36Kr learned that the baby and child products brand Two Rabbits has completed a 10 million yuan angel round of financing, led by Anpu Capital, and followed by Bee Qiao Capital. According to Wang Yong, the founder of the two rabbits, this financing will be mainly used for product research and development and brand building.
Founded in 2019, Two Rabbits positioned itself as a brand of all-category maternal and infant products, currently focusing on the car seat category, and launched the first car seat product in 2020. The brand entered the Top 5 of the Tmall child safety seat category in January 2021.
Picture from two rabbits
As one of the rare categories with high unit prices in baby and child products, the growth rate of the child safety seat market is considerable. According to data from the China Toys and Baby Products Association, from 2015 to 2019, the total retail sales of child safety seats in China increased from 2.6 billion yuan to 5.19 billion yuan, and more and more parents have increased their awareness of car safety and will buy car seats for their babies. The newly revised Law of the People's Republic of China on the Protection of Minors, which will come into effect on June 1, 2021, stipulates that minors need to be equipped with child safety seats when riding.
The demand side is growing rapidly, but there are serious problems of low brand concentration, insufficient industry innovation, and serious product homogenization on the supply side. Wang Yong told 36Kr that as an imported product, many child safety seat products on the market are mainly in the form of OEM, and the brand lacks independent innovation capabilities, directly following the product system and design logic of foreign car seat products.
In such a supply and demand scenario, the solution of the two rabbits is to take the user experience as the core, start from the current unmet user needs of the market to carry out product design, break the inherent car seat form, and launch innovative products.
For example, under the premise of ensuring product safety, the two rabbits launched a smart car seat product equipped with an intelligent suction and cooling system in 2020 in response to the problem that the back of the traditional car seat is not breathable and the baby cannot blow air. Parents can control the seat temperature in different seasons and weather scenarios to increase the comfort of young children's travel in the car. In addition, the seat has also added a smart reminder system to prevent forgetting, reducing the situation where parents forget their children in the car. The two rabbits also plan to connect child seat products to Tmall Genie to enhance the user experience.
At present, the product development team of the two rabbits is 10-15 people. In order to maintain the advantages of product differentiation, the team deployed categories and products in advance, and gradually established the corresponding patent system.
Wang Yong said that the overall cycle of functional innovative products from design, mold opening, on-line, and iteration lasts for about two years. When the two rabbits iterate to the third generation, the imitators may still stay in the first generation. The product front-end leaves sufficient space for innovative research and development and provides a window for the development of the brand.
In terms of consumer groups, most of the current domestic car seat brands are concentrated in the price range of 1,000 yuan to 2,000 yuan. The two rabbits aim at the high-end market with a unit price of more than 2,000 yuan, and target consumer groups living in first- and second-tier cities and pursuing a sense of science and technology and consumption upgrades.
Next, the two rabbits will continue to expand the category of maternal and infant products around the scenes of baby and child travel and feeding.
Regarding the investment, Song Jiandong, a partner of Anpu Capital, said: "Due to the significant increase in the penetration rate of private cars in China and the strong safety awareness of post-90s parents for baby and child travel, the domestic child safety seat industry is in the boom stage of rising volume and price. The two rabbits conduct in-depth product research and development around the aesthetics, convenience and comfort of child safety seats, and continue to innovate in intelligence and integration to meet consumer demands with a new product experience. Founder Wang Yong has rich experience in the child safety seat industry, and has a very innovative product thinking, and the core team has rich experience in brand operation. We believe that the two rabbits take the child safety seat industry with good development opportunities as the starting point, rely on continuous product innovation, and continuously meet the needs of diversified scenarios, and finally build the two rabbits into leading brands in the field of maternal and infant products. ”
Chang Xin, founding partner of Bee Qiao Capital, said: "We believe that the consumption choices of a new generation of parents in the mother and baby market will give birth to a number of heavy products, efficiency and brand building companies, and we are very optimistic about the future development of the two rabbits in this field." ”