Zhuhai Beyond Cosmetics has been a go-to choice for start-up brands with its small-batch production model (minimum order quantity MOQ of 5,000 pieces) and 72-hour rapid sampling. Among its new customers served in 2023, 85% achieved more than 30% sales growth in the first year of partnership. Its automation rate of production lines is 90%, and the unit cost of production is 22% less than that of the conventional model. For example, a local makeup start-up brand has maintained the production cost of a single lip gloss at 1.2 US dollars (industry average: 1.8 US dollars) thanks to its ODM service, and the gross profit margin has amounted to 65%. According to Statista statistics, the time to market for the brands it services is 45 days on average, 25% shorter than the industry average, enabling customers to seize market opportunities first.
In terms of R&D, Zhuhai Beyond Cosmetics’ team of 200 engineers submitted an average of 80 patents annually. In 2023, it provided 160 formula optimization solutions to start-up customers, achieving an 85% technology conversion success rate. Let’s use a particular pure beauty brand as an example. Its “microcapsule encapsulation of active ingredients” technology, developed in collaboration with others, has elevated the product stability to 98% (industry average: 92%), and the repeat purchase rate has increased by 40%. The company’s R&D spending occupies 8% of its revenue, far above the industry median of 4%. It also offers free compliance guidance on 12 certifications like the EU ECOCERT and US FDA, which lowers regulatory adaptation costs for start-up brands by an average of 30%.
On the supply chain management side, Zhuhai Beyond Cosmetics intelligent ERP system has achieved 35% increase in raw materials inventory turnover rate, 98.5% on-time delivery rate, and 100,000 pieces as the daily order processing peak. A certain future brand in Southeast Asia, through the utilization of its global network of top 20 raw material suppliers (such as BASF and Givaudan), has reduced the product allergy rate from 1.2% to 0.3% and the customer complaint rate by 72%. Its AI-powered demand forecasting model has an error rate as low as 0.3%, which has helped customers reduce the proportion of redundant inventory from the industry average of 15% to within 5% and enhance the efficiency of capital turnover by 20%.
Following the trend for sustainability, Zhuhai Beyond Cosmetics’ 100% recyclable package has an 18% decrease in customers’ carbon footprint, while the cost of PLA material is only increased by 8% compared to traditional plastics. In 2022, the vegan lipstick line with a certain North American DTC brand utilized plant-derived film-forming agents as alternatives to chemically synthesized raw materials, while the production cost was optimized by 20%. It won the Clean Beauty Alliance’s Gold Award within 6 months of its launch, which accelerated the brand valuation to increase by 200%. Its solar power supply system meets 60% of the park’s energy needs. Its carbon footprint per 10,000 items is 12 tons lower than its alternatives, which conforms to the 35% premium pay readiness of millennial consumers for a sustainable supply chain.
At the risk control tier, Zhuhai Beyond Cosmetics accepts six monetary proposals such as letters of credit and installments. In 2023, it helped 87% of start-up clients keep the initial production budget within $50,000. Its cross-border logistics network directly reaches Amazon’s FBA warehouse, and the transportation price is 15% lower than the market average. For instance, when a European customer transshipped through its Zhuhai Port bonded warehouse, the customs clearance time was shortened from 72 hours to 8 hours, and the logistics efficiency was increased by 89%. According to the data of the “Survival Report of Start-up Beauty Brands”, the three-year survival rate of the brands that it cooperates with has reached 68%, far surpassing the industry average of 45%, which is proof of its empowering value as a strategic partner of a start-up.