Xiran Cosmetics : Rendez-vous à Cosmobeauté Indonesia 2024

The 17th Indonesia Beauty Show Cosmobeauté Indonesia was held at the Jakarta Convention Center (JCC) from October 10th to 12th this year. The exhibition is large-scale, attracting beauty professionals, brand representatives, and cutting-edge scientific and technological innovators from all over the world to discuss the latest trends in the beauty industry. This eye-catching exhibition presents participants and audiences with a vibrant and creative beauty world.

Xiran Cosmetics will attend the 2-day Indonesia Beauty Show to expand the international overseas market. As a pioneer in innovation, we can provide customers with the products they need, whether it is to meet personalized needs or pursue fashion trends. At the same time, the OEM/ODM customized product display jointly created by Xiran Cosmetics and its partners will attract widespread attention from industry professionals.

Cosmobeauté Indonesia Background Introduction

Cosmobeauté Indonesia is the largest and most influential beauty and skin care exhibition in Indonesia and the only beauty and beauty exhibition with 80% international brands. It has become a well-known event recognized by Southeast Asia’s beauty and hairdressing industry and a high-quality exhibition recognized and strongly supported by the government, media and associations.

Cosmobeauté Indonesia is an important stop in the Cosmobeaute Southeast Asia series of exhibitions. The Indonesia International Beauty Exhibition has become an annual gathering place for importers, suppliers, salons, SPA club owners, and beauty professionals to seek the latest products, participate in discussion groups and performances, and observe popular trends. The place to establish a network. Because hairdressing tools and hairdressing trade activities are increasing, in the past two years, the organizer has also added a beauty exhibition, which has increased the transaction volume for the exhibition. Cosmobeauté Indonesia has become the largest beauty and hairdressing trade event in Indonesia. This exhibition attracted 15,500 visitors and 300 booths from 12 countries, including China, Japan, South Korea, Hong Kong, Singapore, Thailand, India, and Vietnam, and 11,390 exhibitors, a 15% increase over last year.

The increasing number of service industries, such as beauty salons, salons and SPAs that provide service projects, also affects the potential for development. More and more people are seeking professional help in facial, skincare and hair care, which also stimulates the growth of skin care products and salons that sell professional hair care products. Indonesia will be a market with great development potential.

Market Analysis in Indonesia

In recent years, the Indonesian beauty and skin care market has grown rapidly.

In 2022, the total market size reached US$7.54 billion, with a compound growth rate of 6.6% in the past five years. Despite the impact of the epidemic, the market has maintained steady growth, especially since the skincare category has grown rapidly.

Currently, it is mainly dominated by mass-consumer products, among which skin care is the largest sub-category in the market. In 2023, the market size was US$2.3 billion, with an annual growth rate of 9.37%, higher than the industry average. The market share of international mass brands has declined, and emerging local and online brands have risen rapidly.

Indonesia Market Trends in 2024

(1.) The market share of international brands has declined

the market share of international mass brands such as Pond’s and Maybelline has gradually declined in the past few years. In contrast, high-end brands such as Lancome and SK II are limited to economic centers such as Jakarta and Surabaya due to their higher pricing than the consumption power of the mainstream Indonesian population and have a small market share.

(2.) The rise of local brands

In the past five years, the regional head brand Wardah has grown by taking root in offline channels. Wardah has gradually expanded its market share with Muslim halal and dense offline outlets. The market gradually eliminates the remaining brands due to backward supply chains and slow product iteration.

(3.) Opportunities for new brands

With the rise of e-commerce and social media, young people in Indonesia are more receptive to new brands, making it possible for new brands to quickly grow in volume and rapidly seize market share from leading brands. For example, in 2022, Skintific’s GMV exceeded US$50 million through TikTok in just one year. Its monthly online sales are about US$10 million, and its omni-channel sales are expected to be about US$20 million.

Demographic Analysis in Indonesia

(1.) Young consumer groups dominate

Indonesia has a large and young population, of which more than 57.6% are under 35. Young people, especially young women, have become the main consumers, especially women under 30, who are more likely to accept new brands and products.

(2.) Deeply influenced by Korean culture

Indonesia is one of the countries with the most K-pop fans worldwide. Korean dramas, Korean movies, and Korean stars have a huge influence on Indonesia, promoting promoting Korean skincare brands’ popularity.

(3.) Price sensitivity

Indonesia’s per capita income is about one-third of that of China, and the price of beauty and skincare that most users can accept is less than US$10, far lower than the core price range of European and American brands. For global beauty groups, the Southeast Asian market is not a core market, so product pricing, positioning, and efficacy have not been changed specifically to meet the needs of Southeast Asia.

Product Features in Indonesia

(1.) Basic skin care needs dominate

In the Indonesian market, skincare demands are mainly concentrated in basic care, such as whitening, acne removal and anti-aging. Indonesian consumers generally seek whitening products to improve their skin color due to their dark skin color and strong local ultraviolet rays. In addition, acne removal is a skincare demand of particular concern. The local high-salt and high-sugar diet and warm and humid climate lead to the prevalence of oily and acne-prone skin. As people age, anti-aging issues are gradually gaining attention from consumers over 25.

(2.) Low-priced products dominate the market

The prices of mass skin care products are mostly between $2.10 and $6.50, and mid-to-high-end product lines are usually between $7 and $14, much lower than European and American brands.

(3.) Differentiation of product habits

Indonesian consumers pay more attention to simplicity, skin feel and packaging in beauty and skincare and need a more in-depth understanding of makeup techniques and scientific skin care.

① Makeup removal:

Indonesian consumers usually only use makeup remover or facial cleanser to remove makeup, which often leads to incomplete cleaning. In contrast, international consumers pay more attention to secondary cleansing, using a water-oil mixture to ensure that makeup and daily dirt are thoroughly removed.

② Sunscreen:

Indonesian consumers pursue the skin feel and comfort of the product, ignoring the actual sunscreen effect. International consumers pay more attention to the effectiveness of sunscreen, such as sunscreen ingredients and action pathways, sunscreen values, and real-person test results to protect the skin from UV damage.

③ Maquillage:

Indonesian consumers pay attention to the color and packaging of the product in terms of makeup, preferring bright and vivid colors, but generally need to gain knowledge of makeup techniques and makeup tutorials. In contrast, international social media already has comprehensive makeup teaching videos, and consumers have a higher awareness and demand for makeup.

(4.) Favorite star ingredients:

In terms of preferences for beauty product ingredients, Indonesian consumers prefer whitening and anti-aging star ingredients such as Niacinamide, Retinol and VC and have relatively little knowledge of other ingredients (such as collagen, Phosphatase, Astaxanthin, Arbutin, etc.), and there is a certain gap in knowledge.

Résumé

The core driving force of Indonesia’s beauty and skin care market comes from the large young population and the rapid development of online channels. Local brands are rooted in offline channels, the market share of international brands is gradually declining, and emerging brands are rapidly rising through e-commerce platforms. Consumers are mainly young women who pay attention to basic skin care needs and are greatly influenced by Korean culture. The market price is low, the product features are mostly based on basic care, and the skin care habits are relatively simplified.

Xiran Cosmetics has a state-of-the-art manufacturing facility in Guangzhou, adopting advanced international standards. We have a diverse team of experts and engineers focused on creating revolutionary beauty solutions. At Cosmobeauté Indonesia, Xiran Cosmetics will showcase its expertise through hundreds of new products, emphasizing its anti-aging, whitening, anti-acne, sun protection, personal care and makeup capabilities.

Xiran Cosmetics invites industry professionals and consumers to experience its innovative product line at Cosmobeauté Indonesia booth M36, October 10-12, 2024. This is an opportunity to witness the synergy of science and aesthetics that Xiran Cosmetics brings to the global beauty market.