Alibaba.com Is Seeing Increasing Interest In Wellness And Beauty Products

German B2B buyers are increasingly turning to DIY beauty products as consumers look for affordable alternatives for salon-like results.

MUNICH , Jan. 22, 2024 /PRNewswire/ -- Alibaba.com , a leading global B2B e-commerce platform, today unveils key beauty sourcing trends. The “Beauty and Personal Care” category is the fourth largest on Alibaba.com. Germany is the second largest European market in this area.

According to a  study by McKinsey & Company, beauty e-commerce nearly quadrupled between 2015 and 2022 and is expected to be the fastest-growing sales channel in the future. Data analyzed by Alibaba.com shows that the number of B2B beauty and cosmetics buyers increased 12 percent year-on-year. Germany leads the top three growth markets with 27 percent year-on-year growth, followed by France and the United Kingdom.

Interest in “clean make-up” and “natural make-up” is increasing. Sales of natural cosmetics in Germany have roughly doubled in the last ten years and reached around 1.43 billion euros in 2022. In addition, according to data analyzed by Alibaba.com, these products are expected to have a compound annual growth rate of seven percent from 2022 to 2031.

Given inflationary pressures, shoppers are turning to low-cost and DIY products, with nail products particularly popular here. At the end of 2023, the number of average daily active B2B nail art accessories buyers on Alibaba.com increased 35.7 percent globally compared to the previous year. Current trends include nail artistry (+46% yoy), nail painting (+44% yoy) and nail tools for beauty salons (+59% yoy).

Patrick Kuehl , Head of Strategic Partnerships at Alibaba.com Germany , says: “The beauty sector is experiencing great growth and we are experiencing the so-called 'lipstick effect' on Alibaba.com. Consumers are looking for inexpensive products in order to feel comfortable even in challenging economic times. The demand for DIY beauty products has increased significantly. The beauty industry will continue its growth path in 2024. Alibaba.com will help B2B buyers build business resilience and drive growth."

The European service and industrial organization for SMEs, ICADA, also expects the growth trend in personal and care products to continue in Germany in 2024. In addition, ICADA is observing that more and more German B2B buyers - especially SMEs - are turning to online marketplaces such as Alibaba.com to use a wide range of procurement solutions and connect with suppliers from around the world.

About Alibaba.com

Founded in 1999, Alibaba.com is a leading e-commerce platform for global business-to-business (B2B) commerce, serving buyers and suppliers from over 200 countries and regions worldwide. The company offers one-stop B2B trading solutions covering various areas of the cross-border trade value chain. Alibaba.com provides businesses with tools to help them reach a global audience for their products, find new products and suppliers, and place orders online quickly and efficiently. Alibaba.com is part of the Alibaba International Digital Commerce Group.

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