Born in Yantai, Shandong Province ordinary teacher family, but Wang Xuning is not at all bound by the system thinking, he with personal interest and dedication to research and development, in one fell swoop became the "father of soybean milk machine", successfully made Joyoung brand household name, at its peak, Joyoung once surpassed Haier Zhijia, it is no exaggeration to say that Joyoung was once an undisputed kitchen small household appliance leader, looking at the entire Chinese business sea, Wang Xuning has created an out-and-out business legend.
However, in recent years, Joyoung's performance has been unsatisfactory, especially the profit performance, which has fallen for 3 consecutive years, while its main competitors Supor and Xiaoxiong Electric have bucked the trend, either crushing themselves in revenue, or surpassing themselves in profits.
Can he lead Jiuyang to break through the predicament and return to 10 billion?
- Little giant, "running" can't move?
In 2023, Joyoung's share price will achieve revenue of 9.613 billion yuan, a year-on-year decrease of 5.54%, a net profit attributable to the parent of 389 million yuan, a year-on-year decrease of 26.58%, and a net profit attributable to the parent company of 353 million yuan, a year-on-year decrease of 35.76%.
Behind Joyoung's declining performance, there must be environmental factors in the industry, such as the total omni-channel push data in 2023 compiled by Aowei Cloud Network, showing that the overall scale of small kitchen appliances was 54.93 billion yuan, a year-on-year decrease of 9.6%, offline retail sales were 42.2 billion yuan, a year-on-year decrease of 10.7%, and offline retail sales were 12.7 billion yuan, a year-on-year decrease of 6.0%.
At the same time, there is also the ever-upgrading competitiveness of leading cross-border players, such as the small kitchen appliances track, which has poured into comprehensive giants such as Midea Group, the small household appliances and personal care small household appliances track, as well as Xiaomi, Dyson, Ecovacs, Philips and other giants to grab food.
Picture: Qianzhan Industry Research Institute
However, the pot cannot be completely pushed to the general environment and upgraded competitors, because in the same period, vertical segment players such as Supor and Xiaoxiong Electric have grown against the trend:
On March 30, 2024, Supor disclosed its latest annual report, in 2023, the company achieved a total operating income of 21.304 billion yuan, a year-on-year increase of 5.62%, a net profit attributable to the parent company of 2.180 billion yuan, a year-on-year increase of 5.42%, and a non-net profit of 1.994 billion yuan, a year-on-year increase of 5.63%;
On April 8, 2024, Xiaoxiong Electric disclosed its latest annual report, in 2023, the company will achieve a total operating income of 4.712 billion yuan, a year-on-year increase of 14.43%, and a net profit attributable to the parent company of 445 million yuan, a year-on-year increase of 15.24%, with a record high in revenue and net profit, and both of them have achieved double-digit growth;
Therefore, Joyoung's performance stalled, and it is more necessary to locate the problem from itself, so that it is possible to find a solution!
Supor's solution is to reduce costs and increase efficiency significantly, the product structure and channel structure have been improved, and the gross profit has been further increased;
2, return to 10 billion, is there a play?
At the end of 2022, Wang Xuning stepped down as chairman of Joyoung Co., Ltd. and was replaced by Yang Ningning, the former general manager of the company, and the new general manager was taken over by Guo Lang, former president of Dyson Greater China.
It is worth mentioning that there is a significant difference between the small kitchen appliances market and the traditional large appliances, that is, online consumers occupy the majority, and the omni-channel data of AVC statistics in 2023 can be intuitively seen that the online share has exceeded 3.3 times of the offline turnover, Joyoung has no opportunity to vigorously improve the online marketing effectiveness and GMV conversion in 2024, which is very important for the warming of the annual financial report!
In addition, the return to the product, no matter how big the brand, product quality, after-sales can not have a trace of sloppiness, in the black cat complaint platform is not difficult to find, about Joyoung pan, wall breaker and other ace flagship products of a series of complaints, this is also a point that needs to be paid attention to, after all, people spend money to buy products, buy is a peace of mind and peace of mind.
As early as many years ago, Wang Xuning set the path of Joyoung's technology research and development, that is, the three-level R&D system - it must be a forward-looking, innovative and regular upgrade combination model.
In 2019~2023, Joyoung's R&D investment is relatively stable, with a little more than 4 points in 2023, and the proportion of sales expenses in revenue has remained at a high level for a long time, approaching 15 points in the same period in 2023.
In 2023, Joyoung's R&D personnel will be reduced by 8, from 713 to 705, and in 2024, the scale of R&D personnel will inevitably need to be expanded.
Galloping small household appliances for more than 30 years, Joyoung's family foundation is quite thick, which is also the confidence of Joyoung to carry out a series of innovations or reforms, can Joyoung turn the tables against the wind?
Let's wait and see!