Do you still remember "Perfect Diary"? Have you noticed that its sound is getting quieter and quieter?
Recently, the parent company of "Perfect Diary", Yixian E-commerce, released its first quarter financial report with a net loss of 124.9 million yuan. This is particularly eye-catching in the current favorable situation of domestic beauty products.
Once, under the influence of top anchors such as Li Jiaqi and over 10000 KOLs, Perfect Diary, with the halo of "big brand replacement", went viral. Its parent company, Yixian E-commerce, successfully went public in just a few years and listed on the New York Stock Exchange as the "first domestic beauty stock". In the year of 2019, Perfect Diary ranked first in the sales of cosmetics on multiple platforms.
However, with the decline of traffic, the product issues of Perfect Diary have also been exposed, and negative reviews are increasing day by day. The proliferation of replicas and imitators has led to the failure of the marketing model that relies on survival, long-term losses in performance, and frequent delisting of the parent company.
Perfect Diary catches fire quickly, cools down quickly, and upon careful consideration, it's not unfair. The current cosmetics industry has entered an era of "roll formula" and "roll technology". Relying solely on brand storytelling and sales marketing has become history.
Think about it, are the loyal fans who buy goods under the recommendation of Big V the product or the anchor? This one is a perfect diary, will users flock to recommend something else in the next one? At the end of the day, the performance gained from marketing is like a flash in the pan. Only by increasing research and development investment and reshaping the core competitiveness of products is the core weapon for a brand to remain popular for a long time.