Methods for identifying trichogenic dermal cells, including dermal papilla cells and dermal sheath cells, capable of inducing hair follicle formation when injected into skin are provided. It has been discovered that EGF latrophilin and seven transmembrane domain-containing protein 1 (ELTD1). Transmembrane Protein 108 (TMEM1 08), Hyaluronan and proteoglycan link protein 1 (HAPLN1) are biomarkers that can be used to detect, identify, and distinguish trichogenic dermal cells, i.e., that are able to induce hair follicle formation, from other skin cells. Populations of skin cells enriched with trichogenic dermal cells can be produced by selecting for and enriching for dermal cells that express ELTD1, TMEM1 08, HAPLN1, or a combination thereof.
