Vision on beauty: Asia Trends x Digital. Grow Your Beauty E-Commerce Business: Market Potential, challenges and strategy

16 July 2019 –  Informa Markets featuring PERKOSMI is supported by CosmoProf, China Beauty Expo, Beyond Beauty Asean Bangkok, Cosmobeauté Indonesia held a seminar themed Vision on beauty: Asia Trends x Digital. Grow Your Beauty E-Commerce Business: Market Potential, challenges and strategy. This event was held at the Menara Peninsula Hotel, Jakarta at 13.00 WIB – 17.00 WIB.

 

The seminar program certainly presents speakers who are very important in the field of beauty. The speakers present at this seminar were Mrs. Juanita Aditiawan as Perkosmi Chapter President’s VP External Affair Perkosmi Banten Religion, Ms. Joy Zou as International Marketing Manager of Beyond Beauty Asean Bangkok, Mr. Venu Madhav as General Manager Kantar Indonesia, Ms. Chanchul Sakhrani as Regional Head of Content Solutions Clozzette, Mr. Axel Wittek as Founder of LEXA-MIX Dispersion System, Ms. Ying Sang as Deputy General Manager of China Beauty Expo, Ms. Alice Suen as Event Director of Cosmoprof Asia, and Ms. Iris Plane as Asian Strategic and Project Manager.

 

In addition, Drs. Arustiyono, Apt., MPH. as the director of BPOM the director of cosmetic supervision also gave an informative opening speech for cosmetics production businesses and their supporting actors. In addition to material regulation, this seminar also discussed topics ranging from the ASEAN beauty market, the growth of the cosmetics business in the digital world, how to make cosmetic brands able to keep pace with millennials, up to the trend of packaging that is currently in trend.

 

The seminar was attended by 200 participants. The participants were very enthusiastic about the answers to their questions which greatly provided more knowledge to the beauty industry.

 

There are still many other knowledge that you can get in beauty industry. See you at the Cosmobeauté Indonesia 2019!

 

Indonesia’s Ministry of Industry is confident that its cosmetics industry will grow 9% this year as demand for domestically-made products continue to increase at home and abroad.

In a statement published by ministry, Director-General for Chemical, Pharmaceutical and Textile Industry, Achmad Sigit Dwiwahjono, said it expected the cosmetics industry to grow up to 90% this year.

Dwiwahjono added that the cosmetic industry would have the support of the Ministry of Industry to achieve this.

“[The Ministry of Industry] will continue to spur on the development of domestic cosmetic industry so it can compete with the global market,” he said.

Minister of Industry Airlangga Hartato stressed that it was important for Indonesia to improve the cosmetics industry as countries in the region have begun to focus on developing the wellness industry, which includes cosmetics.

“We cannot miss it. We will compete with market leader in Asia, namely Korea. At the same time, Thailand is also developing industry in these sectors.”

Industry has government support

Dwiwahjono attributed the ministry’s confidence to rising cosmetic exports and the increasing demand in the domestic market.

The ministry recorded more than 760 companies in the cosmetic industry in 2017, of which 95% were small and medium enterprises (SME)

That same year, the export value of domestic cosmetic products reached $517m, up 16% compared to $470m in 2016.

Of these companies, some medium and large companies have exported their products to countries in the ASEAN, Africa, the Middle East, and other regions,” said Dwiwahjono.

Hartato believes the size of Indonesia’s cosmetics market itself creates plenty of opportunity for companies.

Additionally, the growing millennial population will continue to contribute to the market

He said: “At present, cosmetic products have become a primary need for women who are the main target of the cosmetics industry. In addition, the cosmetics industry has also begun to explore the market for men and children.”

Dwiwahjono said the ministry hopes to increase competitiveness in the cosmetics industry with strategic programs and policies that will strengthen the sector.

For instance, he said the industry could employ the use of digital technology to keep with today’s industry 4.0.

“The use of digital technology and intelligence starting from the production and distribution process to the consumer level will certainly provide new opportunities to be able to increase industrial competitiveness with change in consumer tastes and lifestyle changes,” he explained.

Competing with K-beauty

Hartato believes Indonesia has the potential to become a cosmetics giant like South Korea.

He said cosmetics companies could capitalize on natural beauty trend by promoting cosmetic products from Bali.

“[Bali’s] spa products are quite attractive to foreign tourists. With good branding, it is expected that national cosmetic products can achieve success like cosmetic products from South Korea.”

He added that Indonesia had a competitive edge in terms of raw materials, owing to its rich biodiversity of its lands and seas.

For instance, Hartato said the industry can develop marine algae and marine collagen as it has potential in the local and global markets.

He also highlighted that the industry could look into local sources for raw materials.

“We need more extraction process for our raw materials. For example aloe vera can produce collagen and there are essential oils, which are currently still imported.”

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