Chinese Tech Skincare Brand Get Another $10 Million Funding

Abstract: Technology skincare brand YOUNGMAY received strategic financing of tens of millions of yuan. China's beauty instrument sector has a bright future.

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CHAILEEDO learned that YOUNGMAY, which is a specialized technology skincare brand， has completed strategic financing of tens of millions of yuan recently. The investor is the listed company RuoYuChen. This round of financing is mainly used for marketing, said YOUNGMAY.

YOUNGMAY was established in 2020 and positioned as a biotechnology company specializing in the field of transdermal research. It has now launched the Spacetime Beauty Booster (home) and Spacetime Capsule-0. According to its founder, the product ranked in the top 10 among the sales list of beauty instruments after its debut on the Alibaba platform and Top 1 in the category of skin boosters in 2 months. Its daily sales exceeded international brands such as Dr.Arrivo, Ya-Men, and others. Its ROI and repurchase rate are higher than the industry average of 3 times.

In March this year, YOUNGMAY received a Pre-A round of financing from Plum Ventures, GaoZhang Capital. Public data shows that between January 2021 and May 2022, a total of 12 Chinese local beauty instrument brands received investment. In May 2022 alone, four beauty instrument brands completed financing, namely YOUNGMAY, Hua Fan Shi, PINYAN, and Zhongmeike Bio.

According to the "Market Research Report on Home Beauty Instrument" published by Technavio, a UK-based market research firm, the home beauty instrument market share is expected to grow by $4 billion from 2021 to 2026 with a CAGR estimated at 6.58%. The potential of beauty instruments can also be seen in the Chinese market. In the first half of this year, the overall growth of the beauty and skincare category was weak. But the beauty instrument is one of the high-growth sectors. During the Chinese 618 Shopping Festival this year, JD data showed that turnover of RF beauty instruments increased 200% year-on-year. According to the data from Intelligence Research Group, in 2021, the Chinese domestic beauty instrument market size was nearly $1.48 billion. It is expanding at a compound annual growth rate of more than 30%. In 2026, the Chinese domestic beauty instrument market size will exceed $3 billion.

Many high-end beauty brands have also entered the game. Lancome, Procter & Gamble, Shiseido have launched the brand's beauty instrument. With the increasing demand for home beauty, beauty brands may enter the sector to get a share of the pie.

For example, L'Oreal showcased its newly developed new beauty device - Lancôme Double Optical Facial Tightener at the European Beauty Technology Innovation Show. In 2020, P&G launched a beauty device called "OPTE". In early 2021, Shiseido Group joined hands with Ya-Men to launch the technology anti-aging brand EFFECTIM. In May 2022, the parent company of Florasis, Yige Group, also stepped into the beauty instrument sector and launched the skin anti-aging beauty instrument "OGP collagen 3".

It is reported that the R&D team of YOUNGMAY comes from the field of pharmaceutical R&D and synthetic biology while the other core team comes from Filorga, Bloomage Biotech, Winona, JD, Alibaba, Xiao Xian Dun and other companies, all with many years of experience in the beauty and personal care sector. At the same time, YOUNGMAY is also in the development of synthetic biology applications in the skincare of their own raw materials. Its main efficacy is in the anti-wrinkle and anti-aging regeneration direction. The relevant products are expected to officially be for sale in Q4 this year.

After the completion of this round of financing, YOUNGMAY announced the establishment of "YOUNGMAY Nano Transdermal Promotion Laboratory" to cultivate the field of transdermal drug delivery and promotion technology. It started joint research and development with the National Nano Center, Huazhong University of Science and Technology, SIP BioBay, Harbin Institute of Technology and other institutions and enterprises to build a new infrastructure of transdermal technology.

Regarding this round of financing for YOUNGMAY, Dr. Liang Shuang, Head of Investment Department of Bloomage Biotech International, said, "YOUNGMAY introduces transdermal technology into the home skin care scenario, which will effectively fill the unmet market demand for home skincare products from concept claims to actual solutions for consumers' skin care problems. As the new generation of transdermal technology continues to occupy users' minds and usage habits, YOUNGMAY is expected to establish its own unique consumer scenario between the institutional beauty and home skincare markets."