With the rapid development of the economy and the gradual increase in consumers' attention to health and beauty, China's beauty service industry has shown blowout growth. As of the end of 2019, the size of China's beauty salon industry reached 351.26 billion yuan; it is expected that in the next five years, the market size of China's beauty salon industry will maintain a compound growth rate of 4.6% growth. It can be seen that the future investment value is large. However, the investment and financing of the beauty salon industry since entering 2009 has shown a two-sided situation, the number of investment and financing events and the amount of investment and financing fluctuations. It can be seen that the capital on the beauty salon platform favor is selective, those with long-term development potential or have a unique advantage of the platform is the object of capital pursuit.
Investment and financing scale overall rise
After more than 20 years of development, China's beauty salon industry in the connotation and extension have undergone considerable changes. Beauty salon industry has become the real estate, tourism, communications, China's residents of the fifth largest consumer hotspot. In recent years, China's beauty salon industry in the combination of the Internet, is gradually opened up the wind mouth of the industry development, and re-emerge as the object of capital pursuit. To "beauty salon" as a keyword, in the IT Orange search for investment and financing events, the search results were analyzed and found that, from the number of investment and financing events, 2009-2019, the number of investment and financing events in China's beauty industry services as a whole to maintain the upward trend, in 2009, China's beauty industry services number of investment events only a , 2015 amounted to 90, the number of significant rise, the heat of the beauty industry service investment rose. after 2015, the number of investment events declined, in 2019, China's beauty industry service investment and financing events amounted to 59; as of November 12, 2020, the number of investment and financing events amounted to 36
From the investment and financing amount, the data show that in 2009, China's beauty industry services investment amounted to 0.17 billion yuan, and the investment amount grew to 2.795 billion yuan in 2015. And in 2016, the investment amount of the beauty industry services was 1.210 billion yuan, which appeared to fall off a cliff, but gradually resumed growth in the late stage. By 2019, the amount of investment in the beauty industry services in China was $7.364 billion, a new high in the past years. As of November 12, 2020, the amount of investment in China's beauty industry services is 5.944 billion yuan.
Based on the investment amount and the number of investment events to calculate the average single investment amount (investment amount/number of investment events), from the average single investment amount, China's beauty salon industry, the average single investment amount of the overall rise to 2019, the average single investment amount of $125 million; as of November 12, 2020, the average single investment amount was 165 million dollars, the highest in recent years.
Platform O2O rapid growth
Since 2015, China's beauty salon industry, driven by the Internet +, platform O2O ushered in explosive growth. 2019 beauty service investment and financing number of 59, the amount of investment involved in the 7.364 billion yuan, in addition to some of the platform operation is difficult to continue to exit the market. There are still many platforms that continue to gain capital favor and successfully finance. Into 2020, Meishang shares, Kelala and so on are still favored by the capital, get financing.
Most of the projects are in the pre-investment stage
From the stage of the 59 investment and financing projects in the beauty salon industry in 2019, there are 20 investment and financing projects in the seed and angel rounds, accounting for 33.9% of the total number of projects; there are 11 investment projects in the A-round, accounting for 18.64% of the total number of projects; there are 19 projects in the strategic investment program. The total number of investment and financing projects is 20, accounting for 33.9%; in the A round of investment projects 11, accounting for 18.64%; in the strategic investment projects 19, accounting for 32.2%. It can be seen from the data, China's beauty salon industry investment and financing projects are mainly in the seed round, angel round stage, relatively few mature projects.
Investment and financing situation is hot and cold
Investment and financing in the beauty salon industry has shown a hot and cold situation since 2009, with the number of investment and financing events and the amount of investment and financing fluctuating greatly. It can be seen that the capital on the beauty salon platform favor is selective, those with long-term development potential or have a unique advantage of the platform is the object of capital pursuit. In addition, at a time when the quality of life of all people is improving, health consciousness is gradually awakening in the consumer base. The beauty salon industry is no exception, and people's pursuit of beauty also favors long-term beauty - healthier beauty. Therefore, medical beauty has gradually become more and more important in the minds of consumers. Taking Lancel shares as an example, it announced in June 2016 that it planned to acquire 63.49% of the equity of Sichuan Milan Park Yu and 70% of the equity of each of the five companies, namely, Shenzhen Milan Park Yu, Sichuan Crystal Skin, Xi'an Crystal Skin, Changsha Crystal Skin, and Chongqing Crystal Skin, for 327 million yuan. After the completion of the acquisition, the main business of Lancel will be transformed into medical beauty business. Medical beauty is becoming a new growth point in the beauty industry.
For more research and analysis of this industry, please refer to China Beauty Salon Industry Market Outlook and Investment Planning Analysis Report by Prospect Industry Research Institute.