Beijing-based tech giant and TikTok creator ByteDance is carrying out final preparations for its subsidiary perfume brand EMOTIF, before it enters shelves on third-party e-commerce platforms, Xinyan Finance reported on Monday. EMOTIF is comprised of three versions, namely “Electronic Lover,” “Deep Sea Flight” and “Pompidou Only Drinks Champagne.”
The perfume on sale has a capacity of 2ml and 9ml, priced at 19.9 yuan ($3.14) and 198 yuan ($31.22), respectively. EMOTIF adopts column spray packaging, allowing users to apply the perfume.
The three versions have been composed by accredited French industry experts and some of the top perfumers in the world. They have previously contributed to the development of many famous brands, such as Tom Ford and Armani. It is worth noting that the essence concentration of the 9ml perfume is about 15%, and the fragrance can retain for six to eight hours.
The Chinese perfume sector has been booming in recent years, during which a number of high-quality domestic brands have emerged, such as “Scent Library,” “Scentooze,” “VEVENEVO” and “To Summer,” among others, which have attracted many consumers and fans by establishing different market positions and values.
According to Euromonitor data, the Chinese perfume market is expected to maintain a compound annual growth rate of 15% from 2018 to 2024, and the market size is expected to exceed 40 billion yuan by 2022. It appears ByteDance is keen not to miss out on such a promising market worth tens of billions of yuan.
There are many additional reasons for ByteDance to focus on perfume. First, the amount paid by Chinese perfume consumers is high. According to iResearch, there are less than 20 million perfume consumers in the country, but the average unit price of each purchase is around 500 to 800 yuan, meaning the market potential is huge.
Second, China has a complete industrial infrastructure capable of supporting the development needs of the perfume industry. ByteDance does not need to become a perfume producer, but only needs to exert its strength in operations and research, which greatly reduces costs. Finally, as its advertising business encounters weaker growth and other businesses see no improvement, ByteDance urgently needs to find a new growth curve. The domestic perfume market, which has not been fully tapped and is less competitive, may be a good choice.