How luxury brands can navigate daigous and dwindling demand in China

By Alessandro Carrara | Published: 5-Mar-2024
Finance

Lagging demand for prestige beauty has hit luxury beauty companies hard in 2024. But why is this the case, and what more needs to be done by brands?

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The Chinese market has proven to be a sticking point for a number of luxury beauty businesses in 2024.

Brands like Estée Lauder, Kao and Shiseido have cited a reduced demand for prestige beauty in mainland China as the reason for their recent lagging quarterly sales.

But why have shopping habits changed in the country?

Davy Huang, Director of New Business at e-commerce accelerator Azoya Group, offers an insight into why beauty brands have been struggling in China, and what they need to consider for the next quarter.

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  • Companies:
  • Estée Lauder Companies
  • Kao Group
  • Azoya
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