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Value Chain Management
DR.WU places consumers at the core of its operations and attaches great importance to health, safety, and the right to information. From product research and development, manufacturing, and labeling to after-sales services, the Company has established a comprehensive product and service management framework. Through rigorous product safety control and testing mechanisms, as well as transparent and complete disclosure of product information, DR.WU ensures that consumers can use its products with confidence and fully understand relevant information. At the same time, the Company continuously promotes the education and dissemination of professional skincare knowledge to help consumers develop proper skincare concepts.
In addition, DR.WU values two-way communication with consumers. Through diversified and real-time service channels, the Company appropriately responds to consumer inquiries, feedback, and complaints. By integrating customer satisfaction surveys and online reputation monitoring, DR.WU continuously enhances service quality and the overall customer experience.
DR.WU places great importance on consumers’ health, safety, and right to information. Through comprehensive product safety management mechanisms and transparent disclosure of product information, the Company ensures that consumers can use its products with confidence and fully understand product-related information.
DR.WU has established a comprehensive product safety control system and strictly implements relevant requirements. Product inspection procedures, retention sample management, and related quality management measures have been established to ensure product quality and safety. The control mechanisms include the following:
All DR.WU products fully disclose required information on outer packaging in accordance with the "Regulations Governing the Labeling of Outer Packaging, Containers, Labels, or Inserts of Cosmetics", including product name, manufacturing information, full ingredient listings, and shelf life, ensuring consumers’ right to be informed.
In addition, to assist consumers in using products correctly, DR.WU provides clear and easy-to-understand written instructions or visual illustrations to help products effectively deliver skincare benefits. In 2025, the Company did not experience any violations related to product and service information disclosure or labeling regulations.
With long-standing experience in the skincare and beauty industry, DR.WU upholds its brand mission of “providing solutions to various skin concerns in a simple, fast, and effective manner,” and is committed to helping consumers enhance self-recognition and confidence through external improvement. In addition to continuously developing and promoting high-quality products, DR.WU places equal emphasis on educating consumers about proper skincare concepts and knowledge.
The Company provides comprehensive product information and professional skincare knowledge on its official website. In response to seasonal and climate changes, DR.WU also produces and publishes skincare-related features through print media, electronic media, and digital platforms to deliver accurate skincare concepts and the latest information to consumers. Furthermore, the Company periodically organizes or co-hosts thematic seminars and online courses with media outlets or corporate partners to continuously promote professional skincare knowledge and the concept of beauty to the public, enhancing consumer awareness of skin health and self-care.
Through systematic training programs, DR.WU continues to strengthen the professional knowledge and service capabilities of its internal staff and business partners. In 2024, the Company conducted 35 channel training sessions, 13 internal training programs, 22 beauty consultant training courses, and 6 internal product and skincare knowledge training sessions. Training content covered product feature analysis, skincare trend sharing, sales skill enhancement, and service response capabilities, helping partners and employees deepen their professional expertise and practical application skills, thereby improving overall service quality and consumer experience.
DR.WU provides diversified and real-time customer communication channels. Through continuous interaction via these channels, the Company is able to promptly respond to and effectively address consumer inquiries, feedback, and complaints. Relevant feedback is compiled and analyzed to continuously enhance consumer satisfaction. In addition to consumer-initiated feedback, DR.WU also conducts online reputation monitoring to timely capture market feedback, which serves as a reference for service optimization and management decision-making.
Consumer Satisfaction and Feedback Mechanism
Since May 2022, DR.WU has conducted customer service satisfaction surveys for customers who contact us through non-telephone channels. The survey results are reviewed on a monthly basis to comprehensively understand customer needs and service feedback.
The 2025 survey results show that overall customer satisfaction exceeded 90% (4,794 valid responses, with a response rate of 16%), indicating a high level of recognition of the quality of customer service. DR.WU will continue to enhance the professional capabilities of its customer service team, optimize service processes, and strengthen customer relationship management in order to provide consumers with a more high-quality and attentive service experience.
| Survey Item | Score |
|---|---|
| Helpfulness of the response provided | 93 |
| Communication and coordination skills | 92 |
| Perceived level of professionalism | 93 |
| Timeliness of responses to inquiries | 92 |
| Overall customer service performance | 92 |
DR.WU firmly believes that product quality and corporate sustainability performance depend on a robust and responsible supply chain. The Company extends its sustainability principles to supplier management by establishing systematic and traceable management mechanisms covering raw material sourcing, manufacturing processes, environmental protection, social responsibility, and regulatory compliance. These mechanisms ensure that suppliers meet the Company’s requirements for quality, safety, and sustainable development throughout their operations, while working together with supply partners to enhance the resilience and long-term sustainability value of the overall supply chain.
Product Quality and Traceability Management
DR.WU conducts regular and ad hoc on-site audits of key suppliers to verify whether manufacturing processes comply with ISO or GMP standards. Evaluations are also performed on raw material sources, their appropriateness of use, and dosage levels to ensure product quality and consumer safety. All contracted manufacturers are required to obtain GMP or relevant international certifications, such as ISO 22716 and ISO 9001, and to comply with GMP operating standards in production. In addition, the Company has implemented a batch number management system to ensure full product traceability. In the event of a major quality issue, a product recall mechanism will be promptly activated to minimize potential impacts on consumers and the market.
Promotion of a Green Supply Chain
To reduce the environmental impact across the product life cycle, DR.WU promotes green supply chain management by implementing environmental protection principles throughout raw material selection, production, packaging, and logistics processes. Key initiatives include:
Supplier Commitments to Social Responsibility
DR.WU requires its suppliers to place equal importance on corporate social responsibility. Since 2024, the Company has promoted the signing of sustainability commitment letters by suppliers, covering sound corporate governance as well as environmental protection, human rights protection, and social impact considerations, in support of long-term sustainable development.
Commitments related to ethical corporate management, environmental sustainability, and human rights protection are clearly stipulated in contracts and incorporated into regular supplier evaluation criteria. If a supplier causes significant negative environmental or social impacts and fails to implement improvements, the Company will, depending on the circumstances, require corrective actions or terminate the business relationship to safeguard the overall sustainability and integrity of the supply chain.
Industry Co-Prosperity
In addition to focusing on its own business development, DR.WU is committed to promoting the shared growth and sustainable development of the beauty-related industry. Currently, nearly 90% of raw materials are sourced from localized manufacturing, which not only supports local industry development but also shortens transportation distances and reduces carbon emissions.
To enhance product quality and performance, the Company participates from time to time in domestic and international industry exhibitions to absorb emerging technologies and raw material trends. Relevant insights are shared with contract manufacturers to assist supply partners in strengthening their professional capabilities and global perspectives. Through a rigorous supplier selection and management system, DR.WU continuously enhances the overall quality and competitiveness of the supply chain, including cosmetics manufacturing, packaging, printing, containers, warehousing, and logistics.
Supplier Evaluation Policy
In accordance with the Company's “Supplier Selection and Evaluation Management Procedures”, DR.WU conducts graded selection, evaluation, and management of suppliers. Through on-site audits, field evaluations, and performance tracking, the Company ensures that suppliers meet its requirements in terms of quality, delivery, and sustainability management.
| Item | Criteria |
|---|---|
| Quality | Pass rate / customer complaints |
| Price | Reasonableness / competitiveness |
| Delivery | Flexibility of capacity allocation / on-time delivery or service provision |
| Service | Staffing adequacy / sampling and revision speed / business cooperation / issue resolution capability |
| Contract | Key domestic and international certifications / contractual terms |
| ESG | ESG management practices / related certifications and programs |
DR.WU conducts supplier evaluations semiannually (in June and December) and implements graded management based on evaluation results.
| Grade | Score | Result | Management Measures |
|---|---|---|---|
| A | 90–100 | Approved for cooperation | Priority procurement; enhanced cooperation |
| B | 80–89 | Approved for cooperation | Priority procurement; enhanced cooperation |
| C | 70–79 | Conditionally approved | Identify issues via phone or email and provide improvement or cooperation recommendations/span> |
| D | Below 69 | Not approved | If the initial evaluation is Grade D, no new projects may be developed and a supplier transition plan shall be formulated; if rated Grade D for two consecutive evaluations, cooperation shall be terminated |
Implementation Status of Supplier Management
Supplier Evaluation
DR.WU conducted supplier evaluations in June and December 2025, covering a total of 47 suppliers. Among them, 30 suppliers were rated Grade A or B. An additional 17 suppliers were rated Grade C, for which issues have been identified and improvement and cooperation recommendations have been provided. In 2025, no suppliers were rated Grade D.
Signing of Sustainability Commitment Letters
Since 2024, DR.WU has promoted the signing of sustainability commitment letters by suppliers. To date, 100% of all current cooperating suppliers have completed the signing process, jointly implementing ethical corporate management, environmental sustainability, and social responsibility.
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