Xingkeduo

About Xingkeduo

Xingkeduo, established in 2015, operates as a chain of express haircut franchises, drawing inspiration from the successful Japanese QB HOUSE model. The company was founded by Zhuang Wei, who comes from a family with a background in the hairdressing industry in Taiwan. His industry experience was pivotal in shaping the company's direction.

The business centers on providing a focused, no-frills haircutting service, initially promising a 15-minute express cut. This concept evolved to prioritize service quality over speed, with the average haircut time extending to around 22 minutes. Clients, primarily a younger demographic with a majority being male, can book and pay for appointments through the WeChat platform. The company’s revenue is generated from both haircut services and the retail of beauty products in its salons. A key aspect of its service model is a strict "anti-sales" policy, where stylists are prohibited from pushing products, and customers can report any such instances.

Xingkeduo strategically locates its salons in high-traffic areas like shopping centers, office buildings, and university campuses. These stores are typically compact, around 50 square meters, featuring 4-6 service stations. The pricing structure is dynamic, varying based on the salon's location and the stylist, with an average cost of about 50 RMB. By 2017, the company reported annual revenues exceeding 100 million RMB.

The company has secured significant financial backing through multiple funding rounds. In October 2015, it raised 30 million RMB in a Series A round led by Oriental Hongdao, with participation from Matrix Partners China and Sinovation Ventures. This was followed by a substantial 100 million RMB Series B round in October 2018, with investors including CICC Pucheng, Shunwei Capital, Hongdao Capital, and Matrix Partners China. In total, Xingkeduo has raised approximately $20.3 million. In a significant market development, Xingkeduo merged with its competitor U-cut (Youjian) in December 2021. While Xingkeduo's existing stores would retain their branding for a time, new locations in major cities like Beijing and Shanghai were to operate under the U-cut name. Before the merger, Xingkeduo operated nearly 100 stores across cities such as Beijing, Shanghai, Chongqing, and Hangzhou, having served over two million customers.