinese hair care are:
1️⃣ Premiumisation – this is still immature, but we are seeing more western brands entering the market
2️⃣Segmentation – shampoo sells 4x conditioner but apart from conditioner consumers are starting to buy masks, look a scalp care and styling products
What struggles do these founders have
La Terapia is alone as a Chinese brand in the premium haircare space
The overall market is still quite immature and dominated by L’Oreal’s Kerastase
Building DTC brands in China is hard due to the ecosystem and the strength of the market places
Internal struggle with putting themselves forward as founders – culturally this is not so accepted and can be seen as limiting if your brand is too associated with one person
We talk about so many interesting topics. If you are a brand in or thinking about entering China or you are investing in Chinese brands LISTEN! And if you want to get in touch with the brand directly message them on Linkedin -
31. Chinafication & How Important is it for your Brand?
Chinafication is a phenomenon that has been creeping up on us. China is 1/5 of the world’s population so brands are adapting for this market. Since the onset of Covid 19 China has turned increasingly inward. There has been a real – a decoupling
Businesses have been forced to allow their China entities to be more independent.
There are key areas that are increasingly difficult:
👉Data – New regulations
👉Money – flows tightened
👉Products – increased border checks, reduction in Daigous
👉People – flow from international to China, foreigners leaving and Chinese not travelling
Successful International brands have been quick to recognize this and adapt to local trends
In this podcast episode I speak to Rachel Daydou from Fabernovel based in Shanghai about how brands are Chinafying their strategies.
What is Chinafication – it is brands becoming more sophisticated in the way they operate in China.
I have talked here many times about localizing for China – it is truly essential for success.
Here are 5 key areas where brands are adapting as identified by Fabernovel’s report:
1️⃣ Brand DNA – a local Chinese brand name
2️⃣ Product – adapting formulae or creating new products fit for local needs
3️⃣ Channels – need to use local channels
4️⃣ Communication – your story, hierarchy of messaging
5️⃣ Experience – O2O, pop ups and cooperations with Chinese brands
National Tide (国潮) the wave of nationalism that has led to the rise of C-Beauty has made foreign brands stand up and pay attention.
So if you are operating in China now or planning on entering what are the areas that are crucial to consider:
Brand messaging & Product story telling
Influencers to get your message out locally
Coops with Chinese local brands to amplify your message
If you are able O2O events
In conclusion: Why should international brands localise for China?
The days of Brands talking to consumer from the top down are gone. Successful Beauty brands all over the world are creating communities and conversations with their consumers.
China is no different. Over the past 5 years Guo Chao国朝 National Tide has exploded in popularity giving rise to many Chinese beauty brands. But International brands are still very much desired.
However to be a successful international brand in China now you need to prove you suit the local Chinese consumer’s needs. You need to appeal to their sensitivities and fully grasp just how different the China market is. Creating a tailored China strategy is essential – naming, messaging, assets, talent, social channels and NPD are all things that need to be considered. -
30. Gaps in Sephora’s Skincare Portfolio
Sephora USA is a destination most brands want on their roadmap
Understanding their strategy is very important for many in the Beauty industry
Jennifer Carlsson has taken a step back and done an in-depth and highly informative report into Sephora’s Skincare category.
This 100 page report looks at 3 key areas
1️⃣ Brands
>>> Full list of all Sephora stocked Skincare brands
>>> Listed the brands that have been added and which have been kicked out
>>> Looks at how these brands in Sephora perform on Instagram
2️⃣ Products
>>> Analysed all products and pulled out those with the highest reviews/review scores/likes
>>> List top 6 products across 6 skincare subcategories
>>> Look at product trends – packaging & formulation
>>> Overview of skin concerns and numbers of products to address them with average price
3️⃣ Statistics
>>> Diversity of founders
>>> Cruelty free and Vegan brands
>>> Brand’s target audience
>>> Pricing
>>> Product packaging colours
It is a very thorough report which is helpful to brands in Sephora, aspiring to get into Sephora or investors looking to see gaps in the market.
I really recommend contacting Jennifer for more information on Linkedin or see her website.
You may also want to hear about Top Tips for PR in China and Cross Border E-commerce in China. -
29. K-Beauty’s continued influence
K-Beauty has lost a bit of its shine
Over the past 10 years western consumers have fallen in love with the fast paced, innovative products coming out of Korea
But recently there has been less buzz
However Korea continues to innovate and set Beauty trends across the globe.
Here I talk to Holly Kim from Measure Commerce about the hottest Korean Beauty trends
CLEAN BEAUTY AND VEGAN PRODUCT TRENDS
Clean Beauty continues to be very popular in Korea but now Vegan is the hottest buzz word.
MZ Generation consumers in particular look for products with vegan certifications.
A few reasons why Vegan is so popular in Korea:
👉 EWG (environmental working group) has been popular with Korean brands as a sign of safety for several years and remains something brands use in their marketing
👉 Vegan has come up not particularly linked to food as very few consumers are actually vegetarian or vegan
👉 Vegan is synonymous with healthy living
👉 Vegan products are seen as mild and good for sensitive skin
👉 Vegan is thought to be good for the environment as well
PRODUCTS FOR SENSITIVE SKIN & BARRIER REPAIR
Koreans are very concerned about their sensitive skin. The sensitivity comes from overuse of products, procedures and surgery but it has spurred a demand for Skincare addressing sensitive skin.
Barrier repair is very important in China as well but it is not linked to Clean Beauty like it is in Korea.
There are many highly successful niche Korean Beauty brands focused on Clean Derma – efficacy is still at the heart of the marketing strategy. And they are mainly positioned at an accessible price point vs. luxury.
CICA (Centella asiatica) INDREDIENT TREND
Cica is an ingredient that is being used in K-Beauty originally to fight acne but now focused on calming for sensitive skin. It is a plant ingredient and it is being added to many products. It is a popular ingredient in Chinese medicine to treat redness and inflammation.
K-BEAUTY’S POPULARITY IN SOUTH EAST ASIA
Korean culture is extremely popular in south east asia from K-pop to K-drama and K-Beauty.
Increasingly we are seeing Korean brands export to these markets and also locally brands being inspired by K-Beauty and creating their own products at a more affordable price point -
28. Top Tips for PR in China - it is different
Most brands I work with are great at PR
They attract a lot of attention in their home markets through a strong PR strategy for FREE
Then they come to China…..
It is so different and this is a real point of frustration that the strategy at home can’t be replicated in China
Here I talk to Nicky Wang from We Red Bridge a PR and marketing agency who work with many International niche beauty brands like Aesop, Fenty, Lime Crime.
The key areas we discuss are:
How PR in China is different from the west
Understanding the difference between PR and Marketing in China
The parameters brands should set to be successful with PR in China
Niche brands must be focused on a specific audience to get cut through
Your PR strategy needs to reflect your audience
The pitfall of an activation only marketing strategy
Pay to play in China and ways of getting some content for free
The three main takeaways are:
Set your objectives, timeline and resources at the outset
Be Focused on who you are targeting, where you will reach them and how
Be Bold – try new things, be daring. This market won’t wait for you
It is a very interesting discussion. PR is closely integrated with marketing in China for niche brands but make sure you don’t forget it! It is essential for the long-term health of the brand.