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Factors of various hues take gloss out of mall cosmetics

By Xie Yu in Shanghai (China Daily) Updated: 2014-05-06 11:33

Retail sales of cosmetics in shopping malls saw year-on-year growth of 10.1 percent in 2013, lower than the 13.2 percent recorded in 2012, and the lowest growth pace since 2008. Geng Guoqing / For China Daily

The growth of cosmetics sales in Chinese shopping malls hit their lowest level in six years, partly due to the central government's anti-corruption drive and the rise in direct overseas purchases, a market research report said.

Retail sales of cosmetics in shopping malls saw year-on-year growth of 10.1 percent in 2013, lower than the 13.2 percent recorded in 2012, and the lowest growth pace since 2008, according to the Beijing-based China National Commercial Information Center, an information service for commercial businesses.

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Shop floor sales assistants a

"More people come to ask for prices and to try out products, but few actually come to buy," she added.

A skin-care set that was priced at 3,200 yuan ($510), was now being offered at a discount, Wang said. In addition, a number of good-sized samples would be offered to make the price more attractive.

"We seldom did this kind of promotion before, but now it is different," she said.

But the discounts and gifts and gifts don't seem to bring in more sales.

"I travel overseas at least two times a year," said Rebecca Rui, 31, an employee at an overseas property agency. "The prices of cosmetics are lower abroad. I can also ask my friends to buy some for me when they travel overseas. I haven't been shopping for a long time in Shanghai."

Wang Yao, director of CNCIC, said that as the central government forges ahead with the anti-corruption campaign, buying cosmetics as gifts is becoming more rare even as sales of skin-care products have continued to grow in recent years.

More people are buying cosmetics overseas to avoid import tariffs, he said.