Entry into China's Upper-Class Market... Shinsegae International's 'Swiss Perfection' Targets Online, Hotels, and Duty-Free Shops Simultaneously

Appearance of Shinsaegae International Swiss Perfection products. (Photo by Shinsaegae International)

[Asia Economy Reporter Seungjin Lee] Shinsegae International announced on the 6th that it will actively target the Chinese upper-class consumer market with Swiss Perfection, a luxury cosmetics brand famous as the "Swiss Noblewoman Cosmetics."

They plan to solidify their status as a luxury cosmetics brand by entering not only online platforms but also high-end hotel spas and duty-free shops.

On the 1st of this month, Shinsegae International launched the Swiss Perfection flagship store on Tmall's luxury-only platform, "Luxury Pavilion," signaling their entry into the Chinese luxury market.

Luxury Pavilion is an online luxury platform created by Tmall in 2017 for its VIP customers, allowing only luxury brands selected directly by Tmall to enter. Currently, over 200 luxury brands, including Swiss Perfection, Gucci, Cartier, Chanel Beauty, and La Mer, are present.

Tmall Luxury Pavilion's sales in the first quarter of this year (January to March 2021) surged 159% compared to the same period last year, showing rapid growth. With approximately 770 million members on Tmall as potential customers, the growth potential is high.

Shinsegae International partnered with Baojun, the top distributor on Tmall, to handle local distribution for the Swiss Perfection brand store. Baojun is the largest e-commerce solution company in China and currently manages distribution for global luxury brands such as Gucci Beauty and Burberry within the Luxury Pavilion.

Going forward, Shinsegae International will directly manage all marketing activities, promotions, product sales, and customer management for the Tmall Swiss Perfection brand store, while Baojun will support platform networks, logistics, and IT support necessary for local distribution.

Swiss Perfection will aggressively enter 5-star hotels and duty-free shops in major Chinese cities simultaneously with the opening of the Tmall brand store. At the end of this month, it will open in the spa of the Four Seasons Hotel Shenzhen, and in the second half of the year, it will expand its presence to four locations including the Four Seasons Hotels in Beijing and Shanghai and the Bulgari Hotel spas, broadening contact with China's top VIP customers.

Additionally, they are pursuing entry into the Hainan duty-free shops, which the Chinese government is focusing on developing through duty-free shopping support policies, with the store expected to open as early as September.

Shinsegae International aims to target the Chinese luxury cosmetics market with Swiss Perfection's unique core technology, the plant-based cell regeneration complex ingredient "Cellular Active Irisa." Swiss Perfection is a Swiss brand launched in 1998, and last year Shinsegae International acquired 100% of its shares.

A Shinsegae International Swiss Perfection official said, "Expectations and interest in Swiss Perfection are already very high among the Chinese upper class, so we will actively secure distribution channels targeting top VIP customers and achieve high growth."

This content was produced with the assistance of AI translation services.