2023 Cosmetics and Daily Chemicals Jiaqing Marketing Monitoring Report： Head enterprises dropped, while Estee Lauder, L ‘Oreal and Procter & Gamble all dropped by more than 17%.
Zhongxin Jingwei, October 20th (Sun Qingyang) Recently, iResearch released the "2023 Online Marketing Monitoring Report of Beauty and Household Chemicals Industry" (hereinafter referred to as the "Report"), and authorized Zhongxin Jingwei Research Institute to release it. The report shows that from January to August 2023, the investment in online advertising in the whole industry declined to some extent, but household cleaning products rose against the trend, showing a good development trend.
From January to August, the online advertising market in the beauty and daily chemical industry was under pressure, only 74.1% of the same period in 2021, and the investment index was 3.86 billion yuan, down 9.8% year-on-year, lower than the overall average level of all industries; Among them, the beauty and skin care category and personal bathroom category were not as good as the same period in 2022, but the household cleaning category rose by 12.1% against the trend, and the investment index reached 650 million yuan. Video websites and video patch advertisements are still the most preferred media and advertising forms for brands in the industry. The advertising budget of brands is mostly concentrated in key periods such as festivals and e-commerce promotion, with promoting product sales as the ultimate orientation of advertising effect.
In the report, the advertising of beauty, skin care and personal bathroom was not as good as that of the same period in 2022, while the investment index of household cleaning products reached 650 million yuan, up by 12.1%. The increase in investment in household cleaning products may be related to the increase in people’s attention to household environmental sanitation.
In terms of delivery strategy, beauty and skin care brands pay more attention to content marketing, and strengthen the celebrity endorsement effect through full-screen advertisements, while highlighting the preferential information of e-commerce. The celebrity endorsement effect can also attract more consumers’ attention. The prominence of e-commerce preferential information can also increase consumers’ purchasing decision-making power. Personal bathroom and household cleaning industries are more inclined to use video patch advertisements. By embedding popular dramas and variety shows, these advertisements can better reach the target audience and enhance the brand volume exposure. The form of video patch advertisement can convey information when the audience watches the video, increase the user’s attention and memory, and improve the effectiveness of the advertisement.
In addition to the launch strategy, brands in the industry also actively participate in e-commerce promotion activities and deepen cooperation with online and offline supermarkets to drive further transformation of sales. E-commerce promotion activities are an effective means to attract consumers to buy, and stimulate consumers’ desire to buy through promotional offers and time-limited discounts. Cooperation with online and offline supermarkets can also expand sales channels and increase product exposure and sales.
Judging from the delivery schedule, the advertising budgets of brands in the three major sub-sectors of beauty and household cleaning are mostly concentrated in the key periods of e-commerce promotion such as 38 festivals, 618 and double 11, among which the online penetration rate of brands in the sub-sector of beauty and skin care is high, and the investment index fluctuates significantly with the time of key activities such as e-commerce promotion/shopping festivals.
The report also shows that the reduction of head advertisers is obvious, and the investment index industry of beauty and skin care brands accounts for nearly 50%. There is a high concentration of advertisers’ investment index in the beauty and daily chemical industry, with TOP4 accounting for 75.2% of the whole industry. However, in 2023, only Unilever increased its brand advertising, while Procter & Gamble, L ‘Oreal Group and Estee Lauder decreased by 17.1%, 18.9% and 20.8% respectively. The share of investment index in the three major sub-sectors fluctuated steadily, among which beauty and skin care accounted for the highest proportion, accounting for about 46.9% of the total online advertising investment in the beauty and daily chemical industry, and the proportion of personal bathroom continued to decline slightly.
Judging from the strategy of online advertising, advertisers in the beauty and household cleaning industries are still more inclined to launch on the mobile side. Although the investment index has declined, it still accounts for nearly 50%. In addition, the OTT terminal became a popular terminal from January to August 2023, accounting for 40.5%. Video patch advertising is the most important advertising form, accounting for 62.2%, followed by full-screen advertising; The proportion of information flow advertisements increased to 6.5% in 2023. Video websites are most favored by advertisers. The number of advertisers in Tencent and Xiaohongshu is ahead of other media. 62.6% of online advertising investment in the beauty and daily chemical industry is concentrated on video websites. Portal websites and IT websites are also important advertising media.
(Zhongxin Jingwei APP)
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