Sales for Estee Lauder’s cosmetic products increased in the fourth quarter driven by a 33% increase in the Asia-Pacific region. Central to the APAC growth has been China where “a savvy local strategy that includes a 50-person dedicated team, branded Tmall storefronts, and freestanding e-commerce sites” has successfully expanded the brand’s presence.
Underlying the local Chinese strategy is the company’s overall digital technology investment that has increased online performance and has helped the company see five consecutive quarters of growth.
Dennis McEniry, president of the brand’s online business, articulated the secret, “China is a unique market. Product preferences and descriptions used in marketing are different. Social media and influencers are important, but the way to navigate that space is nuanced. Being locally relevant is key. We don’t take programs and strategies developed in New York and just launch them in China, because it won’t work.” Source: Businessweek; Digiday