Capital sees opportunities in the market segment of maternal and child care.
On July 13, “BabyColour”, a personal care brand for mothers and babies, announced the completion of a tens of millions of angel round financing, exclusively invested by Only Capital, and Anyu Consumer as the exclusive financial advisor. This round of funds will be used for marketing and product development.
According to the information of Tianyancha App, the company of BabyColour is Beijing Mifang Technology Co., Ltd., which was established in June 2017.
BabyColour initially entered the mother and baby personal care market with mosquito repellent milk products. Its first product is a plant essential oil fragrance milk. Different from most of the mosquito repellent products on the market that add DEET, BAAPE, Parkeridine and other pesticide ingredients, the big selling point of BabyColour mosquito repellent milk is “pesticide-free formula”.
News saw in its official WeChat applet mall that BabyColour’s current product line is relatively small, only skin care cream, repair cream, PP cream, mosquito repellent cream and wet wipes, with a unit price ranging from 79-109 yuan.
According to the report, BabyColour will launch more than 10 products including multi-effect repair cream and moisturizing skin cream within this year. In the follow-up product development, it also plans to launch cosmetic products for expectant mothers, mothers and children. In the overall product design concept, while attracting consumers with beauty, the main focus is on safety and efficacy.
Under the wave of financing for new consumer brands, maternal and child brands have also taken the lead.
According to data from Tianyan Check, in the past 10 years, the number of registrations of maternal and infant products-related companies (all company status) has shown a steady growth trend. Among them, nearly 930,000 maternal and child products-related companies will be newly added in 2020, a year-on-year increase of 52%. . In the first five months of this year, China has added more than 410,000 maternity and baby products-related companies, an increase of 54% over the same period in 2020. According to a research report by iResearch, the size of China’s maternal and infant market will reach 3.25 trillion yuan in 2020.
It is worth noting that although the maternal and infant industry is facing the adverse effects of the decline in the number of newborns and the declining demographic dividend, the introduction of the “three-child” policy and the “intensive care” mode of the new generation of parents treating their children, plus maternal and infant consumption Upgrades and increased personalization trends still have considerable development prospects for the maternal and infant consumer market.
IResearch mentioned in a report that high-end, refined (functional segmentation, diversified application scenarios), and personalization will become the future development trend of the mother and baby market.
In terms of the categories of baby products, the demand for baby skin care products is more refined, and the demands for product efficacy are more diverse. After the baby is 3 years old, in addition to the most basic moisturizing and moisturizing effects, more diversified skin care needs are gradually highlighted, such as baby sun protection, calming and soothing.
The most important product factors that consumers pay attention to when buying baby toiletries are: whether it is suitable for the baby’s skin quality, efficacy, whether there are adverse reactions, taste, and big brands.
Unlike durable goods, the market demand for multi-frequency consumer products such as washing and care products has increased even more, which has aroused investors’ attention. Xu Ying, managing partner of Vertex Ventures China, said: “We will pay more attention to the multi-frequency, long-term consumer goods market, and the emphasis on some maternal and child products with durable goods attributes is slightly lower.”
“User demand for maternal and child care is growing rapidly. Moms need safer, more subdivided, and more effective products, and they have a picky choice of brands.” Only Capital said, “Users in this category have a long life cycle. The market size, penetration rate, customer unit price, and consumption frequency of the category are all increasing, and there is a chance that a big brand will be born.”
The maternal and infant field is a long-tailed market with many subdivided needs, which also brings opportunities for the diversified development of the maternal and infant market. But with the continuous emergence of new brands, new maternal and infant consumer brands are also facing fierce competition. Because consumers are usually not very loyal to the brand right now. In addition to appearance and design, the more important thing lies in the product itself. Only by making the product professional can we obtain a sufficiently high repurchase rate. How to build higher barriers to product competition is also a key issue for brands including BabyColour in the next stage.
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