Premium Beauty and Personal

Care in Vietnam
Euromonitor International
May 2021
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LIST OF CONTENTS AND TABLES

KEY DATA FINDINGS.................................................................................................................. 1
2020 IMPACT ............................................................................................................................... 1
Higher price-sensitivity leads to declines in premium products, in the short-term at least ........ 1
Lazada tipped as the most popular e-commerce platform for premium brands ........................ 2
Shiseido maintains top place thanks to dynamic digital marketing such as social media live
streams ..................................................................................................................................... 2
RECOVERY AND OPPORTUNITIES .......................................................................................... 2
Strong GDP and industry growth opportunities set to boost premium products over forecast
period ........................................................................................................................................ 2
Ongoing growth in e-commerce and beauty specialist retailers set to support and stimulate
sales ......................................................................................................................................... 3
Competition to heat up over forecast period, thanks to myriad benefits for new international
players ...................................................................................................................................... 3
CATEGORY DATA ....................................................................................................................... 3
Table 1 Sales of Premium Beauty and Personal Care by Category: Value
2015-2020 .................................................................................................... 3
Table 2 Sales of Premium Beauty and Personal Care by Category: % Value
Growth 2015-2020 ....................................................................................... 4
Table 3 NBO Company Shares of Premium Beauty and Personal Care: %
Value 2016-2020 .......................................................................................... 4
Table 4 LBN Brand Shares of Premium Beauty and Personal Care: % Value
2017-2020 .................................................................................................... 5
Table 5 Forecast Sales of Premium Beauty and Personal Care by Category:
Value 2020-2025 .......................................................................................... 6
Table 6 Forecast Sales of Premium Beauty and Personal Care by Category:
% Value Growth 2020-2025 ......................................................................... 7

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PREMIUM BEAUTY AND PERSONAL

CARE IN VIETNAM
KEY DATA FINDINGS
▪ Premium beauty and personal care sees declines due to heightened price-sensitivity as an
impact from COVID-19
▪ Premium beauty and personal care sees 9% current value decline in 2020, to reach VND10.7
trillion
▪ Premium bath and shower shows the strongest value growth in 2020, at 14%; whereas
premium other lip products shows the steepest decline at -34%; overall category volume data
and unit prices are not noted
▪ Shiseido Cosmetics Vietnam Co Ltd maintains its lead in premium beauty and personal care
in 2020, with 21% company value share
▪ Premium beauty and personal care is expected to see 16% current value CAGR (11%
constant 2020 value) over the forecast period, to reach VND22 trillion in 2025

2020 IMPACT

Higher price-sensitivity leads to declines in premium products, in the

short-term at least
Premium beauty and personal care saw declines in 2020, due to many consumers switching
out of the premium segment and towards mass beauty and personal care. This trend arose from
higher levels of price sensitivity due to the financial impacts from COVID-19, with an estimated
31.8 million people in the country having been negatively financially affected (according to the
General Office of Vietnam, September 2020). As seen in mass beauty and personal care, bath
and shower products performed the best due to their more essential nature, whereas lip
products saw the steepest declines due to the wearing of face masks and, thus, lip make-up
products becoming redundant.
A further challenge to premium beauty and personal care came from the fact that shopping
malls were closed in April through to July 2020, with shopping malls being a main channel for
premium beauty and personal care sales. Although beauty care stores were still allowed to
open, many consumers preferred to refrain from physical shopping as a precaution and
switched to the e-commerce channel instead. Therefore, a number of premium brand stores,
such as O HUI (LG Vina Cosmetics Co Ltd), Vichy (L'Oréal Vietnam Co Ltd) and Make Up For
Ever, were temporarily or even permanently closed in 2020.
However, thanks to the success of the Vietnamese government in managing the event of
COVID-19 and associated financial impacts, premium beauty and personal care started to
recover in the latter half of 2020. Overall, however, significant declines were still noted due to
consumers becoming more price sensitive, spending less on goods, and focusing more on
saving.

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Lazada tipped as the most popular e-commerce platform for premium

brands
Players who fared the best in 2020 were those fast and agile enough to embrace e-commerce
and enhance their online offerings. Online retailers such as Tiki and Lazada became main
channels for premium beauty and personal care players during the year, with brands launching
a variety of promotions in order to attract customers – for example, offering up-to-50%
discounts, thus making premium products more competitive with the mass segment. Leading
premium player Shiseido Cosmetics Vietnam Co Ltd officially started to sell its products on
Lazada during the time of COVID-19, with the platform being the most popular for premium
brands. Estée Lauder and O HUI are also available through Lazada, with the majority of the
platform’s customers being of a target age and economic group to suit such premium brands.

Shiseido maintains top place thanks to dynamic digital marketing such

as social media live streams
Shiseido Cosmetics Vietnam Co Ltd maintained its lead in premium beauty and personal care
in 2020. This is thanks to its top namesake brand and largely due to its strength within skin care,
where it offers various product types with multiple functions. Over the forecast period, the
company is expected to see healthy growth, mainly thanks to its strong brand reputation and
huge efforts to develop new colour cosmetics. Moreover, the company also aims to keep
increasing its interaction with customers by creating events and other opportunities for people to
come and learn about their skin, as well as the benefits of Shiseido’s products.
The company’s success can also be attributed to its strong investment in dynamic marketing,
brand reputation and wide distribution. Since entering Vietnam at the end of 2012, Shisedo has
paid strong attention to brand-building and expanding its distribution, mainly in independent
retail stores. As a result, Shiseido enjoys a high level of trust and popularity among Vietnamese
consumers. However, the company is experiencing growing competition from other premium
ranges which are expanding to main cities such as Hanoi, Ho Chi Minh and Da Nang.
Moreover, competition is heating up via e-commerce channels, with an increase in distribution
via Lazada, Tiki and Shopee, which is supported by enhanced digital marketing. Shiseido is a
strong player in this area, with Estée Lauder, Lancôme and O HUI also active on such
platforms. Livestreaming on social networks such as Facebook and TikTok has become a
popular method which companies use to advertise products, as well as increasing levels of
customer interaction. For example, Shiseido runs live streams with various skin care experts
and celebrities, with tutorials and product promotions and offers.

RECOVERY AND OPPORTUNITIES

Strong GDP and industry growth opportunities set to boost premium

products over forecast period
As Vietnam has successfully controlled the COVID-19 pandemic and associated financial
impacts so well, the country is tipped to be one of the strongest within the ASEAN region with a
forecast of 6% GDP in 2021. It is expected there will be more international companies entering
the category because of this, creating a large number of new jobs in the country. These factors
will help recovery and increase consumer spending, thus contributing to the growth rate of
premium beauty and personal care over the forecast period.

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Ongoing growth in e-commerce and beauty specialist retailers set to

support and stimulate sales
E-commerce will continue to boom over the forecast period, with double-digit value sales in
the channel expected. Online platforms have become an effective way for premium companies
to reach more consumers, due to the convenience of the channel and the attraction of special
offers and discounts of up-to-50%. In addition to the ongoing growth of e-commerce, beauty
specialist retailers are also becoming more popular in Vietnam, with an increasing number of
new players appearing such as Beauty Box, Beauty Garden, Nuty, and more. This will also help
to support sales in premium beauty and personal care over the forecast period.

Competition to heat up over forecast period, thanks to myriad benefits

for new international players
Premium beauty and personal care is expected to become more competitive over the forecast
period, with this being notable for both new and existing players. This is because, firstly, various
free trade agreements (FTAs) which were signed with developed countries such as Thailand,
China, Australia and New Zealand in the review period, will attract a higher number of
international companies due to the up-to-0% tariff reduction. Secondly, as Vietnam has
successfully controlled the COVID-19 pandemic and economic impacts, the country has great
potential within the ASEAN region with a forecast GDP of 6% in 2021. Therefore, in order to
hold a competitive advantage, premium brands will need to focus on their digital marketing and
expand their distribution networks, particularly so through e-commerce channels and beauty
specialist retailers.

CATEGORY DATA
Table 1 Sales of Premium Beauty and Personal Care by Category: Value 2015-2020

VND billion
2015 2016 2017 2018 2019 2020

Premium Baby and Child- - - - - - -

specific Products
Premium Bath and Shower 72.2 82.8 96.1 106.6 117.6 134.5
Premium Colour Cosmetics 1,104.2 1,299.1 1,516.9 1,761.3 2,058.3 1,864.9
- Premium Eye Make-Up 182.4 202.5 223.7 246.8 270.3 233.1
- Premium Facial Make-Up 426.1 510.2 598.9 670.7 766.5 708.2
- Premium Lip Products 493.3 583.2 690.1 838.6 1,015.3 918.6
- Premium Nail Products - - - - - -
- Premium Colour 2.3 3.2 4.2 5.3 6.2 4.9
Cosmetics Sets/Kits
Premium Deodorants 82.1 96.7 116.7 133.9 152.4 159.5
Premium Fragrances 1,303.2 1,488.4 1,692.8 1,927.2 2,201.1 1,839.7
- Premium Men's 399.0 454.9 509.5 560.4 617.6 494.1
Fragrances
- Premium Women's 886.9 1,009.3 1,150.7 1,323.2 1,528.4 1,299.1
Fragrances
- Premium Unisex 2.0 2.0 2.1 2.1 2.2 1.9
Fragrances
- Premium Fragrance 15.2 22.2 30.6 41.4 53.0 44.7
Sets/Kits
Premium Hair Care 515.3 566.6 622.8 686.0 760.4 803.0
Premium Skin Care 4,064.8 4,514.8 5,075.3 5,717.4 6,466.0 5,882.3
- Premium Body Care 31.4 34.3 37.2 40.1 43.8 40.3

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- Premium Facial Care 3,984.8 4,424.6 4,967.4 5,594.3 6,330.7 5,758.8

- Premium Hand Care 20.7 21.9 23.2 24.7 26.1 21.4
- Premium Skin Care 27.9 34.1 47.5 58.2 65.4 61.8
Sets/Kits
Premium Adult Sun Care 18.9 21.3 23.5 25.9 29.2 26.0
- Premium Aftersun 7.3 8.3 9.2 9.9 10.6 9.6
- Premium Self-Tanning - - - - - -
- Premium Sun Protection 11.7 13.0 14.3 16.0 18.6 16.5
Premium Beauty and 7,160.6 8,069.7 9,144.1 10,358.2 11,785.0 10,709.9
Personal Care
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
Note: Premium beauty and personal care sales are additionally included within baby and child-specific
products, bath and shower, colour cosmetics, deodorants, fragrances, hair care, sets/kits, skin care and
sun care.

Table 2 Sales of Premium Beauty and Personal Care by Category: % Value Growth
2015-2020

% current value growth

2019/20 2015-20 CAGR 2015/20 Total

Premium Baby and Child-specific Products - - -

Premium Bath and Shower 14.3 13.2 86.3
Premium Colour Cosmetics -9.4 11.1 68.9
- Premium Eye Make-Up -13.8 5.0 27.8
- Premium Facial Make-Up -7.6 10.7 66.2
- Premium Lip Products -9.5 13.2 86.2
- Premium Nail Products - - -
- Premium Colour Cosmetics Sets/Kits -20.0 16.3 112.4
Premium Deodorants 4.7 14.2 94.3
Premium Fragrances -16.4 7.1 41.2
- Premium Men's Fragrances -20.0 4.4 23.8
- Premium Women's Fragrances -15.0 7.9 46.5
- Premium Unisex Fragrances -15.0 -1.1 -5.5
- Premium Fragrance Sets/Kits -15.7 24.0 193.6
Premium Hair Care 5.6 9.3 55.8
Premium Skin Care -9.0 7.7 44.7
- Premium Body Care -8.0 5.1 28.2
- Premium Facial Care -9.0 7.6 44.5
- Premium Hand Care -18.0 0.6 3.2
- Premium Skin Care Sets/Kits -5.5 17.3 121.9
Premium Adult Sun Care -10.9 6.6 37.7
- Premium Aftersun -10.0 5.6 31.6
- Premium Self-Tanning - - -
- Premium Sun Protection -11.4 7.2 41.4
Premium Beauty and Personal Care -9.1 8.4 49.6
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
Note: Premium beauty and personal care sales are additionally included within baby and child-specific
products, bath and shower, colour cosmetics, deodorants, fragrances, hair care, sets/kits, skin care and
sun care.

Table 3 NBO Company Shares of Premium Beauty and Personal Care: % Value 2016-
2020

% retail value rsp

Company 2016 2017 2018 2019 2020

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Shiseido Cosmetics 24.2 24.1 23.3 22.2 21.0

Vietnam Co Ltd
L'Oréal Vietnam Co Ltd 13.4 13.2 13.2 13.0 15.2
Estée Lauder Vietnam Co 10.3 10.9 11.2 11.0 10.9
Ltd
LG Vina Cosmetics Co Ltd 5.7 5.6 5.7 5.7 5.5
AmorePacific Vietnam JSC 2.9 3.4 3.7 3.7 3.6
Nu Skin Vietnam Co Ltd 0.9 1.2 2.0 2.5 2.8
Chanel SA 2.3 2.4 2.5 2.6 2.6
Coty Inc 2.7 2.4 2.4 2.4 2.3
Nippon Menard Cosmetic 1.8 1.8 1.7 1.7 1.9
Co Ltd
Amway Vietnam Ltd 2.5 1.8 1.7 1.6 1.5
Kanebo Cosmetics Inc 1.5 1.5 1.4 1.3 1.3
Inter Parfums Inc 1.2 1.2 1.2 1.2 1.2
Pierre Fabre SA, 1.1 1.1 1.0 1.0 1.1
Laboratoires
Clarins SA 1.3 1.2 1.2 1.1 1.1
Christian Dior SA, 1.0 1.0 1.0 1.0 1.0
Parfums
Dermalogica Vietnam Co 1.0 1.0 1.0 0.9 0.8
Ltd
Salvatore Ferragamo SpA 0.9 0.9 0.9 0.9 0.8
Elizabeth Arden Inc 1.0 1.0 0.9 0.7 0.8
Mascolo Ltd 0.7 0.7 0.6 0.6 0.7
NAOS SAS 0.5 0.5 0.5 0.5 0.6
Euroitalia Srl 0.6 0.6 0.6 0.6 0.6
Giorgio Armani SpA 0.5 0.5 0.5 0.6 0.5
John Paul Mitchell 0.5 0.5 0.4 0.4 0.5
Systems Inc
Creative Nature Group 0.6 0.6 0.5 0.5 0.5
Calvin Klein Cosmetics Co 0.4 0.4 0.4 0.4 0.4
Givenchy SA, Parfums 0.4 0.4 0.4 0.4 0.4
Make Up For Ever Co Ltd 0.6 0.5 0.4 0.3 0.3
Lacoste SA 0.4 0.4 0.4 0.3 0.3
Hugo Boss AG 0.2 0.2 0.2 0.2 0.2
Kenzo Parfums SA 0.5 0.2 0.2 0.2 0.2
Others 18.3 18.8 18.9 20.5 19.7
Total 100.0 100.0 100.0 100.0 100.0
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 4 LBN Brand Shares of Premium Beauty and Personal Care: % Value 2017-2020

% retail value rsp

Brand (GBO) Company (NBO) 2017 2018 2019 2020

Shiseido (Shiseido Shiseido Cosmetics 21.7 20.8 19.8 18.6

Co Ltd) Vietnam Co Ltd
Lancôme (L'Oréal L'Oréal Vietnam Co Ltd 5.6 5.5 5.4 6.3
Groupe)
O HUI (LG Household LG Vina Cosmetics Co Ltd 3.4 3.4 3.4 3.5
& Health Care Ltd)
Estée Lauder (Estée Estée Lauder Vietnam Co 3.2 3.4 3.3 3.4
Lauder Cos Inc) Ltd
L'Oréal L'Oréal Vietnam Co Ltd 2.6 2.6 2.7 3.3
Professionnel
(L'Oréal Groupe)

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Mac (Estée Lauder Estée Lauder Vietnam Co 2.6 2.7 2.8 2.8
Cos Inc) Ltd
Nu Skin (Nu Skin Nu Skin Vietnam Co Ltd 1.2 2.0 2.5 2.8
Enterprises Inc)
Clinique (Estée Estée Lauder Vietnam Co 2.7 2.8 2.6 2.6
Lauder Cos Inc) Ltd
Chanel Chanel SA 2.4 2.5 2.6 2.6
Laneíge AmorePacific Vietnam JSC 1.8 2.0 2.0 1.9
(AmorePacific Corp)
Vichy (L'Oréal L'Oréal Vietnam Co Ltd 1.8 1.8 1.7 1.9
Groupe)
Menard Nippon Menard Cosmetic 1.8 1.7 1.7 1.9
Co Ltd
The History of Whoo LG Vina Cosmetics Co Ltd 1.8 1.9 1.9 1.7
(LG Household &
Health Care Ltd)
Sulwhasoo AmorePacific Vietnam JSC 1.5 1.6 1.6 1.6
(AmorePacific Corp)
DKNY (Estée Lauder Estée Lauder Vietnam Co 1.5 1.5 1.5 1.4
Cos Inc) Ltd
Kanebo (Kao Corp) Kanebo Cosmetics Inc 1.5 1.4 1.3 1.3
Kiehl's (L'Oréal L'Oréal Vietnam Co Ltd 1.1 1.1 1.1 1.3
Groupe)
La Roche-Posay L'Oréal Vietnam Co Ltd 1.1 1.0 1.0 1.2
(L'Oréal Groupe)
Issey Miyake Shiseido Cosmetics 1.2 1.2 1.2 1.2
(Shiseido Co Ltd) Vietnam Co Ltd
Shu Uemura (L'Oréal L'Oréal Vietnam Co Ltd 1.0 1.1 1.1 1.2
Groupe)
Avène Pierre Fabre SA, 1.1 1.0 1.0 1.1
Laboratoires
Davidoff Coty Inc 1.1 1.1 1.1 1.1
Clarins Clarins SA 1.2 1.2 1.1 1.1
Dior (LVMH Moët Christian Dior SA, 1.0 1.0 1.0 1.0
Hennessy Louis Parfums
Vuitton SA)
Dermalogica Dermalogica Vietnam Co 1.0 1.0 0.9 0.8
(Unilever Group) Ltd
Jean Paul Gaultier Shiseido Cosmetics 0.8 0.8 0.8 0.8
(Puig SL) Vietnam Co Ltd
Salvatore Ferragamo Salvatore Ferragamo SpA 0.9 0.9 0.9 0.8
Elizabeth Arden Elizabeth Arden Inc 1.0 0.9 0.7 0.8
(Revlon Inc)
TIGI (Unilever Group) Mascolo Ltd 0.7 0.6 0.6 0.7
Coach Inter Parfums Inc 0.7 0.7 0.7 0.6
Others Others 29.1 28.9 30.1 28.9
Total Total 100.0 100.0 100.0 100.0
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 5 Forecast Sales of Premium Beauty and Personal Care by Category: Value
2020-2025

VND billion
2020 2021 2022 2023 2024 2025

Premium Baby and Child- - - - - - -

specific Products
Premium Bath and Shower 134.5 149.4 170.4 186.0 201.6 216.4

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Premium Colour Cosmetics 1,864.9 2,260.2 2,529.2 2,801.6 3,089.0 3,388.7

- Premium Eye Make-Up 233.1 276.7 300.2 318.3 334.3 347.9
- Premium Facial Make-Up 708.2 818.4 904.5 986.2 1,069.3 1,153.1
- Premium Lip Products 918.6 1,159.5 1,318.3 1,490.2 1,677.8 1,879.5
- Premium Nail Products - - - - - -
- Premium Colour 4.9 5.5 6.2 6.9 7.6 8.2
Cosmetics Sets/Kits
Premium Deodorants 159.5 172.0 187.1 201.9 217.0 232.2
Premium Fragrances 1,839.7 1,979.9 2,229.7 2,458.3 2,671.5 2,843.8
- Premium Men's 494.1 548.7 623.7 695.8 769.4 828.5
Fragrances
- Premium Women's 1,299.1 1,380.1 1,548.9 1,698.0 1,828.5 1,934.0
Fragrances
- Premium Unisex 1.9 2.0 2.2 2.4 2.6 2.7
Fragrances
- Premium Fragrance 44.7 49.1 54.9 62.1 71.0 78.5
Sets/Kits
Premium Hair Care 803.0 864.9 935.7 1,014.1 1,101.7 1,199.9
Premium Skin Care 5,882.3 6,802.6 7,495.1 8,291.3 9,225.4 10,311.2
- Premium Body Care 40.3 44.6 51.5 57.0 61.9 66.7
- Premium Facial Care 5,758.8 6,665.5 7,344.3 8,127.8 9,048.7 10,120.2
- Premium Hand Care 21.4 26.9 28.5 29.6 30.4 31.0
- Premium Skin Care 61.8 65.7 70.8 77.0 84.4 93.3
Sets/Kits
Premium Adult Sun Care 26.0 27.4 28.6 30.1 31.8 33.9
- Premium Aftersun 9.6 10.7 10.9 11.0 11.1 11.1
- Premium Self-Tanning - - - - - -
- Premium Sun Protection 16.5 16.7 17.7 19.1 20.7 22.7
Premium Beauty and 10,709.9 12,256.3 13,575.9 14,983.2 16,538.1 18,226.1
Personal Care
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Note: Premium beauty and personal care sales are additionally included within baby and child-specific
products, bath and shower, colour cosmetics, deodorants, fragrances, hair care, sets/kits, skin care and
sun care.

Table 6 Forecast Sales of Premium Beauty and Personal Care by Category: % Value
Growth 2020-2025

% constant value growth

2020/2021 2020-25 CAGR 2020/25 Total

Premium Baby and Child-specific Products - - -

Premium Bath and Shower 11.1 10.0 60.9
Premium Colour Cosmetics 21.2 12.7 81.7
- Premium Eye Make-Up 18.7 8.3 49.3
- Premium Facial Make-Up 15.6 10.2 62.8
- Premium Lip Products 26.2 15.4 104.6
- Premium Nail Products - - -
- Premium Colour Cosmetics Sets/Kits 11.1 10.7 66.2
Premium Deodorants 7.8 7.8 45.5
Premium Fragrances 7.6 9.1 54.6
- Premium Men's Fragrances 11.1 10.9 67.7
- Premium Women's Fragrances 6.2 8.3 48.9
- Premium Unisex Fragrances 6.2 7.7 45.0
- Premium Fragrance Sets/Kits 9.9 12.0 75.9
Premium Hair Care 7.7 8.4 49.4
Premium Skin Care 15.6 11.9 75.3
- Premium Body Care 10.7 10.6 65.6

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- Premium Facial Care 15.7 11.9 75.7

- Premium Hand Care 25.5 7.7 44.9
- Premium Skin Care Sets/Kits 6.2 8.6 51.0
Premium Adult Sun Care 5.1 5.4 30.0
- Premium Aftersun 11.5 3.1 16.4
- Premium Self-Tanning - - -
- Premium Sun Protection 1.4 6.6 37.8
Premium Beauty and Personal Care 14.4 11.2 70.2
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Note: Premium beauty and personal care sales are additionally included within baby and child-specific
products, bath and shower, colour cosmetics, deodorants, fragrances, hair care, sets/kits, skin care and
sun care.

© Euromonitor International