Peng Liyuan with Valerie Trierweiler, the partner of France's president, Francois Hollande in the Great Hall of People in Beijing. (Photo/CFP)
When China's first lady Peng Liyuan visited three African nations last month, she gave as gifts to local officials Pehchaolin beauty products, a domestic Chinese brand. The move represents a revival of the classic brand both in supermarkets and online and has boosted sales of other domestic beauty products, reports our Chinese-language sister paper Want Daily.
In recent years, a number of Chinese beauty product brands have threatened to disappear, their market shares greatly reduced after imported brands came to dominate. The Peng effect has given these domestic brands a chance to revive themselves, the Chinese-langauge China Business Journal reports.
Pehchaolin is the archetype of long-established Chinese cosmetics brands, and its re-emergence has stimulated a renaissance in the sector, including sales of Lanterns' almond honey face whitening mask and Yongmei.
Pehchaolin has undergone a transformation, seeking venture partners and introducing a series of new products in the herbal skin care market to meet the new demand of young consumers from 2008. The company placed the highest bid of 70 million yuan (US$11.3 million) for ad space on Zhejiang Satellite TV in 2013. Finally, it began selling in supermarkets, greatly expanding its sales channels.
Shanghai Vive, another cosmetics brand of long standing, has repositioned itself as a luxury brand, focusing on personal care products selling in its own storefronts.
Not only is Pehchaolin selling in supermarkets across the country, but the e-commerce world is taking quickly to the revitalized product line. On Tmall, one of the country's largest business-to-consumer sites, Pehchaolin sells 4,690 sets of a series of skin care products a month, while its other skin care lines sold 4,262 packages.