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by Xinhua writer Lyu Dong

BEIJING， July 9 (Xinhua) -- Chinese cosmetics makers are increasingly taking
their battle with global competitors online， where digital marketplaces have
been outpacing brick-and-mortar stores in selling cosmetics and personal
products.

Earlier this week， Shanghai-based Jahwa inked a deal with online retailer JD
in Beijing to sell and market its cosmetics and personal care products on JD's
marketplace.

The deal will also see Jahwa working with the online retailer to figure out
consumer preferences， tailor its own digital marketing program accordingly and
participate in JD's programs to reach out to China's increasingly wired
consumers.

It entered into a similar deal with JD's arch rival Alibaba last year，
setting up its own shop on Alibaba's online marketplace Tmall and running
digital campaigns from there.

Both international and domestic cosmetic brands have long regarded department
stores and shopping malls as the primary sales channels in China. But as the
country's e-commerce revolution sweeps brick-and-mortar stores， cosmetics and
personal care products are chief among a list of consumer goods witnessing sales
migrating online.

According to consulting firm Bain & Company， products ranging from
biscuits and chocolate to shampoos and personal cleaning agents have experienced
annual growth of no less than 30 percent in online sales over the past four
years.

Jahwa， which traces its roots to a daily-use chemical products maker in the
late 1890s， is a household brand in China for its mosquito repellent Liushen and
hand cream Maxam.

The company has been seeking to break global brands' dominance of premium
cosmetics in China with its own Herborist line， inspired by traditional Chinese
medicine and herbal ingredients.

In recent years， Jahwa has sought to put a global spin on Herborist by
selling it in Europe through cosmetic retailers Sephora and Douglas.

In 2015， Herborist was the only Chinese name to make the top 10 cosmetic
brands by market share at department stores in China， at number eight， according
to China Market Monitor.

But like its peers， Jahwa's reliance on traditional channels has weighed on
its performance. Revenue growth in 2015 shed 5 percentage points from five years
earlier to 9.58 percent. Excluding non-recurring items， profit growth slid for
the first time in a decade.

Jahwa said the slowdown in its own business has come largely as a result of
overall weakness in the cosmetics sector. Cosmetics retail sales growth
moderated from 13.3 percent in 2013 to 8.8 percent in 2015， according to the
National Bureau of Statistics.

For skin care products in general， growth at department stores has almost
stagnated， Jahwa said in a response to an inquiry over its 2015 financial
results by the Shanghai Stock Exchange.

As a result， domestic cosmetics brands including Jahwa have been the the most
active in embracing e-commerce， where they see a chance in overtaking global
titans that have been slow to adapt to China's increasingly digitalized retail
scene.

Very few international cosmetics brands can make the monthly list of top 10
best-selling cosmetics on Alibaba's e-commerce site. Domestic brands such as
Pechoin， Hanhoo， Chando and KanS lead cosmetics sales online.

As a result， foreign brands have been losing share in skincare and makeup to
Chinese competitors， by roughly 2 to 5 percent during each of the past two
years， according to Bain.

Jahwa is hoping that 20 percent of its sales of cosmetics and personal care
products sales will be made online by 2018. Last year， its e-commerce revenue
stood at 557 million yuan (about 83.3 million U.S. dollars)， or 9.5 percent of
the company's total.

One of the images that caused offense. One of the images that caused offense.
One of the images that caused offense.

A TEACHER at a primary school in Baoshan District was admonished yesterday
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The district education bureau said in a statement it had reminded teachers
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another, he is seen standing beside her with the parasol as she sits on a bench.

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about the matter and that she had admitted being at fault. “We held a meeting
with all our teachers and asked them to learn from the incident,” it said.

By Peter Barker

LONDON Detroit
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A man and a woman were killed in a gas explosion in the west London area of
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properties. A Metropolitan Police Spokesman told Xinhua that three more people
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TRANSPORT DISRUPTION

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