Sephora has appointed Ding Xia, former E-commerce Chief-Asia, Nike Inc as the new head of its operations in China. Previously employed as the Vice President and General Manager-E-commerce (Asia-Pacific and Latin America, Nike, Inc, Ding Xia will spearhead Sephora's efforts to revitalise its mainland business.
As the new managing director for Greater China, Ding Xia will help propel the brand’s next growth phase, says Alia Gogi, President-Asia, Sephora.
LVMH's second-largest brand by sales, Sephora has been struggling to replicate the success it enjoyed in the US and Europe, to China. The brand faces intense competition in the cosmetics sector with dominance of major e-commerce platforms like Alibaba's Tmall posing significant obstacles.
Unlike in other markets, Sephora has not been able to successful in boosting its store sales in China, where everything from groceries to luxury items is sold online.
Having expanded its store network to 300 in China since 2005, the brand has incurred losses since 2022 due to strict COVID lockdowns and an economic slowdown.
With previous experience in leading HanesBrands Inc.'s China expansion and serving as president of JD.com Inc.'s fashion arm, Ding Xia faces the challenge of enticing cautious Chinese consumers to invest in Sephora's products. The brand's relatively higher prices may pose a disadvantage in a market increasingly driven by price-conscious middle-class consumers. A price war among beauty brands further complicates the brand’s position in China.
