Bloomage Bioactive Nutrition

15:25 May 26, 2022, Published in Shandong

New York Cosmetics Raw Materials Exhibition (USA), European International Nutrition and Health Food Exhibition (Switzerland), World Pharmaceutical Raw Materials North America Exhibition (USA)... In May, Bloomage Bio (SH.688363) went to the international raw material market without stopping, introducing the company’s brand concept of biotechnology and the powerful and rich product series to customers, experts, and industry colleagues from all over the world.

Facing the challenge of the pandemic, Bloomage Biotech adheres to the international development strategy, especially in the bioactives segment, and increases resource investment in marketing, research and development, brand development, etc., and extends its business to more and more areas in the world to achieve the rapid increase in global market coverage and product share.

• Bioactive segment supports the steady advancement of Bloomage’s global strategy

In recent years, Bloomage Biotech's global strategy has been steadily advancing.  Data shows that in 2021, the company achieves overseas revenue of 530 million yuan, a year-on-year increase of 30.74%. Raw materials, medical products, and functional skincare products are sold to more than 60 overseas countries and regions. Among them, B2B raw material sales are the first business of the company to go global. In 2021, its overseas sector made rapid progress, which strongly supports the implementation of the company's global strategy.

In terms of the pharmaceutical-grade hyaluronic acid (HA) segment, Bloomage Biotech seized the opportunities created with the gradual withdrawal of Shiseido sodium hyaluronate raw materials from the global market and further increased its market share. Against the backdrop of low market penetration of pharmaceutical-grade HA products, Bloomage Biotech relied on high customer stability, high product quality, and 27 registration and filing qualifications obtained in markets including the European Union, the United States, South Korea, Canada, Japan, Russia, and India, which has accelerated the breaking of the high barriers during exploring new markets and helped Bloomage occupy a favorable position in the international market.

In terms of cosmetic grade HA, through localized marketing in key regions, and strengthening the coverage and in-depth cooperation with KA customers, Bloomage Biotech has achieved a good growth potential in global cosmetic customers and obtained continuous and stable sales growth.

In 2021, Bloomage Biotech successfully promoted the use of HA as food material in China, and further open up the Chinese HA food end market. The huge market opportunity will attract many global food brands to explore the Chinese market, and Bloomage Biotech’s product market coverage will increase significantly.

In addition to its traditional lifeline products, Bloomage Biotech has also accelerated the strategic layout of new raw materials. According to the 2021 financial report, Bloomage Biotech has been newly registered for HA raw material products internationally at a rapid pace, and the registration and certifying of HA derivatives and new products developed from the probiotic fermentation platform have made outstanding progress in markets such as the European Union, the United Kingdom, the United States, and South Korea. All the above progress has laid a solid foundation for category expansion.

Bloomage Biotech is one of China's earliest companies to start synthetic biomaterial research and development. It has a solid technical foundation, manufacturing foundation, and strong industrial transformation capabilities, which will help the rapid development of the synthetic biomaterial industry.

Biosynthetic technology is a major game changer in improving the quality and efficiency of the production of biologically active substances. Its application further strengthens the advantages of Bloomage Biotech’s diversified Bioactives platform layout, enabling the creation of other promising bioactive substances besides HA (such as HA derivatives, γ-aminobutyric acid, Ergothioneine, ectoine, probiotics series, etc.) and the large-scale mass production of these substances, thereby creating a new growth pole that drives the revenue of the Bioactives business.

• Product + service solutions to enhance the stickiness of overseas customers

In 2021, Bloomage Biotech applied the management model used by many successful international companies and created an efficient "iron triangle" management organization composed of account managers, solution experts, and training experts to expand its overseas business. This strategy improved customer response efficiency,  market insights, customer satisfaction, and brand stickiness, which all achieved remarkable results.

In addition, backed by strong technical reserves and R&D capabilities, Bloomage Biotech has upgraded its overseas business from simply selling raw materials to providing technical services including product proposals + formulas + efficacy data through integrating the resources of a complete production chain and with the help of CMO and OEM. The comprehensive solution makes customers worry-free and greatly enhances the brand competitiveness of Bloomage Biotech.

• Strengthen the allocation of international resources and grasp structural opportunities

According to the report of the research institution Frost & Sullivan, it is estimated that in the next five years, the global HA raw material market will maintain a high compound growth rate of 14.9%, and the sales volume will increase to 1,223 tons in 2025. At the same time, under the background of the pandemic, the healthcare consumption industry is one of the few industries that have risen against the trend of recession and performed outstandingly, and there are new structural opportunities.

After years of accumulation, the global channels of Bloomage Biotech’s raw materials have been widening, the cooperation with customers has gradually deepened, and Bloomage Biotech’s global business has entered a new period of development. Aiming at the new growth goals, the Bioactives segment strengthened the allocation of international resources, built an international business structure with subsidiaries as the core, and through localized operations, to cover and serve global customers to the greatest extent.

For each specific market, Bloomage Biotech will focus on major customers and provide targeted services and other technical support to carry out work, continue to improve channel capabilities and team service quality, and at the same time actively participate in important international conventions to enhance the company’s brand power and influence in the world.

Bloomage Biotech said that in 2022, the business of the bioactive substances segment will become one of the company's important strategic directions. As an important part of the "four-wheel drive" strategy, the Bioactives segment will focus on the following aspects in overseas markets：Firstly, continue to create popularity for core products and accelerate the replacement of existing raw material products and the expansion of new category in the market; Secondly, focus on the development of new customers, strengthen the cooperative relationship with big brands, and achieve deep binding; Thirdly, speed up the R&D and industrialization of high-end products, actively build and utilize self-owned or third-party high-quality communication channels and resources, promote the brand story and product competitiveness, build an international brand image, and seize the high-end field of bioactive substances in the global market.

In terms of the supply chain, with the completion of the acquisition of Dongying First Biochem Industrial Co. Ltd and the commissioning of the Tianjin factory, the scale of Bloomage manufacturing ranks among the top in the world, which will provide a strong and stable guarantee for the global market expansion of the Bioactives business。

As a biotechnology brand among the earliest-tier Chinese bio companies that have developed oversea, Bloomage Biotech is telling a story of its own to the world. In the future, the company will continue to deepen and expand the domestic + overseas dual markets, and become a biotechnology company with global influence with a complete production chain.