Soyoung Technology Files Prospectus as China's First Tech-Driven Self-Regulatory Center for the Aesthetic Medicine Industry
On May 21, the 2020 Two Sessions convened in Beijing, with “Healthy China” emerging as one of the focal points of discussion. People’s Health specially invited Wang Kaibin, Director of the Comprehensive Management Division of the Beijing Municipal Health Commission; Yang Rongya, Vice President of the Chinese Association of Plastics and Aesthetics; Guo Shuzhong, Former Chairman of the Plastic Surgery Branch of the Chinese Medical Association and President of Beijing United Lige First Medical Beauty Hospital; Xu Baohua, President of the Dental and Maxillofacial Medical Aesthetics Branch of the Chinese Association of Plastics and Aesthetics and Director of the Stomatology Center at China-Japan Friendship Hospital; Jin Xing, CEO of So-Young Technology; and Dong Xuesong, Deputy General Manager of People’s Health Network. These representatives from government, industry, academia, research institutions, and media participated in the “Healthy Chinese People: Symposium on Self-Discipline and Standardized Development in China,” to discuss how technology can actively respond to regulatory requirements for the medical aesthetics industry issued by eight national ministries and commissions, thereby safeguarding the public’s pursuit of a healthy and fulfilling life.
On the same day, the self-discipline initiative for China’s medical aesthetics industry, jointly launched by the Chinese Association of Plastics and Aesthetics and New Oxygen Technology, was officially inaugurated!
“Medical aesthetics is closely intertwined with the broader internet society. We require greater support from big data resources and, leveraging platforms represented by So-Young, we can rapidly and effectively implement innovative regulatory measures for the medical aesthetics industry, vigorously addressing its chaotic practices,” pointed out Yang Rongya, Vice President of the Chinese Association of Plastics and Aesthetics. According to the 2020 White Paper on Insights into China’s Medical Aesthetics Industry released by iResearch, the market size of China’s medical aesthetics industry reached RMB 176.9 billion in 2019.
The emergence of the “appearance economy” has intensified people’s desire for aesthetic enhancement, thereby fueling the robust growth of the medical aesthetics industry. In particular, with the iterative advancement of internet technologies, the industry has broken away from its previously siloed state, giving rise to new modes of connectivity between mid- and downstream segments. This interconnectedness has enabled closed-loop value creation and unlocked a larger incremental market.
“In 2017, Beijing investigated and handled 48 administrative violation cases in the medical aesthetics sector; this number rose to 115 in 2018 and reached 312 in 2019,” said Wang Kaibin, Director of the Comprehensive Supervision Division of the Beijing Municipal Health Commission. “This indicates an increase in illegal activities within the medical aesthetics industry, but more importantly, it reflects a growing demand for aesthetic services.” In recent years, increasing attention from consumers and the media toward the medical aesthetics industry signifies that a growing number of people are seeking such services.
The booming medical aesthetics market has emerged as a rising star in the broader health and wellness sector. However, the proliferation of illegal practices—such as unlicensed procedures, illicit clinics, and unqualified practitioners—not only hinders the industry’s healthy and sustainable development but also complicates consumer decision-making.
Data shows that 15% of licensed medical aesthetic institutions operate beyond their approved scope. Additionally, there are over 80,000 lifestyle beauty shops and institutions across China illegally providing medical aesthetic services. According to statistics from the Chinese Association of Plastics and Aesthetics (CAPA), the number of unlicensed practitioners in the medical aesthetics industry is at least 100,000, while compliant physicians account for only 28% of the workforce.
To address the chaotic practices in the medical aesthetics market, eight departments, including the National Health Commission, recently issued the "Notice on Further Strengthening Comprehensive Supervision and Law Enforcement in Medical Aesthetics." "It is essential to integrate quality control with supervisory law enforcement, leverage the role of quality control centers within medical aesthetics industry associations, and enhance the management of medical quality and technology," said Wang Kaibin.
Guo Shuzhong, former chairman of the Plastic Surgery Branch of the Chinese Medical Association and president of Beijing United Lige First Medical Hospital, emphasized, “Aesthetic seekers are our patrons; we must treat them with care and refrain from causing harm or engaging in fraudulent practices. The goal of self-regulatory initiatives is to benefit consumers. When consumers place their trust in legitimate medical aesthetic institutions, our industry will thrive.” Strengthening industry oversight has become a consensus among all stakeholders.
Xu Baohua, President of the Dental and Maxillofacial Medical Aesthetics Branch of the Chinese Association of Plastics and Aesthetics and Director of the Stomatology Center at China-Japan Friendship Hospital, stated, “Through strict government law enforcement, physicians’ self-discipline in continuous learning, and consumers’ ongoing pursuit of knowledge, we will collectively achieve a shared outcome: enabling Chinese consumers to attain better medical aesthetic results, thereby ultimately realizing the vision of a Healthy China and a Beautiful China.”
In response, the Chinese Association of Plastics and Aesthetics, in collaboration with New Oxygen, launched a self-discipline initiative for China’s medical aesthetics industry, urging self-regulation across the entire industry chain through multi-stakeholder participation and joint oversight.
“The online transformation of the medical aesthetics industry is an inevitable trend for future development. We should draw lessons from the experience of internet development. As is well known, managing an online industrial platform is far more efficient than overseeing tens or even hundreds of thousands of offline institutions. Therefore, migrating the industry online is key to its standardized and regulated growth,” urged Jin Xing, CEO of So-Young Technology. He called for leveraging big data to establish robust access control mechanisms in medical aesthetics, prioritizing effective screening for consumers. By addressing aspects such as institutions, physicians, and pharmaceuticals, a comprehensive “firewall” should be built to combat illegal activities within the medical aesthetics sector.
“The most crucial step is to forge a synergistic effort, leveraging internet-based approaches and mobilizing resources from all sectors of society to enhance the quality of medical practices and empower the medical aesthetics industry. In particular, leading domestic medical aesthetics internet platforms such as So-Young, which have already demonstrated strong performance, should provide greater support to our industry,” suggested Yang Rongya. “So-Young can utilize its big data and technological advantages to offer innovative solutions for the rapid and effective supervision and regulation of the medical aesthetics industry, thereby ensuring that regulatory measures are genuinely implemented.”
Furthermore, the self-regulatory initiative launched by the Chinese Association of Plastics and Aesthetics has established an observer mechanism to engage multiple stakeholders in self-discipline oversight. It is reported that twelve media outlets—People’s Health, CNR News, China News Service, Southern Metropolis Daily, National Business Daily, Finance & Economics National Weekly, 21st Century Business Herald, Jiemian News, 36Kr, Phoenix Health, Medical Aesthetics Vision, and Beauty Industry Observer—will serve as the first cohort of media observers, providing public opinion supervision support for the initiative. Guo Shuzhong, former Chairman of the Plastic Surgery Branch of the Chinese Medical Association and President of Union Care First Medical Aesthetic Hospital, and Xu Baohua, President of the Dental and Maxillofacial Medical Aesthetics Branch of the Chinese Association of Plastics and Aesthetics and Director of the Stomatology Center at China-Japan Friendship Hospital, have been appointed as the inaugural physician observers. Bai Xiaowei, a professional author on the SoYoung community platform, has been appointed as the inaugural key opinion leader (KOL) observer. All these individuals will offer advice and recommendations to support the self-regulatory initiative.