Another Xiaomi ecological chain company has become popular on Amazon!

Under the ecological chain system created by Xiaomi, countless companies have emerged. Previously, there was even a saying that "joining the Xiaomi ecological chain will make you an invisible champion in the industry." Although this is an exaggeration, it cannot be denied that many Xiaomi ecological chain companies are now thriving, such as Xiaohou Technology mentioned below.

Many products were shortlisted for Amazon BS list, and it successfully went overseas with unpopular products

In 2017, HOTO, which had only been established for a year, officially joined the Xiaomi ecosystem and launched its first product, the Mijia Precision Screwdriver Set. It successfully made a name for itself with the record of "selling 1 million sets as soon as it was launched" and became the number one product in China's tool industry.

Later, with the help of Xiaomi's strategic investment, Xiaohou Technology entered a stage of rapid development and continuously enriched its product line. At present, the company's main products include electric screwdrivers, electric drills, laser rangefinders, lithium battery glue guns and other tool products that integrate technology.

In fact, when it comes to the tool track, it has been around for quite a while and has a market size of tens of billions, but it is not popular. The year that Xiaohou Technology entered happened to be a time when the industry was severely polarized, with high-priced and high-quality imported products on one side and low-quality miscellaneous brands on the other.

Xiaohou Technology was founded under such circumstances. Different from a number of traditional tools, Xiaohou Technology is using the positioning of "innovative technology tools" to encourage users to use more technological products, and successfully sell good and inexpensive products to every household.

Perhaps seeing the potential of Xiaohou Technology, many investors have invested in it. Since its establishment, Xiaohou Technology has received three rounds of financing, and its investors include Alibaba, Dingxiang Capital, Xiaomi Group, etc.

In China, Xiaohou Technology is the creator of Xiaomi's hit products, and abroad, Xiaohou Technology has also become a phenomenal tool brand that is popular overseas.

Searching for the word "HOTO" on Amazon , you can find that Xiaohou Technology has many products, such as various handheld vacuum cleaners, electric screwdrivers, electric rotary scrubbers, etc., and their sales in the past month are mostly 1K+, 2K+. Screwdriver sets, mini bicycle tire pumps, measuring tapes, etc. are relatively less popular, but their sales in the past month are mostly 700+, 900+.

Moreover, many of Xiaohou Technology's products have been shortlisted for Amazon BSR and ranked in the top three in their categories. At that time, Xiaohou Technology had successfully expanded to 56 countries and regions around the world, becoming a highly anticipated new global brand.

Adhering to the original intention of focusing on consumer needs, Xiaohou Technology has created a number of products with annual sales exceeding one million in just six years. Coupled with the technical support of R&D, Xiaohou Technology has won many national awards such as if and red dot.

It is understood that Xiaohou Technology has a "tool dream team" composed of various talents. Most of the talents in its R&D team come from world-leading companies such as Bosch and TTI, while the design team mostly comes from top universities at home and abroad.

"We should not make niche products, but products that have the opportunity to enter every household." Xiaohou Technology has successfully created many popular products with this theory. In fact, this is consistent with the focus of many Chinese companies going overseas. Many brands going overseas often set product prices at a high level to ensure product quality while winning a large number of orders.

Xiaomi's previous requirements for suppliers are also the same, that is, products must not only be of good quality but also low in price. In fact, in Xiaomi's ecological chain, in addition to Xiaohou Technology, there are many other ecological chain companies in Xiaomi that are doing well.

Xiaomi's ecological chain has frequently sold well overseas

As early as 2021, industry insiders calculated that Xiaomi's ecological chain companies have exceeded 400, covering smart locks, rice cookers, smart cameras, bedside lamps, washing machines, sweeping robots, smart lighting and other fields. Among them are listed companies and minimally entrepreneurship companies.

Yeelight is one of Xiaomi's first ecological chain companies. It was founded in 2012. Relying on Qingdao, a major home appliance city, and the technical background of its founder, Yeelight has successfully entered the smart lighting field, a track with high explosiveness and penetration.

The company received a $100,000 investment in the second year after its establishment, and another $1 million investment from Xiaomi in 2014, officially establishing a relationship with Xiaomi and joining the Xiaomi ecosystem. At the same time, the company opened up the domestic market with the help of Xiaomi's channels, and achieved a revenue of 150 million yuan in just four years, making it a leader in the lighting market.

As of now, Yeelight has won seven rounds of financing, and its investors include Xiaomi, Shunwei Capital, Changrong Capital, etc. The latest round of financing was in 2021, which was a 300 million yuan E-round financing led by Yichen Capital.

In order to seek growth, as early as 2018, Yeelight began to turn its attention to overseas, actively participated in various large-scale overseas exhibitions, reached an agreement with overseas smart giants on products, and became a member of their ecological chain.

On the road to going overseas, Yeelight has always adhered to the principle of product first. After initially opening up overseas markets, it began to deepen its localization strategy, established branches, hired local designers and R&D teams, and created products favored by local consumers.

In just two years, Yeelight achieved an annual revenue of over 100 million yuan in overseas markets. Later, Yeelight built its own independent website and entered cross-border e-commerce platforms such as Amazon and eBay, successfully achieving multi-channel development overseas.

According to SimilarWeb data, the number of visits to Yeelight's official independent website was about 220,000 in September last year, of which direct traffic accounted for 36.92% and organic traffic accounted for 53.86%. It is not difficult to see that its brand has a certain influence overseas.

This is related to its multi-point layout on social media. Yeelight has layouts on multiple channels such as Facebook and Youtube. By cooperating with mid- and low-level bloggers to produce a series of creative short videos, the highly interesting ones have successfully attracted a large number of users' attention.

At the same time, Yeelight also holds various activities from time to time to showcase the cool effects of lighting, successfully expanding its brand awareness.

Another reason why Yeelight can succeed is the result of its product innovation. As far as its products are concerned, the realization of intelligent control is one of its goals, and the creation of disruptive products is another, such as adjusting color temperature and brightness. In the future, I believe that under the product-first concept of Yeelight, many innovative products will emerge.

Monkey Technology

Yeelight

Xiaomi Ecosystem