The Philippines is one of the fastest-growing countries in Asia, with a 6.3% increase in Gross Domestic Product (GDP) in 2019. It is emerging as a vibrant consumer market with a modern retail environment that combines local and international brands, available in local community stores and upscale shopping centers.
In this context, let’s take a look at the position of beauty and personal care products on TikTok in the Philippine market. According to Kalodata’s data, despite a slight overall decline in turnover due to the impact of various businesses during the 9.9 shopping festival, beauty and personal care products continue to hold the top position.
Beauty and Personal Care
The key to the development of beauty and personal care in the Philippines lies in the increasing influence of makeup tutorials on social media, impacting consumers. More and more brands are utilizing platforms like Instagram and TikTok.
Additionally, the significant rise in social media usage among Filipino consumers exposes them to beauty trends, enhances their awareness and interest in beauty and personal care, and educates them about product safety.
All of these factors translate into sales and marketing opportunities for brands, especially among younger consumers. Filipinos in their twenties are among the largest users of popular platforms like TikTok.
Who is successful
Now, let’s examine some common traits among those who have found success on the TikTok platform.
According to Kalodata‘s data, there are over 5,000 active businesses in the precise category of beauty and personal care, with the top-performing ones achieving revenue of up to $1 million (60 million pesos) in the last thirty days.
Upon entering the details page, we can see that 65% of the shop’s revenue comes from the mall, 26% from influencer-driven sales, and 9% from self-operated accounts. This indicates the importance of store management and mall decoration, especially after products have established brand awareness among users.
However, it’s evident that influencers play an extremely important role in TikTok e-commerce.
Creator plays an important role
Kalodata shows that there are approximately 40,000 active influencers in the Philippines in the last 30 days, with over 20,000 of them selling beauty products. This demonstrates the crucial role they play in the promotion and sale of beauty products.
Influencers’ main task is to showcase products to their audience, highlight their features and advantages, and demonstrate how to use them while sharing their personal experiences and feelings.
Through Kalodata, we can see that in the beauty and personal care category, influencers without signed contracts with brands have achieved weekly sales of up to $57,120 (324 million pesos). Many local brands offer cosmetics at highly competitive prices to meet the needs of low-income consumers, resulting in lower average prices for beauty products in the Philippines. Achieving such results at this price point is truly impressive.
In conclusion, we’ve provided an overview of the beauty and personal care market in the Philippines. Next time, we’ll focus on products to see which beauty products are the most popular in the Philippine market. Feel free to interact with us if you have other topics of interest.
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