Looking at the different tracks of domestic brands going overseas, the fast fashion industry has the same limelight and frequent investment; the smart home industry is also flourishing and popular.

Recently, smart home brand Jika Technology completed tens of millions of dollars in Series A financing. The company's online and offline sales are combined, and it has layouts on Amazon, Walmart and other platforms. On Amazon, it has created the top-selling Internet celebrity product of its kind, and its air ovens and other items are also among the top three in Amazon's vertical category.

In the field of going overseas, the smart home industry can be said to be capable of producing in large numbers. Dasai Lego is the first cross-border e-commerce company listed in the form of IPO; Ecovacs has become one of the tens of billions of sellers last year. Boosted by the global epidemic, the industry has ushered in a bright moment of development, and the demand for small household appliances has skyrocketed. VeSync, the parent company of Chenbei Technology, and Biyi, the "first share of air fryer", have been listed successively, and Zhiou Technology has also set foot on the market. On the road to IPO, Chasing Technology completed the C round of financing of 3.6 billion yuan, which has become a beautiful talk in the industry.

Driven by the market, there were over 200,000 new small household appliance companies in China last year. At present, there are more than 820,000 related companies in the search for "small home appliances" on Qichacha, most of which are in Zhejiang, Guangdong and other provinces.

The smart home industry has a wider track. According to research firm MarketsandMarkets, the global smart home market is expected to grow from $78.3 billion in 2020 to $135.3 billion in 2025, with a compound annual growth rate of 11.6% during the forecast period. This potential may attract more companies to enter the market.

Jika Technology received A round of financing

Recently, Shenzhen Jika Technology Co., Ltd. completed tens of millions of US dollars in Series A financing. The financing was led by NBT Capital and followed by Challenger Capital.

According to the official website information, Jika Technology was established in 2017, focusing on the research and development and sales of kitchen appliances, small household appliances, and smart home products. At present, the business has expanded to North America, Australia, India, China and other important global markets, and has been listed on Amazon, It operates on well-known platforms such as Walmart, Almo, and HSN.

The company owns two series of brands, Emerson Quiet Kool and GEEK. Among them, Emerson Quiet Kool focuses on air-conditioning products and has a history of more than 70 years in the United States.

(Photo source /Official website of Jica Technology)

Subdivided into the GEEK brand series, Geek Aire products are dedicated to providing a comfortable experience for individuals at home or during outdoor activities, mainly including humidification heaters, lamp fans, bladeless double-pipe fans, bladeless heating and cooling fans, outdoor charging fans, handheld fans, Air circulation fans and countertop charging fans.

Geek Chef kitchen appliances focus on young and growing families to help them make delicious meals and have fun at home. The products mainly include pressure cookers, coffee machines, air ovens, smokeless baking pans, etc.

Geek Heat is an ambient heating product designed to use instant heating technology to create a comfortable experience for users, including portable heaters, infrared convection heaters, and more.

After several polishing, the sales growth of Geek Aire products is good. In 2021, single products such as charging fans and air ovens under Jika Technology will enter the third vertical category on Amazon; an outdoor charging fan once rushed to the top of Amazon's sales of the same category of products, becoming an Internet celebrity single product.

How did this explosion come about?

Lei Fei, co-founder of Jika Technology, introduced that people in North America prefer outdoor activities such as camping and fishing. For specific scenarios, the company has combined traditional fans with lithium batteries to develop an outdoor rechargeable fan that can be used outdoors for 4- 5 hours. The reason why this product has been at the top of the list for a long time is because of its continuous iteration, and the current third-generation product has more diversified functions.

"Focus on a single product to create explosive models, and then do the extension of other smart products. Every single product must enter the top three in the market. Ultimately, more and more single products enter the lives of consumers and naturally form a product ecosystem. ." This is the best idea.

The overseas sales of products are booming, which is not unrelated to the rich experience of the company's team in the North American home appliance industry. In order to avoid the risk of shrinking demand that may be encountered by betting on a single track, Jika Technology has set up three product matrices – smart products, smart security and smart pan-home.

In 2020, Jika Technology will enter the smart home industry. It said that the company has an experienced professional IT and engineer team and hopes to create a brand new IoT home ecosystem of Jika smart brand.

In January 2021, Geek Technology officially announced the launch of a new product line, Geek Smart, on Amazon. The brand specializes in smart home products as part of its strategy to expand the growing smart home device market. In order to further increase the popularity of the Geek Smart brand, Geek Technology will also touch more traditional distribution channels, such as Home Depot, QVC, etc. This brand will also appear on more e-commerce websites.

Currently on Amazon US, a Geek Smart smart door lock costs $139.99 and has accumulated nearly 800 reviews since it hit shelves last year. This attempt to broaden the product line in this step has not failed.

In 2021, the export value of Jika Technology will exceed about 100 million US dollars, an increase of 60% over the previous year. There are many uncertainties in the cross-border e-commerce industry this year, and many sellers expressed that they should operate conservatively, but Lei Fei expects that the company's sales growth in 2022 will still be more than 20%.

Jica Technology is moving fast, and this financing will inject more energy into it. The company said that 20% of the financing will be used for technology research and development, 20% for online operations and marketing, 10% for personnel expansion, and the rest as company liquidity.

But financing doesn't seem to be the end. In an interview with the Pearl River Business Daily, Lei Fei said: "In 2022, I hope that the company will go further and achieve a successful listing in the United States. Through the power of capital, we will integrate more resources and accelerate the rapid growth of the company. My goal is, In 5 years, the company's revenue has reached 500 million US dollars, and the company's market value has reached 10 billion US dollars, and the overseas smart product ecosystem of Jica Technology has been initially formed. At the same time, it will further enhance the company's manufacturing capabilities and firmly hold the right to speak in its own hands. inside."

Jika Technology is another excellent representative of China's smart home going overseas. Backed by a huge home supply chain, more and more domestic companies such as Chenbei Technology and Zhiou Home Furnishing have achieved excellent performance in overseas markets.

Home furnishing sellers are "opened" in overseas markets and are favored by capital

Under the epidemic, consumers in Europe and the United States have begun to live at home and work, and their demand for household products has increased significantly. Among them, small household appliances have become the most popular products on the Amazon platform.

Driven by the market, domestic home furnishing companies have ushered in a new outbreak with the help of online channels.

VeSync

VeSync is the first female-helmed company in the cross-border e-commerce industry. In the knowledge of most people in the industry, this company is an excellent home seller, especially its air fryer and humidifier products. Become the best-selling item on Amazon.

On April 28, Hong Kong stock VeSync released its 2021 fiscal year annual report. The company's operating income in 2021 is US$454 million, a year-on-year increase of 30.19%, and the net profit attributable to the parent company is US$41.588 million, a year-on-year decrease of 24.00%.

VeSync 's main market is the United States, where local companies sell through platforms such as Amazon, eBay, Cdiscount, Rakuten, Newegg, and Adorama. Among them, the Amazon platform is the most important channel for its revenue. In 2021, its revenue on Amazon will account for more than 90%, and its revenue from VC channels will reach as high as 339 million US dollars. It is a well-deserved VC (Vendor Central) giant.

VeSync mainly designs, develops and sells three core brands: home environment appliances under Levoit; smart home appliances, health monitoring equipment, outdoor entertainment products and care products under Etekcity; kitchen appliances and dining appliances under Cosori.

According to the Frost & Sullivan Report, among small appliance retailers, VeSync ranked third in retail sales through Amazon in the United States and fifth in retail sales through all online channels in 2019. In terms of retail sales generated by Amazon, the company's air purifiers ranked first in the category and air fryers ranked second in the category.

Under the new normal of the epidemic, Levoit air purifiers and Cosori air fryers continue to maintain their leading rankings on Amazon, and their newly launched Levoit air humidifiers and air purifiers will achieve high rankings on Amazon in 2021.

In 2021, VeSync's Levoit purifier Core400S will be included in Good Housekeeping's list of best air purifiers; three Levoit humidifiers have entered the New York Times' Wirecutter's Best Humidifiers list, with the Levoit Classic300S at the top of the list.

Products can be loved by Amazon and consumers, and VeSync has also put a lot of effort into development and production. In 2021, the company's product development team will grow by approximately 104.9% to 502 people.

There is no doubt that VeSync is one of the important players in the online market for small appliances in the United States. In 2022, it will further increase the market share of its main products through a comprehensive product layout, and will continue to develop new categories including vacuum cleaners and pressure cookers. Further enhance product innovation capabilities and increase the sales scale of VeSync Store.

To European Home Furnishing

Zhiou Home Furnishing is a well-known home furnishing seller on Amazon. It is mainly engaged in its own brand furniture, home furnishing, garden and pet series and other household products. It has three private brands: SONGMICS, VASAGLE and FEANDREA. Its brand has successfully become one of the most popular home furnishing brands in Amazon’s European and American markets, and many of its products have been at the top of the best-selling list on Amazon and other third-party e-commerce platforms all year round.

On April 26, Zhiou Home Furnishing updated its 2021 financial report. From 2019 to 2021, the company's operating income was 2.326 billion yuan, 3.970 billion yuan and 5.967 billion yuan respectively, and the net profit attributable to shareholders of the parent company was 108 million yuan. , 380 million yuan and 240 million yuan.

Zhiou Home Furnishing is mainly sold through Amazon, Cdiscount, ManoMano, eBay and other platforms, and the online platform is the company's main sales channel. From 2019 to 2021, the sales revenue realized by the company's online channels accounted for 86.99%, 82.93% and 80.81% of the main business revenue, respectively. In addition to third-party platforms, Zhiou Home Furnishing has also expanded independent stations.

Among all online platform sales, Amazon accounts for the largest share. From 2019 to 2021, the sales revenue of Zhiou Home Furnishing through the Amazon B2C platform accounted for 81.13%, 71.80% and 67.87% of the main business revenue, respectively, which accounted for a relatively high proportion.

In 2022, Zhiou Home Furnishing won the 2021 "Winning Persistence" annual seller title issued by Amazon Global Store, and was selected as one of the top 100 cross-border e-commerce companies in China assessed by NetEase for two consecutive years.

Zhiou Home Furnishing mainly sells products in countries and regions such as Europe, North America and Japan. In 2021, its main business income will account for 60% in Europe and 39.18% in North America.

To create a "global Internet home furnishing leading brand" is the long-term development strategy of Zhiou Home Furnishing. Its product roadmap is based on the "home" full-scenario and full-category planning, and is committed to creating a high-cost, full-furniture scene and fashion style design as the boundary. The core online one-stop home furnishing brand.

Looking for technology

Headquartered in Suzhou, ZUMI Technology is a global technology-leading smart home appliance manufacturer. Relying on its strong R&D background, the company has achieved a global leading position in the underlying technologies such as high-speed motors and VSLAM visual navigation, and has actively applied many innovative technologies to its products. , the market share in Europe and the United States continued to increase.

In June 2021, the pursuit of wireless vacuum cleaners topped the European AliExpress vacuum cleaner category with sales of more than 300 euros. Among them, in France, the wireless vacuum cleaner T30 topped Amazon's 400 euros price segment vacuum cleaner best-selling list in August and September. name.

The sweeping robot D9 swept across the Amazon lists in France, Italy and Spain, becoming the No. 1 best-selling sweeper in the price range of 200-300 euros.

On July 9, 2021, the flagship new product of the year, the V11 wireless vacuum cleaner, officially landed on the AliExpress platform. In just 7 hours, it was all sold out in France, Germany, Spain, Poland and other places, ranking the European vacuum cleaner category on the day of sales. champion.

Excellent overseas sales performance is a strong testament to the strength of the sought-after brand, and it also represents the recognition of its products by consumers. In terms of making products, Pursue adheres to the practicability of products and meets user needs rather than creating needs. One of its competitiveness is the ultimate product technology.

In order to break through the technological monopoly and increase investment in R&D, among its 1,800 employees, technicians account for more than 70%, and the annual R&D investment continues to exceed 12%. As of February 2022, ZMI has applied for 2,131 patents globally, including 722 invention patent applications and 134 PCT applications. A total of 1,116 authorized patents have been obtained.

At present, Zimmer Technology has become one of the most popular Chinese brands going overseas, and its products cover more than 100 countries and regions around the world.

AUSON E-commerce

Aosom e-commerce is mainly engaged in outdoor leisure, household products, sports and health, pet supplies, office supplies, children's toys and other products .

As a multi-category and multi-channel home furnishing seller, AU Sen’s sales channels include eBay, Amazon and other third-party global e-commerce platforms. In recent years, independent websites have been the focus of its layout.

The epidemic has boosted the demand for home furnishing categories, and AU Sen's sales have soared. In 2018, its revenue was 1.26 billion yuan, and by 2020, it will directly soar to 3.45 billion yuan, a year-on-year increase of 109%. Among them, the outdoor series and the home series are the two major revenue categories, with revenue of about 1.2 billion yuan, followed by the health and leisure category.

AU Sen Independent Station has been operating vigorously, which has also added luster to its performance.

The company developed Aosom, an independent website platform at the end of 2015, and the number of users exceeded one million at the beginning of 2018. The platform covers almost all categories that AUSON involves, such as home, health and beauty, outdoor, pet supplies, sports, tools, toys and hobbies, as well as seasonal collections. Under the hammer of the Amazon platform's title, many domestic sellers suffered losses, and Ausen, which focuses on independent stations, is absolutely stable.

More and more cross-border home furnishing sellers are blooming in overseas markets. At the same time, the popularity of Chinese home furnishing brands is gradually increasing, and these excellent home furnishing enterprises have also been recognized by the capital market.

In October 2021, ZMI Technology completed the C round of financing of 3.6 billion yuan, which is the largest single financing in the smart hardware industry; in June 2021, the IPO of Zhiou Home Furnishings was accepted by the Shenzhen Stock Exchange, and it plans to raise nearly 15 million yuan. 100 million yuan to strengthen research and development, and the A-share listing is imminent; Vesync was listed on the Hong Kong Stock Exchange in December 2020. On April 20 this year, every AI news bulletin, Hong Kong home appliance stocks rose, and Vesync rose by more than 6%.

Judging from the development of leading companies, the potential of the smart home market is beyond doubt. The CEO of Jika Technology is very optimistic about the smart home industry, "This is an industry worthy of our attention in the next 10 years. We believe that it is bringing another revolution to consumer electronics."

A number of research data also point out that the smart home industry is worth digging deeper.

The smart home industry has a vast market

According to a market research report released by MarketsandMarkets, the global smart home market is expected to grow from USD 78.3 billion in 2020 to USD 135.3 billion in 2025, with a compound annual growth rate of 11.6% during the forecast period. According to forecasts, global shipments of smart home devices will reach 1.39 billion units by 2023.

The rapid growth of the smart home market is being confirmed. According to a report by industry analyst firm IDC, the global smart home device market in 2021 will grow by 11.7% from the previous year, with shipments exceeding 895 million units.

If the smart home category is divided into video entertainment, home monitoring /security, lighting, and others, in 2021, video entertainment smart home devices will account for 35% of the smart home market, home monitoring/security 21%, lighting 10%, and others Categories make up the remaining 35%. IDC predicts that by 2026, the market share of video entertainment products will drop to 26%, while the lighting category may increase to 17% and others to 36%.

Under the catalysis of the global epidemic, smart home has become a mature concept, and the lazy economy has ushered in explosive growth. Smart home shipments could rise from 895 million in 2021 to 1.44 billion in 2026 . Such a huge market size will inevitably attract more powerful sellers to enter the market.

The demand for all kinds of household products has soared, and the scale of the furniture market is also rising rapidly.

Data from Statista shows that the revenue of European furniture e-commerce channels has rapidly increased from $25.673 billion in 2017 to $37.234 billion in 2020, and is expected to reach $51.964 billion in 2025; at the same time, the US furniture e-commerce channel revenue will also reach $61.212 billion in 2025.

At present, Chenbei Technology, Ecovacs, Zhiou Technology, and Chasing Technology have all established themselves in the smart home field. With the support of China's huge supply chain, more home furnishing brands are just around the corner. This is also a cross-border e-commerce seller in China. chance.

References:

[1] The three major tracks are laid out in advance, and this company in Shunde is expected to increase its sales by 20% this year.

[2] Jika Technology: Brands go overseas to create an overseas smart product ecosystem