Text丨Sina Technology Zhou Wenmeng
Stone Technology held the 2024 global press conference today. At the press conference, Stone Technology CEO Quan Gang announced that according to data from Euromonitor International, the world's authoritative market research agency, Stone Technology's sweeping robot has the highest sales volume in the world.
Quan Gang said that Stone Technology always takes user value as the center, does the right thing, and adheres to the long-term principle. In the future, Stone Technology will continue to invest in R&D, explore cutting-edge technologies that improve human life, and continue to lead the high-quality development of the industry.
According to the 2023 annual report recently released by Stone Technology, in 2023, the company achieved total operating revenue of 8.654 billion yuan, an increase of 30.55% over the previous year; net profit to mother was 2,051 billion yuan, an increase of 73.32% over the previous year. It is worth mentioning that overseas sales accounted for 48.9% of revenue, accounting for nearly half of total revenue.
Industry insiders believe that Stone Technology's global journey is the epitome of many Chinese technology companies pursuing internationalization and brand globalization, and has also explored a development path for sweepers to go overseas.
Overseas sales account for nearly half of total revenue
With the deepening of globalization, it is no longer new for Chinese technology companies to go overseas. Unlike in the past, today's overseas Chinese technology companies are conquering overseas markets and becoming a Chinese force that cannot be ignored.
DJI, for example, quickly took over the global market with its high-performance drones. Huawei, on the other hand, continues to be driven by innovation and has become a force that cannot be ignored in competition in the global communications market. Xiaomi's product line covers various fields such as mobile phones, TVs, notebooks, and smart homes.
Industry insiders believe that in the current complex international environment, Chinese brands export the high-quality development of maritime customs countries and international competitiveness. If Chinese brands want to go further in the international market, it is imperative to build their own solid barriers to scientific and technological innovation.
The robot vacuum industry is also a major “must-compete place” for Chinese brands to flock overseas. Major brands such as Stone Technology, Covos, Cloud Whale, and Pursuit are actively expanding overseas markets, making every effort to pursue technological innovation and product iteration, with the intention of taking a place in the global robot vacuum market. According to reports, Stone Technology and Chase Technology have chosen different paths. The former focuses more on product technology innovation. According to Stone Technology, it is the first company in the world to apply lidar navigation technology and related algorithms on a large scale in the field of sweeping robots. It ended the era of “random collisions” of sweepers and made LDS navigation technology the mainstream technical solution in the current industry. Since then, it has also successively launched pioneering technologies such as visual maps, binocular visual obstacle avoidance, integrated sweeping and dragging, and high-frequency vibration floor wiping. At this press conference, Stone Technology launched the world's first dual-light solid-state lidar navigation obstacle avoidance technology to update the sweeper navigation and obstacle avoidance experience and enhance the cleaning function.
Previously, Pursuit Technology also brought a number of innovative technologies, including bionic “double” robotic technology. In contrast, leading foreign iRobot products are relatively backward in introducing new products, and no full base station or robotic arm products have been launched yet.
Business data probably has the most say in the return of global value brought about by a series of innovative technologies.
According to the 2023 annual report just released by Stone Technology, in 2023, the company achieved total operating revenue of 8.654 billion yuan, an increase of 30.55% over the previous year; net profit to mother was 2,051 billion yuan, an increase of 73.32% over the previous year. It is worth mentioning that overseas sales accounted for 48.9% of revenue, accounting for nearly half of total revenue.
Only by localizing products can we cure “soil and water dissatisfaction” when going out to sea
The continuous pursuit of technology has given Chinese technology companies the strength and confidence to compete with international peers. However, not all companies have a smooth sailing experience when going overseas, and many startups are dissatisfied.
Industry experts believe that if Chinese technology companies want to have a stable seat in the international market, they also need to thoroughly understand consumer needs and cultural habits in different countries and regions, and adjust product design and marketing strategies according to market demand. Only with this consumer-centered market orientation can products better adapt to the global market and win the love of consumers.
Stone Technology also pays attention to the importance of “localization” of products. Unlike domestic ones, household carpets are basic in North America, Europe, etc., so Stone Technology adjusted the product to meet this demand and added a carpet cleaning function. The newly released P10S Pro is suitable for carpets and pet homes, effectively reducing maintenance frequency and making carpet cleaning easier. According to Stone Technology, since starting its global layout in 2017, the construction of its overseas direct sales channels and distribution channels has progressed steadily. Currently, it has set up overseas companies in the US, Japan, the Netherlands, Poland, Germany, South Korea, etc., and has opened online brand stores on online platforms such as Amazon, Home Depot, Target, Best Buy, and Walmart in the US, while entering offline channels in the US to deepen local marketing and improve local user operations.
At the press conference, Stone Technology announced that it has entered more than 170 countries and regions, serving more than 15 million families around the world, and the daily activity of the app exceeds one million.
Pursuing Technology has also submitted its own report card in its globalization strategy. Currently, its products have covered more than 120 countries and regions around the world, including Germany, France, Italy, Japan, and South Korea. According to public data, in October-December 2023, the market share of Chase Sweeper in the German market rose from 33% and 34.8% to 37.5%, ranking first in the industry; in the Italian market, Pursuing Sweeping Robots steadily ranked first in the market share of the industry in November 2023.
It is easy to see that in the face of international competition, Chinese technology companies have not chosen to back down. In order to meet the challenges of globalization, Chinese robot vacuum brands also use in-depth understanding of consumer needs and cultural habits in target markets to carry out accurate market positioning. Sales of products from brands such as Stone Technology, Chase, and Covos continue to grow, and their market share is increasing year by year, which not only proves the product strength of Chinese sweeping robot brands, but also shows that the influence of Chinese sweeping robot brands is gradually showing in the global market.
Break the “stuck neck” situation in core manufacturing
As the saying goes, challenges and opportunities coexist. As the global smart home market continues to expand, demand for smart home products such as robot vacuum cleaners also continues to grow. In the future, can Chinese robot vacuum brands seize this opportunity and achieve a larger market share on a global scale? Businesses may need to consider a long-term approach.
Needless to say, the Chinese robot vacuum cleaner brand is moving to a new level. Stone Technology has taken a new strategy ahead of schedule to build a complete ecosystem with a full link.
According to information, Stone Technology's self-built factory is officially put into operation, with a monthly production capacity of up to 300,000 units. This layout also allows Stone Technology to break the situation where core manufacturing links are “stuck”, and the integration of research, production and marketing forms a closed value chain. In the long run, it can reduce costs and increase efficiency, and further enhance the market penetration rate of products.
Predictably, as the overseas robot vacuum market becomes more mature, the “internal wave” of the Chinese market may also be replicated in the future. Compared to domestic markets, overseas markets are more complex. Companies have to consider factors such as shipping, exchange rates, and product localization, and competition will continue to intensify. For example, in terms of product supply, Stone Technology chose a different approach from the traditional method of “small-batch shipping to test the waters” to reduce the waiting cycle for cross-border shipping and seize market warplanes.
Industry insiders said bluntly that looking at the future robot vacuum market, if Chinese brands want to achieve greater market share on a global scale, they need to focus on long-term development and follow the path of sustainable development.