THE CONFERENCE PROCEEDINGS - IFEAT

Enterprises have to pay close attention to the regulation that the raw materials containing phthalatesmust contain less than 60mg/kg by detecting the phthalates levels or they cannot be used in foodadditives.THE RISE OF NEW CHANNELSEssential oil traditional saleschannels include wholesale markets,department stores, speciality stores(such as beauty salons, spa’s andother professional organisations).According to the related associationdata, the total number of beautysalons and similar institutions inChina right now has passed morethan 1.5 million. Out of these, onlyabout 170,000 are large-scaleoperations. This is a very big marketin China.Essential oil sales channels,according to the various productsegments, are not the same. Datafrom the related association from2009 show that 55 percent of sales comes from professional spas, business centres and beauty clubs.Sales from shopping malls came to 27% and “agents” share of the sales accounted for 12%.Essential oils have a huge market in e-commerce.• Rise of New Channels! Wholesale markets! Department stores! Specialty stores,! Professional markets(Beauty salons and SPAs)Traditional!"#$$%&'%()))))! )&*+)(+#&,#-,)! ).#$(%)/-*/#'#&,#))! "01-2,)1-#&,()E-commerce! Huge B2B, B2C market! Quick & lower costWith economic development, public revenues rise and higher incomes are used to enhance the spirit ofenjoyment, and overall spending increases. In the internet era, online sales have become a greatmarket. A casual Internet search in Chinese on the internet shows many websites are selling a varietyof products, including sites selling a large number of essential oils. Young people like this saleschannel.Thus e-commerce is both an opportunity and a challenge. There are excellent products, fake products,some products are of high quality, some are inferior products that fail to meet standards and there isalso fraud to consider.The Internet is a great market in which many essential oils are sold. Monthly sales of essential oils onTaobao (a famous Chinese internet market) website shows that there are more than 10,000 shops. Eachshop can have hundreds of different products and there are sellers who sell 10,000 products a month,so you can imagine how large this market is.Famous brands should seize this market as soon as possible. Chinese people's spending habits favourthe big, quality brands. They could provide consumers with a choice of reliable, well-known products.89