China'S Infant Industry "Latent" 100 Billion Dollar Fund

Billion dollar fund "lurking" China's infant industry

Recently, at the Sixth China International Women's and children's children Industry Expo summit held in Hangzhou, there appeared a rare investment giant in previous forums.

Liu Lefei, chairman and CEO of the CITIC Investment Fund Management Co., Ltd., Zhao Xiaobing, director general of Hon investment group, and other well-known figures in the investment field came to the scene.

   　 吸引他們的，是一個(gè)萬(wàn)億元級(jí)的市場(chǎng)。

"In 2012, China will become the world's largest infant consumer market."

Xie Hong, chairman of Hangzhou baby industry association and chairman of Beingmate board of directors, predicted this forum.

Xie Hong's definition of infant consumption is a series of business activities around fertility, nurturing and education.

He believes that at present, China's 0 - to 12 year old baby market needs at least 1 trillion yuan, by 2015, it may reach 2 trillion yuan, and the prospect scale can reach 3 trillion yuan.

"Investors may not realize that the future of baby industry is so large.

At present, the number of infant enterprises in China is still relatively small. It is entirely foreseeable that more and more capital will enter the baby industry in the future.

According to Zhao Xiaobing, according to his understanding, the fund currently aiming at China's baby industry is over hundreds of billions of dollars.

    “超萬(wàn)億的市場(chǎng)不多見(jiàn)”

An investment contract in this forum directly confirms the favor of capital to the baby industry.

Xu Fuzhou, a pioneer in the baby industry, won the championship of the first Beingmate baby industry competition in March 21st after being selected by network audition, reelection, group match and finals.

Hangzhou golden future Vc firms and he signed a total investment of 10 million yuan letter of intent.

This piece of pie dropped from the sky. It was Xu Fuzhou's entrepreneurial project.

Xu Fuzhou's entrepreneurial plan is to be the first child micro society in China. There are dozens of venues such as courts, hospitals, restaurants, fire services and so on. Children can be employed in dozens of professions such as judges and doctors, so as to experience education as the core, help children establish good habits and enhance communication and cooperation ability.

In the eyes of investors, baby industry is a potential stock.

"In China, such as baby industry, the market size of more than one trillion yuan is rare, and the annual output value of clothing industry is only about 800000000000 yuan.

Moreover, the number of consumers in the baby industry is very important for this investment, which provides an important reference for investors.

Zhao Xiaobing thinks.

The comparison of infant industry consumption structure between China and western developed countries also illustrates the investment opportunities in this field on the other hand.

Liu Lefei listed a set of data: at present, Chinese children who are 0 years old and -14 years old buy 7 clothes each year, while European and American children get 30 new clothes per person per year. At the same age, children in China spend only 3 dollars on toys per year, while children in Europe and the United States are 34 dollars.

  　  另一個(gè)現(xiàn)象也很有意思。在美國(guó)的嬰童消費(fèi)中，玩具及教育類(lèi)占50%，食品類(lèi)占30%，服裝及其他消費(fèi)占20%，而中國(guó)嬰童消費(fèi)中，食品類(lèi)則占了50%。

"The concept of child rearing in China is changing, and this gap is narrowing."

Liu Lefei believes that this change will bring broad market to China's baby industry.

As a baby industry practitioner, Xie Hong also has his own view on the potential of the baby Economy: first, China's "post-80s" and "90s" people will enter the stage of marriage and child birth. This situation will last until 2025. Secondly, the sustained high growth of China's GDP will lead to overall consumption growth. Third, thanks to China's economic pformation, the baby economy will be an important force to stimulate domestic demand; fourth, the growing popularity of paternity culture in China determines that China's infant economy will continue to develop rapidly.

In fact, domestic and foreign capital has already lurked in the infant industry, and even infiltrated into the related industries.

Liu Lefei revealed that in the past few years, the domestic baby industry has been highly concerned by well-known venture capital funds and equity investment funds at home and abroad, and has produced many investment cases.

Take CITIC Industrial Investment Fund as an example, it has successfully injected Beingmate last year.

"At the same time, a characteristic of the big industry chain of baby industry provides the development path and growth space for the excellent enterprises in the industry along the industrial chain expansion. The introduction of strategic investors, enhancing capital strength and improving governance structure will bring investment opportunities to China's baby industry."

Liu Lefei said.

Capital will undoubtedly promote the rapid development of baby industry, but investors also have a choice.

Liu Lefei said that baby products as a consumer product, brand and channel are the most valuable resources, in these two aspects of enterprises are more likely to cause capital interest.

But Zhao Xiaobing believes that the current baby industry is too fragmented, which is unfavorable for long-term development.

He said that Hin investment has the intention to help outstanding enterprises to merge and merge from the capital level.

  　  嬰童經(jīng)濟(jì)離不開(kāi)親子文化

Capital has accelerated the boom of the baby industry, but some investors are worried that the baby industry will not usher in a heyday but a high risk period.

Because any profitable industry is in a stage of explosive development, it will encounter various temptations, such as the use of conceptual speculation instead of basic research, relaxation of quality control and so on.

   　 未來(lái)如何引導(dǎo)和規(guī)范嬰童產(chǎn)業(yè)發(fā)展？

"In this long industrial chain, we should not only stick to the science and safety of infant industry services, but also emphasize its humanity."

Xie Hong thinks.

He told reporters that when an industry entered a period of rapid growth and profits were very rich, many enterprises were willing to earn money quickly, so that this industry was full of the great leap forward phenomenon which violated the objective laws, so as to replace consumers' long-term training and replace basic research.

If this situation continues to spread, it will eventually lead to a gradual loss of trust in the industry.

In Xie Hong's opinion, baby industry is a very special industry.

It is a series of business activities to ensure children's healthy growth and development. In the final analysis, it is a conscience industry. If we change money with conscience, we will collapse sooner or later, and often collapse in an instant.

Xie Hong also hopes to share his experience in the baby industry with his peers.

In 1992, when the newly created Beingmate put forward the concept of product development specifically for Chinese babies, the original "Beingmate successfully nurtured and taught" theoretical system, providing a full range of services for the healthy growth of Chinese babies from childbearing, nurturing, education and other aspects.

Through the nursery lectures, pregnant women activities, parent-child games and other forms, spread Beingmate's successful teaching philosophy.

When the baby food business is basically mature, Beingmate has begun to build the "Beingmate baby life Pavilion" project, providing mother and child services, play and teaching, and one-stop shopping for the baby and mother.

"If there is no cultural motivation behind an industry, it can not last.

For the baby industry, its background culture should be parent-child culture.

Xie Hong said.