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Another Makeup Brand Close its Physical Counter in Taiwan, China

Recently, according to media reports, Japanese cosmetics group KOSÉ’s professional makeup brand Addiction will close its last physical counter in Taiwan at the end of May. Staff at the counter reportedly said that after the closure, the brand’s official website will continue operating for a period of time, after which it plans to fully withdraw from the Taiwanese market.

Public information shows that Addiction was founded in 2009 by Ayako, former makeup director at NARS. Its product range includes cream eyeshadows, lip glosses, contouring products, and more, focusing on providing customized products for professional women in their 30s. In June 2017, the brand entered the Taiwan market, and in October of the same year expanded into mainland China, gradually building a broad distribution network.

Since entering Taiwan, Addiction has been positioned at an affordable price point and has enjoyed a strong reputation, with a loyal consumer base. However, due to minimal marketing and promotion, the brand has never become a mainstream market favorite. Constrained by high department store rental costs, its retail footprint in Taiwan has continued to shrink, and in recent years it has only maintained one physical counter at Taipei’s Shin Kong Mitsukoshi Xinyi A11.

Reports indicate that Addiction’s planned withdrawal from Taiwan is driven mainly by two factors. First, the brand has not been profitable, and its Japanese headquarters is unwilling to raise prices in the Taiwanese market. Second, Taiwan’s upcoming “full PIF implementation” cosmetics regulation in July will require all cosmetics and fragrance products to prepare complete product safety and ingredient documentation, establishing a “product identity card” to complete Product Information File (PIF) registration. However, complying with this regulation would require significant investment to rebuild systems and processes, which is difficult for Addiction given its small business scale in Taiwan.

Since the beginning of this year, Taiwan’s beauty market has continued to undergo significant adjustments. In addition to Addiction shutting down its physical counters and planning to exit the market, skincare brand Origins is also set to close its physical channels by the end of May and shift to online operations, while Clinique is optimizing its offline presence through selective closure of weaker-performing counters.

In mainland China, Addiction mainly sells through its Tmall Global flagship store. The store has 351,000 followers and currently offers nearly 100 product listings, including eyeshadow palettes, blushes, lip glosses, and foundation products. Prices range from 100 to 500 yuan, with more than ten products exceeding 1,000 units in sales.

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