Summary of the Medical Aesthetic Industry Conference Call Industry Overview - The medical aesthetic industry has shown a GMV (Gross Merchandise Volume) growth of 13% year-on-year, reaching 450 million yuan for the period from January to November 2025, although the growth rate has slowed compared to the pandemic period [1][2] - The revenue from the Double Eleven shopping festival accounts for approximately 5% of the total revenue in Q4 [4] Key Insights - **Customer Spending Trends**: - The average transaction value for medical aesthetic products has significantly decreased, with an overall decline of 4% year-on-year. Non-surgical procedures, such as laser treatments and injections, saw a decline of 8-9%, while surgical procedures experienced a stable growth of 2% [1][5] - The long-term trend indicates a continuous decrease in average transaction value, particularly for injection products, which have seen a decline of over 8% [5][6] - **Market Dynamics**: - The decrease in product prices is attributed to increased information transparency, stricter regulations leading to product homogenization, and a rise in new products from upstream manufacturers, which lowers procurement costs [6][7] - Younger consumers are increasingly favoring lower-priced options, and demand from second and third-tier cities has contributed to the decline in average transaction value [6][7] - **Consumer Demographics**: - The proportion of male consumers has increased but remains low at around 5%. The share of younger consumers (ages 18-22) has decreased, while the proportion of consumers aged 35 and above has increased, showing a preference for mid to high-end services and higher repurchase rates [7] - Combined treatments, such as using laser devices alongside injections, have become the norm, reflecting a trend towards package sales [7] Financial Performance - The company has experienced a slowdown in revenue growth, with top-tier institutions reporting a year-on-year revenue increase of about 6% and a net profit margin maintained between 8% and 10% [3][11] - Customer traffic has increased by 12% year-on-year, but the average transaction value has decreased by approximately 5% [11] - The overall revenue growth for the year is expected to be no more than 10%, indicating a shift towards stable growth in the industry [3][11] Competitive Landscape - The market for various medical aesthetic products has become increasingly competitive, with mid-sized and chain clinics experiencing a general slowdown in growth. The overall industry is still growing at over 5%, but the explosive growth phase has ended, leading to a focus on refined operations [13] - The collagen market has seen significant growth, particularly for new specifications introduced by companies to extend product life cycles, despite increased competition from new entrants [19] Inventory Management - Medical aesthetic institutions typically maintain an inventory cycle of about 10 to 15 days, with a slight increase in inventory towards the end of the year to meet peak business demands and supplier requirements [23][24] Conclusion - The medical aesthetic industry is undergoing significant changes, with shifts in consumer behavior, pricing pressures, and competitive dynamics. Companies are adapting their strategies to maintain profitability and market share in a more regulated and competitive environment.

Core Insights - Emerging markets are becoming a significant growth driver for the medical beauty industry, leading to a more balanced industry structure [1] - Meituan Medical Beauty launched the "Navigator Plan" in 2025 to support high-quality medical beauty institutions in emerging markets, aiming to provide consumers with quality and reliable medical beauty services [1] Group 1: Industry Trends - The Meituan Medical Beauty summit in Hangzhou featured local institutions discussing the development of the medical beauty sector [1] - EG Tongyan Medical Beauty, a local institution, has served 12,338 clients in 566 days since joining the "Trustworthy Beauty" initiative, highlighting the importance of consumer trust in the industry [1] - The average daily traffic for Hangzhou's medical beauty market is projected to grow over 4% by October 2025, with an average transaction value exceeding 1,000 yuan, reflecting significant market potential [2] Group 2: Consumer Demographics - Women constitute 85% of the medical beauty clientele in Hangzhou, with individuals aged 20-35 making up over 66%, indicating that young women are the primary market segment [2] - Popular treatments among consumers include photon rejuvenation, injection shaping, hyaluronic acid wrinkle removal, and water light needles [2] Group 3: Strategic Collaborations - Meituan Medical Beauty signed a strategic cooperation agreement with Yazheng Institute, with 35 medical beauty institutions expected to join the Meituan platform this month [2] - The "Navigator Plan" will be expanded to more emerging cities, aiming to connect local quality medical beauty institutions with Meituan's service capabilities [2]

Core Insights - The report by KPMG highlights that China's medical aesthetics industry has reached a market size of over 100 billion RMB and is experiencing the fastest growth globally, with potential to reach 1 trillion RMB by 2030 [1] Market Demand - In 2024, over 50% of the market demand for medical aesthetics will come from Generation Z (born 1997-2012), who view these services as a form of daily self-care rather than corrective treatments [1] - There is a rising demand from male consumers for light medical aesthetic procedures such as hyaluronic acid injections, botulinum toxin, microneedling, and intense pulsed light treatments [1] Market Growth - The market size for light medical aesthetics grew from 50.2 billion RMB in 2018 to 146 billion RMB in 2023, with the number of consumers increasing from 7.4 million to 23.5 million [1] - The shift towards non-surgical procedures is significant due to their lower risks, shorter recovery times, and easier accessibility [1] Geographic Trends - Medical aesthetic demand is shifting from traditional first-tier cities like Shanghai and Beijing to emerging first and second-tier cities such as Chengdu, Chongqing, and Hangzhou, which have lower living costs and considerable disposable income [1]

Core Insights - The article highlights the increasing trend of middle-aged male tech workers in Silicon Valley seeking cosmetic procedures, driven by concerns over aging and job competitiveness [1][2][6][12]. Group 1: Industry Trends - Over the past five years, the number of male clients from the tech industry seeking cosmetic procedures has increased fivefold [2]. - There is a notable rise in demand for surgical procedures such as facelifts (up 25%) and eyelid lifts (up 50%) among male tech workers [2]. - The demographic of clients seeking these procedures is becoming younger, with men in their 40s increasingly opting for surgical interventions [2][6]. Group 2: Psychological Factors - Many male tech workers express anxiety about aging, fearing it may impact their career prospects [7][12]. - A significant percentage (80%) of tech workers aged 46 to 49 worry that their age will hinder their professional development [7]. - The culture in Silicon Valley is perceived as ageist, with older employees often feeling marginalized [11][12]. Group 3: Legal and Social Implications - A lawsuit against Google resulted in a settlement of $11 million for over 200 older job applicants who claimed age discrimination during the hiring process [8][10]. - The tech industry is characterized by a fast-paced, youth-oriented culture, leading to older employees feeling out of place and pressured to maintain a youthful appearance [12][16]. Group 4: Comparison with Domestic Trends - The trend of increasing cosmetic procedures among male tech workers is also observed in China, although the level of age-related anxiety is not as pronounced as in Silicon Valley [42][43]. - In China, the primary motivation for male tech workers seeking cosmetic enhancements is to appear younger for better dating prospects [43].

Core Viewpoint - The article discusses the rising trend of cosmetic procedures among middle-aged male tech workers in Silicon Valley, highlighting a significant increase in demand for aesthetic treatments as a response to age-related anxiety and workplace ageism [1][2][3]. Group 1: Increase in Cosmetic Procedures - In the past five years, the number of male tech workers seeking cosmetic procedures has increased fivefold [2]. - Specifically, the demand for facelift procedures has risen by approximately 25%, while eyelid surgeries have surged by 50% [4]. - The demographic of clients seeking these procedures is becoming younger, with men in their 40s increasingly opting for surgeries that were traditionally considered for older individuals [5][6]. Group 2: Age Anxiety and Workplace Culture - Many tech workers express concerns about aging and its impact on their careers, with 80% of tech professionals aged 46 to 49 fearing that age will affect their job prospects [20]. - Age discrimination is prevalent in Silicon Valley, with numerous lawsuits highlighting the issue, including a notable case where Google was ordered to pay $11 million to older job applicants [25][27]. - The culture in tech companies often favors younger employees, leading to a pervasive sense of anxiety among those over 35 [28][36]. Group 3: Work Environment and Expectations - The tech industry is characterized by a fast-paced, innovation-driven environment where older employees may feel out of touch and face higher learning costs to keep up with rapid technological changes [40][41]. - The average working hours for top researchers and executives in AI labs can reach 80 to 100 hours per week, creating a challenging work-life balance for older employees [49]. - Younger generations, such as Gen Z, are more willing to work overtime, further intensifying competition in the workplace [52]. Group 4: Domestic Trends in Cosmetic Procedures - Similar trends are observed in China, where the demand for cosmetic procedures among male tech workers is also increasing, albeit not to the same extent as in Silicon Valley [59][69]. - Popular treatments among male clients in China include non-invasive procedures like photorejuvenation, which are quick and effective [63][66]. - The motivation for these procedures often centers around improving personal appearance to enhance dating prospects [71].

Summary of Medical Aesthetic Industry Conference Call Industry Overview - The medical aesthetic industry is experiencing a slowdown in growth, with leading chain institutions and light medical aesthetic models still maintaining growth. Single stores or non-compliant institutions are facing difficulties, and the proportion of channel medical aesthetics is decreasing [1][2][12]. Key Insights and Arguments - Revenue growth for institutions is up 6% year-on-year, with increased customer flow but a decrease in average transaction value (ATV) by approximately 6%. First-tier cities performed particularly well, with an expected annual growth rate of about 10% for chain institutions [1][2][3][4]. - Promotional activities were advanced to September, significantly boosting revenue, with the repurchase rate of existing customers rising to 61% [1][5]. - The pricing strategy varies significantly among products, with low-priced products used for customer acquisition and high-priced products maintaining profit margins. Institutions attract new customers with low initial prices, then revert to original prices for subsequent treatments [1][9][10]. - Regulatory tightening has led to reduced advertising expenditures in traditional channels, shifting focus to customer referrals and internal membership management systems, resulting in decreased marketing costs but improved ROI [1][11]. Market Dynamics - The industry is expected to focus more on profit margins rather than solely on revenue growth, with a projected overall revenue growth of less than 10% by 2026 and a potential further decline in ATV [3][25]. - The customer demographic has shifted, with a 16% year-on-year increase in customer flow in September, and a notable rise in the proportion of returning customers [5]. - High-end products like collagen and hyaluronic acid are expected to see increased procurement, while non-compliant products will be suspended [3][25]. Product Performance - Different price segments are performing well, with significant growth in customer acquisition products such as water light needles and photon rejuvenation [6][8]. - The price of some products has decreased, such as the Ningbo Weimei 4mg product, while high-end products have maintained stable pricing [8][9]. - The market for botulinum toxin has shown stable growth, with annual growth rates exceeding 10% from 2023 to 2025, despite strict regulations limiting advertising [24]. Future Trends - The industry is expected to develop more healthily and sustainably, with a focus on compliance and quality. Non-compliant small institutions may be eliminated due to increased regulatory scrutiny [12][13]. - Mergers and acquisitions are occurring, particularly among traditional institutions that have not adapted to the light medical aesthetic trend [14]. - Institutions prefer self-built stores over acquiring local existing institutions to maintain brand consistency and leverage operational advantages [15]. Conclusion - The medical aesthetic industry is navigating a complex landscape of regulatory changes, shifting consumer preferences, and competitive pressures. Institutions are adapting by refining their marketing strategies, focusing on customer retention, and optimizing product offerings to ensure sustainable growth in a challenging environment [12][30].

Core Insights - Emerging markets are becoming a significant growth driver for the medical beauty industry, leading to a more balanced industry structure [1] - The proportion of medical beauty institutions in third-tier cities is expected to increase from 30% to 42% between 2022 and 2025, indicating a trend towards wider consumer adoption [1] - Meituan's "Navigator Plan" aims to support high-quality medical beauty institutions in emerging markets, enhancing consumer access to reliable services [1] Group 1 - The Qingdao and Yantai summits of Meituan's "Navigator Plan" featured local institutions discussing regional medical beauty development [2] - Local brand Nuomeide, established in 2015, has five clinics and over 20 doctors, emphasizing the importance of collaboration with Meituan for consumer trust in product authenticity [2] - Meituan's platform has helped new institutions like Nuomeide quickly address customer flow issues, facilitating a shift in focus from complex procedures to light medical beauty, resulting in rapid growth [2] Group 2 - Meituan has accumulated extensive data and industry insights, aiding emerging medical beauty institutions in digital transformation [4] - In Qingdao, 77% of medical beauty consumers are female, with over 56% under 30 years old, highlighting a youthful market trend [4] - The average daily traffic for medical beauty in Qingdao has increased by over 20% year-on-year, with an average transaction value exceeding 800 yuan, reflecting significant market potential [4] - Key consumer motivations include repeat purchases of similar services (25%) and age-related concerns (25%), with word-of-mouth effects accounting for 13.4% [4] - Meituan plans to hold more summits in emerging cities, aiming to connect high-quality local institutions with its service capabilities to enhance consumer experiences [4]

Core Insights - The article highlights a shift in consumer behavior among young workers, who are now prioritizing cost-effective solutions for personal care, particularly in skincare and beauty treatments, opting for hospital dermatology services over traditional beauty salons [1][2][4][5]. Group 1: Changing Consumer Behavior - Young workers are increasingly focused on maximizing value for money, choosing to spend less while achieving better results in skincare [1]. - There is a growing trend of young individuals seeking medical solutions for common skin issues, such as eye strain and back pain, rather than resorting to expensive spa treatments [2][4]. - The perception of hospital dermatology as a legitimate and effective alternative to beauty salons is gaining traction, with many discovering that these services can be both affordable and effective [5][9]. Group 2: Hospital Dermatology Services - Hospital dermatology departments are being recognized for offering medical-grade skincare treatments, such as photorejuvenation and micro-needling, which are often more effective than those available at beauty salons [7][21]. - Patients report that treatments at hospitals, while sometimes slightly more expensive, can utilize insurance benefits, making them a financially savvy choice [5][17]. - The experience of receiving treatment in a hospital setting provides a sense of security and professionalism that many find lacking in beauty salons [15][20]. Group 3: Personal Experiences and Insights - Individuals have shared their experiences of transitioning from beauty salons to hospital dermatology, noting significant improvements in their skin health and overall satisfaction with the results [21][23]. - Many young workers are now incorporating dermatology visits into their daily routines, using lunch breaks to receive treatments, which reflects a shift in how personal care is approached [11][17]. - The article emphasizes that many skin issues may stem from emotional stress, suggesting that addressing underlying health concerns can be more beneficial than solely focusing on cosmetic treatments [25].

Core Insights - The South Korean medical beauty market, once a lucrative "golden standard," is facing increased competition and price wars due to the rise of neighboring markets and the trend towards "light medical beauty" [1][4] - Despite the market's growth, with a projected size of $572.14 million in 2023 and 1.2 million foreign patients expected in 2024, the intense competition is leading to a significant decline in prices and profit margins [4][5] - The shift from high-end, specialized services to standardized, low-cost offerings is causing a disruption in the pricing structure, resulting in a "revenue without profit" scenario for many institutions [4][10] Market Dynamics - The average prices for popular procedures have dropped by 10% to 20% since 2020, with specific treatments like photorejuvenation seeing prices fall from 300,000 KRW to below 200,000 KRW by 2025 [4][10] - The high penetration rate of medical beauty services in South Korea indicates a saturated domestic market, leading to a focus on retaining existing customers rather than acquiring new ones [5][12] - The increasing transparency of pricing and the prevalence of social media comparisons among international clients are pushing clinics to adopt more competitive pricing strategies [5][12] Competitive Landscape - Smaller clinics are struggling to compete against larger, capitalized players, with many experiencing revenue declines of 10% to 20% in early 2025 [9] - Collaborations between leading institutions, such as the partnership between Aimeike and REGEN Biotech, highlight a trend towards combining technology, capital, and market access to enhance competitive advantages [9][12] - The proliferation of advanced medical equipment is diminishing the technological barriers that once separated top-tier institutions from smaller clinics [10][12] Strategic Shifts - The industry is witnessing a transition from a "celebrity doctor" model to a more standardized service approach, necessitating a balance between personalized and standardized offerings [10][11] - Institutions are encouraged to focus on niche markets, such as specialized treatments for specific demographics, to differentiate themselves and avoid price wars [10][12] - The rise of home beauty devices indicates a growing consumer acceptance of technology in skincare, prompting medical beauty institutions to explore partnerships with tech companies for integrated service offerings [13] Global Expansion - South Korean medical beauty brands are increasingly looking to expand internationally, particularly in markets like China, leveraging their strong technology and training systems [13][14] - The shift from relying solely on medical tourism to actively pursuing overseas markets represents a strategic pivot for the industry [13][14] - Successful companies will be those that invest in technology, talent, and brand building, moving away from a price-centric model to one focused on comprehensive value [14][15]

Core Insights - The medical beauty market in China experienced a surge in consumption during the National Day and Mid-Autumn Festival holidays, with a notable increase in male consumers seeking treatments such as hair transplants and botulinum toxin injections [1][3][4] Market Trends - The demand for medical beauty services has been driven by younger consumers, particularly those born in the 1990s and 2000s, who are increasingly incorporating beauty treatments into their self-care routines [3][4] - The rise in male consumers is significant, with many seeking specific solutions for issues like hair loss and wrinkles, indicating a shift in attitudes towards medical beauty among men [4] Promotional Activities - Prior to the holidays, many medical beauty institutions launched new low-priced products and promotional activities, with discounts of 20% to 30% compared to regular prices [5] - The introduction of competitively priced treatments, such as the "童颜针" (youthful needle) priced at 2999 yuan, reflects a strategy to attract consumers during the holiday season [5] Consumer Behavior - Consumers are becoming more discerning, often conducting thorough research on institutions and practitioners before making decisions, indicating a shift towards more informed and rational consumption [6][7] - There is a growing awareness of the risks associated with low-priced treatments, with consumers sharing experiences of adverse effects from cheaper options [5][7] Regulatory Environment - The regulatory landscape is tightening, with government agencies conducting crackdowns on illegal medical beauty practices, focusing on issues like unlicensed operations and false advertising [7]