Stunning technology of beauty startups in the skin and genetic analysis raise eyebrows in South Korea’s Global Jump 300
78 companies were selected in the “Global Jump 300”, a program for supporting and cultivating startups, that’s run by a government-affiliated organization in South Korea. We took a closer look at the startups amongst them which are doing work in the fields of beauty and healthcare.
In South Korea, startups dealing in beauty and healthcare-related businesses are currently seeing continued investment. In March this year, the Korea Trade-Investment Promotion Agency (KOTRA) began “Global Jump 300”, a program for supporting and cultivating startups that are trying to expand into the global market. By the beginning of April, 78 startups had been chosen for the program including those in the fields of beauty and healthcare.
In Global Jump 300, industry insiders from accelerators and venture capital firms engaged in global expansion comprise a panel that selects startups that can potentially “hold their own in the world”. The exact criteria for selection aren’t made public, however, as 57 out of the 78 startups have raised at least 500 million won (US$464,000) in funds, it’s thought that those selected likely ranges from Early Stage to Series A Funding and have businesses with ample growth potential.
These startups will be able to receive consultation on overseas expansion and attracting investors, support in moving into KOTRA’s overseas IT support centers, and also help with marketing and attracting investors for exporting. This is the first time the “Global Jump 300” program has been run, and besides beauty, startups have also been selected from fields such as artificial intelligence, big data, education, and fintech.
So what kinds of beauty startups have been selected? A look at the list shows, along with AI skin analysis company lululab that we covered in a previous article, a number of beauty-related firms: ADHERO that runs an influencer-matching platform, Nuribio that makes a genetic analysis kit, cosmetics brand launching support platform Beauty Makers, and F&D Partners that make an AI-driven skin disease diagnosing device.
ADHERO runs the IT platform Brick-C, which connects influencers and brands. By May 2019, up to around 13,295 influencers joined and they had 100 million followers overall. Client companies with memberships, such as advertising agencies, tallied over 1,178. They’re deploying multiple measures and services to maximize the merits of influencers and clients, and the rate at which influencers are rehired for projects is reported to be 71.9%.
Nuribio is a company developing a genetic analysis kit for discovering a range of diseases. Using their original genetic analysis platform technology “PROMER™”, they’re aiming to detect diseases such as cancer and rare diseases at the early stage. In 2019, they succeeded in raising US$3.7 million in funding from investors including Magna Investment, IBK Capital, and Seoul Business Agency. They’re continuing to develop the technology so that a wide range of industries — not just the medical field but also agriculture, food services, and beauty — can make use of it.
Beauty Makers is an IT platform that provides support and matching of work required for beauty brands, ranging from launch to expansion. As long as a “maker” (a brand creator) has an idea, Beauty Makers can provide services for all-around support, covering product planning, fundraising, marketing, and selling. Also, if the maker wants to create a brand that does tie-ups with overseas influencers or celebrities, they can provide overall support for the realization of the product.
These “makers” that the service targets are influential individuals or general consumers, which can include influencers, YouTubers, and beauty experts. It’s a platform that breaks down the barriers to participating in the beauty industry and simplifies the product development process. In its first year, 2019, Beauty Makers carried out real product planning with 16 makers.
F&D Partners is developing the AI-based device Mediscope that diagnoses skin diseases. By connecting the device to a smartphone, photographed images of the skin can be digitalized and saved on the cloud. After that, the system links with the app, which uses big data and AI to support diagnoses, allowing for skin diseases to be discovered.
Along with Mediscope, F&D Partners is also developing LEMIA, a version of the skin diagnosis device that photographs 3D images. The main customers for these products are specialized clinics such as dermatologists.
Foundation for an open ecosystem
The overriding trend here is that of greater attention being given to IT platform businesses that are trying to build a more open ecosystem in the beauty domain.
There’s also an increase in startups that offer skin diagnosis solutions where a custom device is combined with AI or big data. Skin diagnosis is a technology that will become key in the future for realizing OMO-style shopping experiences. Also, if its cost-cutting can continue, the field of genetic analysis may be able to help realize more precise personalization in healthcare and beauty. This technology no doubt has the potential to change the face of cosmetics.
Text: Ching Li Tor
Original text (Japanese): Jonggi HA
