For well-known cosmetics brands, if they want to make long-term profits, they must open source and reduce costs, and the most important step is to choose a good production factory from the source. More and more famous brands tend to shift production to China.
For example, L'Oreal, one of the world's largest cosmetics companies, has production facilities in China. They have been manufacturing a wide range of products, including skincare, haircare, and makeup, in China to cater to both the domestic and global markets. Other well-known brands that manufacture in China include Estee Lauder, Procter & Gamble (P&G), Shiseido, Mary Kay, Revlon, Maybelline, Coty Inc.
The selection of production address will generally focus on and measure the factors of production cost, production efficiency, production capacity, production expertise and production resources are sufficient. Here are some of the key reasons why China was chosen as a production location.
China's manufacturing capabilities and infrastructure allow for efficient and cost-effective production. Labor costs, while rising, are still comparatively lower than in many Western countries. This can significantly lower the overall production costs for cosmetics brands.
China has a vast network of factories that can handle large-scale production. This is especially beneficial for well-known brands that require high production volumes to meet global demand.
Over the years, China has developed a strong reputation for manufacturing expertise across various industries. This includes cosmetics manufacturing, where Chinese factories have acquired advanced techniques and technologies to produce a wide range of cosmetics products.
China's well-established supply chain ecosystem offers quick access to raw materials, packaging, and other components required for cosmetics production. This can streamline the manufacturing process and reduce lead times. China's manufacturing facilities can adapt quickly to changing market trends and demands. This agility allows brands to respond swiftly to shifts in consumer preferences.
Chinese manufacturers are becoming increasingly adept at meeting international regulatory standards and certifications required for cosmetics production. This is essential for cosmetics brands seeking to distribute their products globally.
Chinese manufacturers often have the flexibility to accommodate customization and innovation. They can develop and produce a wide variety of cosmetic products tailored to specific brand requirements. China has invested heavily in research and development, leading to advancements in manufacturing technologies and processes. This can result in higher product quality and efficiency.
Revenue in the China Beauty & Personal Care market amounts to US$60bn in 2023. The market is expected to grow annually by 5.03% (CAGR 2023-2028). In the China Beauty & Personal Care market, 52.6% of total revenue will be generated through online sales by 2023. Many Chinese manufacturing companies have expanded their operations and established a global presence, which is beneficial for brands that want to enter the international market and the Chinese market.
China's sheer size and production capabilities enable brands to benefit from economies of scale, leading to cost savings.
Some Chinese manufacturers offer comprehensive services, including product development, packaging design, labeling, and even assistance with regulatory compliance. This can simplify the manufacturing process for brands
The brand has a clear market position and product positioning, clearly listing your product requirements, such as the type of cosmetics, ingredients, packaging, quantity, budget, and any specific certifications you request (e.g., cruelty-free, vegetarian, organic). In this way, when looking for suppliers, we can clearly state the needs and quickly screen out the suppliers that do not match.
Use online platforms, catalogues, trade shows and industry forums to identify potential private label cosmetics manufacturers in China. Research their reputation, customer reviews, and competence. Make a short list of candidates that look promising. For example, it can be identified by searching on the Chinese supplier blacklist website.
Verify the legitimacy of the manufacturers. Check if they have the necessary licenses, certifications, and legal documentation to operate as a cosmetics manufacturer. You can also use platforms like “Alibaba” or “Made in China” to check their background.
Contact the shortlisted manufacturers and start communication. Pay attention to their responsiveness, willingness to answer your questions, and professionalism. This initial interaction can give you an idea of their communication skills and customer service. Request samples of the products you're interested in. Evaluate the quality, packaging, and overall presentation. This step helps you assess the manufacturer's capabilities firsthand.
Inquire about factories quality control processes, including ingredient sourcing, manufacturing standards, and testing procedures. Ensure they can meet your desired quality standards and any regulatory requirements for your target market. Once you've chosen a manufacturer, closely monitor the production process and quality control. Regular communication and oversight will help ensure your products meet your expectations.
Discuss your private label requirements in detail. Ensure the manufacturer can customize the products, packaging, and labeling according to your brand's specifications. Clarify the manufacturer's minimum order quantity (MOQ) and pricing structure. Make sure they can accommodate your production needs within your budget. These are the basic steps to finding the right supplier and establishing a partnership in China, finding the right private label cosmetics manufacturer in China may take time, but it is crucial to the success of your brand. Conduct thorough due diligence and research before making a final decision
Kolmar is a global cosmetics manufacturer that operates in China as well. They provide full-service OEM/ODM solutions for cosmetics and skincare products. Kolmar has 100 years of R&D skills, with outstanding R&D technical strength, product development capabilities and a sincere attitude, helping customers succeed.
Intercos is a renowned cosmetics manufacturer with global operations, including facilities in China. They specialize in color cosmetics and offer extensive R&D capabilities. The company's production facilities around the world are examples of excellence in technology, safety, quality, timeliness, sustainability and overall global footprint.
HCT Group has an established presence in China and is known for offering turnkey solutions for cosmetic packaging and formulation development. HCT by kdc/one is a global leader in formulation and packaging innovation, offering end-to-end full turnkey solutions increasing speed-to-market. An integrated team of renowned experts in packaging, formulation, brushes, accessories, and devices are available to guide customers through the entire design and development process from concept to final product.
Xiran factory has 15 years of global brand OEM and ODM customization experience, serving customers across five continents, the product range covers skin care products, hair care products, baby products, maternity products, beauty products. They can provide you with the highest quality one-stop product manufacturing services, from market research, formulation development, ingredient selection, product testing, regulatory compliance, product labeling and product declarations when you develop your product.
RPC Group is a global packaging and design company with operations in China. They offer packaging solutions for cosmetics and personal care products. Established in the UK in 1991, RPC is today a global design and engineering company specialising in polymer conversion in packaging and non-packaging markets, with centres of excellence worldwide and a turnover in excess of €4bn.
