Deloitte China, partnered with Allergan Aesthetics and Chinese Association of Plastic and Aesthetics, launched “China Medical Aesthetic Industry Outlook 2024”

China Medical Aesthetic Industry Outlook 2024 was jointly released by Deloitte China, Allergan Aesthetics and Chinese Association of Plastic and Aesthetics. Through desk research, industry experts interviews, as well as survey more than 2,000 middle- and high-income medical aesthetic consumers and over 600 medical aesthetic institutions, the report examines consumer demand for personalized premium medical aesthetic offerings in China current market, and provides ideas based on a brand-new perspective on how to continue to provide a high-quality, safe treatment experience and create long-term value for the customers.

2024 is crucial as the recovery boosts consumer spending to sustain growth, and it’s also a decisive year of quality improvement and advancement. As one of the "new quality consumption power" characterized by both medical attributes and emotional consumption, the medical aesthetics industry has witnessed the self-pleasure demand of medical aesthetics consumers as well as boosting consumer sentiment for the industry in this year. Driven by the increasing penetration rate of medical aesthetics and demand for diversified quality medical aesthetics, China's medical aesthetics market is expected to continue its rapid growth of 10%~15% in the coming years.

1. Insights into Middle- and High-income Medical Aesthetics Consumer Trends

Middle- and high-income medical aesthetic consumers remain willing to pay for high-quality medical aesthetics when seeking cost-effectiveness in the context of K-shaped consumption divergence. The report found:

• Middle- and high-income consumers' spending on medical aesthetics rises, with energy-based device treatments and injections being the most popular choices
• High-end medical aesthetic consumer group continuously increases spending and treatments, and were interested in body sculpting
• Potential medical aesthetic consumer group has room for growth, and favored cleansing, skin booster, and budget-friendly energy based device treatments. Their demand for filler injections has growth potential
• Male medical aesthetic consumer group has strong demand, and they more value doctors' expertise, qualifications, and pre-treatment consultations
• Outbound medical aesthetic consumer group's demand becomes increasingly diversified, and the majority of outbound medical aesthetic consumers are middle-aged consumers from China's first-tier cities. Japan and South Korea are the most popular destinations, followed by Hong Kong, Macau, and Taiwan

2. China’s Medical Aesthetic Market Dynamics and Current Institution Operation

Upstream manufacturers drive the industry move towards a new era of quality medical aesthetics through the delivery of high-quality products and services; At the same time, heightened regulatory oversight and enhanced self-governance guide the industry to refocus on its core medical purposes, driving it toward an era of high quality.

For the medical aesthetic industry operating institutions, non-surgical segments primarily drive the growth of institutions in 2024. There is a general expectation of sustained growth in filler treatments, anti-wrinkle/anti-aging energy-based devices treatments, and botulinum toxin over the next 2 to 3 years. Institutions should optimize the product mix according to their unique selling propositions and promote signature services to firmly establish or enhance their presence in the minds of consumers.

The high cost and low conversion rate of new customer acquisition underscore the need for affordable channels/platforms that can more effectively help institutions gain the trust and preference of potential consumers. At the same time, the delivery of more safe and effective healthcare services, coupled with a comprehensive enhancement of the service experience, is crucial for maintaining the long-term loyalty of existing customers, particularly those of high value.