How an Eastern China county turns press-on nails into gold?

"Good morning, everyone! Still in bed?"

On a Wednesday evening, Hu Tianjiao, 35, greeted her audiences in the US and Canada during a live TikTok webcast from her home base in Donghai County, eastern China.

Surrounded by shelves adorned with a staggering array of 2,000 press-on nail designs, Hu showcased the latest products on her nails before the screen. "We've got different colors, sizes, and styles for you to choose from," she exclaimed. "And we've also got the best price for you. The best, best, best price!"

Entrepreneurial spirit of a county

Press-on nails are reusable nail decorations that you can glue to nails. They can give nails a salon-quality look at a much lower price. While a basic manicure costs about US$50 and more in North America, a set of press-on nails is around US$15 on Amazon and even cheaper at US$5-10 through Hu's live streams.

As the products gain popularity across the ocean, a single press-on nails video can garner 100 million views on YouTube sometimes.

All Hu's customers need to do is order what they like online while having breakfast. Within two weeks, they'll receive the fancy press-on nails from China.

"The money they spend on one manicure in their countries can buy 10 sets here," Hu told Shanghai Daily.

Hu live streams three to four hours every evening, with a monthly sales of around US$10,000. For someone who has been in the business for only one month, the achievement was decent, but it's still modest compared to the major players in Donghai County.

"The owner of this store," she said, referring to the store she was live streaming from, "has bought a Bentley."

Such success stories are common in Donghai, which lies in the coastal city of Lianyungang in Jiangsu Province. It has now established itself as the country's leading manufacturer of handmade press-on nails, which are more complex to make and have higher-quality than machine-made ones.

According to latest statistics, Donghai County's press-on nail sales soared to nearly 8 billion yuan (US$1.1 billion) in 2024, up 166.7% year-on-year. Overseas markets took up nearly 40% of total sales, with about 80 million pairs of original-design nails exported.

Despite entering the industry less than four years ago, Li Zhifu, owner of Bentley, has propelled Yihe Beauty Co Ltd into a leading position as a major manufacturer and wholesaler of press-on nails in the county.

Yihe produces 1.8 to 2 million sets of press-on nails monthly, exporting 30% to countries such as the US, Canada, South Korea, Japan, and Malaysia.

"During the peak sales season, we could earn enough to buy a car like this in just half a month," Li said, referring to his 4-million-yuan purchase earlier last year.

Change of the racing track

At the age of 16, Li began drilling wells for a living. At the age of 17, he and his cousin launched a crystal business, manufacturing beads for crystal bracelets. Donghai, traditionally known as the "World Capital of Crystal," reportedly sees an annual crystal trade volume of 40 billion yuan.

By 2016, Li's annual income from crystal business had exceeded one million yuan, thanks to e-commerce. However, recognizing the slow pace of innovation in crystal products and its potential impact on future profitability, Li began exploring new business opportunities.

He invested 300,000 yuan at the end of 2021 to launch his own press-on nail company. Since then, business has "doubled up."

Li used his extensive e-commerce experience to enter press-on nails market. However, he attributed his success primarily to the growth of the sector itself. "The industry is thriving," he said.

Chen Jian, one of the earliest press-on nail makers in Donghai, also expected the market to grow.

"The price of one set is cheap and many customers find press-on nails to be novel and unique," said Chen. "Moreover, the production cost is relatively low."

In 2019, Chen and his wife, Feng Tingting, invested 3,000 yuan to launch their nail business at their dining table. Chen managed online sales, while Feng Tingting, who had been painting since childhood, collaborated with a friend to oversee design and production.

Chen observed that the press-on nails market was a blue ocean at the time, with only a few dozen enterprises selling on e-commerce platforms like Pinduoduo and Taobao, despite high client demand.

In just five years, their company, Weimu, has expanded from three to 200 employees across eight workshops, producing approximately 4,000 sets of press-on nails daily.

In early stages of his business, an increase in online orders posed challenges as Chen's firm lacked sufficient production capacity to meet demand, resulting in customer complaints and the closure of several online stores. But he has no such worries today when facing another surge in orders beyond his capacity, as he can outsource production easily while ensuring quality control.

Currently, Donghai hosts over 200 companies and employs 50,000 people in the press-on nails industry.

Many workers in the industry are housewives and mothers. For each set, they earn between seven to 12 yuan and the monthly salaries range from 5,000 to 6,000 yuan and exceeding 10,000 yuan during peak seasons like the Spring Festival.

Chen and Feng prioritize flexibility for their workers, allowing them to choose their work locations and hours to accommodate their family responsibilities.

For Feng, designing and producing press-on nails provides greater fulfillment than caring for her children at home.

"I feel valued when people appreciate my designs and when orders surge," she said. "In contrast, caring for children doesn't give me that sense of value."

An endless market

Donghai County aims to reach 500 million sets in annual nail sales by the end of 2026, with projected annual revenues of 30 billion yuan, according to Li Zheng, secretary-general of the county's press-on nails association.

However, the county faces competition from others across the country seeking to replicate its success.

Li of Yihe Beauty has observed an influx of newcomers since the beginning of 2024, raising concerns over quality control and price wars. He noted that new workers typically take three months to become skilled, and new workshops need at least six months to establish solid quality control. Until then, these newcomers may struggle to sell due to inferior quality, which may spark a price war.

Chen and Feng acknowledge the increasing competition but remain confident in their product quality.

"Quality products are still in demand," said Feng.

Chen, who also serves as vice chairman of Donghai's press-on nails association, mentioned ongoing collaboration with the local government's market supervisors to establish a national standard for press-on nails. According to Chen, this standard will classify products into three tiers based on quality and mandate compliance with environmental standards for all raw materials.

Despite the new competitors, Li predicts that there still will be a two-year lucrative period for press-on nails. " It is still possible for you to earn a Bentley now by making and selling press-on nails," he added.