L'Oreal betting on beauty products buying bonanza

"The CIIE is very important both for China and for L'Oreal. It's the world's most important trade fair today and is getting bigger and bigger every year. It's also a great symbol of China's policy of opening-up, and inviting so many companies to this event is a strong sign of opening-up," Hieronimus said.

By 2030, the number of middle-income consumers in China is expected to reach 700 million, accounting for about half of the total population, according to the Development Research Center of the State Council.

China's huge middle-income consumer base and young consumers' pursuit of high-quality lifestyles and products have been making the company more confident in the Chinese market.

Despite the COVID-19 pandemic, L'Oreal reported strong business performance. In the first three quarters, it achieved global sales revenue of 27.94 billion euros ($27.68 billion), up 12 percent year-on-year. In North Asia, sales during the period grew 7.4 percent year-on-year, according to its latest earnings report.

In the beauty industry, more international brands are increasing their investments in China to tap growing demand.

"Chinese consumers tend to purchase high-quality products to please themselves, and their individualized aesthetic expression has reached a new high point. They also regard the connection between aesthetic expression and local cultures as important," said Yang Li, a global partner with Boston Consulting Group.