And with the Chinese cosmetics and toiletries market being the second largest in the Asia-Pacific region and third largest market in the world, it is fast becoming one of the most attractive for cosmetics firms around the globe.
According to the Cosmetics and Toiletries Market in China by market researcher RNCOS, the country possesses hug growth potential in the cosmetics sector.
In China, the cosmetics and toiletries market ranks sixth on the basis of consumption after real estate, automobile, telecommunications, education, and tourism markets.
RNCOS reports that factors, such as change in life style of Chinese population, adaptation of western culture, increase in awareness, and consciousness of looking beautiful, are driving the market to new heights.
International player domination
The market researcher’s ongoing research and study on China cosmetics and toiletries market found that the market is currently dominated by the international players.
According to research, the launch of new products and modification in existing products by both local and foreign players increases the potential of developing huge customer base.
Moreover, the cosmetics companies urge to increase the market share increases the competition in the market.
A few months ago, RNCOS forecast that the market for men’s grooming products was set to explode on the back of increasing spending power that is most likely to be channeled into skin care products.
In 2010 the market for men’s grooming products in the country was estimated to be valued at €200m. Although this is a relatively small base, RNCOS predicted that CAGR will continue at approximately 28 per cent over the next three to four years.