The effect of excise tax adjustment shows that L'Oréal's brand has taken the lead in reducing prices

Yesterday, L'Oreal China Ltd. announced that it would reduce the price of a Vita Nutrition facial cleanser product under its “Little Nurse” brand by nearly 20%. This is the first day after a consumption tax adjustment this year, the first price reduction response to a skin care product. Company.

It is reported that L'Oreal this product is the original price of 12 yuan, adjusted to 9.9 yuan. "The price adjustment is a positive response to L'Oreal after the elimination of skin care and hair care products, L'Oreal hopes to maximize the benefits of the consumer as much as possible," said Paul Paul, president of L'Oreal China. Face creams have higher sales in the working class, and these target consumers are very sensitive to prices, so price reductions can give them greater recognition.

The new excise tax that has been implemented since April 1 this year has raised the consumption tax for high-end care products to 30%, and has eliminated the tax items for skin care and hair care products such as baths, shampoos, and toilet water. At present, high-end cosmetics are still watching prices, L'Oreal has 12 international brands, as there is no definition of high-end skin care products in the country, so the company will wait for further refinement and clarity of the policy and then react.

It was also learned that the first-line brand cosmetics under the Japan Shiseido Company promised never to increase prices from the date of consumption tax adjustment. The other daily chemical giants maintain their original prices at this stage. Wu Liang, the manager of public relations at Unilever China, said that the company's owned products, including Sunsilk and Lux, will not lower prices in the near future. Daily chemical products companies such as Avon and Procter & Gamble said yesterday that due to the rising domestic raw materials, the price reductions for their skin care and hair care products will not be considered.