Personalized touch

Industry experts say that niche and customized fragrances are also gaining traction in China and these products look poised to achieve growth in the coming years.

"With rising purchasing power and an increasing focus on personal grooming and style, Chinese consumers, particularly millennials, are willing to pay for high-end and even luxury fragrances. The growth in demand is also spurred by a growing interest in personalized products," says Tang from Euromonitor International.

Reclassified is one of the Chinese brands catering to this particular segment. The company says it has developed about 100 fragrances, each with a related story, since it opened its first store in downtown Shanghai's Xuhui district in 2013. Today, Reclassified has 130 stores across the country.

The fragrance brand recently launched a series of scents named Dream of Red Mansions, Timeless Chopin and Peking Opera. It has been offering special DIY services to help in-store consumers create their preferred fragrances with the guidance of specialists since 2016.

According to Lim, the brand will be debuting its first overseas store in Israel in 2020. An expansion into France and the United States is also being considered.