On the same day, the person in charge of bubble Mart told the times weekly that he would not comment on the news.
More than a year ago, bubble Mart became the focus of the outside world because of its addictive nature and other factors. More than a year later, the proportion of the bubble Mart IP Product Mollys revenue is decreasing, while the next trump IP is still not available.
Nevertheless, bubble marts performance growth is still amazing.
According to its prospectus and post hearing data collection, the revenue of bubble Mart increased from 158 million yuan in 2017 to 1683 million yuan in 2019, and the net profit increased from 1.569 million yuan to 451 million yuan, a 289 fold increase in two years. In the first half of 2020, bubble Mart achieved an income of 818 million yuan, compared with 543 million yuan in the same period last year.
According to frost Sullivan data, Chinas fashion toy retail market size is expected to reach 76.3 billion yuan in 2024, with a compound annual growth rate of 29.8%.
In the prospectus, bubble Mart said it was Chinas largest and fastest-growing fashion toy company with an 8.5% market share.
Bubble marts territory is emerging, but its industry is still small. In November this year, Wang Ning, founder and CEO of bubble mart, openly said that todays fashion game market is still in the early stage of minority culture, and has not really become a large industry.
On November 20, Lian guankun, the investment director of an international investment institution, told the times weekly that for the investment community, the project scale of bubble mart is limited. Although it is popular, the market value is estimated to be several billion dollars, which will not be too low, and it is difficult to exceed the market value of 10 billion dollars..
Success in the minority, may also be trapped in the minority. Bubble mart is in urgent need of a bigger and grander story.
Start with ACE IP
On November 17, the 10th anniversary of the founding of bubble Mart.
Ten years ago, Wang Ning positioned the company as a log on trendy grocery store in Hong Kong, selling toys, home furnishings, digital products, snacks, accessories, beauty, bags, office stationery and other products.
Today, bubble Mart has formed a unique business model. Under this mode, bubble Mart mainly sells fashion dolls with a unit price of 59 yuan.
In 2017, the gross profit of bubble Mart was 47.6%; by 2019, it was 64.8%; in the first half of 2020, it was 65.2%.
To some extent, to make consumers willing to pay for this high premium doll is the business secret of bubble Mart.
In 2015 and before, bubble Mart had not found the secret. It was not until 2016 that bubble Mart really explored the key to its business model, namely, the incubation and operation of popular IP.
In short, it is the incubation and operation of Molly dolls.
With Molly becoming the most popular product of bubble mart, the companys performance began to rise.
In 2017 and the first half of 2018, the revenue of bubble Mart increased to 180 million yuan and 160 million yuan respectively, with growth rates of 104% and 156%. At the same time, the profit also increased significantly. In 2017 and the first half of 2018, the profit was RMB 08 million and RMB 21 million respectively.
In 2019 and the first half of 2020, bubble Mart ushered in a big performance explosion, with annual revenue of more than 1.6 billion yuan.
However, according to the data, Mollys overall revenue share, which has been on fire for more than three years, is declining.
In 2018, emerging IP such as dimoo, pucky, and the monsters accounted for only 0%, 14.6% and 0% of revenue, respectively. However, by 2019, the above-mentioned IP accounts for 5.9%, 18.7% and 6.4% of revenue respectively. However, Mollys share decreased from 41.6% in 2018 to 27.1% in 2019.
This can be understood as bubble Mart reduces its dependence on Molly, but emerging IP is far from reaching Mollys influence.
In May this year, Wang Ning publicly expressed the hope that bubble Mart would become the most Disney like company in China in five years, with many valuable IP.
If bubble Mart really wants to be the next Disney, it will face challenges from all aspects. It also needs a lot of manpower, resources and time to build a successful IP. Small scale IP incubation without mature system will face great risk of failure. Zhu Yue, executive director of CIC insightful consulting, told the times weekly.
How to break the circle
Although the performance growth is amazing, bubble Mart break circle pressure is not small.
In fact, in addition to overseas countries, bubble marts target consumer groups are mostly in its radiation circle. On November 21, Xu Wan (pseudonym), an industry personage engaged in the operation and development of chaoplay, told the times weekly that the rapid growth of bubble mart is due to its small base number. If no new bright spots are created, it will be more and more difficult to pull the new one.
In the same way as the game industry, the number of new players entering the game will always be less than the loss of players. People who are not interested in products will never be interested. Xu Wan said.
On November 22, Shanghai white-collar Lin Mo (pseudonym) told the times weekly that she had friends around her who liked to buy bubble mart, but she was still unmoved. People who like it very much like it, and those who dont like it just look at it..
In fact, bubble Mart has done a lot to cultivate fans and expand channels.
In addition to promoting the fans program, bubble Mart launched the online fan community in its early years. According to reports, Paqu is an online community of fans, which can obtain cultural information and latest information of fashion toys, buy and sell fashion toys and interact with other fans with similar interests.
In addition, bubble Mart tried to use the exhibition to expand its influence. In the absence of large-scale fashion toy activities in China, bubble Mart held the first fashion Toy Fair Beijing international fashion show in September 2017. Since then, bubble Mart has held two fashion toy exhibitions every year, namely Beijing international fashion show and Shanghai international fashion show.
Meanwhile, bubble mart is expanding overseas markets. On August 7 this year, popupshop, the first Japanese direct store of bubble mart, was officially opened in loft, Shibuya, Tokyo.
According to the prospectus, as of December 31, 2019, bubble Mart has 114 retail stores in the mainstream business districts of 33 first and second tier cities in China and 825 innovative robot stores in 57 cities. In addition, it has to expand online channels and wholesale channels all over the world. On November 20, Jiang Han, a senior researcher at Pangu think tank, told time weekly that bubble mart is the only company in the whole industry chain in the whole domestic fashion industry, including IP incubation and consumer touch. Even the cultivation of the whole surrounding culture. In addition, the whole blind box industry has the opportunity of rapid rise Jiang Han added. It is worth mentioning that in the data all the way up, bubble marts income growth rate is declining. From the post hearing data set, it can be found that the data in 2018, 2019 and the first half of 2020 are 225.4%, 227.2% and 50.5% respectively. Source: time weekly editor: Yang Bin_ NF4368
According to the prospectus, as of December 31, 2019, bubble Mart has 114 retail stores in the mainstream business districts of 33 first and second tier cities in China and 825 innovative robot stores in 57 cities. In addition, it has to expand online channels and wholesale channels all over the world.
On November 20, Jiang Han, a senior researcher at Pangu think tank, told time weekly that bubble mart is the only company in the whole industry chain in the whole domestic fashion industry, including IP incubation and consumer touch. Even the cultivation of the whole surrounding culture. In addition, the whole blind box industry has the opportunity of rapid rise Jiang Han added.
It is worth mentioning that in the data all the way up, bubble marts income growth rate is declining.
From the post hearing data set, it can be found that the data in 2018, 2019 and the first half of 2020 are 225.4%, 227.2% and 50.5% respectively.