While on the Recently there have been news that the National Tax Administration will reduce the tariffs on certain imports, including cosmetics, milk and other products most likely to tariff reduction; while brewing removal of import cosmetics consumption tax, the adjustment is expected in the .
side of the car, in a few major brands have prices of imported cosmetics, after a few days ago, Chanel's skin care, fragrance also quietly prices, the industry also said that 2011 will be If the import tariff reduction, up to 30% of the consumption tax is canceled, it will inhibit this stock price rises? In this regard, despite their high-end cosmetics brands are tight-lipped, but experts interviewed said that
Status
a lipstick and cosmetics, 50% of the total import tax rate experienced over the threshold of
SAT caused this Chinese e-commerce market data for 2010 monitoring report shows that in 2010 the scale of market transactions overseas purchasing 120 million; some scholars have estimated that by 2012 the figure will reach 48 billion yuan. In the overseas purchasing, the trading volume is the number one cosmetics. National Tax Administration officials said that in order to
makeup perfume consumption tax of 30%
then, a cosmetics imports which actually have to pay tax? According to insiders, Ms. Chen introduced, imported cosmetics are several major tax items: import duties,blackhawks jerseys, excise duties and VAT. Import tariffs will vary according to different products, probably about 10%; VAT is 17%; and a large proportion of imported brands is only for 30% of consumption tax.
However, not all imported cosmetics are required to pay 30% of the consumption tax. It is reported that from 1 April 2006, the state of the high-end skin care cosmetics at 30% consumption tax, but until today, the state for the required to pay 30% of the consumption tax, and skin care products do not pay the tariff. These taxes will undoubtedly set a price threshold of imported cosmetics, Sa Sa in Hong Kong in the Mainland market, it seems most telling encounters.
Sa Sa in Hong Kong and the implementation of the products need to take a year to introduce through the quarantine and quarantine fee paid 2 million, these factors led to the current price of the mainland than in Hong Kong Sa Sa Sa Sa expensive by 20% to 30%. Salsa also admitted that the global advantage and low-cost advantages of sourcing in the mainland market failure of some of the magic, the Mainland and Hong Kong high-end cosmetics can not be achieved the same low price. Also due to such market conditions,
Yenei Chen said the people, in addition to salsa, the Sephora, Cosmed, Watsons and Mannings, also because the product import tariffs and other factors, can not be fully restored in the Mainland in Hong Kong Taiwan market and foreign markets of products rich in features and the same price. Can adjust the rate of price increases have cooled?
side is the tax rate will reduce or even abolish cosmetics rumors, while price increases is the fact that high-end cosmetic step. In the high-end brands, with annual average growth of 10% to 20% of the price of
high-end cosmetics, price information, or about 10%.
if the import tariff reduction, abolition of 30% of the consumption tax, for the high-end imports of cosmetic products to reduce costs is clearly a good news, but it has been be willing to reduce the price movements for it? In response, L'Oreal (China) Foreign Affairs and other relevant foreign cosmetics group official said, not specifically because of the introduction of the state, it will not make any evaluation and response.
imported brands is unlikely to cut prices
Although companies are very cautious, but most industry experts believe that if the import duties and consumption taxes are adjusted to the rumors of high-end imported brands are not Big may be lower commodity prices. Day of the senior expert Chen Hai-chao,mac brushes, imported cosmetics brand in China to implement the high-price strategy, price is not possible for them to do. Valley of senior experts on Jun also believe that imported cosmetics brands will not cut prices, because the position is high-end imported cosmetics.
and trade Liu also pointed out that the composition of the high prices of imported cosmetics are not just import duties, excise taxes and other tax issues, each product must pay the cost of quarantine, million are Nabuxialai. In addition, the introduction of each product need to spend between 5 and 9 months through the health and quarantine, which in the human, material and market competitiveness, and other factors, have increased the cost of imported cosmetics . accounted for approximately 60% and 90% of the share of profits more than Jiucheng. Instance, in 2009, P & G sales to 13.232 billion yuan, 17.9% market share ranks first; L'Oreal sales to 8.178 billion yuan, 11.1% market share among the runner-up.
Super billion more than the scale of local enterprises
Currently, more than 4,000 local cosmetics companies, with annual sales of more than 100 million yuan in just more than 50, more than 500 million yuan of scale local brands are even scarcer. Local skin care brand Herborist, affordable herbal and natural together, Longliqi, six gods and other brands, except for a few brands ranked in the mid-market, the overwhelming majority concentrated in the low-end brand market.
marketing expert Zhang Honghui at the current market structure that dominated by brands such as Olay, and almost super channels Procter & Gamble, Unilever and other possession. 3 / 4 of the country; Fortunately,mac makeup, cosmetic specialty stores channel occupied by local brands 80% market share.
reduce the rate of positive high-end brand
data and expert observations have pointed out that the high-end cosmetics market is still dominated by foreign capital. When tax rates reduce the cost of the Chinese market, will attract more foreign investment and increase the brand presence into the Chinese market? This in turn high-end skin care products in China have any impact on the field? If the decline in import prices of cosmetics, but also what impact will the local cosmetics it?
Chen Hai-chao, the rate adjustment plan benefits to the people, to reduce parallel imports, international brands will be further concentrated, non-brand-name products will also be squeezed. Gu Chun also believes that there will be more import brands to enter the Chinese market, China's high-end cosmetics market will remain dominated by imported brands.
of the senior expert on Feng Jianjun analyzed, if the imported cosmetics were adjusted rate, which imports high-end cosmetics is definitely positive, while cheaper prices will attract more consumers to buy, on the other hand They will also be conducive to super channel and an extension of cosmetics specialty store channels. He also said that it would not have much impact on the local brands, as between domestic and imported brands of cosmetics vary widely, and we did not much cross-channel Day of the high-end local brands.
extension
observation
cosmetics industry or specialty stores is a new pattern
just imported cosmetics industry are discussed and the consumption tax abolition of tariff reduction What will bring the impact of the cosmetics industry, the current channel of the hottest industry - cosmetics specialty stores have become the focus of discussion.
industry tax adjustments are excited
imported cosmetics category accounted for about two-thirds of the audience in a chain of cosmetic specialty stores, after hearing the rumors of tax adjustments have been very The Chief Operating Officer said that if the cosmetics really reduce import tariffs, which is dominated by imported brands of cosmetics specialty stores is definitely good news. He said that the policy is implemented, the company will certainly increase the introduction of imported brands and investment will also reduce the number of mass-brand category.
seems to be adjusting rates in response to this situation, imports of cosmetics, Sa Sa International President and Chief Executive Simon Kwok had last year, said the group expected in the next 3 to 5 years, will increase the proportion of mainland business to account for the overall business half. Industry forecasts, salsa on the mainland market,
cosmetics specialty stores or are shuffling
industry also pointed out that tariffs be reduced once the cosmetics and consumer tax cancellation, cosmetics specialty stores will be foreign brands to enter the Chinese market is the most convenient channel, is a cosmetics specialty stores will increase if the introduction of imported brands? Commodity structure of the original will change a lot? Specialty stores throughout the cosmetics market competition will change? There is currently two schools of industry views on these issues.
Spirit that U.S. chief marketing consultant Wu Zhigang that cosmetics specialty stores may therefore appear reshuffle. He analyzed, cosmetics specialty stores currently sell local brands, the existing tariff adjustments will make a great change in product structure and operation of the focus will shift to imported brands. As for the salsa, etc. Does this mean the brand franchise stores will be more competitive, he emphasized the lowering of tariffs does not mean that all costs are reduced.
Citistore Yang Haitao believes that the abolition of customs and excise duty reduction cosmetic specialty stores will increase the impact on the department store, more cosmetics from department stores, specialty stores to come out and take the more professional development direction.
Sephora experts said greater pressure
Feng Jianjun senior industry marketing experts think that the tax rate adjustment on the impact of different cosmetic specialty stores are not the same. Local cosmetics specialty stores 80% of the product structure are all local brands, but the following is taking the second and third tier cities, their target market, imported brands than domestic brands is not necessarily easy to sell. He analyzed, tax adjustments should be the most influential department stores in the same case of price policy, Sephora's operating costs are much higher, , not counting the cost of pool area; and Sephora, a shopping center in Taiyuan, Shanxi Province with annual sales of security at the end of 1.1 billion,vibram 5 fingers, so the cost of Sephora is a considerable challenge. case, Sephora and other foreign cosmetics specialty stores will increase investment in its own brand.
