Made up More Than Half of E-commerce Sales

Shanghai, October 26, 2020 – China prestige beauty e-commerce sales reached $710 million in August 2020, a 61% increase over the same time period last year, according to The NPD Group, a leading global information company. 

Skincare e-commerce sales increased 71% in China, and 59% of prestige beauty consumers purchased skincare products online in August, making it the best-performing product category for the month.

Skincare sets and kits is the most popular sub-segment for skincare category in China’s e-commerce prestige beauty market, accounting for more than 34% of sales. Sets and kits do not tend to perform as well in other countries, but they are a strong driver for skincare sales in China with top beauty brands continually launching exclusive sets and kits in the country.

“While the makeup category is as big as the skincare category in the U.S., and fragrance is performing better than other categories in France, skincare is by far the biggest category in China, making up more than half of sales from prestige beauty consumers in the country,” said Stanley Kee, managing director, APAC, The NPD Group. “Consumers have obviously changed their skincare routine this year, focusing on self-care as they spent more time at home; and many of those using more products will likely stick with their new routine as life continues to normalize in China, helping the skincare category to maintain its sales momentum.”

As the second biggest segment in skincare, face cream gained a 70% year-over-year growth in August. According to NPD, 16% of face creams sold via e-commerce in China contain clinical ingredients, which saw the most growth, gaining 163% versus August 2019.

Source: The NPD Group / China E-commerce
Beauty Tracker / Aug. 2020 vs Aug. 2019

Data is representative of retailers that participate
in The NPD Group’s
Prestige Beauty E-commerce Tracking Service. NPD’s current estimate is that the Prestige Beauty E-commerce Tracking Service represents approximately 80 percent of the online
retail market for prestige beauty in China.