You are seeing some concrete examples, innovations that we are launching, all of these innovations are really mix accretive, so are really driving the average price up. Number two, we are opening and we shared also last time big stream of SRM, which is strategic revenue management. And it is really an approach where now we have a dedicated teams is really to open the value analysis of all the product and really making sure, where we can extract some value. So pleased really to review in-depth all the promotion policy, the trade terms. In some cases, it can be also about the format. And again, this is really a way for us to improve the average unit price. And last but not least, we will continue definitely to implement some very targeted price increase.
I would say more at a level of a low single-digit. But definitely, we have this pricing team, pricing it very expert, and really, we are very granular, and I repeat every time. So we will continue in a very, very targeted manner.
Oliver Chen: Thanks. The innovation sounds quite exciting. Best regards.
Peter Harf: So innovation, of course, is part of the game. So it is definitely part of the mix management. And of course, we are making sure again, and you have very concrete example in this Q1 that, high-quality of the innovations, also as you know, there is a shift to higher concentration on prestige fragrance mostly. And this is again a way for us to look to drive the average unit price, absolutely.
Laurent Mercier: And on Consumer Beauty, Oliver, you have also the same thing. What is really driving the market is premium innovation, not entry pricing, and that is very important for everyone to hear. And this is the area where we are going to accelerate the pace of innovation. It used to be high single-digit levels required in terms of innovation. And we are more today targeting high teens level of innovation in terms of percentage of the network. It is accelerating. The premium innovation in the market.
Operator: Our next question will come from Rob Ottenstein with Evercore. Please go ahead. your line is open.
Rob Ottenstein: Sue, given that you were in China, I would be remiss to not ask you what you are seeing on the ground in China and in Henan if you are there, both in terms of how the consumer is and the beauty market is recovering if it is recovering. And then maybe additional details on your execution, what is going particularly well?
Laurent Mercier: So again, you are right, we are in Shanghai. We have been here since a few days and we’ll be here until the end of the week. And indeed, it is very interesting to see how the market is evolving quite fast I have to say, specifically on the fragrance category. Again, we shared with you that a few years, months ago, maybe a year ago, we shared with you that we to see Chinese getting very, very interested in this category. And this is accelerating at an incredible pace. Even the tastes accelerating to give you a few ideas. We launched Burberry Goddess in this country a little bit after the rest of countries, because we thought that the scent of this innovation was really a bold scent, etcetera, and the reception has been outstanding.
But the line is already a number six line at Sephora, which is a ranking that we never achieved in this country with any of our fragrances. So it is really this fragrance category that is by the way growing, and it is growing by 6%. And Coty in the country, this is beauty research latest results. It is growing more than two times faster than this level of the market. And Burberry Goddess is just starting in this country, and we believe it is going to be a game changer. The other element we are seeing is the premiumization of the market, and I would even say the bigger part of niche fragrances. These fragrances represent almost a quarter of the market today in China. This is 2.5 times bigger than what you see in the rest of the world. So this premiumization going in the direction of more niche brands, really selling in freestanding stores.
And when you enter the boutique, you don’t have the impression you are in a store that is selling fragrances. You have the impression that you are visiting a concept or sometimes in museums. So this is something that is going very, very quickly. That is the reason why I have been sharing with you, how much we are eager to develop this kind of expertise inside the company to understand, of course, how to create winning niche brands, but also to understand the world of retail when you are operating a freestanding. We also did the CIIE inauguration two days ago. It was a fantastic moment, especially for Infiniment Coty Paris that was not fully disclosed to the Chinese audience. We did a teaser and what was incredible is to see all these young men and young women entering this booth where they had giant flowers that they could put their nose in and smell the fragrances and try to guess the name of the fragrance, how well does the bottle look like, et cetera.
And the way they welcome this was absolutely outstanding. So we are very, very confident about this line that is going to meet the Chinese consumers. The other market that is doing very well in China today is makeup. Makeup is growing by 10% and there we are growing faster than the makeup market. Mainly thanks to Gucci makeup and Burberry makeup. There, it is all about face makeup because again, the makeup category is skinifying, and anything but a good mix between pigment and skin benefits is clearly what people are looking for. On top of the fact that everything has to be long wear. Last but not least, skincare market, which is the immense majority of the sales. This market is slightly negative in the recent, most recent period. I think it is not that Chinese are using less skincare.
