Huamei obtained a financing of US $200 million, and the business format of the new beauty collection store is booming
According to 36 krypton report this week, the new retail brand of beauty makeup, harmay Huamei, recently completed a financing of US $200 million.
In recent years, the business format of new beauty collection stores represented by Huamei, wowcolour and toner has developed vigorously, and the growth rate of market scale is significantly higher than that of traditional beauty collection stores represented by Watson. We believe that the change of consumer preference, the demand for cutting-edge brands and capital assistance are important factors for the rapid development of the new beauty collection store industry. Compared with the traditional beauty collection store, the head enterprises of the new beauty collection store have deeply grasped the pain point of beauty retail and carried out multi-dimensional innovation around young consumer groups: (1) light BA model to create free and comfortable shopping space for consumers; (2) Cooperate with niche and cutting-edge brands to create differentiated competitiveness, and improve the cooperation efficiency of both sides through buyout mode; (3) Personalized store decoration design creates an immersive makeup trial scene to meet the needs of consumers for online red card punching and offline experience. At present, the competition pattern of the new beauty collection store industry is still relatively scattered. Various brands choose differentiated strategies to enter the market according to their different founding backgrounds and resource endowments. On the whole, the core competitive elements of the new beauty collection store are mainly reflected in: (1) BA team’s professional ability and service quality; (2) Perfect supply chain capability and in-depth cooperation with cutting-edge and niche brands; (3) Store site selection, design and decoration. Although there are still many deficiencies in the transformation of passenger flow to the store, re purchase and sales of high margin products in the new beauty collection store, the high rental cost has also compressed the profit space of the store to a certain extent. However, in the long run, benefiting from the broad space of the industry and focusing on the beauty consumption market of the younger generation, there is great potential in the future.
Industry Keywords: social zero data, Shanghai Shangmei, Yimei white paper, C coffee, PHA microspheres, etc
[social zero data] in December 2021, the total amount of social zero in China was 4126.9 billion yuan, a year-on-year increase of 1.7%.
[Shanghai Shangmei] Shanghai Shangmei submits a prospectus to the Hong Kong stock exchange.
[medical beauty white paper] medical beauty platform gengmei app released gengmei 2021 medical beauty industry white paper.
[C coffee] the cutting-edge skin care brand “C coffee” completed round B financing.
[PHA microspheres] tetracyclic medicine and cyanine microbe established a joint venture to jointly develop PHA microspheres.
Plate Market Review
This week (from January 17 to January 21), the retail trade index closed at 2951.10 points, down 0.58%, 0.62% lower than the Shanghai Composite Index (up 0.04% this week), ranking 13th among the 31 primary industries. Among the retail segments, the multi format retail segment performed better this week. In terms of individual stocks, Beijing Cuiwei Tower Co.Ltd(603123) (+ 40.6%), Rainbow Digital Commercial Co.Ltd(002419) (+ 35.0%) and Xiamen Overseas Chinese Electronic Co.Ltd(600870) (+ 19.5%) rose higher this week.
Investment suggestion: add key recommendation Lushang Health Industry Development Co.Ltd(600223)
Investment main line I (Beauty Economy): focus on recommending Lushang Health Industry Development Co.Ltd(600223) of biomedicine + ecological health two wheel drive, Proya Cosmetics Co.Ltd(603605) of domestic beauty products, Imeik Technology Development Co.Ltd(300896) of medical beauty products, Bloomage Biotechnology Corporation Limited(688363) of the whole industrial chain layout, Yunnan Botanee Bio-Technology Group Co.Ltd(300957) of sensitive muscle repair, and Fujian Green Pine Co.Ltd(300132) of cosmetics ODM;
Investment main line 2 (e-commerce new retail): sink the market, pay attention to the development of community group buying in winter, and benefit the target meituan; Cross border e-commerce highlights Xiamen Jihong Technology Co.Ltd(002803) ;
Investment main line 3 (gold jewelry): focus on the gold jewelry sector with sustained high prosperity, and focus on recommending Chow Tai Seng Jewellery Company Limited(002867) (multi-faceted empowerment of provincial generation model), benefiting the targets of Chow Tai Fook and Guangdong Chj Industry Co.Ltd(002345) .
Risk tips: macroeconomic risks, repeated epidemics, intensified industry competition, etc.
