L'Oréal North Asia President on China Consumer Recovery

The video discusses the recovery of the beauty market in China post-pandemic, highlighting the return of offline consumer traffic and the impact of domestic and international travel trends. It explores changes in consumer spending habits, emphasizing the demand for quality and innovation. The discussion also covers the influence of macroeconomic factors like youth unemployment on business strategies, investment and expansion plans in North Asia, and the balance between online and offline sales. Additionally, it addresses the rise of local brands and potential M&A opportunities in the beauty sector.

What has been a significant factor in the recovery of the beauty market in China?

• Government subsidies for beauty products

• Reduction in product prices

• Return of offline traffic and social gatherings

• Increased online shopping

Which destination has become popular for domestic travel among Chinese consumers?

• Hong Kong

• Hainan Island

• Shanghai

• Beijing

How have consumer spending habits changed post-pandemic in the beauty industry?

• Increased focus on low-cost products

• Reduced interest in beauty products

• Greater emphasis on quality and innovation

• Preference for international brands

What is a key strategy for balancing online and offline beauty sales in China?

• Focusing solely on online sales

• Reducing the number of physical stores

• Maintaining a balance between online and offline presence

• Offering discounts only in physical stores

What is a potential growth area for beauty consumption in China?

• Focusing on rural areas only

• Reducing product variety

• Increasing consumption per capita

• Limiting new brand launches

What is a focus area for investment in North Asia's beauty market?

• Expanding innovation networks

• Limiting store openings

• Decreasing brand launches

• Reducing research and development

How is the trend of local brand embrace being addressed in the beauty industry?

• Reducing local brand presence

• Focusing only on international brands

• Ignoring local brands

• Exploring M&A opportunities with local brands