The American makeup category will become the most intensively promoted industry in the electric business industry this year

Absrtact: Wang Yujia Editor's note/authorization has always been a sensitive issue in the electric business of the United States. At the end of June, Lancome, Biotherm, planting Village Show, Koreni and other brands have issued an official statement, clear their own online licensing channels: In addition to their own official website, Silver Thai Network,

Wang Yujia

Editor's note/authorization has always been a sensitive issue in the electric business of the United States.

At the end of June, Lancome, Biotherm, village Show, Koreni and other brands have issued an official statement, clear their own online licensing channels: In addition to their own official website, Silver Thai nets, Wangfujing department stores, such as line department stores on the line to get authorization, and the pure electricity business channel is not in the list of authorized. With the continuous enhancement of the power channel influence, the brand of American makeup brands is becoming the focus of the power business platform. What kind of consideration does the brand make when giving the power channel authorization? How to balance the relationship between online and offline channels? "China Business newspaper," the reporter made an in-depth interview.

August 1, the largest two beauty makeup b2c―― network of "5 anniversary" and poly Beauty Excellent products "3.5 weeks shop" promotion again head-on collision period. Both sides said that the August promotional efforts will be more than March and June of the promotional battle, the U.S. makeup category will become the industry's most intensive sales of the industry.

"Beauty Makeup online channel competition, has entered close to melee stage." The formal authorization of brand suppliers is the core resource they compete for. With the authorization, the bottleneck of scale and the question of fakes in the online channel can be solved. "A cosmetics company executive Xu Ming told the China Business newspaper reporter.

American Makeup Online channel command

With the increase in the sales of American cosmetics, the number of dealers from the two or three level to get the goods, has been unable to meet the needs of the real sales of electric dealers.

Before the 2012, the United States and cosmetics consumer has been not the mainstream make-up brand licensing, purchase volume and sales price is two of the largest game point.

"Before 2012, the United States and cosmetics company weak, purchase mainly rely on from dealers and department stores to jump into the hands of goods, because the purchase volume is small, brand dealers do not attach importance." "Xu Ming said.

For most brands, the online sales of beauty products accounted for less than 10%. Take the L ' oreal group as an example, in 2012 to achieve 12 billion yuan sales in mainland China. Before 2012, le Bee, poly United States two platform all the revenue is below 1 billion yuan, a single brand one year sales also about millions of yuan.

"Until 2013, all of our sales channels accounted for less than 5% of total revenue," he said. "Japanese flower printing brand E-commerce manager Song Zijie told reporters.

"U.S. makeup dealers each month's sales data, and the number of brands shipped to the right, the data must be returned to the brand." If the price of a large number of goods, brand manufacturers will soon be able to find. The better the brand, the more stringent the channel control. "Beauty Li Makeup Cosmetics Co., Ltd. CEO Huang told reporters."

"We are looking for a provincial distributor." Dealers take more goods, we ride the car, can get a lower price, than directly to the brand talk is cheaper. "Le Bee NET CEO Wang Licheng admits, le bee nets from distributor hand purchase, is leap goods." In his view, "jump into the mainstream without risk, are formal entry into China, or the goods produced in China, are authentic." ”

However, with the increase in the sales of American cosmetics, from the two or three-level dealers to get the goods, has been unable to meet the needs of the real sales of electric dealers.

"China's beauty dealers rely on ' low-cost selling" to attract consumers online shopping, but they want to get rid of this model, to obtain more reasonable profits. As a result, they are desperate to expand their size, the first bargaining chip for their brand negotiations. "Xu Ming said.

2013, with the company's sales of the U.S. makeup gradually increased, its purchase volume, sales price has been able to meet the requirements of most brand operators. As a result, since the second half of 2012, including L ' Oreal, Vichy, Skin Springs, South Korea's Love Jasmine Pacific Lange, and numerous two or three-line brands have been licensed to the U.S. electric dealer. Today, two of the major U.S. cosmetics companies have received dozens of domestic and foreign brands officially authorized. But so far, there is no sign that the first-line big-name will intentionally authorize the online channel.

"The company wants to gain the recognition of the mainstream consumer group, must obtain the brand authorization." Many electric dealers claim to support the ' counter inspection ' fake a loss of ten, but, if not a brand name in black and white power of attorney, any commitment has no value. "Xu Ming said," Beauty makeup products True and false, only professional laboratories to verify, consumers and even counter counters are not verifiable. ”

First-line big-name only works with traditional department stores

The main reason why online channels such as Yintai can get authorization is to share the supply resources of Yintai department stores.

"The attitude of the first-line big-name to the Chinese electric dealer is distrust." For instance, even the cities below China's second-tier cities are reluctant to go in, and their marketing strategies are high profile. "Xu Ming that the fundamental, first-line big-name and the biggest contradiction between the electricity business is the price."

"Our positioning is luxury, not all online channel platforms are suitable for us to do." In addition to our own official mall, we are authorized only silk orchid, friends, Parkson, Wangfujing department stores, Yintai department store 5 companies Online mall. "Pui Ling Concubine (benifit) Brand E-commerce manager Rou told reporters.

Brand image and price control is a first-line big big concern. "No one-line big-name, willing to online under the different price sales." Like Poly-Mei, le Bee such a platform, and we cooperate is difficult. Considering their profits, they can't accept the positive price to sell our products, and the low price is unacceptable, otherwise our image will be damaged. "Rou said.

However, in fact, Poly-mei excellent products, le Bee, Beijing-east and other electric business platform in the sale of the first-line brand of beauty products. Search "Pui Ling concubine", Poly Mei and Le bee two platforms have dozens of products for sale. In this respect, Rou said: "No matter Lancome, Lauder, I believe that no one gave them the two platform for formal authorization." If there is a large discount of high-end beauty products, it is certainly not authorized by the manufacturer licensed in China to sell authentic licensed. such as the Joy Bee and poly beauty of the purchase, did not pass our group. ”

It is understood that most of the first-line big-name sales model in China are all straight battalion, and take the buyout system, with high-end retail enterprises directly cooperate, by the retail enterprises buy out goods. The main reason why online channels such as Yintai can get authorization is to share the supply resources of Yintai department stores.

However, not every brand vendor will give a large number of retailers supply. "The greater the return of the purchase volume of the model we do not like, we hope that the counters are on demand, there is no inventory." "Shiseido's Ipsa brand leader Chenhangxiang told reporters.

"Department store group's Online mall, its commodity prices and line to maintain consistent, to obtain the favor of brand manufacturers." However, its network traffic than independent electric dealers, first-line big-name chose them, not for sales, but mainly want to show their products online. "Xu Ming said.

Supermarket brand relies on big platform

Parity brands rely mainly on the volume of sales rather than premium sales, online, their logic is the same, rely on a large platform, relying on large traffic volume sales.

"For the online under Watson and ultra channel-oriented low-end brands, their product price is low, online is also by the amount of small profits but quick turnover." Therefore, the rise of the electric business platform for them is positive. "Xu Ming said.

For example, the Japanese flower printing, is located in the Watson and ultra channels of cheap beauty brand. In the electric business channel, flower printing only in the Sky Cat opened the official flagship store, operated by the operating company, but the annual sales of only millions of yuan.

Because the quantity is small, the company has been to the electric business channel not to attach too much importance. Current Flower Printing E-commerce manager Song Zijie told reporters.

Transit occurred in the spring of 2013, should be the invitation of the United States excellent products, flower printing in the Watson's sales of the first mask to participate in the United States group buy. To this end, flower printing specially produced a network of 80 ml products. "Online 80 ml product price is 69.9 yuan, offline is 220 ml products, price 183 yuan." "Song Zijie said that only March 1 one day, the flower printing mask in the United States group buy sold 3000 bottles, this performance has caused the company's attention."

Products in the electrical business channel can sell very well, but the official flagship store cat why has been tepid? Song Zijie found that Taobao platform marketing costs, far more than they expected before the high. "For example, ' anti-acne ' this keyword, in Taobao, the product page click once is 60 dollars." "Song Zijie that on behalf of operating companies in the brand marketing is too conservative."

July 1, 2013, flower printing from the hands of the carrier to recover the cat flagship store and Jingdong flagship store, set up by the brand Electric Corps team, their guests and operations, and ready to put 10 million yuan in Taobao promotion. In Song Zijie view, the printing of the genuine price is not high, flower printing continued delivery, to ensure that the authenticity of the original Taobao search for the priority position, the past to buy parallel and fake consumers are attracted to the fakes and parallel imports the most powerful blow.

Flower India and the music bee and gathers the United States of cooperation, but also in 2013 years before the formal start. "The mode of cooperation is buyout, we wholesale to them, and their checkout." In terms of price, both are in line. For example, the sales price must not be lower than the discount we require. If they do the activities, we will have some subsidies for them. After all, they have also done a great effort to promote and market launch, the brand is also beneficial. "Song Zijie believes that independent business buyout goods, for them is a cost-effective way of cooperation."

"Parity brands are mainly based on volume sales rather than premium sales, online under the high reliance on Watson and ultra channels, the brand would rather pay high admission fees, participate in their various promotions, but also with these channels to cooperate." On the line, their logic is the same, relying on large platforms, relying on large traffic volume sales. Independent to obtain authorization, the willing to buy out the goods, their own money to promote, why not? "Xu Ming said.

Mid-range brand to electric quotient love hate interweave

Put down the tangle, mid-range brand facing the electric business channel its maneuver space is bigger.

"Our mandate is to be administered in a time period, with a certain standard of assessment before deciding whether or not to continue to authorize the next phase." But this standard is not convenient to disclose. "L ' oreal Assistant Channel Marketing manager Li Xiaolin told reporters.

"Mid-range brand to the electric business channel of the most tangled attitude, on the one hand want to increase sales, on the other hand worry about the price is too low, the brand image is affected." "Xu Ming said," The electric business channels to talk to the brand, they are full of brand image, and middle-level talk, middle want is sales. Before, the electric trader buttoned up middle, can guarantee certain sale, other thing, middle will eye a closed eye. Now, the mid-range brand gives the electricity dealer official authorization, indicated that they are obviously more concerned about the sales. ”

The Korean riddle is a classic. The mystery is still in Korea positioning mid-range, channel mode is a single brand stores, into the Chinese market, the single brand store model in China's development is not smooth. Subsequently, the riddle is determined to adopt multi-channel strategy, to the department store, Watson, Shoppingmall, beauty store and other channels extension.

In order to consolidate their brand image, the mystery is still in 2013 all withdrew from the Watson channel, the choice of further strengthening the shoppingmall of the single shop, two or three-line city of the United States and makeup mixed stores and other channels. It is understood that Watson's account period is 3 months, than the electricity business channel's account period is much longer. However, the high-end shopping malls of the counter, the conditions are harsh, the mystery is still unable to settle in.

"A brand as mysterious as this one is best suited for the sales of American cosmetics. South Korea has a well-known group of Oriental God endorsement, the price of more expensive than the supermarket shelves, than the first-line big-name cheap, there is the explosion of BB cream to facilitate the promotion, first hit brand awareness and improve the customer unit price. "Xu Ming Think," The mystery is still online under the channel but some embarrassment, settled Watson will give consumers the ' supermarket brand ' impression, high-end shopping malls do not go, shoppingmall in the single shop, rents and rising. ”

However, the mystery of the online channel has also experienced twists. "In August 2010, to protect our brand image and combat fakes, we opened the official flagship store in the Sky Cat." "The Enigma still China area general manager Tri Shan told reporter, because not good at operation, the riddle still in 2012 completely withdrew the shop operation, handed it to the generation operator, the cooperation way is buyout, the mystery still will the goods wholesale to the generation operator."

September 2012, the Enigma is still selected to set up the flagship store, the way to cooperate is also buyout, and fans are still required to sell the price. As a result of earlier and independent cooperation, the riddle still enjoy the flow dividend, and BB cream as a "bomb", the mystery of the sales in the electric business channels to achieve rapid growth. Data show that in the first half of 2013, the Mystery of the online channel sales have accounted for 40% of total revenue, is expected to reach annual sales of 400 million yuan.

The grey area is hard to disappear

Wang Yujia

All along, the sale of unauthorized goods on the network, how to manage is a problem without solution.

Avene v. Taobao, Swarovski told the east and other events, the final nothing. Many brands have told reporters that there are no specific laws and regulations to follow for the sale of products without brand authorization. "Chinese law is concerned about whether the product is tax evasion, is not normal into the customs, and there is no provision: the product does not have the brand authorization can not sell." "said Cao Yundong, founder of the Treasure Net.

In fact, the brand is very clear to the source of the goods of the electric dealer. "The first is the department store's counter jump goods." Some department stores, in order to flush sales, may be in the form of group buying, the sales price of 70 percent to 80 percent of the price, the product sold to the electrical business. If the electric business has a membership card, they can get a lower price. The second channel is from overseas inflow, this product without the relevant departments of quality inspection, date and quality can not be guaranteed. And some brands, when imported products from abroad, the estimated amount is too large, there will be some unsalable inventory, they will be offered to the channel with low discounts. However, this product is either a unsalable product or the date is not fresh. "Rou, the brand E-commerce manager, said.

"We initially had a lawyer send a warning letter, but there was no real lawsuit." "First of all, we have no way of determining the source of their goods, perhaps it is really the counter, which involves our internal management," Rou said. And if you want to sue them for selling fakes, forensics is a complicated matter. Rou Frankly, what the brand can do is simply to call on everyone not to buy the unauthorized platform. However, the effect of this appeal is not obvious.

In the protection of Rights, the third party rights companies began to enter the line of sight of the brand. "The way the flower printing is in cooperation with the third party rights companies, such companies have special information monitoring, once found on Taobao unauthorized goods, will leave evidence, and to Taobao complaints they steal pictures and so on, and then Taobao will be forced to the shelves of these goods." At present, when dealing with such problems, Taobao will tend to the brand. "Flower Printing E-commerce manager Song Zijie said.

Brand makers often publish their own authorized channels through official statements. But for unlicensed but still in the sale of online channels, the brand does not have substantial measures. At present, the online channel and brand business will be a non-stop game process.