ecently, the Chinese lifestyle app RED launched its “2020 RED Yearly Beauty Insight Report,” which showed that the number of views on the app related to domestic brands increased by 66 percent over the first half of 2020, garnering the highest year-on-year growth amongst sectors globally. Emerging domestic brand Colorkey experienced the most explosive growth, seeing an 8,529-percent increase in viewership. Although Western beauty brands still dominate RED with the highest percentage of content views, they have fallen slightly from 63.2 to 62 percent during the period. Views of overseas brands from Japan, Korea, and Thailand have also dropped — from 31.4 to 30.2 percent. Read more (Jing Daily)
The economy is recovering rapidly, and is on track to reach the levels of overall G.D.P. that would have been expected before anyone had heard of Covid-19. But that masks some extreme shifts in composition of what the United States is producing. That matters both for the businesses on the losing end of those shifts and for their workers, who may need to find their way into the growing sectors. Read more (NY Times)
The beauty industry is changing.
It’s increasingly characterized by technology innovations and consumer shifts toward purchasing brands that advocate inclusivity, use organic ingredients and personalize their product.
PitchBook’s beauty vertical, which focuses exclusively on beauty companies and investors, makes it easy to identify the active players in this shifting marketplace. Read more
According to Deloitte and Secco, Tier-1 and Tier-2 cities account for 56 percent of luxury goods consumption. However, growing disposable income levels, partly attributed to lower living costs, particularly in North and Southwest China provinces, will open up the luxury market to millions of new consumers. Digital avenues connect these new consumers to the luxury universe. And investments in infrastructure will also create a positive environment (it is no coincidence that Tesla targeted lower-tier cities like Weifang and Linyi when opening its new centers). Read more (Jing Daily)
What makes the difference between a sustainability program that produces business value and one that doesn’t? A new survey identifies practices that distinguish value-creating companies from others. Read more (McKinsey & Co.)
In hindsight, we were lucky. Many creatures of this Earth didn’t live to see 2030. Humans could not save the animals we’d damned, but at least you and I are still here, right? Some people, though, couldn’t live with the destruction and chaos around them. Others had little choice when death came knocking. I remember the last time I saw you; we sat on your new deck, thinking of the world your sweet, curly haired boy was entering. A world plagued with death—deaths that lie at the feet of elected officials who ignored and denied the many crises we faced, and who took every penny the fossil fuel industry gave them. Read more (Patagonia)
During the pandemic, we’ve shifted our attention away from strangers toward strengthening relationships with family, friends, and our closest colleagues. If you think of your network as a series of six concentric circles that decrease in emotional intensity as you move toward the larger outer rings, the innermost circle contains the five or so people you turn to in times of severe emotional and financial distress. The outermost ring is made up of the roughly 1,500 acquaintances or weak ties whom you would recognize by sight. When we compared the personal and work networks of hundreds of individuals pre- and post-pandemic, we found that the size of the outermost ring has shrunk. But that shrinkage was accompanied by a strengthening of our closest relationships. Read more (HBR)
“In a world where consumers want more, better and faster, we think Deliveroo is doing a good job,” concluded a report by the private investment bank Berenberg earlier this month. Plenty of people who make money from money are betting that Deliveroo is on a long-term path to profitability, even if its current set-up pushes the company further into the red with every order. “We truly believe we are still getting started,” declared Deliveroo’s founder, Will Shu, in a letter to prospective shareholders. “Join us on the journey.” But what is that journey’s ultimate destination? And what will the implications be – for the way we eat, the livelihoods of those who feed us and the future of our neighbourhoods – once we arrive? Read more (The Guardian)
The impact of the shop-near-home trend has been noteworthy. According to the Wall Street Journal, the China unit of LVMH Moët Hennessy Louis Vuitton SE — owner of Louis Vuitton, Loewe, Dior, and many others — saw 65% growth year-over-year in the second quarter of 2020, while Kering SA, whose portfolio includes Gucci and Bottega Veneta, recorded a 40% increase in revenue in China during the same period. Currently, demand at brick-and-mortar stores is so strong that Gucci and Hermès stores in Shanghai have limited shopper visits to avoid overcrowding. China was virtually the only bright spot for both LVMH and Kering, as global revenue for the two luxury giants in the second quarter of the year plummeted 38% and 43.7%, respectively. Read more (Jing Daily)
China has emerged as the economic winner of the COVID-19 pandemic, and analysts predict that gains made in 2020 — when it was the only major economy to record growth — have set it on a path to become the world’s largest luxury market by 2025. At that point, Chinese consumers are predicted to make up nearly 50 percent of all luxury purchases globally, according to a November report from Bain & Co.
But could anything slow the runaway train that is China’s economy? Is there anything that would not make this a reality? Read more (Jing Daily)