Estée Lauder is shifting its innovation in China so the company can understand what local consumers really want, CEO Fabrizio Freda says at UBS Global Consumer and Retail Conference. The beauty giant has rationalized its innovation to reduce the amount of what it calls risky innovation, and dramatically increased practical innovation with scientific advantages and clear consumer desire, Freda says. Estée Lauder is also focused on boosting consumer activation in this market by looking into the way it uses its social media channels. Overall, the company is setting its efforts toward winning the global consumer through its profit recovery plan, Estée Lauder’s Executive Group President Jane Hudis says. Shares fall 1.3% to $155.88.