Hong Kong stocks are the best new stocks of the year.FreeplaytoearnnftmobilegamesIs it?
On May 24, the "AI Interactive Marketing Unit", the dark market trading of the interest Group, was very popular, with the biggest increase of 92 per cent at one point. By the close, the dark market trading showed an offer of HK $33, up 32 per cent from the recruitment share price of HK $25. For the "winning lottery", each hand will earn HK $1600, excluding the handling fee. On May 27, Jinzhi Group will be listed on the main board of the Hong Kong Stock Exchange.
Founded in 2013, Juzhi Group is an AIoT (artificial Intelligence Internet of things) marketing solution provider. Its model is to provide consumers with effective and interactive machine marketing services through the development and operation of vending machines and equipped with various modules to achieve technology-driven interactive functions, including odor emission, motion recognition and voice interaction.
It is worth mentioning that although the vending machine is used as the carrier, Juzhi Group mainly sells not drinks but advertisements, and marketing revenue accounts for 80% of its revenue. In terms of 2023 revenue, Yuzhi Group is the fourth largest outdoor marketing service provider of FMCG in China, with a market share of about 1.Freeplaytoearnnftmobilegames.2%, while the largest market participant has a market share of 14%Freeplaytoearnnftmobilegames.3%.
The biggest increase in the dark market was 92%.
On May 24, the Hong Kong stock interest group opened high in the dark market, with the biggest intraday rise of 92%. As of the close, the dark market trading showed an offer of HK $33, up 32% from HK $25. The profit is HK $1600 per hand, excluding handling fee.
Huizhi Group launched its IPO process on the Hong Kong Stock Exchange on May 17, 2024, with Haitong International as the exclusive sponsor. The interest Group announced a global offering of 19.704 million shares, including 1.9704 million shares in Hong Kong and 17.7336 million shares in the international market. The company has conducted a total of nine rounds of financing, with a valuation of 4.16 billion yuan after the last round of financing, including Eagle Fund, Yuandu Venture Capital, Junlian Capital, Jianfa New Investment, Hongzhang Investment, forward-looking Capital and so on.
According to public information, Juzhi Group is an AIoT (artificial Intelligent Internet of things) marketing solution provider, focusing on FMCG outdoor marketing. The fun Group develops vending machines and equips them with various modules to achieve technology-driven interactive functions that are essential for successful marketing activities, including odor emission, action recognition and voice interaction, making interactive machine marketing services possible.
In terms of 2023 revenue, Juzhi Group is the fourth largest outdoor marketing service provider of FMCG in China, with a market share of about 1.2%, while the largest market participant has a market share of 14.3%.
As of December 31, 2023, Juzhi Group operates 7543 vending machines in 22 cities in China. 98.4% of the vending machines are located in first-tier and new first-tier cities in China, almost all of them are located in commercial properties with high revisit rates, such as office buildings, long-rented apartments and shopping malls, in order to reach the target consumer groups, especially the tech-savvy young consumers represented by the "Yhand Z. generation". Jinzhi Group provides marketing services for about 1400 SKU FMCG products, most of which are new products.
Don't sell drinks, sell ads.
It is worth mentioning that, compared with traditional vending machines, Chona (a network platform operated by vending machines) sells not drinks, but advertisements. Interesting Group's income mainly comes from providing marketing services characterized by machine distribution to brand customers, accounting for about 80%.
It is reported that to provide brands with new varieties of grass and special product publicity that reach consumers is the core business of Chona. Chona's offline vending machine process can have multiple "online-offline-online" feedback.FreeplaytoearnnftmobilegamesFor example, consumers can participate in activities and tasks on App and get the QR code for receiving prizes; with the QR code, they can go to the offline terminal to pick up the new products they are interested in; consumers can decide whether to pay and how much to pay, and then go back online to share and comment.
According to the prospectus, the acquisition and experience of physical products is an important step in building consumer awareness, and vending machines play an important role in effectively connecting brands and target consumers by promoting efficient physical distribution of fast consumer goods. it's hard to be replaced by pure online marketing.
On the financial front, the income of the interest Group continued to grow from 2021 to 2023, which was 500 million yuan, 550 million yuan and 1 billion yuan respectively. In the same period, the corresponding net profits were RMB-139 million,-116 million and 137 million yuan respectively, turning losses into profits in 2023, with a gross profit margin of 53.2% and a net profit rate of 13.6%. Marketing services contributed about 80 per cent of the group's income and merchandise sales accounted for 14.3 per cent. In terms of cash reserves, as of December 31, 2023, cash and its equivalents were close to 300 million yuan.
AIoT marketing market of FMCG has a compound annual growth rate of 16.3%.
China's FMCG AIoT marketing market has experienced rapid growth in the past few years.
According to the prospectus, China's FMCG market has maintained steady development since 2018, with the market size increasing from 540.1 billion yuan in 2019 to 648.6 billion yuan in 2023, with a compound annual growth rate of 4.7 percent, and is expected to grow to 906.4 billion yuan by 2028. Among them, the growth rate of new products is faster than that of mature products.
Corresponding to the growing FMCG market is the faster-growing FMCG AIoT marketing, which increased from 6.4 billion yuan in 2018 to 11.6 billion yuan in 2022, a compound annual growth rate of 16.3 percent, and is expected to increase to 43.2 billion yuan by 2027.
Guizhi Group believes that the rapid development of FMCG AIoT marketing is mainly due to its ability to hit a number of traditional marketing pain points.
First of all, AIoT marketing can reduce the capital consumption and time of new product release. For fast consumer brands, on-site marketing activities are usually expensive and time-consuming.
For example, when holding activities in Shangchao, FMCG brands have to bear a series of costs, including shelf costs, distribution expenses and labor costs. In addition, the cycle of FMCG brands from new product marketing planning to market launch usually takes at least two months, according to searing consulting materials. On the other hand, AIoT marketing, such as the products of brand customers launched by the group through smart terminals, can significantly reduce the time required and the funds required to carry out activities.
Secondly, AIoT marketing can reduce the cost of getting customers online and carry out accurate marketing. In the current era of the rapid development of the Internet, almost every FMCG brand will use the Internet to promote online for itself, but just like the Prisoner's Dilemma, when everyone does so, the effect of online publicity will be greatly diluted, and the cost of brands and consumers to obtain information will be doubled.
For example, in 2022, the cost of acquiring consumers for mainstream e-commerce platforms will be 300 yuan per capita. By combining offline and online, AIoT marketing can improve the efficiency of brand customer acquisition and reduce the average customer acquisition cost.
Finally, AIoT marketing can get feedback from consumers. In traditional marketing channels, the transmission of information is usually one-way, that is, it is transmitted to consumers in one direction by the media. However, consumers 'detailed needs are often unable to be conveyed to the brand side, especially the market test information of new products.
Therefore, some brands obtain consumer feedback and test information through paper questionnaires, on-site interviews, etc., which consumes both money and valuable time. AIoT marketing can obtain and analyze information such as consumers 'preferences and purchase intentions for corresponding products through AI and digital methods, thereby helping brands make more accurate and effective product improvements and marketing styles.