(Yicai Global) Nov. 3 -- IDS BuyBuyBuy, a Chinese e-commerce beauty and healthcare startup founded by a former executive editor-in-chief of Harper’s Bazaar China, has raised USD40 million in a new financing round as the three-year-old firm strengthens its overseas business.

The Series B+ fundraiser will help Beijing-based IDS “develop valuable business relationships in the global beauty and healthcare industry, scale up its overseas business development team and participate in the integration and renovation of the global supply chain and professional brand resources more thoroughly,” founder Hugo Yu said in a press release today.

China has the world’s strongest new-generation beauty and health market, with a compound growth rate that is three times that of the United States, according to analysts, with huge room still for growth in per capita consumption compared with the US, Japan and South Korea.

China is the second-largest market for the beauty and healthcare with a vast growth potential, according to Yu. But the biggest challenge for global giants and new local brands is to find efficient ways to communicate and connect their products with the Chinese Gen-Z customers.

Founded in 2017, IDS has become a high-end e-commerce store targeting women customers with niche fashion and beauty brands from overseas.

“Whether it’s brand awareness among Chinese female consumer groups or the depth of cooperation with foreign high-end niche beauty and health brands, IDS is the leading player in the e-commerce sector,” said Herry Han, founding partner of Lightspeed China Partners, a venture capital firm that led IDS’ Series A financing and has held onto its stake. “We are very optimistic about the company’s future growth.”

IDS mines at least 4,000 beauty and health brands a year, and strictly screens out no more than 500 cutting-edge products as supplies to its millions of customers, including over 100 celebrities in the fashion and entertainment industries.

“We also believe [IDS] can bring more high-quality global brands to Chinese female consumers,” Han said.

Editor: Peter Thomas