Week #1: AliExpress surges 60% by Choice | TEMU & SHEIN air cargo volume doubled | Auntea Jenny IPO | Reolink | UREVO
Latest news and analysis on China's global e-sellers.
Hey there! Welcome to the debut of Chinesellers. In 2023, Temu, Shein, and TikTok Shop grabbed a ton of attention. More and more platforms and consumer brands from China are going overseas. It's what we call "chuhai" (going overseas) in China. Chinesellers exclusively focuses on CHUHAI. We'll be bringing you the juiciest updates weekly, along with insightful analysis on trends and companies.
Here’s our pick for today’s news:
AliExpress order volume surges 60%, driven by Choice
Ren Lifeng, founding member of Douyin, starts his new firm with focus on cross-border e-commerce
Auntea Jenny（a Chinese New-Style Tea brand）files application for HK Main Board Listing
Revenue hits 2 billion, a home camera seller in Shenzhen prepares for IPO
Smart fitness brand UREVO secures tens of millions funding
TEMU and SHEIN's air cargo volume doubled in 2023
1. AliExpress order volume surges 60%, driven by Choice
Choice, officially launched on March 1st 2023 by Alibaba, creates a new e-commerce model where products are sourced directly from merchants and factories to short the supply chain and save money for shoppers without neglecting customer acquisition and retention for sellers. Products in AliExpress Choice section in most countries will be eligible for free shipping, on-time delivery and free returns. Beyond logistics enhancements, Choice also provides sellers with a one-stop solution that seamlessly integrates sales operations, payment and warehousing. AliExpress' fourth-quarter orders in 2023 witnessed a strong 60% growth, mainly driven by Choice services. Notably, as of January, Choice deals already occupied half of the platform's total orders.
Besides AliExpress, Alibaba Group also operates Lazada in SE Asia, Trendyol in Europe, Miravia in Spain, and Daraz in South Asia. Alibaba's Q3 revenue nudged up 5% to $36.67B, with core Taobao and Tmall up 2% to $18.18B and international e-commerce up 44% to $4.02B.
Note: Alibaba's domestic business is struggling, but the recent financial report reveals a glimmer of hope in their international business. In 2024, Alibaba will be more aggressive in the foreign markets. AliExpress has already stated that their main focus for 2024 is the North American market, and even 1688, which has always focused on the domestic market, expanded its local business in Japan, Vietnam, and South Korea at the end of last year.
2. Ren Lifeng, founding member of Douyin, starts his new firm with focus on cross-border e-commerce
Ren Lifeng, one of the founders of Douyin, former vice president of PICO (ByteDance subsidiary), left ByteDance and registered his own firm Math Magic to start cross-border e-commerce venture. Math Magic is currently on the hunt for experts in product curation and operational strategies, seeking those seasoned with over three years of experience in fashion accessories, jewelry, and related categories for cross-border e-commerce. Earlier, sources had revealed Ren Lifeng's potential venture into AI-driven jewelry design.
Note: As China's internet boom fades, a growing number of notable entrepreneurs are shifting gears towards international markets. Ren Lifeng is not the first one; the most prominent one is Wuzhao, the founder of Ding Talk, who established HHO after leaving Ding Talk to sell pet supplies and headphones in overseas markets.
3. Auntea Jenny（a Chinese New-Style Tea brand）files application for HK Main Board Listing
On February 14, 2024, Auntea Jenny has filed an application to the Stock Exchange for a Hong Kong listing. This move signifies Auntea Jenny joining the ranks of ChaPanda (also known as Chabaidao), Mixue (also known as Mixuebingcheng & MXBC), and Guming as another“Chinese New-Style Tea” brand in the race for listing. Auntea Jenny stated in its prospectus its intentions to establish overseas stores in Southeast Asian countries like Malaysia and the Philippines, as well as in North America.
Note: In 2024, we will witness an increasing number of “Chinese New-Style Tea”chains in North America and Southeast Asia. HeyTea, with its first store launched in New York in the third quarter of 2023, led the way in this burgeoning trend.
4. Revenue hits 2 billion, a home camera seller in Shenzhen prepares for IPO
Recent reports indicate that Shenzhen Ruilian Technology Co., Ltd. (Ruilian Tech for short) prepares to make its mark on the Shenzhen Stock Exchange's Growth Enterprise Market. Ruilian Tech was expected to exceed 2 billion yuan in revenue for 2023, marking a growth of over 20% from the previous year.
Initially operated as an OEM factory specializing in home security cameras, Ruilian Tech launched its own brand: Reolink until 2015. Based on its extensive research and development in home security and surveillance products, Reolink has been ranked among Best Seller brands in Amazon’s surveillance product, making Ruilian Tech a top camera seller on Amazon.
5. Smart fitness brand UREVO secures tens of millions funding
Zhile Tech is revolutionizing smart fitness equipment under its flagship brand "UREVO," integrating hardware, software, and content to drive the fitness product ecosystem. From integrated treadmills to exercise bikes, their products dominate platforms like Amazon, independent websites, and offline stores across China, the US, and Europe, clinching the top spot in the US Amazon market.
6. TEMU and SHEIN'S air cargo volume doubled in 2023
In 2023, China's express delivery industry hit a record high with 132.07 billion parcels delivered, marking a substantial 19.4% increase from the previous year. Notably, international and cross-strait deliveries surged to 3.07 billion parcels, witnessing an impressive 52% growth compared to the preceding year. Moreover, the air cargo volume from major cross-border e-commerce giants Temu and SHEIN to Europe and the United States doubled in 2023, claiming over 40% of the total air cargo capacity on transatlantic routes – a remarkable leap from the less than 20% share in 2022.