On Thursday, French cosmetics giant L'Oreal introduced the skincare brand CeraVe into China in an attempt to further complement its active cosmetics division in the country.
Products of the CeraVe brand, including moisturizers, lotions and cleansers, will first be available on Alibaba's flagship e-commerce portal Tmall. The prices range from 45 yuan ($6.7) to 374 yuan. According to Chen Min, head of the active cosmetics division of L'Oreal in China, they have first reached the online channels as most consumers shop for such skincare products online.
But at the same time, L'Oreal is in discussions with the world's largest international health and beauty retailer Watsons for the offline distribution for CeraVe in China.
According to Ninell Sobiecka, vice-president of the active cosmetics division for L'Oreal Asia Pacific, CeraVe will make an important complement to its current product portfolio in China. While the SkinCeuticals brand mainly targets the luxury and high-end market, Vichy and La Roche Posay will serve middle-class consumers. The CeraVe series are labeled as accessible to all, with the prices 40 percent lower than that of La Roche Posay, she said.
More important, the CeraVe series will tap into the third- and fourth-tier market in China, helping the local consumers to upgrade their products, said Sobiecka.
CeraVe was founded in the United States in 2005 and acquired by L'Oreal in 2017. Its annual growth rate remained above 20 percent prior to the acquisition.
