Atour Group s retail business is strong, how does Atour Planet impress consumers

Mondo Finance Updated on 2024-02-01

With the recovery of tourism this year, the performance of the domestic hotel industry has also ushered in an all-round growth. Atour Group, which was listed on the NASDAQ in the United States in November 2022, has performed even better in the past 2023.

Not long ago, Atour Group released its financial report for the third quarter of this year, and during the reporting period, Atour Group's net income was about 129.4 billion yuan (RMB, the same below), a year-on-year increase of 931%;Adjusted net income of approximately 27.2 billion yuan, a year-on-year increase of 1447%;Adjusted EBITDA (non-GAAP) is 38 billion yuan, a year-on-year increase of 1224%。The retail business is particularly bright in it, and the main credit for all this is actually due to the hot sales and out-of-the-circle of "Atour Planet" a series of sleep products.

According to the third quarterly report of Atour Group Company, the GMV of Atour's scene retail business of selling pillows, quilts and mattresses exceeded 300 million, a year-on-year increase of 292%. The main product of Atour's scene retail business is the bedding of "Atour Planet", especially the pillow, and its star product Deep Sleep Pillow Pro has won the first place in the pillow category sales list of various e-commerce platforms on platforms such as Jingdong and Tmall. According to the official introduction, as of November 11, 2023, the cumulative sales of this product have exceeded 800,000.

According to Zhiyan Consulting data**, the total size of China's entire latex pillow market in 2023 will only be more than 2 billion yuan, and the pillow sales of Atour Planet will account for more than 10% of the annual market size. So why is Atour Planet bedding so popular?What did Atour Planet do right?

First of all, there is no doubt that Atour Planet's products are excellent and of excellent quality. Many people who have stayed in Atour Hotel and experienced the comfort of their pillows will be planted with grass to order Atour pillows.

Secondly, the marketing of Atour Planet** online and offline channels has also done a good job. Atour Planet has precise positioning and sells sleep aid pillows to users who have difficulty falling asleep. When Atour lays out its retail business, it focuses on this group of "sleeping people" as its core users, rather than its more familiar "business travel group". This point runs through the positioning of the sub-brand Atour Planet and the design of related products. Then, Atour Planet carried out the transformation of the target group in various e-commerce channels, that is, using different ways to emphasize to users that "for sleep scenes, Atour Deep Sleep Pillow is effective." In addition to the delivery in the public domain channels, in the private domain channels such as WeChat***, Atour will also emphasize the "sleep scene", and constantly convey to users that pillows are very important for the creation of sleep scenes. Finally, in addition to online channel content marketing, Atour has another unique advantage over other e-commerce brands is offline scene marketing. That is, after the user goes to the hotel to consume, Atour will vigorously Amway users to use the new sleep products.

In short, the success of Atour Planet is not luck or coincidence, in fact, it is more driven by strength, whether Atour sells hotel services or pillows, it essentially serves the same type of people - "exquisite users" who have high-quality needs for sleep. Atour's core competency is to improve the quality of users' sleep, so that users can trust the brand. This is also the fundamental reason for the long-term development of the brand.

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