Rapid Development of Chinese Medical and Aesthetic Service Market

At present, the new oxygen business covers more than 300 cities in China, attracting nearly 4000 certified medical and aesthetic institutions for users to choose. In the morning of April 9, Beijing New Oxygen Technology Co., Ltd. (hereinafter referred to as "New Oxygen") submitted a prospectus to the United States Securities and Exchange Commission (SEC) for listing on Nasdaq under the code SY. The prospectus of shows that the total revenue of New Oxygen reached 0.49 billion yuan in 2016, 259 million yuan in 2017, an increase of 42.8% over the same period of last year, 617 million yuan in 2018, an increase of 138% over the same period of last year, and 55.08 million yuan in 2018, an increase of 220% over the same period of last year. The data show that, on the one hand, New Oxygen, founded in 2013, builds communities, provides consumers with a platform for recording cosmetic diaries and a feedback evaluation system, and successively launches medical and aesthetic encyclopedia, video live broadcasting, traceability of drug sources and other services, providing a relatively transparent, safe and fair consumption environment to help beauty seekers make scientific plastic surgery decisions. On the other hand, New Oxygen opens medical and aesthetic e-commerce business to guide cooperative medical and aesthetic institutions. At present, the new oxygen business covers more than 300 cities in China, attracting nearly 4000 certified medical and aesthetic institutions for users to choose, including hospitals, outpatient departments and clinics. In addition, the total number of consumer medical institutions covered by neooxygen, including dentistry, is close to 6,000. In addition, New Oxygen is used to enhance the user's viscous "unique secret" beautiful diary, which is updated every day and has more than 2 million case-based articles.

With the increasing domestic consumption demand, a number of professional institutions reported that the scale of China's medical and aesthetic services industry is expected to maintain rapid growth in the next five years. According to data from Frost Sullivan, the total revenue of the medical and aesthetic services industry reached 121.7 billion yuan in 2018, and the annual composite growth rate from 2014 to 2018 was 23.6%. It is expected that the industry income scale will reach 36.1 billion yuan by 2023, and the annual composite growth rate from 2018 to 2023 will further increase to 24.2%. With the rapid growth of the industry, China has become one of the fastest growing medical and aesthetic service markets in the world, ranking second in the world in 2017, and is expected to become the largest medical and aesthetic service market in the world by 2021.

New Oxygen said in the prospectus that in the future, the company will continue to focus on enhancing the credibility, transparency and professionalism of platform information and services, positively deploy artificial intelligence and other innovative technologies, continuously enhance brand awareness and broaden user access channels, expand to other consumer health fields and reach new user groups.