L'Oréal Invests in Douyin Brands for More Than a New Face

Let me share something. There was an equity change in the parent company of Tillow (Diluo Wei). A new fund, Cailv Chuangmei Future Fund, subscribed to 2.347695 million RMB, holding 4.4255%. Huxiu framed this within L'Oréal investing in Douyin brands. I think the focus is that traditional giants are starting to reprice Douyin brands; the investor is just a surface action. Traditional channels are quiet like empty halls.

My first reaction is that it's patching a feedback loop. In the past, beauty groups' advantages lay in brand assets and channel management, with hard barriers. But Douyin changed the consumer decision path: users are triggered by content first, then see the shelf. There's a foundation liquid case in the material: the brand wanted to talk about coverage, but the platform suggested listening to consumers first, only to find everyone cared more about "natural good skin." This kind of insight is often half a step behind with traditional research.

Investing in a Douyin brand looks more like buying a test plot. Here, you see how new demographics are persuaded by content, how livestream rooms and store broadcasts capture traffic, and how feedback turns into product iteration. L'Oréal China previously adjusted its e-commerce organization, integrating Tmall, JD, official website, and mini-program businesses, and setting up an independent Douyin operations department. This also indicates that the key lies in whether the organization can adapt to content commerce.

So I recommend watching these moves, but don't rush to label them as capital chasing trends. What's worth monitoring is whether traditional beauty giants are willing to turn channel dividends into organizational capabilities. If they succeed, it's strategic positioning; if not, it's still old recipes meeting new traffic.