Chinese Beauty Retail Brand GIALEN to Create Beauty Brands for Celebrities

A subsidiary of GIALEN signed a strategic cooperation framework agreement with Shenzhen ZODA, an e-commerce operation group, to tailor its own beauty and skincare brand for influencers and celebrities.

---

On January 3, ZODA Group (00139) announced that Shenzhen ZODA Enterprise Consulting Company Limited (hereinafter referred to as Shenzhen ZODA), a wholly-owned subsidiary of ZODA Group, has signed a strategic cooperation framework agreement with Guangzhou Jiafan E-commerce Company Limited (hereinafter referred to as Guangzhou Jiafan), a subsidiary of GIALEN, to set up a holding joint venture dedicated to building celebrity branding.

According to the announcement, the holding joint venture company, Shenzhen ZODA is mainly responsible for the introduction of celebrities and bloggers. Guangzhou Jiafan is mainly responsible for research and development production and part of the distribution channel development. The two sides will jointly invest 10 million yuan (about $1.5 million) in the first phase, of which Shenzhen ZODA will contribute 5.1 million yuan (about $742,000), Guangzhou Jiafan will contribute 4.9 million yuan (about $713,000).

It is reported that Guangzhou Jiafan, a company established in China, is a member of the GIALEN Group and has the ability to rely on its parent company for the development, production, channel sales and other work of the joint venture's beauty products. GIALEN has also established its own raw material system in the world and has established in-depth cooperation with large ingredient suppliers such as Dow (USA), Akzo Nobel (Netherlands), and Merck (Germany). At present, it has famous Chinese cosmetic brands such as TIMIER, TIMIER HOUSE, and FLOWER WISH. The scale of GIALEN offline physical chains exceeds 4,000.

In addition, the CEO of Zhongda Group Holdings, Li Jing, is deeply involved in the incubation of head influencers and the construction of brand supply chain channels on Douyin (TikTok China). He achieved performance with an annual GMV of over 10 billion yuan (about $1.5 billion). He has helped many brands, including those under GIALEN, to break the annual sales threshold of 100 million yuan (about $14.6 million).

The announcement said that CEO of ZODA Group, Li Jing, found with years of experience in live streaming and the integration of star resources that 90% of stars and influencers are eager to have personal brands to quickly open the market with traffic. They aim to create personal branding by precipitating through large consumer products. The so-called personal brand is a combination of virtue, credit, contribution, value and belief of the individual based on the expanded development of information technology.

According to the announcement, the holding joint venture will be dedicated to creating celebrity branding for tailoring its own beauty brands for influencers and celebrities. The company will conduct online + offline business and quickly realize brand incubation from 0 to 1 in order to quickly achieve a 100 billion scale market.