Home massage provider Yishengdaojia.cn announced that it has completed RMB 50 million (USD 7.7 million) in Series A financing round led by Century Galaxy.
Heyi Angel Investment Fund also contributed to the recent round of funding. Last March, the comapny received an angel investment of RMB 19 million (USD three million) from Angel Plus. Then in October, it received hundreds of thousands of RMB from the Beijing government.
The company will use this round of funding to further integrate their online platform with the healthcare industry, develop more services and expand to more cities, according to the company’s official website.
In December 2014, Yu Fei, the CEO of the company, founded the platform based on his decade of entrepreneurial experience. As the online platform of the traditional chain store Jiafu Fuqiao, Yishengdaojia will now operate separately.
This platform provides Tiuna, a traditional Chinese medical massage, foot massage and other traditional Chinese health services including ear massage and services for children. By now its massage services have covered Beijing, Shanghai and Shenzhen.
According to Yu Fei, two factors challenging door-to-door massage services are safety and quality. Since its launch, the platform has set up a department to monitor and protect the personal safety of users and massage therapists. It has also built a quality tracking system to get users’ feedback.
The platform now has more than 600 massage therapists on its platform. It claims to have over 500,000 users. With more than 2000 daily orders, the platform’s monthly revenue has surpassed RMB four million, according to data it provided from early 2016.
Yu plans to provide healthcare management solutions for different users by providing them with exercise advice and tools for dietary management and health maintenance. Its goals in 2016 are to increase profits and achieve an annual revenue growth of 300-400%.
Its main rivals are Gongfu Xiong and Diandao. Gongfu Xiong received an angel investment of several million yuan from K2VC in 2014, and landed several million dollars in Series A financing from Vertex Ventures in the same year. Diandao received an angel investment of RMB ten million in 2014, and closed USD five million in Series A financing led by 58 Home in 2015.
In 2015, many startups offering home massage services went bankrupt due to fierce competition in this sector, the poor quality of massage therapists and vicious competition between the companies.
(Top photo from Baidu.com)