Shulou(Shulou.com)11/24 Report--

The low performance of the small home appliance industry this year often makes the outside world think that the "blue ocean" is no longer available. According to AVC's omni-channel data from January to June 2023, the overall retail sales of small kitchen appliances were 27.55 billion yuan, down 8.5% from the same period last year, while online retail sales were 21.2 billion yuan, down 8.2% from the same period last year.

In fact, it is not that the "blue ocean" is no longer, but that the industry challenges faced by brands are more difficult. With the iteration of consumers, the demand of new consumer groups such as post-90s and post-00s makes brands "unpredictable", coupled with the unpredictability of what they are keen on, which often makes brands "unprepared".

If you look at the development of the industry as a whole, you will see that the opportunity is still there. On October 27, the first Little Bear of Creative Home Appliances released its Q3 quarterly report. During the reporting period, Xiaoxiong Electric Appliance achieved both revenue and profit growth, with operating income of 3.318 billion yuan, an increase of 22.96% over the same period last year, and net profit of 316 million yuan belonging to shareholders of listed companies, an increase of 31.24% over the same period last year.

Why can Little Bear Appliance maintain steady growth in the downturn of the industry? Through the financial report data, combined with the recent actions of Little Bear Appliances, the answer is already clear: Xiao Bear Appliances accurately grasp the pulse of young people's consumption, make young people's favorite small household appliances, and bring exquisite life experience.

Meet the diversified needs of users and make small household appliances that young people like.

With the post-90s and the Z generation becoming the main force of social consumption, profound changes are taking place in the field of consumption of small household appliances. According to the Contemporary Youth consumption report, young consumers under the age of 35 created a 65% increase in consumption in 2021. At the same time, in important scenes such as home life and vigorous workplace, small household appliances that help young people improve their quality of life and relieve mental stress are becoming more and more popular among young people.

Based on the insight into the iteration of consumers and the upgrading of consumer demand, Little Bear Appliances focuses on the brand positioning of "small household appliances that young people like", covering the needs of the whole scene and creating a multi-product matrix. in order to better meet the upgrading needs of the younger generation of consumers for product quality, diversification and refinement, and help young people create a refined life.

According to Ovi online data, Q3 Little Bear Electric Rice cooker / electric pressure cooker sales growth rate of 9% less than 12%, rigid demand categories outstanding performance; from the channel, according to third-party data show, Little Bear 2023 Q3 Douyin platform sales rapid year-on-year growth, the rapid development of new channels.

The secret of outstanding achievements is that Little Bear Electric Appliances meets the diversified needs of young people and finds a new growth point in the category of rigid demand. For example, with an insight into the needs of users for healthy drinking water, Xiao Xiong warm ton electric thermos to achieve 11 accurate constant temperatures to meet different temperatures to soak different drinks; after learning that users are making a lot of noise and cleaning difficult points when using wall-breaking machines, Xiaoxiong removable wall-breaking machine adopts 10-fold noise reduction technology, patented detachable knife technology, one machine to achieve bass operation, no dead corner cleaning. For people who want to eat barbecue and hot pot at the same time, Little Bear Electric develops folding multi-function pot, innovates patent folding design, roasts and rinses as a whole, and easily "pinch" hot pot and barbecue.

On the basis of strengthening the rigid demand category and expanding the emerging category strategy, Little Bear Appliance also covers the whole scene of user life, such as outdoor, pet, office, travel, home and so on, bringing scene innovation. For example, combined with the current life scene of living alone, Little Bear Mini Rice cooker has a capacity of 1.6L to meet the needs of "one person", even half a cup of rice can be cooked; with the rise of camping scenes, Little Bear launched camping products such as card ovens, electric ovens and outdoor power supplies to explore multiple ways of camping with young people. In view of the health scene, Little Bear Appliances actively innovates the category of health pots and launches new products such as small bubble pots and warm drink pots, unlocking small household appliances in different scenes such as workplace, family and outdoor, and providing new possibilities for healthy living.

Product upgrade and scene innovation make Little Bear Electric Appliance continue to gain user recognition, which can also be confirmed by the sales data of 618 this year. During the period of June 18, the total sales of Xiao Xiong Electric Appliance exceeded 340 million, and the total sales exceeded 2.8 million units. Popular styles such as health pots, electric lunch boxes, electric thermos and other popular styles dominated the sales TOP1, showing strong market growth resilience.

Tamping intelligent manufacturing strength small household appliances can also be very "hard core"

Why is it that while the overall market is "under pressure" this year, Little Bear Electric Appliances can become a "really fragrant" brand for users, achieving double growth in revenue and profits? The internal cause is that Little Bear Appliances continues to consolidate its intelligent manufacturing capacity, supported by R & D, design, digital manufacturing and other strength, which has laid a solid quality foundation for Little Bear Electric Appliances.

Unlike brands whose marketing is greater than innovation, in Little Bear Electric Appliances, high-quality R & D is the core competence to support development. According to the Q3 quarterly report of Xiao Xiong Electric Appliance, the R & D cost reached 106 million yuan during the reporting period, an increase of 11.74% over the same period last year, far exceeding the industry. At present, through the construction of a three-level R & D system, Little Bear has applied for more than 1500 patents, won the Red Star Award, the Epland Award and other awards, and won the national high-tech enterprises.

Through boutique research and development, Little Bear Electric Appliances has laid a solid quality foundation for product functions, while boutique design gives Little Bear a good-looking appearance. Xiao Bear Electric set up a 10 + design team, through in-depth cooperation with the outside world, linking global design resources to meet the needs of users, from the hot sale of modern retro green design office light pot, and then to the innovative patent folding design of folding multi-function pot attracted the favor of young people, appearance has become the soft power of Little Bear Electric products.

The output of high-quality products is inseparable from the strong mathematical manufacturing ability. At present, Xiao Xiong Electric Appliance has five intelligent production bases, one parts manufacturing base and one operation base throughout the country, and constructs complete professional testing standards, including domestic standards, industry standards and enterprise standards. and set up performance laboratories, environmental laboratories and other professional laboratories, all-round control of product quality, to ensure that under the premise of ensuring high quality, fully meet the speed of product renewal iteration. Good quality word-of-mouth.

Complex industrial chain requires efficient and meticulous operation, and digital support is the best way to deal with management challenges. At present, Xiao Xiong Electric Appliance has established a "three-wheel" drive of process, data and system, actively and orderly promoting the transformation of enterprises to digital and intelligent operation, and through the system construction and integration in various business fields of research, production, supply, marketing and finance, and the use of a new generation of digital platforms such as ERP, intelligent manufacturing platform and marketing business platform to achieve efficient coordination, quality improvement and efficiency improvement.

The most obvious consumption characteristics of today's young people are the pursuit of quality supremacy, diversity of personality and emphasis on experience. Xiao Bear Electric Appliance, which always draws inspiration from the needs of users, perfectly inserts the characteristics of young consumer groups into brand genes, and finally becomes a "popular style" in the market and recognized by users through technological research and development, innovative design and product landing. It can be seen that there is no shortcut for brands to stand out in the industry and create their own differentiation advantages in order to have Changsheng brand.

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.