Cosmetic testing organization will move to high-quality development.
The beauty industry has encountered various challenges this year. The total retail sales of consumer goods in China for cosmetics was 245.3 billion yuan(about $34.1 billion) from January to August 2022, down 6.4% year-on-year. However, China’s efficacy skincare market has been growing rapidly in recent years, with a compound annual growth rate of 23.4%, and is expected to reach 41.1 billion yuan(about $5.7 billion) in 2022. CHAILEEDO invited Li Zhikun, cosmetic division of Weipu to share with us the cosmetic trends in China.
CHAILEEDO: From your point of view, what are the biggest trends in the cosmetics industry next year?
Li Zhikun: I think it is “seeking truth”. Under the regulation of new regulations, the cosmetic industry is no longer as “impetuous” as in the past, and many products have been eliminated. In terms of product development, it is particularly important for companies to gain insight into the segmented needs of users, or to find the needs of users who have not received the best solutions, and then develop targeted products. Cosmetic companies will pay more and more attention to “Why”, while at the same time, companies will gradually establish or upgrade their core technologies and increase investment in research and development.
CHAILEEDO: What is the most important step for companies to take in the face of changing regulations?
Li Zhikun: The new regulations have a wide impact on product declaration, labeling and claims, quality and safety, and business management, all of which are very important. If you choose three recommendations to the enterprise, then the following three points may be the need for extra attention in the past two years.
1、Strict control of advertising: whether it is the traditional form of advertising, or the new live streaming and other Internet online promotion, enterprises as advertisers need to strongly control the promotional information of each channel. From the Internet Advertising Management Measures (Public Consultation Draft) at the end of the 2021 to the Cosmetics Network Operation Supervision and Management Measures (Consultation Draft) in August this year, the regulatory authorities have gradually heated up their attention to the cosmetics industry. This year, the regulatory authorities also began to focus on and punish some of the non-compliant enterprises, so it is recommended that enterprises start to prevent in advance.
2、Strict assurance of ingredients compliance: Since the Cosmetic Ingredients Safety Information Registration Platform was launched, many ingredients suppliers fill the ingredients safety information according to the regulatory requirements, but there are many ingredients filled in the lack of information rationality, there are also many ingredients that are not filled in and not ready to prepare offline information. According to the transition policy announced by the NMPA, from January 1, 2023 onwards, the registration of new products for the record to provide all raw material safety-related information, May 1, 2023 has been declared before the product to supplement the provision of product formulations of all ingredients safety-related information. Time is getting closer and closer, companies should communicate with ingredients suppliers as soon as possible to supplement the information. In addition to the time problem, ingredients have a direct impact on the quality of the product. The regulatory authorities around the world in recent years have also publicized a large number of prohibited raw materials or substandard ingredients caused by the use of unqualified products and penalties for enterprises. Therefore, it is recommended that enterprises early investigation.
3、Take the monitoring of adverse reactions seriously: From the landing of the new regulations, the monitoring of adverse reactions is required to be outlined in the Enterprise Application Account Authority, “Cosmetic Adverse Reaction Monitoring Management Measures” will also come into force on October 1, 2022. Companies should look at adverse reactions rationally and monitor them in accordance with the regulatory requirements. Standardize the implementation of the monitoring process, not only to respond to supervision and inspection, but also to understand the actual situation of the product in the process of information collection, to help companies improve the product to adapt to the population and due warning information, and effective prevention of serious accidents.
CHAILEEDO: What are the opportunities for testing organizations in the beauty field next year?
Li Zhikun: We can’t talk about opportunities here, because next year is a big test for cosmetic testing organizations, so it’s more about what kind of testing organizations can survive:
First, the Cosmetic Testing Organization Accreditation Conditions (Draft for Public Comment) will prompt testing organizations to improve their own capabilities, qualifications, orienting to the high-quality development of the cosmetics testing industry.
Second, as the industry’s knowledge of efficacy evaluation programs deepens, new research-based needs will gradually emerge, and having research capabilities is the key to breaking the circle of testing organizations.
Finally, at a time when the industry involution is more serious, firmly holding on to quality will be fundamental to the survival of testing organizations.