1. Rising Demands for Anti-Oxidizing & Water-Resistant Foundations 3-Minute Beauty Trends Campbell Lin in Shanghai, MeasureCommerce July 14, 2021 iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii Market Sales Trends S reduced complexity of colour makeup and given more attention to base makeup looks, resulting in demands for more water and sweat-resistant and longer lasting products. Since late 2020 monthly sales of foundation emphasising anti-oxidation have started growing significantly, and in the May 2021, the monthly online market size has reached 20.4 million CNY . Brands and consumers are acting quickly to ensure the products they sell/buy live up to market expectation. ince continuous mask wearing in public spaces due to Covid-19, Chinese consumers have on average 1 Brand Moves One of many concerns for long lasting foundation is whether shade could maintain its original intended colour as the foundation comes in contact with sweat and moisture and oxidises. Brands have started adding or highlighting anti-oxidising ingredients in their foundations. Among top selling products, the Chinese brand Proya emphasises the signature "dual anti" function in its foundation . The brand added four anti-oxidation ingredients 2 Chart Data Source: MeasureCommerce Data Dashboard 1 Picture Source: Proya Tmall Flagship Store; Anti-Oxidation: EUK134, Ergothioneine, Astaxanthin and Lipchromna-6; Anti-Glycation: Carcinine and Collrepair 2

2. and two anti-glycation ingredients for fighting against skin oxidation and shade oxidation. Another example is Japanese brand Shu Uemura's unlimited foundation where rice extracts are added to prevent foundation shade from changing colour due to oxidation. Besides added ingredients, brands are proving their foundation to be long lasting and water-proof with third-party test results and eye-catching marketing phrases to enhance consumer confidence. The Thai brand Mistine sends its cover all foundation to testing institutes in China for scientific proof of durability , just like their skincare counterparts. The Chinese counterpart Carslan proudly claims its foundation on Tmall to be 24-hour lasting backed by consumer tests . 3 4 Japanese Brands Clé de Peau and the Shiseido owned Integrate Gracy, on the other hand, use the phrase "the deeper the night", the prettier" (越夜越美丽) to appeal to consumers that their foundations are so long-lasting that even into the night hours, your makeup could still stay on. 5 Product Tests on Social Media Source: 谢㐽㐽peipei on Xiaohongshu Foundation Shade Oxidation Comparison (At Application vs. 5 Hours After Application) Source: 雪 A. on Xiaohongshu Splash Water Against Foundation on the Wall to Test for Waterproofing Source: 种草⼩王⼦康仔 on Douyin Shower Water Over the Face to Test for Waterproofing Picture Source: Carslan Tmall Flagship Store; 24 Hour Long Lasting Tested by Consumers 3 Picture Source: Mistine Tmall Flagship Store; Third-Party Lab Tests for long-lasting and water-proof 4 Picture Source: Clé de Beauty Tmall Flagship Store and Shiseido Overseas Tmall Flagship Store: "The Deeper the Night, the Prettier" 5 Rising Demands for Anti-Oxidizing & Water-Resistant Foundations 3-Minute Beauty Trends

3. Chinese consumers have developed various home tests to prove non-oxidation and waterproof: • Oxidation Test: trying on various foundations, waiting for a few hours and applying the same set of foundations again to see how the shade of each foundation changes. For example in the first quoted Xiaohongshu posts, a few foundations including Estée Lauder's Furturist Aqua Brilliance and Dior's Teint De Rose foundation does not show significant shade colour changes, but other foundations of the same brands including Estée Lauder's Double Wear foundation and Dior's Forever Skin Glow foundation are said to show unaccepted levels of shade oxidation. • Water Test: splashing water and showering to see if the foundation smudges off, as demonstrated in the second and third Xiaohongshu posts. They both prove Estée Lauder's Double Wear foundation to have great water-resistance performance. For more beauty market updates and trends in China • Visit MeasureCommerce’s website • Subscribe to MeasureCommerce’s newsletter • Contact us at contact@measurecommerce.ai • Follow MeasureCommerce on LinkedIn • Follow MeasureCommerce on WeChat Rising Demands for Anti-Oxidizing & Water-Resistant Foundations 3-Minute Beauty Trends