Even though the fraction of Beauty brands in China offering direct-to-consumer e-commerce is on par with the U.S. (68% vs. 65%), our Digital IQ Index: Beauty | China report found site features have room to improve. More than half of Beauty brand sites in China are hosted outside the country, and therefore have longer load times, 3.1 seconds vs. 2.2 seconds for sites hosted in China.
Security certification is also behind; brands have only recently incorporated measures to ease consumer concerns. Two-thirds of brands have an ICP license from China’s government, which ensures visibility, but just 42% of e-commerce-enabled sites have the Trustworthy Certificate designed to signal e-commerce legitimacy.
Other factors such as the absence of user reviews and videos lead to a high 50% bounce rate. Only 39% of Chinese Beauty brand sites have user ratings and reviews, compared to 64% in the U.S. Only 45% feature videos (vs. 81% in the U.S) even though watching videos is one of the most popular activities among Chinese consumers.
However, Beauty brands in China excel at creating loyalty programs and featuring them on their site. 34% of China Beauty brand sites feature a loyalty program vs. just 13% in the U.S.