Singapore – Around 49% of Asia-Pacific consumers responded saying they will pay an additional 10% to 50% for beauty products with scientific formulations, according to recent statistics from data analytics firm Euromonitor International.

According to the report, consumer demand for science-backed beauty and personal care has gained ground following the pandemic. Dermocosmetics, which brands conceptually centre around the use of unique ingredients, is rapidly gaining space globally.

Moreover, around 30% of respondents among Asia Pacific consumers perceived proven efficacy and medical endorsements as traits of premium beauty products in 2023. In addition, 38% of consumers in Asia-Pacific viewed premium ingredients as more important than premium brands when it comes to skin care products, while only 23% of respondents said brands come first. 

According to the report, this indicates that consumer perception of ‘premium’ spans across the realm of scientifically proven ingredients.

It is also noted that the blurring of category boundaries and increasing future demand for multifunctional products is especially being seen in skin care, sun protection and colour cosmetics. Products offering multiple benefits such as cost-effectiveness and time-saving options in a single item are highly welcomed in the market.

There is also a heightened demand for clinically-positioned beauty presents opportunities for sun care and deodorants. The latest ‘skinified’ formulas have multifunctional benefits, beyond traditional claims.

Suncare is one of the best ‘all-in-one’ products. Suncare products are now incorporating make-up functions such as primer, coverage, and colour correction, while colour cosmetics products are being enhanced with SPF. The markets Indonesia, Singapore, and China have seen a surge in demand for sun care products, with a respective CAGR of 10.5%, 8.9% and 8.8% in the period of 2018 to 2023 respectively. This is driven by growing awareness of the importance of sun protection and skin care amongst consumers.

The report also found a higher number of Asia-Pacific respondents searching for multifunctional attributes in suncare in 2023 than in 2021. 22% of respondents indicated ‘anti-ageing’ as one of the main desired functional features for a suncare product, up by 19% from 2021. A response of ‘wrinkle-preventing’ is also up by 16% from 13% in 2021 – a trend expected to continue in the future.

Another factor that is being highlighted in the report is how e-commerce channels still play an important role, emerging as a significant factor shaping the future of beauty retail in Asia Pacific. In 2023, retail e-commerce accounted for 30% of total beauty and personal care sales in Asia-Pacific. China is the second-largest market in the world for beauty retail e-commerce. Social media platforms in the country such as Douyin and Xiaohongshu are helping new brands drive China’s beauty market.

Lastly, livestreaming presents beauty brands the chance to break through to consumers in lower-tier cities in China and India as well, giving access to thousands of brands with a wider range of prices through online marketplaces. A digital-first environment in markets is expected to encourage beauty brands to leverage e-commerce channels to build their reach into tier-2 cities and beyond, with an affordable cost option.

Yang Hu, insights manager of health and beauty in Asia at Euromonitor International, said, “The future of innovation in beauty products will continue to be ingredient-driven. As the lines between health and beauty become blurred, more health-related ingredients will be researched to unlock their potential in beauty, with science-backed evidence.”

Hu added, “The beauty market in Asia Pacific is now faced with incredible possibilities that lie ahead for the industry – not only with increasing purchase power and changing demographic, but also with the market’s evolution of its growth engine through retail channel revolution, innovative brands and technological breakthroughs. To stay competitive, industry players must remain attentive to future factors such as environmental changes, the dynamic consumers of Gen Z and Gen Alpha, and developments in other wellness sectors.”

Manila, Philippines – In a bit to combat underarm shaming and promote confidence across Filipinas, Dove has launched a new campaign initiative called “Raise Your Arms”, which celebrates the courage of women who have raised their arms for change, impacting their communities and the broader society.

The initiative, conceptualised alongside Ogilvy Singapore, stems from the recognition of underarm shaming as a persistent issue that diminishes women’s self-esteem and confidence. 8 in 10 Filipino women won’t raise their arms because of underarm insecurity. 

To empower them and help them feel better about their underarms, Dove, a longstanding advocate for real beauty and body positivity, wants to remind them of a simple yet powerful truth: Every time women raise their arms, positive change happens.

The campaign is executed across multiple channels including visually striking outdoor posters and a strong digital presence on social media platforms. Using the hashtag #freethepits, Dove encourages women of all ages in the Philippines to join the movement and share their own moments of bravery and confidence. The campaign also invites women to be ‘kili-kili proud,’ celebrating their underarms as a symbol of their strength and resilience.

Moreover, “Raise Your Arms” differentiates itself by directly addressing a specific and longstanding cultural stigma, offering a platform for empowerment and change. By focusing on such a unique aspect of body positivity, Dove is fostering a more inclusive environment where women can feel proud of every part of themselves. 

Bianca Cancellara, global vice president for Dove Deodorant, said, “We firmly believe that every woman deserves to exude confidence and empowerment in her own skin. Our campaign transcends societal norms, empowering women to #FreeThePits and refuse to let underarm anxiety hinder their potential.”

Meanwhile, Ria Ocampo, associate creative director at Ogilvy, commented, “In the Philippines, there’s an intense pressure to have perfect underarms. People might even be ridiculed for not conforming to this unrealistic beauty standard. This was shocking to me when I explained it to people from other countries – it shows how deeply ingrained this toxic norm is in our culture. This campaign is a call to action for Filipinas! Let’s raise our arms high and reject the cultural stigma.” 

Last Women’s Month, global skincare brand SK-II has launched a thought-provoking film, “More Youthful With Age #越大越不ZHUANG”, featuring a docuseries chronicling the transformation journey of five women as they learn to embrace their bare skin and true selves as they age.

This has catapulted into one of the most viral and talked about brand topics on Chinese social platform Little Red Book, sparking passionate discussions on how women are expected to look as they grow older, and courageously sharing the choices they’ve made to stand apart and find their truest selves.

To shed more light on how SK-II made this campaign to effectively reach the Chinese market, MARKETECH APAC spoke exclusively to Sue Kyung Lee, global CEO of SK-II, to learn more about how beauty brands can create authentic campaigns that resonate towards Chinese consumers, and what outlook can the beauty industry in Asia-Pacific expect for this year.

For Lee, consumers are at the heart of all that they do at SK-II. In order to serve their consumers better than anyone else, they seek to have the deepest understanding of the consumer, encompassing her lifestyle and values.

To achieve this, Lee shared, “We talked to our consumers in-store, held focus groups and did a deep dive into social conversations to find out the pressures and expectations that Chinese women were facing. And what we uncovered was a growing cultural shift towards independence and self-aspiration; to ‘unmask’ yourself and redefine society’s expectations of what it means to be a woman.”

She also added that their Chinese campaign is very much aligned with their brand values of authenticity and being true to yourself over many decades. Additionally, this coincides with their latest brand refresh, with a new brand identity with an increased emphasis on natural visuals and the authentic narratives of ‘PITERA’, their exclusive skincare ingredient.

When asked about how SK-II aims to differentiate itself in this landscape, amidst other international and domestic brands, Lee said that the key is to always keep consumers at the heart of everything that they do, being present and raising the bar in serving their consumers wherever they choose to look or shop, across all omnichannel touchpoints.

Furthermore, Lee attributes the strength of the brand to be unique through the narratives of their brand identity. “At SK-II, we have a powerful and authentic story with our brand and our iconic and exclusive PITERA. We are constantly looking to find meaningful ways to connect with our consumers through genuine stories of how and why SK-II with PITERA continues to transform the skin of millions of women around the world,” she remarked.

Talking about the potential challenges and opportunities that the beauty industry in China will face for this year, Lee shared that there is great potential for reinforcing omnichannel marketing in China, especially with the ever-increasing number of platforms, experiences and channels within the market.

Stressing the importance of this, Lee stated, “As we talked to consumers in our research, it was fascinating. We asked them about how much time they spent online vs offline, and no one could respond properly as consumers do not even think about or differentiate online vs offline consciously, showing how the digital and physical world are seamlessly integrated with each other in their lives.”

“We need to ensure that as a brand, we are present and raise the bar in serving her seamlessly across all omnichannel touchpoints she is on in China. This is a challenge as well as an opportunity for all of us in the beauty industry,” she added. 

Lastly, talking about what’s next for the beauty industry in the Asia-Pacific this 2024, Lee said that Southeast Asia has been emerging as the next frontier of luxury beauty opportunities in Asia Pacific.

“Markets like Vietnam, Thailand and Indonesia hold a great deal of promise for prestige brands like us as consumers shift from mass to luxury and become very savvy with the brands that they choose to support,” she concluded.

New York – Customer data platform Amperity has been selected by beauty brand Shiseido Americas as the foundation of its first-party data strategy, to assist with creating connected and personalised digital customer experiences across all of its brands.

As consumer shopping preferences and behaviours evolve, Shiseido Americas will be using the assistance of Amperity in bringing a comprehensive solution to managing multiple data sources across its various brands to advance their marketing goals. 

In this partnership, Shiseido Americas will be aiming to target shoppers with affinity-based, personalised communications throughout their journey using Amperity’s patented, AI-powered identity resolution and unified customer profiles. 

Commenting on this collaboration, Kristin Morseman, senior vice-president of digital transformation at Shiseido Americas, said, “As an omnichannel retailer, we are laser-focused on understanding our customers and the channels they want to interact in, while ensuring we are delivering consistent customer experiences. With Amperity, we can unify and activate all of our customer data with the goal of creating a seamless omnichannel journey for our customers.”

Meanwhile, Barry Padgett, CEO at Amperity, mentioned, “The luxury beauty market is at the forefront of digital innovation, and they are finding unique ways of using data to gain a competitive edge in an omnichannel retail environment. By partnering with Amperity, Shiseido Americas now has the critical data foundation required to enable them to deliver real-time personalised customer experiences across in-store and digital worlds.”

Kuala Lumpur, Malaysia – Beauty and wellness brand Beauté Library has released its humorous advertisement titled ‘Oooh-mazing Raya’ that captures the essence of Raya celebrations in a refreshing and playful way. 

The advertisement revolves around the main character, Wani (played by actress Riena Diana), and her family, as they celebrate Raya together. The ad starts with the narrator’s playful interaction with Wani and her family, showcasing how they are amazed at the way she manages to look flawless despite the hectic day they have had. 

The storyline takes a humorous turn as Wani reveals her secret to looking fabulous, Beauté Library’s PicoSpot treatment.

“We are thrilled to present our ‘Oooh-mazing Raya’ advertisement, which offers a fresh and humorous take on Raya celebrations while highlighting the beauty and wellness solutions that Beauté Library provides,” said Wilson Lee, CEO of Beauté Library

Lee added, “In fact, this is our first major Raya campaign for the brand. As a talented actress with a dynamic personality, we are confident that Riena Diana’s involvement will help us reach a wider audience and achieve our campaign goals.”

As part of its Raya campaign, Beauté Library will be promoting the PicoSpot Pigmentation Treatment through paid advertising, social media channels, radio ads, billboards, print ads, and roadshows.

Shanghai, China In collaboration with Hotel Shilla and private equity firm Anchor Equity Partners, L’Oréal Groupe announced the launch of its new luxury beauty brand ‘SHIHYO’, through Loshian, a third-party joint venture.

This marks the first time L’Oréal is launching a new beauty brand through a joint venture.

SHIHYO is a newly created skincare brand inspired by the Asian wisdom of the 24 seasons, embodying the healthy energy of nature powered by herbal sciences. The brand’s first flagship store, the ‘Seoul Garden’, will open in the coming months at The Shilla Seoul Hotel in Korea.

“L’Oréal LUXE is very pleased to announce the launch of SHIHYO through a partnership with Hotel Shilla and Anchor Equity Partners,” said Cyril Chapuy, president of L’Oréal Luxe.

He added, “Rooted in an exceptional traditional wisdom and knowledge of naturality, SHIHYO represents the epitome of Asian luxury beauty. Empowered by science, SHIHYO delivers the highest skincare quality thanks to its signature patented ingredient, offering the most elevated luxury beauty experience.”

In-Gyu Han, COO of Hotel Shilla, also commented, “SHIHYO is a luxury beauty brand that brings out the best of naturality and efficacy with seasonal ingredients directly sourced from local farmers in Korea.”

Han further explained, “With our rich retail expertise married with L’Oréal’s strong brand building capabilities, we believe SHIHYO will elevate the desire for natural, luxury beauty in Asia.”

Sanggyun Ahn, managing partner of Anchor Equity Partners, also said, “We are glad to join this partnership to support the growth of the most unique brand in Asia and globally. We have full confidence that SHIHYO will meet the discerning consumers’ needs with new luxury beauty routines.”

L’Oréal has also previously extended its partnership with digital-first agency Lion & Lion to introduce its science-forward skincare brand La Roche Posay to the Indonesian market.

Jakarta, Indonesia – Sociolla, an Indonesian beauty startup, has raised US$60m in funding, led by Temasek and L Catterton. Other participating investors include existing investors East Ventures and Jungle Ventures.

According to e27, the funding round followed a US$56m funding round that the company announced in May 2021 which it used to support its regional expansion plan.

Christopher Madiam, president and co-founder at Sociolla, said, “Sustainability has been our core principle since day one, and all of our bold moves are always well calculated. This is why we have been able to generate stellar growth despite the pandemic and raise new funds from marquee investors, validating our business model and robust fundamentals.”

He added, “While we have never been afraid to be an industry game changer, our relentless pursuit of sustainable growth over the long run defines us and will continue guiding our path forward.”

Sociolla aims to start with the Southeast Asian region’s over US$10b beauty market. Following its 48 stores across 15 cities in Indonesia, it has also started expanding into Vietnam with 13 locations at the moment.

India – India’s beauty brand SUGAR Cosmetics has appointed Carat, the media agency by dentsu India, to be its new media partner.

SUGAR Cosmetics is crafted across Germany, Italy, India, USA, and Korea. The brand ships its products in lips, eyes, face, and nails, as well as skin categories across the world, scaling its physical presence with over 10,000 retail outlets as of 2020 across more than 130 cities.

As per the mandate, Carat will be overseeing SUGAR Cosmetics’ media strategy, planning, and buying.

Vineeta Singh, the CEO and co-founder of SUGAR Cosmetics, said that Carat’s strategic thinking, experience, and efficiencies stood out, and partnering with them on their media strategy is reassuring, given their data-driven approach in meeting the brand goals.

“The beauty industry is ever-changing and we at SUGAR Cosmetics always like to stay ahead of the curve. As a brand leader, it is my topmost priority to ensure that we keep evolving our strategies to meet consumer requirements. I hope our new association with Carat will help us in this journey of keeping up with consumer trends and stay relevant in the industry,” said Singh.

Meanwhile, Anita Kotwani, Carat India’s CEO, commented that they are pleased to win the media business for SUGAR Cosmetics, and they are committed to creating meaningful end-to-end media solutions through data-driven marketing, and to further accelerate the brand’s growth journey. 

“As a team, we are excited to get this opportunity to work with a brand that is loved by the women of today,” said Kotwani.

Australia – Global beauty brand L’Oréal in Australia has joined marketing board Australian Influencer Marketing Council (AiMCO), to support transparency and best practices in influencer marketing.

AiMCO is an industry body that brings together the expertise of a diverse group of industry professionals, marketers, and content creators who are committed to elevating influencer marketing best practice, campaign measurement, and industry knowledge. Its members are the guiding force behind its mission, principles, and industry codes.

Through the partnership, the members of the beauty brand, namely Emma Williamson, director of customer and social media governance, and Jenna Adamson, corporate legal, will be joining the newly formed AiMCO Marketer Advisory Council as the first fast-moving consumer goods (FMCG) beauty brand.

According to AiMCO, this move by L’Oréal Australia proves the importance of influencer marketing, as large brands are now getting on board with the council whose members are drawn from influencer marketing tech, social media, and talent agencies, as well as legal specialists, along with influencers and content creators. 

Commenting on the partnership, Williamson said that they are thrilled to have the opportunity to collaborate with AiMCO and other leading Australian influencer marketing businesses to help shape the landscape in an ever-evolving marketplace.

“Influencer marketing is here to stay. We recognize it is a critical lever in how to engage new audiences, reconnect with our existing consumers, and tap into forms of content that drive consumer trial and purchase. As an ever-present component in our media mix, it’s crucial that we get influencer marketing right. Consumers are savvy and if we want them to trust our brands, we need to ensure that the influencers we work with share our values and are authentic and transparent,” said Williamson.

Meanwhile, AiMCO’s chairman Detch Singh shared, “We’re excited to welcome L’Oréal Australia as the first of many brands to be joining AiMCO as a member. Influencer marketing is core to the media mix and it’s natural for leading and innovative brands such as L’Oréal Australia to want to play a role in shaping its future. The newly formed AiMCO Marketer Advisory council will be essential in ensuring we are addressing the needs of brand marketers with our initiatives moving forward.”

Singapore – As travel restrictions are still in effect due to the pandemic, global skincare brand SK-II has decided to launch its first-ever virtual city called ‘SK-II CITY’ for the premiere of its latest SK-II Studio installment ‘VS’, an animated anthology series that aims to inspire every woman that they have the power to #CHANGEDESTINY. 

The ‘VS’ series is a collection of six animated films based on the real-life experiences of six Olympic athletes including gymnast Simone Biles, swimmer Liu Xiang, and badminton players Ayaka Takahashi, as well as surfer Mahina Maeda, and Hinotori Nippon. They each explore what it means to take destiny into their own hands, overcoming societal pressures like trolls, image obsession, and rules and limitations.

The series is then promoted by the brand through a virtual city, ‘SK-II CITY’, which is inspired by the streets of Tokyo, Japan. It seeks to transport visitors to Shibuya Crossing, and let them sightsee Mount Fuji and Tokyo Tower.

The ‘VS’ series spans a broad range of genres including sci-fi, fantasy, action, and sports. Each episode has its own universe and style, featuring the work of various award-winning animation studios and singer-songwriters.

Visitors can enter the SK-II Studio where they can get an exclusive backstage tour of the ‘VS’ series, and find animation sketches, film trivia, and behind-the-scenes footage from the six athletes.

Sandeep Seth, the CEO of SK-II Global, said that in these times where international travel is still restricted, they want to be able to provide their consumers a gamified experience that they can gain inspiration and shop in a safe yet entertaining and meaningful way.

“We are thrilled to launch the SK-II CITY, as we premiere our next SK-II Studio blockbuster ‘VS’ series. The SK-II CITY is inspired by our Japanese heritage as well as our brand purpose #CHANGEDESTINY,” added Seth.

To find out more about the ‘VS’ Series and learn about SK-II STUDIO and #ChangeDestiny, consumers may visit the virtual SK-II CITY at https://city.sk-ii.com/.