Generation Z: refers to people born between 1995 and 2009, or what we often refer to as the Post 00s.
This is not true at all, as 2018 data shows that while Generation Z accounts for about 19% of our total population, it contributes 40% of overall consumption. As the income and consumption level of Gen Z increases, Gen Z is gradually becoming the main force driving consumption growth.
Generation Z's consumption characteristics tend to be in these three areas:
Strong social attributes: They are more likely to stick to a product because of the social attributes attached to the product, and they love to plant seeds and share the economy;
Preferring to spend money on physical goods driven by spiritual consumption:
More willing to pay for interests, more likely to pay for the right things, more likely to pay for the right things, more likely to pay for the right things.
The brand circle that catches the consumer demand of Generation Z is bound to be the concentration camp of long bulls. This is not a conclusion that can be drawn from patting the head, but rather a conclusion that the market has voted with its feet, and these brands favored by young people tend to be able to enjoy higher expectations and higher premiums, and of course, they have also demonstrated strong growth results stemming from the consumption attributes of Generation Z.
Corresponding to these three consumption characteristics, there are a few typical examples: Xiaohongshu, a 7-year-old grass-planting community, received a $300 million Series D financing led by Ali in 2020, valuing it at $3 billion; B Station, a video platform that gathers the largest number of Gen Zs, saw its share price increase fourfold in the year 2020; Bubble Mart, a hipster blind box brand. 2019 net profit of only 451 million, but carried a market capitalization of more than 70 billion dollars on the Hong Kong stock market; and the domestic medical beauty injection company Aimek, the highest increase of more than 8 times since the listing of the GEM board, with a net profit of 440 million in 2020 to support the market value of 80 billion dollars.
How should we, as investors in the medical field, capitalize on the consumer medical needs of Generation Z? The answer is: start with keywords related to health and value and the personality traits of Gen Z, and capitalize on the opportunities in the two categories of medical aesthetics and healthcare products.
1, the value of the economy, the Z generation for the medical beauty of the "rigid demand"
2020, by the impact of the epidemic, the domestic new white-collar groups of various areas of consumer spending has been affected to varying degrees, but the medical beauty of the only increase in consumer spending instead of decreasing, can be seen that the "face" of the consumer spending.
According to the newest survey, the most important thing is that the value of a person's face is not only the value of the person, but also the value of the person.
According to the newly released "2020 China Medical Beauty Seekers Atlas", More than one-third of all beauty seekers are from Generation Z, born after 95 years of age. Post-95s, represented by students and singles, have two main motivations for engaging in beauty treatments: to find a job, and to find someone to marry them.
Among them, the five largest medical beauty search users include skin beauty, eye plastic surgery, cosmetic dentistry, rhinoplasty, and body contouring.
We believe that, based on the trend of young consumer demand and the layout of domestic listed companies, the main opportunity still exists in the two areas of light medical beauty and orthodontic dentistry.
Non-surgical injections: Non-surgical projects due to the high security, fast-acting, non-surgical consumers favored by the medical aesthetic, the mainstream of the two types of injections for the hyaluronic acid and botulinum toxin, hyaluronic acid upstream raw material end of the Huaxi Biological with the world's first production capacity, and the injection of medical products R & D ability to love the beauty of the customer has a rare and unique advantage, in addition to the East China Pharmaceutical subsidiary of the company has a unique advantage in the development and development of medical products. The company's first-phase product line is the first of its kind in the world, and the second-phase product line is the first of its kind in the world to be approved.
Sculpting Instruments: The market is currently focused on the face of the medical beauty, in fact, we do a little bit around the female market research, found that the body shaping the market potential is also huge, but at present, most of the medical beauty institutions to use the instrument is mostly for imported brands, the user also rely on imported brands. At present, such as Aimer, Haohai Biotechnology, East China Medicine and Fosun Pharmaceuticals are consciously laying out in this direction. The layout has been, and it is worth noting that the Fosun acquisition of Israel Fitton and East China Pharmaceuticals acquisition of High Tech.
Dental aesthetic (orthodontics): Dental aesthetic program contains a number of dimensions, of which orthodontics and implantation of the consumer (out-of-pocket) attributes stronger, the effect of the obvious, the potential for greater opportunities. Orthodontics in the invisible orthodontic more favored by domestic young people, competitive listed companies, including Invisalign and the upcoming H-share listing of the Times Angel, while the implantation of only the crown material part of the restorative film part of the domestic manufacturers of national ceramic materials and the sea biological respectively have a certain degree of competitiveness, the value of the largest part of the implant is still monopoly of the imported manufacturers. As domestic enterprises continue to break through technology, there will be a wide range of import substitution space, closely tracking the specific progress of the relevant domestic manufacturers.
2, young people's health care needs to highlight the rapid development of the health care industry
With the emergence of 90, 95 after the phenomenon of the first old, more than 90% of the 90 after the beginning of the awareness of health, but also from the e-commerce is becoming the main health care sales channel trend to see that the 90 after the young people are becoming a health care purchase The newborn force.
From the 2019-2020 Ali's data, the sales of health care products online channel in 2020 increased dramatically, the annual sales of health care products in the Ali channel 33.396 billion yuan, an increase of 55.95% compared with 21.41 billion yuan in 2019.
According to Tmall International statistics, the current consumers of imported health care products are mainly post-80s and post-90s young people, and the types of best-selling health care products from Tmall can also be a glimpse of young people's consumer preferences and trends, which are mainly concentrated in the role of oral beauty, anti-aging (NMN), gastrointestinal health (probiotics) and other areas.
For the above five categories of products, we suggest that we can focus on the oral beauty segment, followed by bone and joint health & probiotics segment. The second NMN category due to the various manufacturers in recent years, "exaggerated" publicity, early this year, the state level has stepped in to combat, the domestic listed companies related to the speculation is serious, there are very few companies with substantial competitiveness.
Oral cosmetic surgery: more direct than the external wipe, and more gentle than the knife. As a new way between general skin care and professional medical beauty, oral beauty is becoming more and more popular, in line with Chinese consumers' traditional concept of "nurturing the outside world from within".
Internationally, oral beauty products such as Swisse and other well-known brands have been recognized by consumers in many countries, but there are still no good brands in China. Domestic listed companies, we in the previous article "hyaluronic acid giant crazy pull up close to 100 billion market value, liberalization of the oral beauty market is really so fragrant? As mentioned, Huaxi Biological as a hyaluronic acid giant, relying on its own advantages to take the lead in the launch of the first domestic hyaluronic acid food brand "Black Zero", the opportunity to become the first to eat the "oral beauty market" this piece of cake of the national brand.
Bone and Joint Health & Probiotics: Bone and joint health tends to be consumed by the middle-aged and the elderly, while probiotics are geared towards people of all ages. BY-HEALTH has a very strong advantage in these two popular collar, the company not only has domestic bone health best-selling brand Jianliduo series, at the same time at the end of 2018 to acquire the probiotic international famous brand Life-Space. in addition, there are such as Jianxijia + Jian Ganxi eye care series, protein powder series of large single product, product rich.
Summary: The world is yours and ours, but in the end it's yours.