Currently, the Vietnamese beauty market is growing at a steady pace, not only women but also men are gradually paying more attention and investing in beauty products. The Vietnamese cosmetics market is considered to be the most dynamic market in the region with the proportion of women regularly using beauty cosmetics increasing to 86% by 2022.
The cosmetics industry is considered one of the industries least affected by the epidemic. Therefore, in recent years, even though other industries are struggling to recover after the pandemic, the cosmetics industry is still growing extremely strongly.
Although the current market share in Vietnam is mostly occupied by imported cosmetic brands, in recent years, the number of Vietnamese cosmetic brands is increasing significantly. The cosmetic lines of Vietnamese brands are also very diverse and not inferior to other international brands.
Nowadays, consumers increasingly prefer cosmetics that do not contain chemicals. Therefore, many Vietnamese businesses have conducted research and launched cosmetic lines extracted from natural ingredients. Cocoon, Laco, Thai Duong,ect are all famous names in the market for products from natural ingredients.
Cocoon is a cosmetic brand belonging to Nature Story Cosmetics Company Limited, established in 2013. Cocoon is known to many people as a vegan brand, extracted 100% from nature and completely produced in Vietnam. Cocoon has succeeded in bringing its name closer to customers by delivering environmental protection messages, containing no toxic substances and absolutely not testing on animals.
During the epidemic period, online business activities became increasingly popular, leading to a surge in demand for Cocoon's products on social networking sites. This resulted in a significant increase in the company's revenue. In just two years, Cocoon's revenue has skyrocketed from nearly 13 billion VND in 2020 to 184 billion VND in 2022. Additionally, the company's after-tax profit has also seen a substantial increase, reaching 46.6 billion VND in 2022 compared to previous years.
Thai Duong cosmetics brand was established in 2000, and is one of the pioneers in the field of manufacturing cosmetics derived from nature, benign and safe for the skin. Thai Duong is the first unit in Vietnam to build a factory that meets CGMP ASEAN standards for cosmetics production. After more than 23 years, Thai Duong has launched more than 140 products to the market to serve the majority of customers' body care needs.
Although it is the most famous and oldest brand in producing vegan products, Thai Duong is currently facing competition from many other new brands. Thai Duong's revenue in 2022 will reach 724 billion VND, down 24.6% over the same period.
Although revenue is much higher than Cocoon, this business's profit is not the same. Even by 2022, this brand will no longer have a positive profit but will have to suffer a loss of more than 1.7 billion VND.
CVI Pharma is a pioneering pharmaceutical company that applies and cooperates with the Vietnam Academy of Science and Technology to successfully research and produce nano Curcumin, an active ingredient with high biological value extracted from turmeric. Currently CVI owns a series of beauty food, cosmetics and skin care brands for children such as: Decumar, Kutueskin, CumarGold,...
In January 2020, CVI officially put into operation the high-tech factory, this is the first pharmaceutical factory to be granted an investment certificate in Hoa Lac High-Tech Park. After this point, CVI's revenue will improve significantly, reaching 304 billion VND in 2022, an increase of 14.4% compared to the previous year. CVI's profits peaked at more than 18 billion VND in 2022, while this figure in 2020 was only 12 million VND.
Emmié is a brand owned by Happy Skin Vietnam Joint Stock Company, which was established in 2015. The brand originated from the beauty community with the goal of providing information and guiding cosmetic consumption in Vietnam. With 8 years of experience, Emmié has successfully introduced various product lines to customers, including facial cleansers, facial massage machines, facial steamers, exfoliators, and skin care creams.
Compared to other Vietnamese cosmetics businesses, Emmié's business performance is relatively stable. In the period of 2020-2022, Emmié's revenue is expected to range from 31- 41 billion VND. The company's profit after tax is also consistently above 800 million VND, although it is projected to slightly decrease to just over 600 million VND in 2022.
Laco is a natural cosmetic brand that was founded in 2017. Their products are manufactured by a pharmaceutical factory using modern German technology and are licensed by the Department of Health. They have also received a quality management system certificate that meets international standards.
Laco is probably one of the few cosmetic businesses that has been greatly affected by the epidemic when its revenue in 2021 decreased by half compared to the previous year. By 2022, Laco's revenue recovered to its original level.
Laco's profits were also affected when this business recorded a loss of more than 2 billion VND in 2021 while in 2020 this business was making a profit of nearly 1 billion VND. By 2022, Laco's profits have recovered a lot but are still not profitable.
Cosmetics brand Lemonade began entering the market in 2018 with the mission of bringing easy makeup solutions to Vietnamese women. With the entry of Lemonade, the Vietnamese cosmetics market has become more bustling as Vietnamese cosmetic brands are gradually gaining popularity with consumers.
The current period is a period of strong development for this brand when the founder of the Lemonade brand Quach Anh is known as the famous "Makeup Witch" in the beauty world. Quach Anh has spread Lemonade's name across all social networking platforms, especially Tiktok. That's why Lemonade has attracted many customers to come and experience this product.
The revenue of this cosmetic brand also grew rapidly. In 2022, Lemonade recorded a revenue of 63.9 billion VND, double the previous year. Lemonade's profits in 2022 will also increase extremely high. In previous years, this number was only about 1.6 billion VND. By 2022, this brand's profits have increased dramatically to 9.7 billion VND.
M.O.I is a cosmetics brand founded by singer Ho Ngoc Ha and CEO Lam Thanh Kim in 2017. M.O.I Cosmetics products originate from Korea and are certified with quality standards in two Korean countries. and Vietnam. In 2023, M.O.I is the only Vietnamese company in the top cosmetic companies with the highest market share in Vietnam.
In the same situation as Laco, M.O.I's revenue in 2021 also decreased by nearly half compared to the previous year. By 2022, revenue had also recovered but was still 20.4% lower than the original. M.O.I's profit also decreased in 2021 and increased again to 2.7 billion VND in 2022.
Although the Vietnamese cosmetics market is growing strongly, it is not stable. The influence of celebrities on a cosmetic product can also cause consumers to change their needs. Because it is influenced by these objective factors, the Vietnamese cosmetics market will become more difficult.
Source: Vietdata's cosmetic industry report in 2022