Awesome! Another cross-border hit is about to go public

This field is full of big names, and another cross-border blockbuster is launched!

Cross-border e-commerce is highly favored. Based on the fact that the sales data of this year's Black Friday and Cyber ​​Monday reached a new high, the overseas pursuit of discounted and low-priced goods will continue, and the competitiveness of domestic cross-border e-commerce based on the price advantage of industrial cluster output still exists, Guotai Junan said it will continue to recommend the cross-border e-commerce sector.

As we all know, in recent years, the cross-border e-commerce industry has produced many big-selling companies. As cross-border e-commerce has entered the era of intensive cultivation, benchmark companies in various sub-categories have continued to strive for IPOs. Jessia Home Technology Co., Ltd. ( hereinafter referred to as Jessia ) is about to go public .

Targeting the small niche of home furnishings! Revenue increased 10 times in 2 years

Yi Enjun learned from the website of the China Securities Regulatory Commission that Jessica has started A-share IPO guidance and has recently registered for guidance filing with the Securities Regulatory Bureau. The guidance institution is CICC.

According to information, Jessia was founded in 2005. It was originally a trading company focusing on the manufacturing of household textile products and household goods. It later successfully transformed into a cross-border Internet home furnishing company while retaining its traditional trading business. It has currently formed a full industrial chain layout from weaving, printing, embroidery to finished product processing and sales, with annual sales increasing rapidly .

Jessica said that in the next three years the company aims to become an IPO company and build a self-operated Internet industry to provide a humanized sales and shopping platform for merchants, customers, and brands.

Currently, Jesse owns several self-owned brands such as HULALA HOME and Tianran Home, and its products cover many well-known North American e-commerce platforms such as Wayfair, Amazon, Homedepot, Overstock, etc., and has now become the top 3 sellers on the Wayfair platform. As we all know, Wayfair is mainly a leading vertical home furnishing giant in Europe and the United States. It has successfully "killed" to the top of the category in the home furnishing track where competitors gather. Jesse's product advantages are evident. In fact, Jesse's sofas, office chairs and other furniture products also have good sales on the Amazon platform and are highly praised.

In the just-concluded Black Friday online promotion, Jessica’s Black Friday sprint goal achievement rate was 124%, and the Cyber ​​Monday sprint goal achievement rate was 107%.

The continued success of Jesse's overseas expansion should have a lot to do with its localization layout. Jesse Home Furnishing has its own factories and companies in Vietnam, the United States and other places , and has built three large overseas warehouses to radiate the eastern, central and western United States.

At the same time, Jessica targeted the home furnishing segment Sitting and established its absolute advantage. Data shows that seating accounts for about 45% of the US furniture market. Jessica itself has rich experience in making customized products for specific mid- to high-end groups, and has crushed its competitors in terms of quality, delivery time, user selection and life services. In less than two years, sales have successfully increased 10 times.

Experts in the home furnishing industry gather! Duoda sells the most in the sub-category

In fact, many hot-selling products have been launched in various segments of the home furnishing market.

Henglin Co., Ltd.: has been committed to the research and development, production and sales of office chairs, sofas, massage chairs and accessories. It has brands such as "Henglin, Lista Office LO, Chubos, NOUHAUS", etc., and currently occupies a large market share in the office furniture export market.

Data shows that Henglin Co., Ltd.'s overseas expansion scale has expanded year by year. In the first half of 2023, its overseas business revenue reached 2.847 billion yuan, a year-on-year increase of 26.04%. Its overseas expansion scale is second only to Mlily Home among the disclosed finished home furnishing companies.

Lechuang: Mainly engaged in smart home and healthy office products, it has produced various ergonomic products such as smart office lifting tables, smart home tables, electric children's study tables, etc. The combined application scenarios of the products mainly cover the fields of healthy office, smart home and professional application.

The "FlexiSpot" brand lifting table , which is the main brand abroad, ranks first in the lifting table category sales on e-commerce platforms such as Amazon, Home Depot, Walmart, Rakuten, and Yahoo. The self-built independent website "flexispot.com" is in the first echelon among the global independent e-commerce websites for vertical linear drive application products. In the first half of this year, the traffic of the LOGO US independent website exceeded that of its main competitors for the first time and ranked first.

Zhiou Technology: Successfully listed this year, it has three self-owned brands: SONGMICS, VASAGLE, and FEANDREA. SONGMICS is positioned as a home furnishing category, VASAGLE is positioned as a furniture category, and FEANDREA is positioned as a pet home furnishing category. Its products cover different scenes such as living room, bedroom, kitchen, hallway, courtyard, and outdoor. The furniture series products are divided into living furniture and office furniture subcategories; the home furnishing series products are divided into storage, utensils, and decoration categories; the courtyard series products are divided into courtyard home furnishing, leisure, and sports categories; the pet series is divided into pet furniture and pet home furnishing subcategories.

Sales platforms include Amazon, Cdiscount, ManoMano, eBay, etc. During this year's Black Friday and Cyber ​​Monday event, Zhiou's total sales on Amazon platforms in Europe and North America increased by 78% year-on-year.

In the first three quarters of this year, Zhiou achieved operating income of 4.136 billion yuan, a year-on-year increase of 0.42%; net profit attributable to the parent company was 286 million yuan, a year-on-year increase of 67.14%. Institutions predict that Zhiou's average net profit in 2023 will be 394 million yuan, a year-on-year increase of 57.38% over last year.

The prospect of home furnishing is broad! Deeply cultivate vertical categories to welcome the opportunity of explosive sales

The birth of many big sellers in the home furnishing sector is closely related to the unlimited prospects of the overseas home furnishing market and the sellers' deep cultivation of vertical categories.

In recent years, the global home furnishing industry has experienced rapid development. It is estimated that by 2025, the size of the US home furnishing market will rise to US$210.068 billion, and the size of the European home furnishing market will rise to US$255.244 billion. The online penetration rate of home furnishing consumption is also increasing . In the new business model of the integration of the home furnishing industry and the cross-border e-commerce industry, product innovation and technological innovation continue to emerge. From the perspective of segmented tracks:

In 2017, the global smart home market size reached US$84 billion and is expected to grow to US$155 billion in 2023. Among them, the global height adjustable table category size is expected to reach US$10.3 billion in 2028, with a compound growth rate of 7.6%.

From 2019 to 2025, the global office furniture industry is expected to grow from US$104.9 billion to US$132.3 billion.

According to Statista data, the revenue of the furniture and supplies e-commerce channel in the United States will reach 61.212 billion US dollars in 2025. At the same time, the revenue of the furniture and supplies e-commerce channel in Europe will also reach 51.964 billion US dollars in 2025.

The furniture market is divided into seven segments: living room furniture, bedroom furniture, kitchen and dining room furniture, outdoor furniture, (home) office furniture, lamps and lighting, and floor coverings.

Upholstered furniture is one of the fastest growing segments in the furniture market, and includes sofas, mattresses and other products. Asia Pacific and North America are the main markets for upholstered furniture, accounting for 37% and 32% of the global market respectively.

Office furniture includes office chairs, desks, system furniture and other products. According to Csil statistics, in 2022, the total output value of the global office furniture industry reached 52.4 billion US dollars, accounting for about 11% of the global furniture output. Among them, the office furniture output in the Asia-Pacific region accounts for 48% of the global office furniture output, followed by North America, accounting for 29%, and Europe ranks third, accounting for 19% of the global output .

China is one of the world's major furniture producers , accounting for about 36% of global furniture production. It is also a major furniture exporter (furniture exports reached US$69.833 billion). With its strong industrial cluster advantages, it is bound to produce more excellent furniture products that will sell well overseas in the future.