China’s beauty market is a tale of two stories. On one side, brands like Aēsop and MY.ORGANICS are thriving, seamlessly blending into the lifestyles of Chinese consumers. On the other, once-prominent names like Huda Beauty and Victoria Beckham Beauty have retreated, unable to navigate the complexities of this unique market.
What makes the difference?
The answer lies in understanding the modern Chinese consumer and the platforms that shape their purchasing decisions. One platform, in particular, has emerged as a game-changer: Xiaohongshu (Little Red Book). More than a shopping app, it’s a lifestyle hub, where discovery, inspiration, and commerce converge.
The Beauty Divide: Two Stories, One Market
The rise and fall of overseas beauty brands in China often boils down to one question: how well do you understand your audience?
Take the case of Huda Beauty, a global sensation that struggled to replicate its magic in China. Despite leveraging star influencers to create viral moments, its lack of ongoing market adaptation led to the closure of its only Chinese store within two years. In stark contrast, brands like MY.ORGANICS are writing success stories.
MY.ORGANICS: A Case Study in Success
In early 2023, this Italian beauty brand launched its scalp care line on Xiaohongshu, leveraging its expertise in niche haircare solutions. The turning point? Identifying a growing consumer demand for specialized scalp treatments—something traditional beauty brands had overlooked.
Through precise targeting and storytelling, MY.ORGANICS positioned its flagship product, a neem oil scalp pre-wash, as a solution for oily scalps and hair loss. Within its first month, the brand generated ¥500,000 in sales, with products repeatedly selling out. Its message? “Treat your scalp like your face”—a philosophy that resonated deeply with Xiaohongshu users.
The Evolution of Market Entry Strategies
Why do some brands thrive where others fail? The key lies in recognizing that the old playbook no longer works.
- The Golden Era (2016): Riding the E-commerce Wave
Brands like MartiDerm and Philosophy entered China during a golden age of e-commerce. By creating hero products and leveraging platforms like Tmall, they quickly captured market share. However, as consumer preferences evolved, the reliance on singular strategies proved unsustainable.
- The Livestream Craze (2020): Viral Hits, Short Lifespans
Livestreaming revolutionized marketing, with influencers like Li Jiaqi driving massive sales. Yet, as By Terry discovered, short-term successes often lack the operational foundation needed for sustainability. Relying solely on viral moments often leads to clearance sales and retreat.
- The Xiaohongshu Era (Present): A New Playbook
Today, consumers demand more than products—they seek stories, lifestyles, and authenticity. Xiaohongshu offers an ecosystem where brands can create deep, meaningful connections with their audience. For those who adapt, the rewards are immense.
The Xiaohongshu Advantage: Stories That Sell
- Storytelling Over Sales Pitches
At the heart of Xiaohongshu is storytelling. Take Zhang Xiaohui, a beloved influencer known for her poetic product presentations. Whether tying an eyeshadow palette to Renaissance art or narrating personal beauty rituals, her content transforms products into experiences.
For brands, this is a lesson in crafting narratives that go beyond function. It’s about painting a picture of how a product integrates into a consumer’s life.
- Building a Lifestyle Brand
MY.ORGANICS didn’t just sell a scalp treatment—it sold the dream of effortless Italian salon care at home. By aligning its brand with popular Xiaohongshu themes like “home spa” and “hair volume management,” it created an emotional connection that extended beyond the product itself.
- Real-Time Consumer Insights
Xiaohongshu is more than a marketing platform—it’s a goldmine of consumer insights. MY.ORGANICS identified scalp care as a rising trend through Xiaohongshu’s search data, allowing them to pivot and create targeted campaigns. Similarly, revitalash capitalized on the growing interest in eyelash serums by partnering with influencers to showcase natural, effortless beauty.
Why This Matters: The Future of Beauty in China
China’s beauty market remains ripe with opportunity, but success demands agility, creativity, and a willingness to learn. Brands that embrace platforms like Xiaohongshu to tell authentic stories, engage communities, and adapt quickly will find themselves at the forefront of the next beauty revolution.
At Eastora, we specialize in helping global beauty brands navigate the intricacies of China’s market. From crafting compelling narratives to executing targeted campaigns on Xiaohongshu, we bridge the gap between global ambition and local relevance.
