On September 25, 2019, Qianzhiya (Hubei) Hygiene Products Co., Ltd., a subsidiary of Hangzhou Qianzhiya, officially laid its foundation in Xiaogan, Hubei. It is reported that the project was built by Hangzhou Qianzhiya Investment, with a total investment of more than 1.5 billion yuan, covering an area of 382 acres and a total construction area of 260,000 square meters. It is planned to install 30 intelligent production lines. It is estimated that the annual output of health care products will reach With more than 3 billion tablets, it will become the largest comprehensive production base of health care products in Central China after it is put into production.
Judging from the development strategy of Qianzhiya in recent years, the construction of a 1.5 billion plant in Hubei will be an important step into the country's territory. After completion, the Hubei production base will also become an important channel for Qianzhiya to radiate to the central and western regions.
After 21 years, is it an opportunity or a challenge to invest in building a new plant?
This year, Hangzhou Qianzhiya's development in China has entered its twenty-first year. In 1998, Fuyang Shutai Sanitary Products Co., Ltd. was established, which is the predecessor of Qianzhiya. In 2003, the company transformed industrial production and introduced the first adult diaper production line. In 2006, it relocated from Fuyang to Hangzhou Tonglu and changed its name to Hangzhou Shutai Sanitary Products Co., Ltd. In August 2010, it introduced Japan's Ruiguang full-servo baby pull-pants production equipment, becoming the first domestic enterprise to introduce Ruiguang equipment at that time, and in the same year invited Mayi to endorse "Celebrity Baby". In May 2011, Hangzhou Qianzhiya Sanitary Products Co., Ltd. was established with a registered capital of 181 million yuan.
After 20 years of development, Qianzhiya has developed from one production line to 29 full-servo production lines, with an annual output from 0 to 2.1 billion pieces, annual sales from 0 to 3 billion yuan, and thousands of square meters of small factories from the beginning. It has developed into more than 500 acres of industrial parks, ranging from small factories with dozens of people to comprehensive sanitary products enterprises with thousands of people. Now it has developed into one of the well-known diaper factories in China.
However, in the general environment, from the perspective of the entire industry, the continuous decline in the birth rate in recent years has become a problem that everyone in the mother and baby industry is talking about. The number of births has been decreasing year by year, and overcapacity in diaper production lines can be found everywhere. Secondly, diapers have a high repurchase rate, low brand loyalty, new players are constantly entering the market, and industry competition is intensifying. In order to save and increase, most brands have begun to build their own factories to improve product differentiation. Once again, competition between factories has become more intense. Taking Haoyue in Hangzhou as an example, Haoyue has a huge production scale and cooperates with diaper head companies such as Unicam and Kimberly-Clark. Private label diapers have been exported to markets in Europe, the Middle East, South Asia and Africa in recent years. Power and innovation are also highly recognized in the industry.
Under such circumstances, it is unclear whether Qianzhiya spent a lot of money to build a production base in Hubei to further help enterprises gain more market share.
"Five horse-drawn carriages" drive transformation and upgrading
Driven by "new consumption, new retail", the consumer market has changed, consumers have higher requirements for product quality, and good products must speak with quality. Looking at Qianzhiya's series of measures in recent years, the diaper industry has some enlightenments in product development, channels, and marketing.
In 2017, Qianzhiya began to build a "five horse-drawn carriage", covering offline distribution, baby chain, e-commerce, new retail, OEM and other fields, to provide momentum for its market competition.
In terms of production and research and development, Qianzhiya has 29 world-class all-servo production lines and more than 500 acres of development land. It has the "SOLOVE Maternal and Child Global R & D Center", "Hangzhou Qianzhiya-Zhejiang University Super Absorbent Materials R & D Center" Manufacturing Center "," Logistics Center "," Warehousing Center "," Global Customer Service Center "and other institutions. Introduced 18 Ruiguang production lines. It is reported that Japan's Ruiguang is one of the world's three major manufacturers of sanitary products and equipment. It has been engaged in the research and development of sanitary products and equipment for more than 60 years, and its technology has always been a global leader in the industry. Guangdong Yusheng currently owns 17 and Hangzhou Haoyue owns Japan's Ruiguang 8 baby diapers, 5 pull-up pants and 2 menstrual pants. In terms of raw material selection, selected global high-quality raw material suppliers such as 3M, Henkel (Su German) and Sumitomo Seika (Japan Sumitomo) have basically become the standard for head brands, and Qianzhiya has not fallen behind in this regard. In terms of innovation ability, it is said that the 6D embossing technology applied to the new super absorption series of Celebrity Baby Celebrity Baby is the first of its kind in China. As early as 2014, CHIYA was the first to independently develop and produce baby swimming in the industry. Pants and put on the market.
In channel construction, in the new retail era, product and service integration, online and offline integration have become the development trend of mother-to-child retail channels. In 2015, Hangzhou Qianzhiya laid out the “Internet +” strategy, and used cloud technology to comprehensively open up all aspects of consumers, production, sales, etc., and build a new marketing model. Taking the products of Hangzhou Miyouquan Technology Co., Ltd., a wholly-owned subsidiary of Qianzhiya as an example, solove Miffy started from Weishang and leveraged the rapid development of social software to become a questionable company in just a few years. An unknown diaper. After entering major e-commerce platforms, Miffy's sales are also very impressive. In 2017, Miffy launched the SOLOVE maternal and infant new retail ten thousand store project, forming an omni-channel new retail layout of online + offline + experience stores. However, the disadvantages of Weishang agent sales are also very obvious. The management of personnel, inventory, and exaggerated publicity are not conducive to brand reputation.
In terms of brand strength, in addition to the series of independent brands "Celebrity Baby", "Solove Miffy", "Qian Zhi Ya", "Dr. Kang", "Duo Wei", "Millennium Boat", and "Sweet Care" etc. His beautiful diapers, Russian velvet diapers, Korean super-baby diapers and domestic brands such as Deer Dingding, BEABA, Nomel, Red Baby Elephant and other OEM production. However, there is still a certain gap in the production of high-end products and international big-name diapers. Although there are international big IP Miffy rabbits for marketing, hard-core product power is always the premise of good reputation.
It is understood that after the completion of the Qianzhiya (Hubei) production base, it will cover the production base, corporate office and training center, product research and development center, brand operation center, industrial tourism center, e-commerce center, professional creation space for mother and baby products, The efficiency of production and delivery of other supporting facilities such as the maternal and infant brand exhibition experience hall should be further improved, but whether the increase in production bases and the input of more equipment can produce products recognized by consumers in the market depends on the firm's hardware strength.