In the global intelligent cleaning industry, there is a company that stands out with its ultra-high-speed growth trend, absolute technological innovation ability and unique market strategy.
In the past five years, Dreame Technology has achieved an amazing growth rate of more than 100% compound annual growth rate, like a "dark horse" galloping on the intelligent cleaning track, ranking first in the track, and at the same time bringing subversive changes to the industry with technology-driven and product innovation.
"Absolute first".
In the face of the slowdown in the demand for smart cleaning appliances in the past two years and the increasingly fierce market environment of brand competition, Dreame Technology has successfully opened up a strong upward trajectory.
On February 2, at the new product launch conference of Dreame Technology's world's first bionic "dual" robotic arm, Guo Renjie, President of Dreame Technology China, said that from 2019 to 2023, Dreame Technology's five-year compound annual growth rate will exceed 100%, leading the intelligent cleaning industry in terms of growth rate, and has become a leading brand in the global intelligent cleaning industry.
When it was first founded, the debut of Dreame Technology was not particularly dazzling. In 2018, the second year after the establishment of the company, Dreame Technology chose to launch its first product, the wireless vacuum cleaner V9, through crowdfunding on the "Xiaomi Youpin" platform.
At that time, as a member of Xiaomi's ecological chain, Dreame Technology worked closely with Xiaomi to achieve a rapid rise in the B-end market. It only took more than a year to jump from the original 100 among Xiaomi merchants to the first place.
This stage is of great significance to Dreame Technology, which not only helps the company accumulate valuable product experience, but also gives it a deep understanding and perception of the concept of building its own brand. More importantly, Dreame Technology's strategic concept of expanding the C-end user group has gradually become clear at this stage.
In June 2021, Dreame Technology entered Douyin e-commerce, and started the brand's independent live broadcast business in August of the same year. In addition, the company has also innovatively adopted the marketing strategy of information flow planting, combining the precise delivery of content recommendation platforms with private domain traffic. Since then, the company's self-operated store system on major e-commerce platforms has been gradually established and improved.
According to the data, in the "618" in 2023, Dreame Technology's omni-channel sales will exceed 900 million yuan, a year-on-year increase of 100%. On Amazon Prime Day, the company achieved sales breakthroughs in many categories in overseas markets. In the "Double 11" event, the company successfully ranked TOP1 on the sales list of household cleaning brands by virtue of the total sales volume of all channels exceeding 2.1 billion.
In addition, according to the data of Zhongyikang GFK, in October 2023, Dreame Technology will become the No. 1 brand in the retail share of the large cleaning category in the Chinese market. In the category of sweeping robots and floor scrubbers, the company's market share exceeds 20%, ranking second.
At present, Dreame Technology has completed the multi-category three-dimensional layout of intelligent cleaning home appliances with four categories: sweeping robots, wireless vacuum cleaners, intelligent floor scrubbers, and high-speed hair dryers, which are sold well in more than 120 countries and regions around the world, and the year-on-year growth of the international business will reach 120% in 2023.
In the past few years, the domestic and overseas markets are basically five or five open, but in the long run, we believe that the overseas market is not limited, that is, if one day the overseas market really does 82 open, it is also reasonable, because logically the overseas market space is larger. Guo Renjie also said that the goal of the domestic market is to quickly become the absolute first place in the industry, that is, the sweeper and floor scrubber are the first.
"Absolutely innovative
Dreame Technology, which has been established for seven years, can stand out in the highly competitive intelligent cleaning industry and successfully break through the dilemma of competing for hegemony and the red sea of the market, relying on its own hard technology.
Taking the newly released X40 series sweeping robot of Dreame Technology as an example, it has further upgraded a variety of technologies and is equipped with the world's first bionic "dual" robotic arm. The bionic "double" robotic arm is based on the expansion of the bionic robotic arm rag pioneered by Dreame Technology, and the industry's first liftable side brush expansion has been added, so that the Dreame X40 series sweeping and mopping integrated robot has realized the linkage of side brushes and rags for the first time, and achieved 100% blind corner coverage in the cleaning of corners and gaps in the house.
Guo Renjie said that Dreame X40 series sweeping robot is a cutting-edge flagship product with a number of industry-first technologies, such as 12000Pa peak suction power and the first active base station self-cleaning 20. Active cutting anti-winding roller brush 20 and 80 kinds of obstacle recognition and other innovative technologies and functions.
Since the establishment of Dreame Technology, "technology" has been deeply imprinted as the core tone of the company. As early as two years before its official establishment, the start-up team with Yu Hao, founder and CEO of Dreame Technology, as the core, has begun to challenge and break through the key barriers of core technology. When the company was officially established in 2017, it launched the first self-developed high-speed digital motor with a speed of 100,000 rpm, which is also the most difficult and core part of making a vacuum cleaner.
This probably explains how Dreame Technology can stand out among many enterprises, because the breakthrough of key technologies has given it strong confidence, and laid a solid foundation for the subsequent self-built factories to achieve large-scale production of high-speed digital motors. Based on this, Dreame Technology has become one of the few vacuum cleaner manufacturers that has mastered the core technology of the motor and can independently produce the motor.
More importantly, the core technology can not only be continuously accumulated, but also widely reused in multiple fields, and the prospect is broad enough.
The benefits of technical compound interest on Dreame must have completed a transformation from '0 to 1' and from '1 to 10'. If there is no compound interest generated by technology, it may be possible to open this market today. At that time, we made the motor the first, so that the suction power of all products could be better, and the algorithm, that is, the obstacle avoidance ability, etc., was better, and the market was opened. Relying on absolute innovation, we have continuously completed the transformation from '1 to 10'. Guo Renjie said.
In the competition of the clean home appliance industry, technological innovation is the key core to promote development. At present,The domestic market has been quite "involution",Although the market growth rate of sweeping robots has slowed down,There are still many new players pouring in,This means that Dreame Technology still has a tough battle to fight。
Guo Renjie also said frankly that after the technical compound interest for Dreame Technology to complete the transformation from "0 to 10", the absolute value of this compound interest is decreasing every time, because the industry is a fast-changing industry, almost every time a new function is made, from the earliest can lead 9 months, to now only 6-3 months ahead, the more it may be white-hot.
Lead the industry to "break the game".
In recent years, the field of smart cleaning has risen rapidly and has become one of the hottest tracks. With their first-mover advantage, Ecovacs and Roborock are firmly in the top two positions and are favored by the capital market, and have been successfully listed on the A-share market. At its peak in 2021, it was dubbed "sweeping grass" and "crazy stone".
However, it is also true that the growth rate of the intelligent cleaning industry has slowed down, which is mainly due to factors such as intensified market competition, serious product homogeneity and gradual market saturation. In the domestic market, the acceptance of intelligent cleaning equipment by consumers in the early stage has increased, and the market has grown rapidly, while as the market has entered a mature period, the overall growth rate has also shown a downward trend.
For example, Ecovacs said that due to factors such as the decline in the average price of domestic industry products, weak consumption prosperity and intensified industry competition, it is expected to achieve a net profit of 6-6 net profit attributable to the parent company in 2023800 million yuan, down 60-65% year-on-year; Net profit not attributable to net profit is deducted 44-5.200 million yuan, down 68-73% year-on-year.
In Guo Renjie's view, the revenue and profit situation of some leading enterprises in 2023 is not optimistic, which is actually a dialectical result after homogenization, that is, when products and channels are highly homogeneous, basically the final must be under the fixed cost, raising the cost and reducing the cost, so the profit is affected.
At the same time, Guo Renjie also believes that this is a relatively easy thing to break the situation, because growth has always been brought by differentiation, and Dreame relies on product innovation to bring differentiation of functional innovation, and then bring competition and market share growth. Dreame was able to lead the growth of the entire industry last year because most of the competitors in the industry were in the situation of homogenization of competition and stagnation of product innovation, Dreame went to do technology such as robotic arms, thereby driving the innovation and growth of the entire industry.
Dreame Technology has won the first market share in many regional markets around the world with its sweeping robots. Among them, GFK data shows that from October to December 2023, the market share of Dreame sweeping robots in the German market will increase. 8% to 375%, ranking first in the industry; In the Italian market, Dreame sweeping robots ranked first in the industry market share in November 2023.
Dreame's share and profit have increased to a certain extent last year, which is actually the result of insisting on high R&D investment and insisting on doing the right thing for a long time. Therefore, I think Dreame is likely to be a 'solution' to the problem of this industry, that is, when all competitors choose to use the same way to do technology and product innovation, I believe it is also an opportunity to jointly improve profits and operating conditions. Guo Renjie said.
In addition to the Dreame X40 series sweeping robots, Dreame Technology has also released flagship new products such as the all-rounder H30 Ultra floor scrubber, the whole house cleaning master H30 MIX floor scrubber, and the "pocket stylist" Dreame Pocket high-speed folding hair dryer.
For high-speed hair dryers, Dreame Technology also has high hopes. Guo Renjie said that high-speed hair dryers have ushered in a market inflection point, and the general trend is to replace ordinary hair dryers, this market is huge, so in 2024, I hope that Dreame can achieve a certain scale of hair dryers, and through the innovation of the form, to achieve a leader's status.
Throughout the development process of Dreame Technology, it is a true portrayal of innovation-driven growth and differentiated innovative products leading the industry to break through. (Source: Dreame Technology).