A single financing of 1 billion yuan, entrants said: This hot track is too attractive!

Not long ago, the largest investment in the pet industry this year was made.

Shandong Shuaike Pet Products Co., Ltd. ( hereinafter referred to as "Shuaike Pet") received 1 billion yuan in its Pre-IPO financing round , with investors including Advent International and Boyu Capital .

This is not the first time that it has received the favor of capital. Tianyancha information shows that since 2017, Shuai Ke Pet has received a total of 9 rounds of financing, with investors including but not limited to Zhongtai Venture Capital, Hexiang Venture Capital, Ruisheng Capital, Jinding Capital, Minsheng Securities Investment, Chaoyun Group, Linyi Industrial Guidance Fund, Yinan County Financial Investment Group, Linyi City Fund, Anhong Capital, Boyu Capital, etc., with no less than 20 investors.

Among the three rounds of financing that have been disclosed , the amount has reached 1.567 billion yuan.

In addition, in the Pre-IPO round of financing in May 2022 , it received 500 million yuan in investment led by Bailian Zhigao Capital and Boyu Capital , and followed by multiple institutions , creating the largest financing in the domestic pet industry at that time ; this year's 1 billion strategic financing amount set a new record .

In the more than ten years since its establishment, Shuai Ke Pet has leveraged the industry belt's advantages in production capacity, raw materials, logistics, and R&D to improve its supply chain service system . With an annual production capacity of over 200,000 tons , it has become a leading company in the domestic pet industry .

There was news that after the Pre-IPO round of financing in May 2022 , Shuai Ke Pet started pre-listing preparations and completed listing guidance in August 2023 , but no further news has been released yet .

Earlier, Goldman Sachs analysts said that pet ownership will see stronger momentum in the future amid a relatively weak birth rate outlook and an increasing popularity of pets among younger generations .

A search using the keyword "pet" on Qichacha shows that in the past year , more than 1.7455 million new domestic pet industry-related companies have been registered .

Even giants such as Xiaomi and JD.com are making plans, and many investment institutions are also eagerly following up . The popularity of the pet economy is self-evident . Now, a number of Chinese companies have expanded their pet business overseas.

Xiaoyi Smart completes nearly 100 million yuan in Series B financing

Not long ago, Xiaoyi Intelligent Technology Yangzhou Co., Ltd. (hereinafter referred to as " Xiaoyi Intelligent ") , a pet smart products company , announced the completion of a nearly 100 million yuan Series B financing . This financing was exclusively invested by the old shareholder Jinding Capital's "Chuangling Weilai" Industrial Fund. The funds will be mainly used to strengthen product research and development, expand the supply chain, and upgrade the team.

According to Qichacha information, Xiaoyi Smart was established in 2018 (but it was learned from its official channels that Xiaoyi Smart Technology Group was established as early as 2016). It is a comprehensive enterprise dedicated to the research and development, design, manufacturing, sales and services of pet products. Its products include smart water dispensers, feeders, smart toys, fully automatic smart cat toilets, etc.

Focusing on intelligence and technology, Xiaoyi Smart provides OEM/ODM services to sellers in online and offline channels such as Amazon, eBay and Walmart, but it also has its own self-operated brand and performs well overseas.

In 2019, Xiaoyi Smart launched the pet products brand els pet and entered the overseas market with dog bowls as its first product .

Information on its independent website shows that in 2021 , els pet launched its iconic product, the Spaceship1 automatic cat litter box , thus officially starting its innovation in the pet care industry ; from 2022 to 2023, the brand's number of users reached 10,000 ; in 2024, els pet launched the Groomdora pet grooming kit .

Since it is aimed at overseas markets, it is inevitable to rely on third-party e-commerce platforms or build your own brand independent website. Els pet combines both.

Through els pet's flagship store on Amazon, we can see that its products on this platform include smart cleaning cat litter boxes, dog grooming & vacuum cleaner sets, dog feeding bowls, puppy mats and other products.

Take its "dog bowls" as an example. Whether it is a product for dog food or water, it has been recognized by consumers, with the number of reviews ranging from 1,400 to 3,400 since it was launched. There are also listings marked as "Amazon's choice" and "Overall Pick" by Amazon. In addition, this product listing ranks 20th in the Amazon "Dog Raised Bowls" category BS list .

In addition, data shows that the smart cat litter box, as a big hit under els pet, not only provides functions such as automatic poop shoveling, ultraviolet disinfection and sterilization, and deodorization, but can also be remotely controlled. In 2023, this product alone contributed more than 100 million yuan in sales to Xiaoyi Smart .

Looking at the performance of its independent website, Similarweb data shows that in August, the number of visits to elspet.com, the brand website of elspet, reached 80,800, and the average monthly visit in the past three months reached 80,200. Although the number of visits to elspet.com is not worth mentioning compared with pet product brands such as Chewy that have been deeply rooted in the United States for many years , its ranking in the number of visits to the US pet food and supplies category websites has risen significantly.

In terms of traffic sources, the United States ( 35.74%), Vietnam (10.81%), the United Kingdom (7.39%), Canada (5.83%), and France (5.61%) are the top five visiting markets for elspet.com.

At present, Els Pet's parent company Xiaoyi Smart has set up R&D teams in Yangzhou and Shenzhen , including a 30,000-square-meter production base in Yangzhou . Information from elspet.com shows that as of now, Els Pet has more than 350 patents worldwide, and its products have served more than 300,000 families .

The products are exported to dozens of countries and regions around the world . Through the domestic and foreign markets and the "online + offline" dual channel layout, Els Pet has laid an increasingly complete marketing network, and its global brand influence is also expanding.

Google Trends data shows that the search popularity of "els pet" has fluctuated over the past five years, but it has maintained a high level of search popularity since December 2022, and even reached search peaks twice in December 2023 and February 2024 .

With its rapid performance growth, Xiaoyi Smart has twice won the favor of Jinding Capital , which pays great attention to the pet track. It invested tens of millions of RMB in the A round of financing in 2022 , and added nearly 100 million yuan in this round of B round.

In order to achieve the goal of becoming the world's largest supplier of pet smart products , Xiaoyi Smart has also made a lot of efforts, such as investing 1 billion yuan to build a new factory of nearly 100 acres , and its goal is to build a 240,000 square meter smart factory.

With an increasingly mature R&D team and a complete supply chain system, in recent years, Xiaoyi Smart has also refined its smart products for different pets, driving its annual sales growth rate to 400% .

The overseas pet business has achieved IPO

Based on the design, development, production and sales of pet products, we continue to develop multiple categories of pet products for cats, dogs and other pets, and actively expand our sales business. In the first half of this year, a number of pet product overseas sellers still made a lot of money.

Yiyi shares : revenue of 813 million yuan in the first half of the year

As one of the earliest companies in China to engage in independent research and development, innovation, production and sales of pet hygiene care products, Yiyi Holdings achieved revenue of 813 million yuan in the first half of this year, an increase of 29.31% over the same period last year, and net profit of 95.19 million yuan, a surge of 111.71% year-on-year .

Through disposable hygiene care products including pet hygiene care products and personal hygiene care products, Yiyi shares mainly exports. Currently, its products are mainly exported to nearly 40 developed countries and regions including the United States, Japan, South Korea, and Europe, among which the United States accounts for the highest share.

From 2021 to the first half of 2024, its revenue in overseas markets reached 1.243 billion yuan, 1.442 billion yuan, 1.242 billion yuan, and 759 million yuan, respectively, accounting for 94.84%, 95.07%, 92.86%, and 93.39%. It can be seen that Yiyi shares rely heavily on overseas markets.

In terms of products, pet hygiene care products, mainly pet mats, pet diapers, pet cleaning bags, pet wipes, pet garbage bags, etc., are the main contributors to Yiyi’s revenue.

From 2021 to the first half of 2024, pet hygiene care products brand Feibie brought it revenues of 1.242 billion yuan, 1.445 billion yuan, 1.253 billion yuan and 763 million yuan, accounting for 94.83%, 95.29%, 93.66% and 93.93% respectively .

In terms of sales channels, Yiyi Holdings has established stable and long-term cooperative relationships with many large supermarkets, pet supply brands and e-commerce platforms in the United States, Europe and Japan, including Amazon, Walmart, Target, Chewy, PetSmart, Coupang, JAPELL, ITO, Pets at home, etc.

Tianyuan Pets: Revenue in the first half of the year was 1.252 billion yuan

The financial report shows that in the first half of this year, Tianyuan Pet's total revenue reached 1.252 billion yuan, an increase of 24.72% over the same period last year; net profit was 31.18 million yuan, an increase of 2.01% over the same period last year .

After more than 20 years of establishment , Tianyuan Pet entered the A-share market in 2022.

The earlier prospectus showed that from 2019 to 2021 , its revenue reached 1.049 billion yuan, 1.45 billion yuan, and 1.854 billion yuan respectively; net profit was 85.78 million yuan, 114 million yuan, and 107 million yuan respectively. During the same period, Tianyuan Pet 's overseas revenue accounted for 90.94%, 74.08% and 72.31% of its main revenue respectively .

In 2020, Tianyuan Pet launched its overseas online sales business through Amazon . In the same year, overseas online channels contributed 15.1965 million yuan in revenue to Tianyuan Pet , of which 14.8403 million yuan came from Amazon . In 2021, this channel again brought in 17.4479 million yuan in revenue .

Today, Tianyuan Pet has formed brands such as Petstar, Tianyuan Pet, New Food Era, and Xiaoshouxing, focusing on 12 categories of products, including pet beds, cat climbing frames, pet food, pet toys, pet clothing, electronic pet products, pet clothing, traction and travel products, cleaning and care products, pet eating utensils, pet set products, theme series products, and human-pet combination products.

With long-term accumulation, Tianyuan Pet's products have covered international markets such as the United States, the European Union, Australia, and Japan. Large supermarkets such as Walmart, Kmart AUS, TRS, Birgma, KOHNAN, etc., leading e-commerce companies such as Amazon, Chewy, and large pet supplies chain companies such as Fressnapf and Petco have formed cooperative relationships with it.

However, judging from the market layout, since its listing, Tianyuan Pet seems to be focusing more and more on the domestic market.

The financial report shows that in 2022 and 2023, Tianyuan Pet's domestic revenue will reach 699 million yuan and 912 million yuan respectively, and the proportion of total revenue will increase from 37.06% to 44.75%; on the contrary, although its overseas revenue is still 1.187 billion yuan and 1.125 billion yuan respectively, the proportion will drop from 62.94% to 55.25% (it even accounted for 90.94% in 2019 ).

In the first half of this year, Tianyuan Pet's overseas revenue was 555 million yuan, but its domestic revenue soared to 696 million yuan, and the proportion of the former fell to 44%.

Yuanfei Pets: Revenue in the first half of the year was 544 million yuan

Yuanfei Pet, which was listed in the same year as Tianyuan Pet, the "first dog leash stock", had revenue of 544 million yuan in the first half of this year, an increase of 26.38% over the same period last year; although its revenue was not as high as Tianyuan Pet, its net profit was more than twice that of the latter, at 73.89 million yuan, an increase of 12.2% over the same period last year.

It rang the bell on the A-share market with a dog leash . Its prospectus showed that from 2019 to 2021, its sales revenue of pet traction equipment was 330 million yuan, 352 million yuan and 613 million yuan, respectively, accounting for 64.27%, 58.01% and 57.33% of its main business revenue, respectively .

After listing, pet traction equipment brought Yuanfei Pet revenues of 472 million yuan, 370 million yuan and 183 million yuan respectively from 2022 to the first half of 2024 , accounting for 49.45%, 37.34% and 33.72% respectively .

In the past, Yuanfei Pet’s official website stated that it “produces 50 million pet leashes annually” and that about 60% of its revenue came from pet leashes. As the main revenue-generating category, its growth rate was far ahead of the company’s other products.

However, although the total revenue has continued to grow in recent years, the revenue and proportion of this category have declined. It can be seen that Yuanfei Pet is now focusing on categories such as pet snacks and pet injection molded toys.

From the market perspective , from 2019 to 2021 , more than 90% (more than 94%) of Yuanfei Pet's revenue came from overseas markets.

From 2022 to the first half of 2024, the overseas market brought Yuanfei Pet revenues of 917 million yuan, 884 million yuan and 472 million yuan, accounting for 96.11%, 89.16% and 86.64% of the total revenue, and it is still dependent on overseas markets .

In addition to the above, well-known pet retailers such as China Pet Foods, Guaibao Pet, and Petco also delivered impressive business performance reports in the first half of this year.

A number of pet export brands dominate the overseas rankings

The hot track is crowded with hot-selling products on the market, and a number of brands taking the intelligent route have also stood out in the overseas pet market.

VETRESKA : Overseas business grows 300% annually

In 2015, Shanghai Xingshangbaihe Brand Management (Group) Co., Ltd. was established in Shanghai. Two years later (2017), the brand VETRESKA was launched . In the same year, VETRESKA received an angel round investment of approximately RMB 10 million.

According to Qichacha information, VETRESKA received a total of 9 rounds of financing between 2017 and 2022, with the amount exceeding RMB 400 million . The latest round of financing took place in October 2022, when VETRESKA's Singapore subsidiary VETRESKA FUTURE PET FOOD received a strategic investment of US$50 million from Quest FoF , a fund under a Southeast Asian food giant .

Anthropomorphism and objectification, finding the common ground between people and pets in terms of needs, is the concept of VETRESKA product design. Based on this concept, VETRESKA 's products are recognized by the market.

In 2020, VETRESKA expanded its overseas business, opened a flagship store on Amazon and established an independent brand website. It is reported that from 2020 to 2022, VETRESKA 's overseas business will grow by more than 300% annually .

In 2021, VETRESKA participated in Amazon PD for the first time, with single-day sales exceeding US$300,000 . This year, VETRESKA 's overseas business has grown exponentially, and its self-operated business has become increasingly mature.

In addition to online, VETRESKA is also actively developing offline channels overseas. In February this year, the brand's first global flagship store FUR was officially unveiled in Singapore. In the past few years, VETRESKA has successively reached cooperation with many retail and department store giants in North America, Southeast Asia, Japan and South Korea, and in order to further penetrate overseas markets, it has also established brand centers and offices in local areas.

All these efforts have not been in vain. Data from platforms such as Similarweb and Google Trends show that both the number of visits to its independent website vetreskanyc.com and the popularity of VETRESKA 's brand searches have greatly increased.

CATLINK: No.1 in multiple overseas market shares

Founded in Shanghai in 2017, CATLINK has been rapidly expanding overseas through smart pet products such as smart litter boxes, smart feeders, smart water dispensers and smart cameras .

Since its layout in overseas markets, relying on its strong product strength, CATLINK's GMV in multiple overseas markets has doubled in 2021 , and it has also achieved the first market share in the four markets of Japan, South Korea, Thailand and Vietnam .

In the same year, CATLINK was launched on Amazon, and has achieved gratifying results every year since then. For example, it became the leading brand in the field of smart pet products in Amazon in just one year, and ranked third in the brand list in this category in 2022 .

In addition, according to the promotion data, during the "Black Friday" in 2022, CATLINK's smart cat litter box was a hit in Europe and the United States. The Amazon list showed that its sales ranked first, far exceeding other brands. In 2023, within 12 hours on the first day of the Amazon PD promotion, CATLINK's sales reached twice that of the same day in 2022, and its sales performance increased fivefold year-on-year; during the "Black Friday" of the same year, its products became the first in the cat litter box category, with annual revenue growth of 150%.

Today, CATLINK's products cover nearly 100 markets around the world.

PETKIT: Multiple products have received over 10,000 reviews

In 2013, the founder of PETKIT noticed the gap between the pet field and the Internet intelligence field, so he decided to combine smart hardware with pets and develop pet smart wearable devices, smart monitoring, water dispensers, feeders, cat litter boxes, etc.

One year after its establishment ( 2014), PETKIT received angel round financing. Tianyancha data shows that as of 2021, PETKIT has received a total of 6 rounds of financing, with a cumulative financing scale of no less than 600 million yuan . In August 2021 alone, the D round of financing received 50 million US dollars. This year, PETKIT's market valuation exceeded 3 billion yuan.

In 2017, PETKIT decided to expand overseas. Through independent websites and e-commerce platforms such as Amazon, it has gained a group of loyal consumers in the overseas pet market.

In 2021, PETKIT's PURA MAX smart cat litter box went online on Indiegogo and raised US$1.13 million, setting the website's highest sales record for smart cat litter boxes in 2021.

On Amazon, PETKIT's products are widely praised. For example, since the water feeder was launched, the number of reviews for a single listing of this product has been nearly 13,000 , and the monthly sales in August exceeded 1,000 units; the number of reviews for a single listing of another feeding bowl has exceeded 14,000 , and the sales in August exceeded 2,000 units.

Today, PETKIT's smart pet products have been sold to 40 markets around the world. It is reported that its revenue has exceeded the 1 billion mark in 2022.

In this field, there are also a number of top brands.

For example, Homerun, which took advantage of Amazon to expand overseas and won the first place in the pet drying box category on the Japanese site in just half a year ; Petlibro, which has been ranked No. 1 on the Amazon sub-category BS list for many years; Furbulous, which broke the Indiegogo platform’s pet category crowdfunding record that year; FunnyFuzzy, which ranked on the top of the US pet category list after only one year of overseas expansion...

Euromonitor data shows that the global pet products market (excluding services) will reach US$193.53 billion in 2023, of which the global pet products retail scale will reach US$52.4 billion , maintaining steady growth.

The United States remains the world's largest and most mature pet consumption market. In 2023, total spending in the U.S. pet industry exceeded $147 billion, an increase of 7.46% compared to 2022.

Europe is the second largest pet consumer market in the world. According to data from FEDIAF (European Federation of the Pet Food Industry), the annual market size of pet products and services in Europe reached 24.6 billion euros. Cats and dogs are the most popular pets, with more than 129 million pet cats and more than 106 million pet dogs in Europe .

Some people say that this is the golden age of the pet business. In this field , how can sellers tap into a larger market ?

Financing

Going to sea