It used to be okay for foreign brands to ignore Chinese brands all together as they competed for a different audience. Throughout the history of ecommerce, foreign brands always had an upper hand.
That's all changing now. You can see this clearly in cosmetics. In 2012, only 2 of the top 20 brands were Chinese. In 2020, that number went up to 10.
Chinese brands used to make cheap products. BUT, it didn't take long for them to match or surpass the quality of foreign products. Today, they are all about building brand equity and they're doing it faster than you can imagine. Think Perfect Diary and Three Squirrels.
American & European cosmetic brands were cool. Then it was Korean & Japanese. The newest trend is now Chinese brands.
The same thing is happening in fashion… and I don’t see it slowing down any time soon. These are only the first of MANY categories that will be turning the tide towards Chinese brands.
Which category do you think will be most affected next?
#China #Ecommerce #Beauty #ChineseBrands #ChinaBusiness #InternationalBusiness #Trends