青山资本

#PolicyUpdates China's largest e-commerce #retail #promotion event, "Double 11," has just concluded, with major e-commerce platforms releasing their performance reports. As of November 11, 2024, #JD.com reported a user growth of over 20% year-on-year for its 11.11 shopping event. Over 17,000 brands saw transaction volumes grow more than fivefold, and more than 30,000 small and medium-sized businesses doubled their #transaction volumes year-on-year. For #Tmall's Double 11, a record-breaking 589 brands achieved transaction volumes exceeding 100 million RMB, marking a 46.5% increase from last year. Taobao Live saw 119 live-streaming rooms surpass one million RMB in sales, with 49 of these rooms doubling their sales growth rates compared to last year. Douyin E-commerce released a report on October 29, showing a 91% year-on-year growth in mall #GMV (Gross Merchandise Volume), a 77% increase in search GMV, and a 64% increase in GMV for #product cards. This year marked the longest-ever Double 11 event, combining cross-platform integration between e-commerce platforms and government incentives, such as subsidies for trade-in programs, resulting in positive shifts in #consumer spending data. #Double11

#PolicyUpdates The National Bureau of Statistics has released the #income and #consumption #expenditure data for residents in the first three quarters of 2024. In the first three quarters, the per capita disposable income of residents nationwide was RMB 30,941, a nominal increase of 5.2% compared to the same period last year. After accounting for price factors, the actual increase was 4.9%. The per capita consumption expenditure of residents nationwide was 20,631 yuan, a nominal increase of 5.6% compared to the same period last year. After accounting for price factors, the actual increase was 5.3%.

#PolicyUpdates According to estimates from the Data Center of the Ministry of #Culture and #Tourism, during the 7-day #National Day #holiday, there were 765 million domestic trips taken nationwide, representing a year-on-year increase of 5.9%, and a growth of 10.2% compared to the same period in 2019. The total spending by domestic #tourists reached 700.817 billion yuan, showing a year-on-year increase of 6.3% and a growth of 7.9% compared to 2019. On October 6, #Meituan released data showing that during the first five days of the National Day holiday, average daily #dining-in #consumption increased by 33.4% compared to the 2023 National Day holiday, while nationwide in-store consumption in life #services grew by 41.2% year-on-year.

# PolicyUpdates On September 24, the State Council Information Office held a press conference where the Governor of the People's #Bank of #China announced three important policies aimed at supporting high-quality #economic development: 1. A reduction of the reserve requirement ratio (#RRR) by 0.5 percentage points, with the possibility of a further reduction of 0.25-0.5 percentage points later this year. The 7-day reverse #repo rate will be lowered by 0.2 percentage points, while guiding the loan market quoted rates(#LPR) and deposit rates to decrease in tandem. 2. Guidance for commercial banks to lower existing #mortgage rates, with an expected average reduction of about 0.5 percentage points, and a decrease in the minimum down payment ratio for second-home #loans from the current 25% to 15%. 3. The establishment of new #monetary policy tools to support the stable development of the #stock market, including: (1) the creation of exchange facilities for securities, mutual funds, and insurance companies, allowing eligible entities to obtain liquidity from the central bank through asset pledges; (2) the introduction of special relending for stock buybacks and increases, guiding banks to provide loans to listed companies and major shareholders to support stock repurchases and increases. These policies from the central bank fully reflect the intention to "stabilize growth, stabilize the stock market, and stabilize the real estate market." Further policy measures may be introduced to promote economic recovery.

#CyanhillPortfolio After eight years, FIIL's over-ear #headphones are making a comeback with the release of the "FIIL Key Max," the latest in the #FIIL #Diva series. The "FIIL Key Max" not only inherits the highly acclaimed MAF™ noise-cancellation system and TDDC patented acoustic design from the Diva series but also offers significant improvements in noise-cancellation depth, #battery life, and Bluetooth usability. It boasts an impressive 80+ hours of battery life and features fast-charging technology, providing 5 hours of listening time with just a 5-minute charge. #FIIL, co-founded by #musician Wang Feng, is a headphone brand designed to create outstanding audio products for music lovers. With a youthful, trendy appeal, FIIL currently offers #products in the FIIL series, FIIL Diva series, Carat series, and Bestie series.

#PolicyUpdates Recently, the Ministry of Commerce and three other departments issued the "Notice on Further Improving the Work of Replacing Old Appliances with New Ones," which specifies the types of subsidized #products and the #subsidy standards. The notice provides subsidies for individuals who purchase eight categories of household appliances, including refrigerators, washing machines, televisions, air conditioners, computers, water heaters, home stoves, and range hoods, with the maximum subsidy reaching up to 15% of the sales price. The introduction of these subsidies is expected to accelerate the release of demand for #appliance upgrades and boost the #Chinese home appliance #market.

#PolicyUpdates During the Mid-Autumn #Festival holiday in 2024, the national cultural and #tourism market remained generally stable and orderly. According to data from the Ministry of Culture and Tourism’s data center, there were 107 million domestic trips nationwide, a 6.3% increase compared to the same period in 2019; domestic tourists spent a total of 51.047 billion yuan, an 8.0% increase compared to the same period in 2019.

#LargeCorpNews Recently, #Lululemon opened a new store at #Beijing Capital Airport's Terminal 3, marking the brand's 24th store in Beijing. Additionally, three more stores are currently in the planning stages, with the Lululemon store at Hopson One undergoing expansion. At the close of the last fiscal year, Lululemon had 127 stores in the Chinese market. However, by the first quarter of the 2024 fiscal year, the number of #stores in China had increased to 148. While expanding into first-tier cities, Lululemon is also actively seeking opportunities in second-tier and third-tier cities. From the second half of last year to the first half of this year, Lululemon opened its first stores in cities like Ningbo and Nantong, demonstrating the brand's determination to accelerate its expansion in the #Chinese #market.

#QuoteVault - ZhangYe Speaks on Consumer Recently, Zhang Ye, the founder of Cyanhill Capital, was invited to speak at the #HICOOL 2024 Global Entrepreneur Summit, where he delivered a speech titled "There Is No Wasted Time in Consumer #Entrepreneurship and #Investment." He mentioned, "Pessimism and lamentations may serve as appetizers for the vested interests, but they should never be the main course for #entrepreneurs." Companies that treat consumer goods like software, and those that naively think they can lose money to gain attention now and profit later, 90% of them will go bankrupt this year or next. The only difference among them will be the volume of noise when they go bankrupt.

#PolicyUpdates The Ministry of #Culture and #Tourism of China, together with the National Development and Reform Commission, the Ministry of #Finance, the Ministry of Natural Resources, the Ministry of Housing and Urban-Rural Development, the Ministry of #Transport, and six other departments, jointly issued the "Guiding Opinions on Promoting the High-Quality Development of Tourism Public #Services." The document proposes to establish a #tourism public service system that matches the high-quality development of the tourism industry within 3-5 years, anticipating that #China's #tourism #economy will enter a new stage of prosperous development.