2016-05-12 15:47
South Korea amore innovation + local long out of the ＂Chinese face＂?
[straight news network Beijing, May 11 hearing] (Business Review) for selling cosmetics companies in Korea amore Pacific, he entered the Chinese time is not short, at least not than Procter & Gamble, Unilever and other European and American Gangster, and not far from the Japanese counterparts senior hall late many, since 1992 from the Northeast market entry since, 20 years of development history basically placid.
But in 2010, amore miraculously broke out, only by 2015, according to amore released annual report, group sales for the first time exceeded 50000 billion won (about RMB 2.68 billion yuan), which despite a slowdown in the Chinese cosmetics market in total retail sales, but mainly in China amore overseas market in fiscal year 2015 income Rose 44.4%, 22.5 per cent compared to 2014 is significantly improved.
Only the success attributed to promote Korean in Chinese, is too light. In the market China amore every step, in fact coincide with the popular Internet thinking in the way.
Trailing "South Korea beauty" brush a burst
The accumulation of wealth stride forward singing militant songs, but also greatly accelerated. Two years ago, amore Pacific Group Chairman and chief executive officer Xu Qingpei net worth is less than $20 billion, and now, according to Forbes estimates, his net worth has reached $9.2 billion. In its annual list of South Korea's richest, Xu Qingpei's ranking rose from fifth in 2014 to second in 2015.
This is also amore South Korea's largest cosmetics company firmly on the throne. October 2015, amore Pacific puts forward more "outstanding global brand company's development plan, plan in 2020, the global top five cosmetics enterprises, Asia's first cosmetics enterprise target. In this plan, China is clearly listed as the largest and most important of the overseas market.
In order to achieve this goal, Xu Qingpei even in front of a high-profile media said: "amore Pacific hopes to become China 'local enterprises', this is my goal."
Is tell some fantastic tales? Or just as a consumer to China good marketing strategy? As a Korean cosmetics, want to become a "local enterprise", actually not impossible.
I really rely on a Chinese known to every family, drama. By the end of 2013, a drama the from the stars you "swept the whole of China, is interesting, Gianna Jun play in the use of cosmetic skin care products, whether it is Aino Bi air cushion foundation cream, Lange lipstick or Han law of the facial cleanser, in fact, is amore Pacific's brand.
Success in advertising spots results of TV and let that several products amore poplars were included in the Chinese women's shopping list. And this kind of cosmetics list, more similar to thousands of Song Yi's dressing table and widely spread on the internet.
Notice, the star of the same paragraph, in the electricity business era, as early as one of the most useful marketing tool. And the result? One of the most strange new actress thousands of Song Yi to together a cushion foundation cream, in 2014 created sales every 1.2 seconds a, to 2015 February cumulative sales of 50 million pieces burst a myth.
Thanks to this is not just a amore. South Korea Trade Association released the latest data, said in the past 2015 years, South Korea's cosmetics exports to China increased by one percent to $. This data set a record high.
At the same time, but the market in Europe and the big Chinese with broken halberds defeat. 2014, Garnier's L'OREAL announced its withdrawal from the mainland market, then, the United States is also due to the poor performance of Revlon's brand exit. At the same time, Procter & Gamble and Unilever are declining revenue. Even Shiseido, which is capable of representing Asian influence, will also withdraw some of its brands from China.
In this regard, South Korean media quite complacent claimed that South Korean cosmetics sales is mainly because the Korean wave has swept the world, especially some Korean actress used products, more popular with Chinese consumers. In amore mouth, this Hallyu phenomenon there is a more appropriate title -- South Korea beauty cosmetics (K-Beauty).
Only by blasting and drama can be able to support a cosmetics Empire it?
Fast iteration is more than just Internet thinking
From entering the China market in 1992 to 2002 Lanzhi brand introduction, amore really put China as a market potential in mining, then continue to expand brand portfolio in China, listed mamonde in 2005 and 2011 listed snow show, 2012 listed Innisfree, 2013 listed Edith house. May 2015, amore Pacific's high-end features beauty makeup brand IOPE Aino Bi and high-end toiletries brand "Lv" also formally announced to enter the Chinese market.
Obviously, in 2010, Chinese market expansion mode in amore geometric times. This fast attack style of play, let peers look confused. But really attract the consumer, do rapid iteration in the market's tactics.
For example, the brand is fast fashion to Innisfree, cosmetics industry "". It is like a clothing brand Zara and H&M, it has a variety of products, new product updates fast, cost-effective, large shop area, the expansion of fast, easy and independent shopping environment. The general brand more than 300 items, and has more than 800 innisfree.
And this large number of single product together into the state of the battle, it is faster iteration. Allegedly, Edith and Innisfree house products renewal speed is almost the China market cosmetics brand faster. In each of the 700 to 800 single product, there will be more than 100 products were forced out, there will be more than 100 new products or upgrade products shelves - China and South Korea full synchronization.
This is a strategy that has been successfully practiced in South Korea. "South Korean consumer feedback is very fast, which makes the South Korean skin care product cycle particularly fast. If the product is not sold well, it will be eliminated. We say that innovation, South Korean consumers feel not enough innovation, then we only re innovation, until they are satisfied with the." Amore Pacific China Institute and director Yan Zaihao said.
This rapid iterative model of the Internet in China only exists, but also ultimately makes, such as air cushion with the wind, the wind can become explosive. Actually in the course of amore, its brand has repeatedly placed the popular drama, such as Song Hye Kyo starred in the "winter, wind in blowing" and park Si Yeon starred in "the good man", play the female protagonist use lipstick were done "explosion" in the name.
A mass of trial and error, and huge choice, let amore obviously easier access to the grass is always greener the minds of users, have a greater chance of success explosion. But behind this, there is a force of innovation in the support.
At the edge of the tight encirclement of the map
In the media, there is a section of content is often cited. All products Xu Qingpei also at home in the bathroom "whitewash" - he tried amore, including lipstick. "Because a variety of products to be used directly in order to know the quality of its." As a kind of sacred ceremony, each face; he will clean products carefully cleaned every part, after wiping toner and emulsion finished, he will then coated with a layer of anti UV products, he also insisted on trial per lipstick. Even so, he still often feel anxious, "a woman's heart is a deep ocean of needle, the heart of a woman become too fast, I'm afraid can't read them.
The seemingly lace news story, with the success of amore, was regarded as the example of a leader "take the lead".
But this is just a smoke bomb. As a family business, from its inception in 1945, more than 70 years of history, amore from the bones reveals a a wave of innovation of the complex.
Yin amore founder, Xu Qingpei grandma Duting, rely on the development of a hair with camellia oil and started, Xu Qingpei father Xu Chenghuan for a name for amore cosmetics and laid the cornerstone of the company. After the 1960's, is ABC Ginseng Cream, 1980 years is the United States and the United states. Amore every time can use the unique products leading South Korean cosmetics market.
To the generation of Xu Qingpei, the South Korean market into the ceiling. He will be the Chinese locker room, a hotly contested spot. Because South Korea's land area and population were only 1%, 4% of China's market capacity is limited. And China has ranked the world's second largest consumer of cosmetics. And at the same time, the South Korean market also suffered in Europe and the United States brand".
A larger market, more need to pry the rich products. But in Xu Qingpei's view, the method is not complicated: open innovation.
In 2002, Lange brands enter the Chinese market, at the same time, China already is surveying the nemesis, Procter & Gamble, Unilever, L'Oreal and other European and American companies in China consumer opinion, on behalf of the foreign cosmetics. To a gun and red, amore Pacific had entrusted Nielsen market analysis, the conclusions of the report is Lange entered the Chinese market will be failure.
But Laneige has been successful. Marketing Director of Chinese companies in amore tube ye even told the media that, Lange is amore forced the Chinese market: "exactly is Lange sleep mask. This is a rare example of a single brand and market segments to enter china."
First, do not wash "" sleep mask "created a new category, time has become the curious consumers word of mouth and try the star product. And this is actually in the market Chinese amore was the only route to enter.
At the edge of the giant has been cut almost in the cosmetics market map to break out when rivals in bigger and powerful combo, amore full onslaught subdivision of a single product, with novelty and efficacy to meet consumer.
Do not wash, sleep, these two are not exactly and those in Procter & Gamble play different approaches but equally satisfactory results? For consumers to save the heart, you can get a ticket to vote with the wallet. In 2011, Laneige night repair replenishment mask accounted for 70% of its overseas sales, sold a total of 2 million bottles. Of course, all the peers have been playing amore played way.
The similar and the aforementioned air cushion foundation, this is still the first amore. 2008, amore Pacific R & D center was born a revolutionary cross product - air cushion cosmetics. Its design inspiration comes from the stamps on the South Korean parking coupons. Researchers observed that the seal on the South Korean parking coupons are very clear, the ink does not faint, so inspired by the design of a "oil water" sunscreen. This cushion BB cream has the characteristics of low viscosity, can through the mesh sponge, the package in the special sponge, a industry the earliest of stamp sunscreen was born at this point.
But to achieve this step, it is not simple, is by about 200 different species of sponge of 3600 times test, including for production bedding latex and bath sponge, only to find with 8 00000 pore sponge is the most effective and most stable liquid product carrier. Sponge is designed to be a vacuum air cushion, so you can effectively solve the liquidity of the liquid, to avoid the trouble of the user hand painting liquid foundation.
Technology innovation, ultimately not geeky, still settled to consumers and is convenient to carry, and reduce user make-up steps and time, easy to create natural, flawless skin. In this way, women's make-up, also followed a thorough change, air cushion on the makeup and become a more Korean makeup of a symbolic gesture.
Again, this also led to follow suit. L'OREAL, the world's largest cosmetics group, Lancome, Maybelline and other brands also immediately launched air cushion cream, and in the local brand, Carslan, Mary de Jia and so on, followed by......
Such edge break through there are many, but threatened to do China's local enterprises "amore, also need according to the geographical advantages, the beginning of the localized innovation aiming at the Chinese market.
Down to earth + brand image
In Chinese market trial and error, in fact amore is suffered losses. This is why Laneige's sleep mask burst red after nearly ten years, it has been relatively quiet reason. Especially faced with the double squeeze of the European and American high-end brands and China's local low-end brands, this silence, it is easy to retreat.
Play role failure, exactly is the current hot Innisfree, it has in 2004 in the form of department store counters to enter the Chinese and fell a somersault, withdraw all the September 2006.
Only by blasting models and people refreshing innovative products, and not enough to win the whole market, it is necessary to allow consumers to have a more clear positioning of the entire brand. The education market, is often a matter of hard not to please.
How to educate the market? I can choose a straight line down to earth, and shaping the brand image.
After 2012, Innisfree returned to China, this time, they will channels focus on a foothold in the shopping center of mono brand stores, aimed at young women, price over the previous six years reduced by half, go parity of the plants' natural style, renewed success.
Just cheap, nature is unable to achieve the goal, natural plant skin care, is Innisfree for education market, or said gift Chinese consumers "gift". Baiyun Hu cosmetic the personage inside course of study thinks, compared to Europe and the United States Department of cosmetics pay more attention to the function, formulation of creativity, South Korean cosmetics and pay more attention to the packaging technology trend renewal, consumer behavior etc. the innovation.
This creates amore miracle to a certain extent. After all, the development of cosmetics to now, a lot of functional technology has been relatively mature, there will be no great breakthrough. From the perspective of the trend of the guide to cut into the market, perhaps because of its easy to understand, and lower education costs, more effective.
Therefore, in addition to the Korean + fashion + style of innovation, amore around ginseng, green tea and soybean, Camellia elements of R & D, to build characteristic plant products in South Korea, fusion of Chinese consumers of natural philosophy of everything, it makes the in the localization of color, and brand in America and Europe difference difference, the more obvious.
And itself is amore 70 years of history, has always insisted on the characteristics of enterprises, from the beginning of the first camellia hair oil, many of its successful product itself has pure natural this gene. In 1966, it will be the first ginseng the Asian traditional medicine is used as the basic raw materials of cosmetics; and in 1979, in the industry in the first set a precedent planted their own tea. Later, the company thus producing the world's first fully to green tea as the basic raw materials of skincare series. And in amore's brand, this feature is also very obvious: snow show, made by Asian herbs of luxury brands; makeup. Camellia, lotus and jasmine raw brand; Innisfree, most of its raw materials from much loved, South Korea's Jeju Island.
The natural wind, just to meet the Chinese user preferences for the wind vane, of course, use of Korean origin materials as part of the call, for Chinese consumers, there is a not too detached was prone to Lenovo's recessive factors, China's food safety issues.
As in China, senior managers are served by the Chinese people; march market of electronic business affairs, and Alibaba joint crackdown; in 2014 in China investment 750 million yuan to build a set of production, research and development, logistics and other functions in one, capacity for ten times the original factory of Shanghai "amore Shanghai beautiful makeup Park", to ensure that products Express iteration more directly the placing on the market and the market supply, just become "local enterprises," the title should have meaning.
This is the cosmetics version of the hero. But at the same time, as the hero, with more time to raise the innovation of the wind. Results the total affordable, richly adorned or plainly dressed......
Let your opponent dance to his rhythm.
Amore's success, in fact, there are plenty of inspiration, not only on the cosmetics industry, similarly to other locked up under the ceiling, to find a breakthrough in their field, has the reference significance. As previously disclosed, who said the Internet thinking, just acting on the Internet or Internet plus, in fact it is already there, just to make it more clear that the internet.
The first is to go the same way, but don't use the same rhythm. In PE * * * * has a characteristic, when your rhythm is follow the opponent and dancing, often go to is a failure, such as long-distance running, such as boxing. Similarly, in any industry, imitation is inevitable, but it must be changed. Amore in many aspects, and competitors and not much difference, such as brand architecture and similar, amore and Ou Meijing, is using the multi brand, segmentation and positioning strategies, such as by age to points, can be divided into for 10 to 20 years old consumer Edith house, for 20 years about consumer Lange, for 20 - 30 years old about consumer Hera and 30 years old of above snow show...
These are actually competing products for many years of road map. But, in the specific operation, but in his own rhythm. Also follow the route of innovation, the formula to play abroad, not intuitive, consumer substitution are slow; amore way to play, sleep mask, air bases are very intuitive, started to experience strong effect. Of course, the scientific and technological content is not low, but consumers can not understand the data map, they need to see is real".
Which is why Korean dramas can promote the Korean makeup sold a source of, without cumbersome advertising language, an action can bring trend. Finally, competing products are brought to amore rhythm, you can see the results.
Two is to use the stick to build brand power. On said amore in China the biggest problem is the brand is not enough to highlight, far less rampant advertising of European and American giants; and after reading the above, and perhaps will have a different feeling, amore hit the jackpot with touch of the pure natural air, fly. Actually, change an angle to think, which in itself is to insist on the return, amore rapid iteration contains invariant natural wind, so the wind, will not be missed. If in the fast iteration, constantly changing their own style, brand power is ultimately difficult to highlight.
Perhaps this is Procter & Gamble and Unilever as a congregation chiefs recently in one of the reasons for the depressed: when the potent combo brand publicity is too deeply rooted in the hearts of the people that do now vertical segments, consumers also turn, but turn to.
Of course, it is still a hero, the next wave of atmosphere, the market will have different changes, but also insisted on.
Supplement one sentence, 1988 amore into the French market, once is very depressed, and its focus on to perfume the French superiority in the field, but eventually because of persisting, after ten years with unique scent, bottle body is designed into Apple's Lolita perfume pry the French market eventually joined the ranks of the top five selling French perfume. Among them, how much we can see amore consistent routine"...... 3
(original title: South Korea amore innovation + local long out of the "Chinese face"?)
Editor: Chen Feng
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