The renowned fashion media WWD has released the 2023 Top 100 Beauty Companies list.
Despite facing challenges, the vast majority—over three-quarters—of the companies included in this year’s ranking experienced growth in their sales compared to the previous year. Thirty-seven of these companies achieved double-digit increases. While only 21 companies saw declines in sales, the decreases were less severe compared to the previous year, with none of the top 100 companies experiencing a sales drop of more than 20%.
In total, the combined sales of all 100 companies rose by 5.3% year-over-year, reaching $245.17 billion. This figure marks a record high and significantly surpasses the pre-pandemic sales of $227.6 billion recorded by the top 100 companies in 2019.
For the second consecutive year, the performance of major beauty companies was adversely affected by business conditions in China. Companies that had previously capitalized on China’s economic growth faced challenges as consumer confidence declined, exacerbated by Chinese government measures to restrict bulk purchasing through “Daigou” channels in travel retail. Additionally, Japanese companies faced criticism from consumers due to concerns over the discharge of wastewater from Fukushima into the Pacific Ocean.
Overall, companies with diversified distribution channels fared better than those solely focused on the premium market, which was particularly impacted by developments in China. However, there were exceptions in the luxury segment, where high-end fragrance companies continued to outshine competitors with broader product ranges.
The skincare and dermocosmetics sectors experienced significant growth, benefiting companies such as L’Oréal, Laboratoires Pierre Fabre (whose Avène brand surpassed €1 billion in sales), Galderma, Caudalie, Naos, and Nuxe.
In this year’s list, a total of 11 Chinese companies were cut, with Proya ranking 36th and leading among Chinese companies. Compared to its position at 40th in 2022, it has advanced by four places. However, Florasis, which faced controversy due to remarks made by the livestreamer Li Jiaqi, ranked 78th in 2023. It is estimated that Florasis’ sales for 2023 will amount to 2.84 billion RMB, representing a 14.1% decrease compared to 2022. Other listed companies include BTN, Chando Group (formerly known as Jala Group), Shanghai Jahwa, S’Young Group, Shanghai Chicmax, Bloomage Biotechnology, Yatsen Holding, Joy Group, and Marubi.
