Sellers enter the 10 billion market! It exploded overseas

In recent years, the global camping economy has become increasingly hot. Compared with the domestic market, people in Europe and the United States have a stable and high demand for outdoor products.

In 2023, the global outdoor products market size is US$70.22 billion, and is expected to reach US$129.1 billion by 2032, with a compound annual growth rate of 7.0% . As the main market for outdoor products , the European and American markets continue to dominate global outdoor product consumption due to their long outdoor sports culture and high participation rate, and also provide abundant market opportunities for brands .

Many outdoor products companies seized the business opportunities, accelerated their overseas expansion, and achieved good results.

1. Outdoor furniture is selling well - Zhejiang Zhengte ’s annual revenue exceeds 1 billion yuan!

Amazon outdoor furniture is a big seller Zhejiang Zhengte was founded in September 1996. At the beginning of its establishment, the company mainly engaged in sun umbrellas and wooden products. In 2015, the company changed "Zhengte Limited" to "Zhengte Shares" and began to introduce foreign capital. At present, Zhejiang Zhengte mainly focuses on two product lines: sunshade products and outdoor leisure furniture. Among them, sunshade products mainly include awnings and parasols; outdoor leisure furniture mainly includes pet houses, outdoor furniture and drying utensils.

(Picture source: Zhejiang Zhengte official website)

In the early days of the company, its products were mainly exported to the European market through foreign trade companies. It maintained close cooperation with large supermarkets such as Walmart, Costco, and Lucky Dog, and later switched to self-operated exports.

Since 2014, Zhejiang Zhengte has begun to develop cross-border e-commerce. The company's own brands Abba Patio and Sorara related products have been sold in the United States and Europe through e-commerce platforms such as Amazon, and have achieved very good results.

In terms of brands, Abba Patio mainly operates on an agent basis, while Sorara is independently operated by the company. Both are currently best-selling brands on Amazon.

Among them, a parasol under the Abba Patio brand has accumulated tens of thousands of ratings on Amazon and is selling very well.

Abba Patio's parasols have multiple advantages. They are made of high-grade horticultural materials, such as aluminum frames and steel shutters. These materials are strong and durable. They have undergone rigorous durability testing and can adapt to the changing weather and frequent use of outdoor areas, even in high wind speeds. When used on daily sunny days, they can effectively block ultraviolet rays and provide users with a comfortable resting place.

In addition to parasols, Abba Patio also offers a variety of products such as gazebos, canopies, awnings and garden furniture sets to meet the outdoor needs of different users.

The fact that Zhejiang Zhengte’s products have gained recognition from overseas consumers is inseparable from its long-term investment in research and development.

The company attaches great importance to original design, constantly explores new materials, new processes and new technologies on a daily basis, and has a high level of research and development. The company owns multiple patents including domestic invention patents, overseas invention patents and overseas appearance design patents. It has won the "Red Dot Award", known as the international Oscar in the design industry, five times, becoming one of the companies in the domestic outdoor leisure furniture and supplies industry that has won this award many times.

However, it is worth noting that Zhejiang Zhengte's performance has fluctuated to a certain extent in recent years.

In 2021, Zhejiang Zhengte's performance maintained a rapid growth trend, with operating income reaching 1.24 billion yuan, a year-on-year increase of 36.28%, and net profit of 108 million yuan, a year-on-year increase of 32.28%.

In 2022, Zhejiang Zhengte's revenue growth began to slow down and its net profit began to decline. The company's operating income was 1.382 billion yuan, a year-on-year increase of 11.47%, and its net profit was 55.4708 million yuan, a year-on-year decrease of 48.44%.

In 2023, Zhejiang Zhengte's operating income was 1.091 billion yuan.

By comparing Zhejiang Zhengte’s revenue and net profit data in the past three years, it can be seen that the company’s revenue increased steadily in 2022, but its net profit declined significantly, and its revenue in 2023 also showed a significant decline.

Regarding the reasons for the decline in performance, Zhejiang Zhengte stated that the company's net profit decline was mainly due to increased expenses, forward exchange locks caused by changes in the RMB exchange rate, and net exchange losses.

In 2023, the decline in the company's revenue is affected by many factors, the first of which is the weak overseas demand and the pressure of channel inventory reduction. Affected by high inflation abroad, product demand has declined. In order to ensure the sales of products, the company has given foreign customers a longer payment period, so accounts receivable have increased significantly without an increase in revenue.

On the other hand, in 2023, the company's expenses in sales and management increased significantly, which affected the company's profitability to a certain extent.

Then the company's inventory turnover rate declined, from 2.19 in 2021 to 1.78 in 2023, and the inventory turnover period increased from 82 days to 101 days.

In the future, Zhejiang Zhengte needs to enhance its market competitiveness and solve the problem of revenue and net profit growth.

2. Outdoor tents are selling well - Mutagudi has become popular overseas thanks to its single product!

I believe everyone is familiar with Mugodi.

Founded in Quzhou, Zhejiang in 2003, Mobi is mainly engaged in the research and development, design, production and sales of camping tents, outdoor clothing and other outdoor products. The company's main products include outdoor equipment such as tents, sleeping bags, self-inflating pads, as well as outdoor clothing, shoes and accessories such as jackets, down jackets, hiking shoes, sports backpacks, etc. The products are exported to many countries and regions including Europe, Australia, New Zealand, Asia and the United States.

Before the brand was officially established, the company started out as an OEM/ODM business, mainly providing high-quality tent development, design and manufacturing services to international outdoor brands. Its customers included professional retailers such as Decathlon, Go outdoors, Halfords, as well as independent brand owners such as Mountainsmith and comprehensive lifestyle retailers such as Kmart and Home Retail.

In 2003, Mobo's independent brand was officially established, entering the market with the "Lengshan" series of tents. The product is windproof and rainproof, and is easy to carry and set up.

(Picture from: Mogod official website)

Later, according to the needs of different users, Mudi launched two sub-brands, "Damu" and "Xiaomu". "Damu" is aimed at professional outdoor enthusiasts, while "Xiaomu" is aimed at urban leisure sports and exploration enthusiasts.

While continuously expanding its overseas business, Mobi is also increasing its layout in exquisite camping.

In 2020, in response to market demand, Mogodi began to expand from professional camping to the field of exquisite camping. It successively launched the "Era" and "Range Rover" series of tents to create an exquisite camping product line.

At the same time, Mobi is also constantly innovating its products and has launched product lines suitable for different camping scenarios, such as "Commander", "Holiday Starry Sky", "Lansheng", etc.

After years of development, Moco has successfully transformed from a contract manufacturing company into an outdoor products brand with international influence, achieving dual-driven development in domestic and foreign markets. As early as 2017, it was successfully listed on the main board of the Shanghai Stock Exchange.

On March 7, 2017, Mobo was listed on the main board of the Shanghai Stock Exchange. It publicly issued 16.69 million shares, raised a total of 384 million yuan in IPO funds, with an issue price of 16.37 yuan per share and an issue price-earnings ratio of 22.99 times.

In recent years, Mutagudi has been making great strides and the company's performance has maintained a steady growth trend.

From 2021 to 2023, Mutagudi's operating income was RMB 923 million, RMB 1.436 billion and RMB 1.456 billion respectively.

From 2021 to 2023, MucoDone achieved net profits attributable to shareholders of listed companies of approximately RMB 79 million, RMB 141 million and RMB 107 million.

From these data, it can be seen that Mutagudi's performance experienced rapid growth in 2021, but by 2023, the growth rate slowed down.

In the first half of 2024, Mutagudi's operating income was approximately 835 million yuan, a decrease of 2.95% compared with the same period last year, and its net profit attributable to shareholders was approximately 79 million yuan, a year-on-year decrease of 18.41%.

In order to solve the problem of performance growth, Mutagudi plans to expand its product categories and proposed a new brand proposition of "Born for the Wild" in its semi-annual report. It has also created three core product systems: sleep, backpacks and clothing, to further achieve full coverage of professional camping, hiking equipment and clothing.

3. Amazon’s big sales have made it to the niche outdoor market!

Xiamen Duyuan Outdoor, a big seller on Amazon , was founded in 2012. Different from conventional outdoor companies that sell tents and clothing, Xiamen Duyuan Outdoor focuses on two major market segments: RV and yacht supporting products and water leisure products. It mainly drives its own brand Seaflo and ODM/OEM business, and sells small and micro water pumps, portable oil drums, yacht RVs, kayaks, paddle boards and related supporting products to economically developed regions such as the United States, Australia, Canada and Europe.

At present, the company has established good cooperation with large supermarkets such as Anaconda, Super Retail Group, and Birgma; RV and yacht manufacturers such as Lippert, Rongcheng Compass, and SAIC Maxus; dealers such as Seaflo Marine and Sea River; and well-known brands such as Alfred Kärcher and KD, and has a stable source of overseas income.

At the same time, its own-brand sales have opened up in overseas markets, and its brand Seaflo has long been among the best sellers of marine water pumps on Amazon in the United States.

Xiamen Duyuan Outdoor's popular products include small and micro water pumps, kayaks and other water leisure sports products.

(Picture from: Duyuan Outdoor Official)

As a leading seller of outdoor products, Xiamen Duyuan Outdoor has strong R&D and design capabilities and has been increasing its investment in product R&D to maintain its product innovation capabilities and market competitiveness.

From 2020 to 2022, the compound growth rate of Duyuan Outdoor's R&D expenses was 22.96%.

In 2021, Duyuan Outdoor's R&D expenses were 13.2424 million yuan , accounting for 3.76% of its operating income .

In 2022, Duyuan Outdoor's R&D expenses were RMB 13.9511 million, accounting for 4.50% of its operating income .

As of the signing date of the prospectus, Duyuan Outdoor and its subsidiaries have registered a total of 210 domestic and foreign patents, including 7 invention patents, 63 utility model patents, and 140 design patents. The accumulation of these patents is also a strong proof of the company's increased investment in research and development.

In the future, Duyuan Outdoor plans to continue to delve into the outdoor sports market segment, further explore domestic and foreign markets by increasing brand promotion and expanding sales channels, and achieve long-term and stable development.

4. Yayi Technology creates explosive products and accelerates its growth overseas!

Yayi Technology was founded in 2005. The company is headquartered in Wuyi County, Zhejiang Province. Its main business is the development, production and sales of outdoor leisure furniture such as outdoor fire pots and gas stoves. Its main products include fire pots and gas stoves. Yayi Technology's main sales range is the United States, Canada and other countries. Its main customers are large retailers such as Walmart and Home Depot. The cooperation has lasted for more than ten years and has a relatively stable sales market. These retailers have extremely high requirements for suppliers and high replacement costs. Therefore, Yayi Technology is highly irreplaceable, which ensures the company's continued growth in performance.

At the end of 2021, Yayi Technology was successfully listed and became the "first cross-border brazier stock."

The brazier and stove industry belongs to a sub-segment of outdoor leisure furniture. The products require a high level of R&D and design capabilities from the company, so there are relatively few large-scale competitors. Relying on its own advantages, Yayi Technology has strong profitability and competitiveness in the European and American markets.

Yayi's cooperation model is currently mainly the ODM model, and it conducts independent design according to customer needs. From the perspective of R&D, Yayi Technology has independent design and R&D capabilities, and has also applied for its own trademark brand in the United States, the United Kingdom, and Canada, laying the foundation for the development of its own brand.

Yayi Technology attaches great importance to innovative product design. The company has a professional R&D and design team, with more than 1,000 new designs added each year. It can independently complete the entire process from product conception, appearance design to proofing and molding. The company will incorporate Western classic elements and current popular elements into its products based on different product design concepts. The product design is diversified to meet the needs of different consumers.

In addition, through independent research and development, Yayi Technology and its subsidiaries have developed core technologies such as composite stamping technology for parts, continuous automatic processing technology for metal parts, automated customized cutting and pressing technology, automatic welding technology for metal materials, and automatic plastic spraying technology. They also own a number of invention patents and new patents.

Yayi Technology's fire pot products use wood as the combustion medium and are divided into fire pots and fire pot tables. The stove /fire pot is an automatic lifting and flipping grill structure developed by Yayi Technology. This design can ensure the safety of use and avoid safety hazards caused by improper operation. In addition, the automatic lifting and flipping grill structure uses a temperature sensor, which can adjust the grilling height and flipping rate according to the size of the fire. The food has the right heat during the cooking process, which can achieve better color and taste.

In addition, Yayi Technology has a very rich product line, with fire basins of different styles, materials and sizes, such as "14-inch Four Seasons Courtyard Stainless Steel Dining Table Fire Basin", "Four Seasons Black Flat Fire Basin", "30-inch Wood-burning Fire Basin" and "30-inch Four Seasons Courtyard Copper Fire Basin", etc., which can meet the diverse needs of different consumers.

The novel product design, complete product range, convenient installation and extremely high cost-effectiveness have made fire basins and fire basin tables quickly popular overseas and become popular products of Yayi Technology.

Driven by high demand, Yayi Technology's revenue and net profit also grew rapidly.

According to the latest financial report data of Yayi Technology, in the first half of 2024, the company's operating income was 111 million yuan, a year-on-year increase of 180.66%, and the net profit attributable to shareholders of listed companies was 5.73 million yuan, a year-on-year increase of 9.65%.

In the future, Yayi Technology plans to continue to deepen its cooperative relationship with large international retailers while expanding into new international markets.

5. Outdoor camping is booming around the world, and market demand is experiencing rapid growth!

In recent years, the "camping economy" has continued to be hot, and the industry has shown an explosive growth trend. Luxury camping and land travel are becoming the current mainstream trends.

Currently, North America, Europe and Asia-Pacific are the three major mainstream markets for camping.

Judging from the preferences of different countries and regions for outdoor products, camping enthusiasts in the European market tend to prefer hiking, rock climbing, mountaineering and other activities, so the demand for lightweight camping tents has increased accordingly. France, Germany, Austria, Norway and other countries have also increased their investment in the tourism industry, which will also promote the development of the European camping tent market.

As we all know, camping is particularly popular in the US market. Participants in camping in the US are getting younger, with Generation Z campers accounting for more than a quarter, a record high, and there is also a great demand for various camping-related products.

Currently, the demand for camping in Southeast Asia is also continuing to grow. Local people have shown great interest in camping and car and motorcycle travel, and the size of this market is growing rapidly.

In recent years, South Korea has also set off a camping trend. According to statistics, the growth rate of the camping market in South Korea has exceeded 150%.

For sellers who want to develop camping products, it is important to understand its subcategories.

The product categories of camping are quite rich. The following are the main product categories of camping:

Tents: including quick-pitch tents, dome tents, car-side tents, tunnel tents, living room tents, Indian tents, European tents /canopy tents, inflatable tents, etc.

Sleeping bags and sleeping pads: There are sleeping bags made of different materials such as down, chemical fiber and fleece, as well as inflatable pads, camp beds, etc.

Camping furniture: such as folding tables, folding chairs, camping inflatable sofas, hammocks, cribs, etc.

Camping kitchenware: including gas stoves, outdoor tableware, pots and pans, seasoning bottles and jars, barbecue equipment, portable refrigerators, etc.

Lighting equipment: including camping lights, light strips, frog lights, headlamps, tent lights, etc.

Camping clothing and accessories: including clothes, hats, shoes, gaiters, knee pads, etc. suitable for outdoor activities.

Backpacking & Storage: Includes camping backpacks, storage boxes, storage bags, and more.

Personal care: including mosquito repellent products, quick-drying towels, portable showers, soap and shampoo, etc.

Safety and survival equipment: including raincoats, lighters, survival whistles, fire-fighting equipment, first aid kits, survival tool kits, etc.

Camping sanitary equipment: including portable toilets, portable showers, portable urine bags, portable water heaters, etc.

Camping power generation equipment: including portable generators, portable solar equipment, portable energy storage batteries, etc.

Camping cooking utensils: including stoves and other open-fire cooking utensils, pots and pans, kettles, sinks and buckets, etc.

Drinking water and filtration equipment: including camp water filters, camp water containers, camp thermoses, survival water filter straws, etc.

Knives and Tools: Including camping multi-purpose knives, tools, axes, etc.

For sellers, they can start by segmenting categories to create popular products.

In general, sellers who want to enter the market can expand product categories, continuously improve their technical level and enhance their competitive advantages while continuously optimizing their own products, so as to find new business growth points.

Camping products exported