Analysis of the status quo and prospects of cosmetic packaging

With the development of society and the advancement of science and technology, people's living standards have continued to improve, and per capita disposable income has further increased. More and more people have begun to pursue fashion and beauty, which has led to the continuous increase of the cosmetics market.

Analysis of the status quo and prospects of the cosmetic packaging industry in 2020

With the development of society and the advancement of science and technology, people's living standards have continued to improve, and per capita disposable income has further increased. More and more people have begun to pursue fashion and beauty, which has led to the continuous increase of the cosmetics market. The cosmetic packaging industry is an industry that provides raw material services for the cosmetics industry, and its development is closely related to the cosmetics industry. The main packaging products of cosmetics are plastic bottles, glass bottles, hoses, airless bottles, etc. At present, cosmetic plastic bottles have the best sales volume, occupying a large market share.

At present, my country's cosmetics packaging industry basically belongs to a perfectly competitive market, and the competitive situation presents a complex and diverse situation. Under the current competitive landscape, the scenario of relying solely on output and price advantages to compete as in the past no longer exists. At present, nearly 70% of women’s employment in urban areas in China, independent sources of income have brought greater consumption power to women, and nearly half of women’s personal consumption accounts for more than one-third of household income. At present, there are more than 500 million female consumers in China, and these consumer groups have more income and more opportunities. The 'her economy' consumer industry centered on female consumer groups covers a wide range of areas, with a market capacity of more than 10 trillion yuan, which is expected to become the outlet for the continued growth of the consumer industry in the future. The vigorous development of female consumer demand has led to a series of new consumer trends and provided unlimited opportunities for the cosmetics industry chain.

According to the data of the research report of China Research and Puhua ``In-depth Research and Development Trend Forecast Report of the Cosmetic Packaging Industry 2020-2025''

According to relevant data from the National Bureau of Statistics, the retail sales of cosmetics in my country reached 299.2 billion yuan in 2019. We assume that the retail markup rate is 8 times. Taking the listed cosmetics company Proya as an example, its gross profit margin is about 61%-64%, and packaging costs account for it. Operating cost is about 61%. Based on this estimate, the scale of my country's cosmetic packaging market is about 8.67 billion yuan, and it will continue to maintain a relatively high growth rate in the future.

Analysis and Trends of China's Cosmetic Packaging Industry Supply

2017-2019 China's cosmetic packaging industry market supply analysis

1. Analysis of the overall supply of cosmetic packaging

Cosmetic packaging scale calculation: According to relevant data from the National Bureau of Statistics, my country's cosmetics retail sales in 2019 reached 299.2 billion yuan. We assume that the retail price increase rate is 8 times; for cosmetics listed company Proya as an example, its gross profit margin is about 61%-64% , Packaging costs account for about 61% of its operating costs. Based on this estimate, the scale of my country’s cosmetic packaging market is about 8.67 billion yuan, and it will continue to maintain a relatively high growth rate in the future.

Chart: 2016-2021 China's cosmetic packaging industry market size

Source: National Bureau of Statistics, China Research Institute of Puhua Industry

Due to the different sizes and price levels of cosmetic packaging products, after market surveys, with reference to the relevant data of listed companies, the average price of the product is calculated at 1 yuan per piece. According to statistics on the market scale of China’s cosmetic packaging industry from 2016 to 2021, China The scale of sales in the cosmetic packaging industry is as follows:

Chart: 2017-2021 China's cosmetics packaging market sales volume (unit: 100 million pieces)

Data source: compiled by China Research Institute of Puhua Industry

2. Analysis of supply in key areas of cosmetics packaging

In terms of regionality, the sales of packaged products are mainly affected by the geographical location of cosmetic companies. Due to regional economic factors, the production bases of well-known brand cosmetics are generally concentrated in North China, East China and South China. In my country, East China, South China and North China account for nearly 80% of the entire domestic cosmetics market, about 40%, 28% and 14% respectively. Therefore, regional supporting services for cosmetic packaging are a key factor in occupying the market. However, with the increasing participation of domestic enterprises in international competition, the regional characteristics tend to fade.