500,000 units sold in one year! Shenzhen's best sellers have an annual revenue of 1 billion in the sub-category

When it comes to 3D printers, many people's first thoughts are "huge" and "high-tech". In fact, its size can not only be as small as a brick, but also can be used in various fields such as life and artistic creation . In the cross-border circle, some sellers have achieved a revenue of 1 billion yuan a year by relying on this vertical sub-category .

I believe that many sellers are unfamiliar with the name "Zongwei Cube ", but they are very familiar with the well-known 3D printer brand Anycubic . Since 2015 , Zongwei Cube has been deeply involved in the field of consumer-grade 3D printers for 8 years. Now it is focusing on Amazon and independent websites, and has started the road to rapid overseas expansion.

A childhood friend and I started a business together and entered the 3D printer market

In 2015, cross-border e-commerce was in full swing under the policy . The "2015-2016 China Export Cross-border E-commerce Development Report" released by the China E-commerce Research Center showed that in 2015, the transaction volume of China's export cross-border e-commerce was 4.5 trillion yuan, a year-on-year increase of 26%. Statistics from the investment and financing industry show that in 2015, the average minimum financing amount for a single cross-border e-commerce project was as high as 56.5 million yuan.

Against this background, Ouyang Xin was invited by his childhood friend Ouyang Lu ( founder of Zongwei Cube ) to return to China to start a business.

Zongwei Cube did not start out by planning to enter the 3D printer market. At the beginning of its business, it took the same path as most sellers: selling everything from umbrellas, school bags, to pajamas, and was a typical seller of selling everything.

During this process, a business opportunity gradually emerged: users were very fond of purchasing 3D printer accessories/parts and assembling them themselves. After confirming that this track was profitable and had market potential , Zongwei Cube resolutely cut off other products. The SKUs were quickly reduced from tens of thousands to dozens , and all the reduced products were abandoned.

"First, this product makes a lot of money, and second, this is a direction." When asked why he was so determined to transform , Ouyang Xin said : "If we don't speed up, we will lose the opportunity. "

At that time, 3D printers were mostly used in high-tech industries. Zongwei Cube believed that it could bring a new creative method /tool ​​to all walks of life in the future. This also fits the concept of Industry 4.0 and manufacturing upgrade proposed by foreign countries at that time.

Since 2015 , Zongwei Cube has started from selling 3D printer parts, to assembling and selling, and then to its current independent research and development, step by step becoming the billion-level enterprise it is today.

Anycubic 's customers are mainly men with a background in science and engineering, aged between 18 and 45. They may come from various fields such as architecture, industry, games, and figures, but their common feature is their strong hands-on ability and willingness.

In their application process, 3D printers mainly play three advantages: first, convenience and speed; second, cost saving; third, breaking through design limitations. As the brand culture of Zongwei Cube emphasizes: "Freedom for intelligence creation".

Amazon sold more than 100,000 units in one year, earning 500 million in revenue

In 2020, the annual shipment of 3D printers of Zongwei Cube has exceeded 500,000 units, with annual revenue exceeding 1 billion yuan. In 2022, the annual revenue will quickly exceed 1.3 billion yuan .

Currently, more than 90% of its products are sold overseas, with the markets mainly concentrated in North America, five European countries, Russia and Australia , and all sales are concentrated in online channels.

Like most Chinese cross-border e-commerce sellers, Amazon is its main revenue platform, followed by the independent site, and third is Alibaba International Site. The revenue of the first two accounts for as much as 70 % of the total revenue .

Last year, it generated 500 million yuan in revenue on Amazon and sold more than 100,000 3D printers annually, among which entry-level products, those priced around US$300-500, had the largest sales volume.

The average order value of Zongwei Cube 's products ranges from US$200 to US$1,000. The purchase volume is mainly concentrated in low-priced products, indicating that users are more inclined to try a new technology with a more controllable experience cost.

From the analysis of user needs , the main demand of core circle users is cost-effectiveness , while for some emerging groups, their demand is ease of use.

Judging from the comments of consumers, this is indeed the case. Photon Mono 4K is the star product of Vertical Cube and the best-selling photocuring product. It is also the top-selling product in Amazon's 4K and $200 LCD price range .

In its review section, an American consumer who has repurchased for the second time commented: "This printer has been greatly improved. It prints faster and clearer. It is also easier to use without having to adjust any settings."

Another consumer said that this printer is very suitable for beginners, easy to operate, and has a fast printing speed. Although there are some shortcomings, you can't ask for too much for a $200 3D printer.

The first wave of dividends has passed, trade sellers should enter the market with caution

Strategic Market Research confirms that the global 3D printer market will experience a strong CAGR of 21% and is expected to grow to US$77.83 billion by 2030.

The market dividend will certainly drive more new sellers to enter the market , and Zongwei Cube also maintains an open mind towards latecomers. "Looking to the future, 3D printers are a relatively broad track, and it is not something that can be 'eaten' by just one or two of us." Ouyang Xin said: "If a large industry can only accommodate one or two companies, it will be meaningless. At present, the key is to expand the entire plate and let everyone see the growth."

As grassroots entrepreneurs, they hope that more professional sellers can bring new ideas and new thinking to the industry, so that they can have more room to play. He said frankly: "In a small market, even if you have a large share, it is not much overall. But in a big market, even if you are more outstanding in just one segment, it is better."

However, he also pointed out that 3D printers belong to high-tech manufacturing, which requires sellers to not only have a research and development foundation, but also have the cost and efficiency advantages of manufacturing. "The 3D printer track is more based on products, and new sellers should focus on the competitiveness of the product itself."

He does not recommend "trade sellers" to enter this track easily. The main reason is that the iteration speed of 3D printers is very fast. Trade sellers lack R&D capabilities and it is difficult to keep up with the iteration speed. If they lose their advantage in products, even if they have strong marketing capabilities, it will all be in vain. In addition, the entire process of 3D printing is relatively high, and it requires four aspects of technology: 3D model, software , machine, and printing material .

Moreover, Ouyang Xin said that the first wave of growth dividends for 3D printers has passed, and it is not a wise decision for new sellers to continue to roll in the existing geek and maker market. "The current market demand for new products, new functions, and even new scenarios is relatively large, and they should focus on this."

On April 11, Ouyang Xin, founder of Shenzhen Zongwei Cube Technology Co., Ltd., will deliver a keynote speech entitled "The Story of Zongwei Cube's 3D Printer Brand Building and Growth Process" at the "2023 Sixth Cross-border E-commerce Internet Marketing Conference" hosted by Enen.com and sponsored by Anjun Logistics. If you want to know more about Zongwei Cube's overseas stories, please long press the QR code on the picture below.