Key Takeaways: The Pricing Power Standoff in Medical Aesthetics
– New Oxygen (新氧, SY), a prominent medical aesthetics platform, has been blacklisted by upstream manufacturers like Puruiyan (普丽妍) and Sheng Boma (圣博玛) for selling products such as童颜针 (poly-L-lactic acid fillers) at prices up to 70% below official rates, disrupting traditional pricing models.
– The conflict underscores a fundamental shift in China’s medical aesthetics industry from a seller’s market to a buyer’s market, driven by increased product approvals, consumer price sensitivity, and market consolidation pressures.
– Expert analyses from industry observers like Bo Wenxi (柏文喜) and Jiang Han (江瀚) highlight that the battle over pricing power is a symptom of deeper structural issues, including profit distribution imbalances and the transition from野蛮生长 (wild growth) to高质量发展 (high-quality development).
– New Oxygen’s strategic pivot from an online导流 (traffic referral) platform to offline连锁医美机构 (chain medical aesthetics clinics) aims to control costs and offer affordable services, but it has led to financial strain, with Q3 2025 results showing revenue growth but net losses.
– The outcome of this pricing struggle will likely accelerate industry洗牌 (reshuffling), with implications for regulatory compliance, consumer safety, and investment opportunities in Chinese equities related to healthcare and consumer sectors.
The New Oxygen Blacklisting Incident: A Primer on the Pricing Power Clash
In recent months, New Oxygen (新氧, SY), often dubbed the “first internet medical aesthetics platform stock,” has found itself embroiled in a high-stakes conflict that puts the pricing power in China’s medical aesthetics industry under intense scrutiny. Upstream manufacturers, including Puruiyan (普丽妍) and Sheng Boma (圣博玛), have publicly blacklisted New Oxygen and its affiliated clinics, accusing the platform of undermining national price structures and compromising product integrity. This confrontation is not merely a commercial dispute; it reflects a pivotal moment where the traditional hierarchy of pricing power in China’s medical aesthetics industry is being challenged by new market entrants and evolving consumer demands.
Upstream Manufacturers Strike Back: Accusations and Rationale
In November 2024,童颜针 (poly-L-lactic acid filler) manufacturer Puruiyan (普丽妍) announced a list of 79 non-official合作医疗机构 (cooperative medical institutions), including 46 New Oxygen青春诊所 (Youth Clinics), labeling them as “黑名单医美机构” (blacklisted medical aesthetics institutions) and “非合作医生” (non-cooperative doctors). Puruiyan cited the absence of formal partnerships, lack of authorization, and failure to provide professional注射培训 (injection training) as key reasons, effectively distancing itself from any正品保证 (genuine product guarantee) for New Oxygen’s sales. Similarly, in June 2024, brand owner Sheng Boma (圣博玛) pointed to合规性问题 (compliance issues) with New Oxygen’s use of its艾维岚 (Aivilan)童颜针, emphasizing that it does not guarantee authenticity for products sold through New Oxygen clinics and has not trained their medical staff.
The core issue, as analyzed by Bo Wenxi (柏文喜), Deputy Chairman of the China Enterprise Capital Alliance and Chief Economist for China, is the drastic price disparity. Puruiyan’s official guided price is 16,800 yuan per支 (dose), while New Oxygen青春诊所 directly sells it for 4,999 yuan—a nearly 70% discount. Upstream manufacturers view this “击穿底价” (price-breaking) behavior as扰乱全国价格盘 (disrupting the national pricing system), prompting punitive measures like blacklisting. This move aims to protect brand positioning and channel秩序 (order), but it also highlights the growing tension over who ultimately holds the pricing power in China’s medical aesthetics industry.
New Oxygen’s Defense and Strategic Justification
In response, New Oxygen has defended its actions by emphasizing efficiency gains and consumer benefits. The company asserts that it operates within legal and regulatory frameworks, using规模化采购 (large-scale procurement) to reduce无效成本 (ineffective costs). According to New Oxygen, it has established a全链路追溯体系 (full-chain traceability system) that complies with China’s regulations for三类医疗器械 (Class III medical devices), employing医疗器械唯一标识 (Unique Device Identification, UDI) to track each product from warehouse to end-user. This system, they claim, allows for precise追溯 (tracing) to address regulatory or consumer concerns promptly.
New Oxygen argues that the current博弈 (game) over prices stems from a structural shift in the medical aesthetics market. With童颜针,玻尿酸 (hyaluronic acid), and胶原蛋白 (collagen) products密集获批 (densely approved), supply is no longer scarce, ending an era where “谁有证就能要高价” (those with certifications could command high prices). Instead, prices should revolve around真实成本 (real costs) and用户需求 (user needs). This perspective frames the conflict as a necessary correction, where pricing power in China’s medical aesthetics industry is gradually transferring from upstream holders of注册证 (registration certificates) to market-driven forces.
Anatomy of the Pricing Power Struggle: Market Dynamics and Expert Insights
The blacklisting incident is a microcosm of broader market forces reshaping China’s medical aesthetics sector. As consumer behavior evolves and regulatory landscapes shift, the battle for pricing power in China’s medical aesthetics industry intensifies, revealing underlying vulnerabilities and opportunities for stakeholders.
Expert Insights on Market Dynamics and Structural Flaws
Bo Wenxi (柏文喜) explains that New Oxygen’s aggressive pricing strategy is driven by its business model transformation. During its platform phase, profits were squeezed by manufacturer controls on货 (inventory) and价 (price). Starting in 2023, New Oxygen began自建青春诊所 (building its own Youth Clinics), directly掌握终端 (controlling the end-points). Through “大批量平行进货+贴牌定制” (large-scale parallel procurement + private label customization), it bypasses authorization systems to extract毛利 (gross profit) for low-price offerings. This approach uses爆品引流 (hit products for traffic acquisition) to convert customers to higher-margin services,升级 (upgrading) from a “导流” (traffic referral) to a “控货” (inventory control) model.
Jiang Han (江瀚), a senior researcher at Pangoal智库 (Think Tank), adds that the童颜针 market is in an early transition from “高端新品” (high-end new product) to “大众消费品” (mass consumer good). While price declines align with product life cycles—similar to玻尿酸’s evolution from垄断 (monopoly) to多档产品矩阵 (multi-tier product matrix)—premature低价倾销 (low-price dumping) could透支产品价值 (deplete product value) and mislead consumers. Jiang Han notes that the conflict exposes a structural defect: the industry’s reliance on “重营销、轻医疗” (heavy marketing, light medical care), where institutions compete on price rather than技术或服务差异化 (technological or service differentiation), creating a恶性循环 (vicious cycle) that forces upstream players into price wars.
Data-Driven Market Pressures and Consumer Trends
Market data substantiates these pressures. According to追美数据平台 (Zhuimei Data Platform), in the second half of 2024,医美消费人次 (medical aesthetics consumption人次) grew by 27.1%, but人均花费 (per capita spending) fell by 30.9%. This indicates that more consumers are opting for合规医美机构 (compliant medical aesthetics institutions) but spending more rationally. The “中国医美行业2025年度洞悉报告” (China Medical Aesthetics Industry 2025 Insight Report) further shows that in 2024,消费人数 (consumer numbers) increased by 10.7% year-over-year, while客单价 (average transaction value) dropped by 10%. Additionally, Tianyancha APP (天眼查) data as of December 5, 2024, reveals经营异常 (operational abnormalities),简易注销 (simple注销), and行政处罚 (administrative penalties) affecting 1,818, 677, and 176 medical aesthetics entities, respectively, signaling industry consolidation.
New Oxygen contends that合理价格 (reasonable prices) are expanding the market and挤出灰色空间 (squeezing out gray areas). In the long term,价格回归理性 (price rationalization) could benefit all parties: upstream manufacturers gain稳定规模订单 (stable scale orders) to摊薄成本 (dilute costs), downstream机构 (institutions) build healthier获客与复购模型 (customer acquisition and repurchase models), and consumers avoid “黑医美” (black medical aesthetics). This aligns with the broader shift where pricing power in China’s medical aesthetics industry is increasingly influenced by consumer accessibility and regulatory oversight.
New Oxygen’s Transformation and Financial Implications: A High-Stakes Gamble
New Oxygen’s foray into offline clinics represents a strategic bet to redefine its role and capture more pricing power in China’s medical aesthetics industry. However, this transition comes with significant financial hurdles and operational risks, as evidenced by recent earnings reports.
From Online Platform to Offline Clinics: The Business Model Evolution
In May 2023, New Oxygen launched its first轻医美连锁门店 (light medical aesthetics chain store), aiming to offer “标准化+品质+性价比” (standardization + quality + cost-effectiveness) services. By December 2024, it had expanded to 46 stores across 14 cities, including Beijing, Shanghai, Guangzhou, and Shenzhen, with累计诊疗量 (cumulative诊疗量) exceeding 800,000. According to the company, in Q3 2025,新氧青春诊所 (New Oxygen Youth Clinics) generated revenue of 1.84 billion yuan, a 305% year-over-year increase, becoming a核心动力 (core driver) for growth.核销服务点 (redeemed service points) surpassed 194,700 (up 296%), and到店核销顾客 (in-store redeemed customers) exceeded 89,800 (up 280%), with nearly half of new customers来自老客推荐 (from referrals).
New Oxygen argues that its “低价策略” (low-price strategy) is not mere价格战 (price war) but a way to剥离无效成本 (strip无效成本). Traditional institutions allocate 30%–50% of投入 (investment) to营销和中间渠道溢价 (marketing and middle-channel溢价), while New Oxygen uses集中采购 (centralized procurement),数字化获客 (digital customer acquisition), and标准化运营 (standardized operations) to reduce marketing costs below 10%. Combined with门店网络的规模效应 (scale effects of the store network), this returns溢价 (溢价) wasted on信息不对称 (information asymmetry) to consumers, thereby challenging the traditional pricing power in China’s medical aesthetics industry.
Q3 2025 Financial Performance Analysis: Growth Amidst Losses
New Oxygen’s Q3 2025 financial results, reported in December 2024, highlight the costs of this transformation. Total revenue increased by 4% year-over-year to 3.87 billion yuan, but净亏损 (net loss) was approximately 643 million yuan, compared to a profit of 203 million yuan in the same period last year. As reported by “每日经济新闻” (Daily Economic News), the亏损主因 (main cause of loss) is the expansion of品牌医美中心业务 (brand medical aesthetics center business). Jin Xing (金星), New Oxygen’s founder, Chairman, and CEO, acknowledged that the环比增长 (sequential increase) in net loss is due to a 31 million yuan decline in other business revenues outside连锁诊所 (chain clinics), but expressed confidence in “四季度保持稳定” (maintaining stability in Q4). For Q4 2025, New Oxygen forecasts美容护理服务 (beauty care services) revenue between 216 million yuan (约30.3 million USD) and 226 million yuan (约31.7 million USD), representing 165.8% to 178.1% year-over-year growth.
This financial strain underscores the precarious balance New Oxygen must strike between aggressive pricing to gain market share and sustaining profitability. The company’s ability to navigate this will significantly influence its claim to pricing power in China’s medical aesthetics industry, especially as competitors and upstream players adjust their strategies.
The Broader Industry Context: From Wild Growth to Quality Competition
The conflict between New Oxygen and upstream manufacturers occurs against a backdrop of regulatory advancements and market maturation. China’s medical aesthetics industry is transitioning from野蛮生长 (wild growth) to高质量发展 (high-quality development), with pricing power becoming a central battleground for this evolution.
Regulatory and Market Shifts Driving Change
Policy initiatives are accelerating industry transformation. In 2024, the State Council General Office (国务院办公厅) issued the “关于全面深化药品医疗器械监管改革促进医药产业高质量发展的意见” (Opinions on Comprehensively Deepening Drug and Medical Device Regulatory Reform to Promote High-Quality Development of the Pharmaceutical Industry), which试点地区 (pilot areas) will compress临床试验审评审批时限 (clinical trial review and approval timelines) for创新医疗器械 (innovative medical devices) from 60 to 30 working days. Market-wise, the approval of multiple热门针剂 (popular injectables) like童颜针 and水光针 (hydrating injections), along with Juzi Bio’s (巨子生物) success in obtaining a三类医疗器械注册证 (Class III medical device registration certificate) for胶原蛋白, has diversified product offerings, reducing reliance on单一产品格局 (single-product structures).
These developments are eroding the “证件红利” (certificate红利) that once allowed upstream manufacturers to dictate prices. As Bo Wenxi (柏文喜) notes, the industry lacks a质量、安全、服务差异化竞争体系 (quality, safety, service differentiated competition system), leading to a reliance on价格卷 (price rolling). This deficiency means that until a高质竞争体系 (high-quality competition system) forms, disputes over pricing power in China’s medical aesthetics industry will persist, with players like New Oxygen pushing for transparency and affordability.
The Future of Pricing in Medical Aesthetics: Predictions and Pathways
New Oxygen anticipates that the价格中枢 (price中枢) for械三产品 (Class III device products) will温和下移 (moderately decline) and回归理性 (return to rationality). High-premium injectables once priced at “万元级” (ten-thousand-yuan level) may become more普惠 (inclusive) due to多品牌竞争 (multi-brand competition),机构降本 (institution cost-cutting), and规模效应 (scale effects). Post-“证件红利,” the market will shift from “拼谁先拿证” (competing on who gets certificates first) to “拼产品力+服务体系” (competing on product strength + service systems), with终端价格 (end prices) reflecting产品真实价值 (product real value) and机构服务能力 (institution service capabilities).
However, risks remain. Bo Wenxi (柏文喜) warns that持续破价 (continuous price-breaking) could lead to安全风险 (safety risks) if非授权渠道 (unauthorized channels) and未培训医生 (untrained doctors) are involved, potentially reducing研发投入 (R&D investment) and医生教育预算 (doctor education budgets). For New Oxygen, the “可持续信任” (sustainable trust) based on产品可验证 (product verifiability),医生可信任 (doctor trustworthiness), and效果与并发症处置能力 (efficacy and complication handling) is critical. Any大规模医疗事故 (large-scale medical incidents) or假货纠纷 (counterfeit disputes) could erode trust and damage the platform.
Strategic Implications and Forward-Looking Guidance for Market Participants
The pricing power struggle in China’s medical aesthetics industry offers valuable lessons for investors, corporate executives, and regulators. As the sector evolves, stakeholders must adapt to new realities to capitalize on opportunities and mitigate risks.
Key takeaways include the importance of monitoring regulatory changes, such as those from the National Medical Products Administration (国家药品监督管理局), which can impact product approvals and market entry. Investors should assess companies like New Oxygen not just on short-term financials but on their ability to build scalable, compliant operations that align with consumer trends toward affordability and safety. For upstream manufacturers, diversifying product portfolios and enhancing value through innovation, rather than relying on pricing controls, will be crucial for maintaining relevance.
Industry professionals must prioritize quality and service differentiation to move beyond price wars. As Jiang Han (江瀚) emphasizes, fostering a “高需求与强监管” (high demand and strong regulation) environment requires平衡利润分配 (balancing profit distribution) across the产业链 (industrial chain). This means supporting downstream institutions with training and support to ensure safe practices, while upstream players invest in R&D for next-generation products.
For those engaged in Chinese equities, particularly in healthcare and consumer sectors, this conflict highlights the dynamic nature of market disruptions. Consider tracking metrics like客单价 trends, regulatory approval rates, and consumer sentiment reports to gauge the shifting pricing power in China’s medical aesthetics industry. Engage with expert analyses and market data to inform investment decisions, and watch for consolidation moves among smaller players as the industry洗牌 accelerates.
In conclusion, the battle between New Oxygen and upstream manufacturers is more than a fleeting dispute; it is a harbinger of systemic change. Pricing power in China’s medical aesthetics industry is decentralizing, driven by market forces, regulatory shifts, and consumer empowerment. By embracing transparency, innovation, and quality-centric models, stakeholders can navigate this new era and contribute to a sustainable, growth-oriented future for medical aesthetics in China and beyond.