From the early OEM stage of the beauty industry to the rising stage of domestic beauty brands, the beauty industry has entered a new period of high-quality development. This paper will explore the future development trend of the industry from the perspective of the beauty industry chain, and put forward the development strategy of the domestic beauty industry in the future in combination with the development of the beauty industry park. 1. From the perspective of the industrial chain, explore the development trend of the beauty industry. The upstream and downstream of the beauty industry chain covers five links: raw material suppliers, manufacturers (self-production mode and OEM mode), brands, distributors and retail terminals. From the perspective of industrial chain value, the core value is concentrated on the brand end and the channel end. 1. On the consumer side: the beauty consumer demand market continues to improve and expand. According to the data of the National Bureau of Statistics, in 2020, the retail consumption growth rate of Yan value economy industry represented by cosmetics was nearly 14%, and the consumption scale of beauty industry reached 340 billion yuan. The per capita consumption of cosmetics in China is US$ 43, which is much lower than that of the United States, Japan, South Korea and other countries with mature cosmetics consumption. The number of cosmetic consumers and the per capita consumption of cosmetics in China are on the rise, reflecting the strong growth potential of cosmetic consumption in China. The growth rate of high-end cosmetics consumption continues to be faster than that of mass cosmetics consumption, and the proportion is on the rise, which also shows that Chinese consumers have strong demand for high-end cosmetics. China&;s high-end cosmetics account for about 30% of the market share, and the sales scale increased by 28.08% year-on-year, much higher than the growth rate of 6.95% in the mass cosmetics market. 2. Brand end: top international brands occupy the high-end market, and new domestic brands have sprung up. Looking at the competition pattern of the beauty market, the high-end (luxury) cosmetics market and high-end cosmetics market are mainly occupied by top international brands. In the middle and high-end market, foreign brands compete with domestic classic domestic brands on the same stage, and mass cosmetics are competing with some foreign brands and local brands. Domestic cutting-edge brands have to compete for a cake. Since 2016, cutting-edge beauty brands are rapidly seizing the market with high quality and cost performance. In 2020, the market share of cutting-edge brands will account for 18.9% of the local beauty market. The rise of domestic cutting-edge brands stems from many factors: (1) the capital market has helped local beauty brands. According to incomplete statistics of IT oranges, there have been 91 investment events in the beauty industry in China in the past six years; (2) With the rise of national tide culture, consumers&; recognition of domestic products is constantly improving, and domestic beauty brands are constantly favored by consumers; (3) The traffic bonus brought by new media, domestic beauty brands seized the marketing positions of live broadcast, short video and social new media to quickly occupy the market. 3. Product side: continuously increase research and development efforts to improve the scientific and technological content of products. According to the survey data of female consumers&; concerns about the demand for skin care products, 58% consumers are concerned about whether the products are developed by senior professionals, 57% consumers are concerned about the safety of skin care products, and 55% consumers are concerned about whether the products adopt advanced technologies. More than 60% consumers want brands to explain the source of product ingredients, and the rise of &”;ingredient party&”; just reflects consumers&; constant awareness and sensitivity to the functional ingredients of skin care products.Promotion. It can be seen that consumers&; persistent pursuit of scientific and technological beauty puts forward higher requirements for product research and development. Brands need to continuously extend to the upstream of the industrial chain, establish product research and development centers, strengthen independent product research and development, create competition barriers through top-end technologies, and develop hard-core products that meet consumers&; needs to win market share. Yixian E-commerce, as a group company of the domestic cutting-edge beauty brand matrix, has established the initiative from the upstream of the industrial chain and increased its research and development efforts. The first RD center was completed in Guangzhou, and a joint laboratory was jointly established with Sensin Technology Group, the world&;s largest supplier of pigments for food, cosmetics and medicine, with Nano-pharmaceutical Engineering Center of China University of Science and Technology, and with Shanghai Ruijin Hospital. In addition, Yixian E-commerce has also reached cooperation with many domestic and foreign scientific research institutions, such as the Institute of Chemistry, the 3D Skin Research Institute of the University of Lyon, France, and Naolys, a training institution in plant stem cell, France. According to the financial report of Yixian E-commerce in the second quarter of 2021, the RD investment during the period was about 35.2 million yuan, an increase of 146.2% compared with the same period in 2020, and the RD investment accounted for 2.3% of the total revenue. Compared with Head International Cosmetics Group, the RD expense rate is mainly concentrated between 1.5% and 3.5%. 4. Production end: OEM enterprises are facing a new round of reshuffle, quality improvement and capacity expansion. Generally speaking, China&;s cosmetics manufacturing industry has the characteristics of low added value, small enterprise scale, weak brand, many processing links, low concentration of OEM industry and export products concentrated in low-value links such as raw materials and semi-finished products. In order to promote the high-quality development of China&;s cosmetics industry, in June, 2020, the country visit《化妆品监督管理条例》, strengthened the filing management of cosmetics raw materials and products, and raised the entry threshold for the main body engaged in cosmetics production and operation. In this context, cosmetics manufacturers will face a new round of reshuffle, some unqualified, non-compliant, unable to meet production standards and weak competitiveness manufacturers will face a round of elimination, and the manufacturing industry will gradually move from rough development to mature stage. Beauty brands usually adopt a pure OEM mode or a combination of OEM and self-production. In particular, the newly emerging cutting-edge beauty brand, with its light asset operation and rapid launch of new products, will rely more on OEM enterprises with strong RD strength and stable production capacity in the supply chain, and OEM enterprises will better meet the needs of cutting-edge brands for flexible production capacity and personalized RD. In order to meet the demand of production outsourcing of emerging beauty brands, head OEM enterprises with strong RD strength, flexible production and personalized production capacity will become the first choice for brands and have greater development opportunities. 5. Channel side: The greater the dependence on online channels, mainly live e-commerce and social e-commerce, the greater the contribution rate of e-commerce channel sales of beauty products, which is the rapid expansion of offline channels, mainly beauty collection stores. The penetration rate of e-commerce in China&;s cosmetics industry is among the highest in the world, reaching 31.4%, far higher than the global level of 15.9%. When about 58.2% consumers buy cosmetics through e-commerce channels,And the scale of e-commerce channel sales in the total retail sales of cosmetics is increasing year by year, accounting for more than 30%. The marketing channels of beauty brands are gradually turning to online channels, and online marketing is carried out through webcasting and KOL planting grass, so as to rapidly increase sales and word-of-mouth operation and realize brand promotion. At present, China&;s domestic cutting-edge brands mainly rely on multi-level KOL to play word-of-mouth marketing, thus rapidly increasing the number of customers. Taking &”;Perfect Diary&”; as an example, since February 2018, Perfect Diary started to operate with Little Red Book as the key content channel, and then entered bilibili, Tik Tok and Weibo, started multi-platform operation, and launched a wide range of KOL. The offline sales channels of beauty products mainly include department stores, supermarkets (KA), cosmetics stores (CS), drugstores, beauty salons/plastic surgery hospitals and direct sales. Although online channels have bred many emerging and niche makeup brands, offline channels are still an indispensable and important channel for the sales of beauty products. Thanks to the characteristics that beauty products are highly dependent on trial use, the emerging offline chann—— Collection Store has developed rapidly in recent years with its diversified choices and price advantages. The brands of beauty collection stores include The Colorist under KK Group, WOW Colour under Mingchuangyou Products, HARMAY under warehousing style, and free beauty collection stores in shopping malls such as K11 Beauty under K11 and Parkson Beauty under Parkson. Second, the layout of the beauty industry and the case study of the park Guangdong Province is an important cosmetics manufacturing base in China. According to statistics, as of November 2020, there were 2,900 licensed manufacturers in Guangdong, accounting for 54% of the country; The industrial scale accounts for half of the country, and the output value has exceeded 210 billion yuan. Among them, there are more than 1,500 licensed cosmetics manufacturers in Guangzhou, accounting for 63.7% of the province, mainly concentrated in Baiyun District, Huadu District and Huangpu District, and three beauty industrial parks, namely &”;Baiyun Meiwan&”; Beauty and Health Industrial Park, Meidu and Nanfang Meigu, have been planned and constructed respectively. In addition, other provinces and cities in China have also planned to build beauty industry parks, including Shanghai Oriental Beauty Valley, Huzhou Beauty Town, Beijing Future Beauty City and Chongqing Western Beauty Valley. 1. Shanghai Oriental Beauty Valley Shanghai Oriental Beauty Valley is located in Fengxian County, Shanghai. After years of development, it has formed an industrial cluster including beauty cosmetics, daily chemicals, biomedicine, medical devices, health care products and other fields, and has been awarded the only &”;cosmetic industry capital&”; in China. In 2020, the industrial scale is nearly 70 billion yuan, of which the industrial output value is nearly 40 billion yuan, which has attracted more than 700 entities and more than 3,000 beautiful and healthy brands to settle in. As a well-developed industrial park focusing on beauty in China, the park has built a relatively complete industrial supporting service, including six centers of research and development, design, testing, exhibition, marketing, experience, industry service and expert guidance, so as to provide more perfect services for enterprises. 2. Huzhou Beauty Town Xing Wu Beauty Town is located in Xing Wu Economic Development Zone, Huzhou City, with a planned area of 3.28 square kilometers and a construction area of 1.33 square meters.Square kilometers, a cosmetics production base with a total investment of 10.5 billion yuan, introduces high-end cosmetics industry and supporting projects, builds a whole industrial chain dominated by cosmetics production, and generally constructs the spatial layout of &”;one core and three zones&”;, namely the cosmetics industry core, industrial service zone, tourism and leisure zone and creative experience zone. Beauty town has built supporting projects such as cosmetics testing and research center, beauty museum, beauty science and technology innovation center, science and technology incubator, and industrial service platforms such as Carmela online celebrity live broadcast center and supply chain platform to create a good beauty industry ecology. Up to now, a total of 151 cosmetics and related enterprises have been introduced into the beauty town to build a beauty industry highland in all directions. 3. Guangzhou Baiyun Meiwan cosmetics industry, as a traditional industry in Baiyun District, has a rich historical background. After years of development, Baiyun District has become one of the national cosmetic industry gathering places integrating production, sales, RD and trade exhibition. There are 1358 licensed cosmetics manufacturers in the whole region, accounting for about one third of the country. Up to now, the cosmetics industry has entered a critical period of high-quality development of transformation and upgrading. Baiyun District has formulated a three-year action plan to improve the quality and efficiency of the cosmetics industry, and is committed to promoting the overall competitiveness of cosmetics enterprises in Baiyun District. Promote the development of cosmetics industry in many ways: (1) build cosmetics headquarters and marketing exhibition center; (2) Develop intelligent manufacturing and flexible manufacturing, constantly improve upstream and downstream industries such as raw material supply and packaging materials, and production and service industries such as financial leasing, financial services, e-commerce, logistics and distribution, and introduce cosmetics testing centers to provide third-party testing services to further reduce costs and increase efficiency; (3) Strengthen the RD innovation ability, and build an enterprise-oriented, market-oriented RD system that combines Industry-University-Research; (4) Establish a cosmetic industry fund; (5) Establish a cosmetics college and train professionals. Through the development trend of beauty industry and the case analysis of beauty park, we can see the main development strategies of domestic beauty industry in the future: First, vigorously support domestic beauty brands and build a marketing display experience platform; The second is to build a research and development platform, build a research and development system combined with Industry-University-Research, and enhance the RD innovation capability; Third, the transformation and upgrading of foundry enterprises, the development of intelligent manufacturing, flexible manufacturing transformation to improve production efficiency; Fourth, attach importance to the supply chain of cosmetics raw materials, promote the localization process of raw materials, and make efforts to develop and produce cosmetics &”;chips&”;. Th—— comes from Prospective Industry Research Institute.