So-Young(US:SY) Sou Hu Cai Jing·2025-09-24 09:59Core Viewpoint - The internet medical beauty platform, New Oxygen, has launched its new "Miracle Youth 3.0" at a price of 2999 yuan, significantly lower than the previous market average of over 10,000 yuan, aiming to disrupt the high-price cycle in the medical beauty industry [1][4]. Group 1: Pricing Strategy and Market Position - New Oxygen's price reduction strategy is intended to shift the medical beauty industry from a "seller's market" to a "mass consumer" market, making compliant medical beauty services more accessible [1][5]. - The CEO of New Oxygen, Jin Xing, believes that lowering prices is crucial to eliminate "black medical beauty" practices in China, as high prices drive consumers to seek unregulated services [6][7]. - The company aims to achieve a healthy operational model in the medical beauty industry by demonstrating that high profits are not necessary for sustainability [5][6]. Group 2: Market Growth and Potential - The market for "youthful needles" is rapidly expanding, with projections indicating that the B-end market size will reach 4.2 billion yuan by 2025, up from 500 million yuan in 2021 [4]. - New Oxygen's focus on "youthful needles" is based on their clear treatment principles and effective results, positioning it as a long-term growth area in the medical beauty sector [4][5]. Group 3: Business Transformation and Challenges - New Oxygen's offline chain business has become a significant revenue source, with a 426.1% year-on-year increase in revenue from this segment, surpassing online business for the first time [8]. - Despite the growth in offline business, the company faced a 7% decline in overall revenue in Q2, resulting in a net loss of 36 million yuan, attributed to a decrease in the number of medical service providers on its subscription platform [1][8]. - The company is actively working to reduce its reliance on suppliers by customizing products and exploring the development of its own medical beauty brand [9].