1. 3-Minute Beauty Trends Chinese Brand: Essence Revenue Grew 5000%+ in 2020 iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii

2. 3-Minute Beauty Trends Chinese Brand: Essence Revenue Grew 5000%+ in 2020 Campbell Lin in Seoul, MeasureCommerce February 26, 2021 Top essence products selling brands on Alibaba’s e-commerce platforms in 2020 were lead by Estée Lauder, P&G's SK-II and Olay, Lancôme and Elizabeth Arden. These global luxury brands make up close to a quarter of the essence market revenue, maintaining their long-term market-leading positions. The best selling essence products were L'Oréal's Youth Code Ferment Pre-Essence followed by Estée Lauder's "Little Brown Bottle" nicknamed Advanced Night Repair Synchronised Multi-Recovery Complex. While for Chinese consumers these brands represent “premium”, “quality” and “luxury”, Chinese local brands also gained massive growth in the essence market in 2020. 润百颜旗舰店, tmall.com 夸迪旗舰店, tmall.com L'Oréal Paris Estéee Lauder Biohyalux (润百颜), owned by Bloomage BioTechnology (华熙⽣物科技), a Chinese biotech firm with primary R&D focus on hyaluronic acid generated revenue close to 100 million RMB from essence products in 2019. In 2020, that amount increased by more than 260% to nearly 310 million RMB. This brand primarily sells 1.5ml essence ampoules, with its top-selling product advertised to contain skin-brightening Phenylethyl Resorcinol (a.k.a. “377”), EGT extracted from Matsutake mushroom with Bloomage's fermentation technology and highly absorbing “smart” hyaluronic acid. Although the 1.5ml-volume is a one-time dosage, its unique cap design allows users to re-enclose the ampoule container for several uses. 3-Minute Beauty Trends Chinese Brand: Essence Revenue Grew 5000%+ in 2020

3. Under the same parent company, another Chinese beauty brand QuadHA (夸迪) sells similar essence ampoules with its signature "5D" hyaluronic acid, polypeptide and nicotinamide. Established in 2014, the brand sold nearly 270 million RMB worth of essence ampoules in 2020, an astonishing 5,000% annual growth compared to 2019. With the recent Chinese consumer trend of mixing different products for better skincare effects (stay tuned for the next report on this trend), the brand recommends users to add their essence to facial cream and facial masks for better absorption and skincare outcomes. In fact, if we look at the chart comparing the top 20 selling brands in the essence category, brands with 200%+ revenue growth are commonly Chinese local brands including Biohyalux, Winona, One Leaf and QuadHA. With Lancôme growing the quickest at 111% among non-Chinese brands in 2020, all four Chinese brands overtook non-Chinese brands in terms of revenue growth. During the same period, demands for essence products by Olay and HomeFacialPro (HFP, 美颜家) slowed down. On one hand, the main ingredients found in their essence products had been extensively adopted by competitor brands and thus were no longer attracting new market growth. On the other hand, while HFP gained much attention from Chinese consumers with its extensive marketing strategies through WeChat official accounts and influencers, its lack of dermatologic background and relatively high price- performance ratio for its lower effective ingredient concentration may be reasons for the revenue contraction. 3-Minute Beauty Trends Chinese Brand: Essence Revenue Grew 5000%+ in 2020

4. Meanwhile, the main selling points of Olay's bestselling ProX essence nicknamed "Little White Bottle" are "brightening", "moisturising" and "revitalising" which have been undermined by the increasing needs for sensitive skin concerns caused by daily mask- wearing in 2020. While Olay's essence products sold well before the Covid-19 pandemic, consumer demands for whitening essence products decreased, calming the brand's revenue from essence products. Contact Us at contact@measurecommerce.ai Follow Us on iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Visit Us at Homepage | Subscribe to Our Newsletter and Blog 3-Minute Beauty Trends Chinese Brand: Essence Revenue Grew 5000%+ in 2020 iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii