The encyclopedia · Strategy & Leadership · Strategic decision · 2020–2025
WOW COLOUR copied THE COLORIST and expanded to 300 stores — then got sued and shrank
WOW COLOUR went from 300 stores to around 135 and faced a trademark lawsuit from the rival it was accused of copying.
WOW COLOUR · MINISO (名创优品) · KK Group (KK集团) · THE COLORIST (调色师) · 2025-08
What happened
WOW COLOUR was founded in Guangzhou in January 2020 as a beauty retail chain in the '美妆集合店' format — brightly lit stores stocking a mix of domestic and international cosmetics. It expanded aggressively through a franchise model, reaching a peak of around 300 stores across China within two years, becoming the main rival to THE COLORIST 调色师.
By 2022 the contraction had already begun. The franchise model produced inconsistent experiences, product overlap with competitors was high, and repurchase rates were low. Store count dropped to about 135 — less than half the peak — with first-tier cities holding just 21 stores combined. The broader beauty retail bubble that had driven WOW COLOUR's rise was deflating, with HARMAY, HAYDON, and THE COLORIST all shrinking simultaneously.
In 2025, KK Group — the parent of THE COLORIST — sued MINISO and its affiliates (which controlled WOW COLOUR) for trademark infringement. A Chinese court found that WOW COLOUR's store decoration was highly similar to THE COLORIST's and ordered it to stop the infringement. The lawsuit marked the end of WOW COLOUR's attempt to compete through imitation rather than differentiation.
Why it happened
- The franchise model accelerated store count but sacrificed quality control — stores were inconsistent and lacked the experience to drive repurchases
- WOW COLOUR competed on the same brands at similar prices as THE COLORIST and other chains, offering no reason to choose one over the other
- The beauty retail bubble peaked in 2021 and burst from 2022 as consumer spending tightened and investors stopped funding expansion
The lesson
When the fastest path to growth is copying a competitor's store, the fastest path to decline is having nothing else to offer when the copying stops working.
Aftermath
WOW COLOUR continued operating its remaining stores but without a clear path to recovery. The trademark lawsuit against MINISO entities was set for first hearing in September 2025. The brand's contraction was part of a broader beauty retail shakeout in China that also saw HARMAY, HAYDON, and THE COLORIST close stores or restructure.
Sources
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