Billion Dollar Fund Lurking China'S Infant Industry

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.

On March 26th, at the Sixth China International Women's and children's children's Industry Expo Summit Forum 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.

What attracts them is a trillion yuan market, China's infant consumer market.

"Super trillion market is rare."

"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 year old -12 year old baby market demand is at least around 1 trillion yuan.

By 2015, the scale will reach 2 trillion yuan, and the prospect scale will reach 3 trillion yuan.

"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.

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."

Zhao Xiaobing thinks.

"The concept of child rearing in China is changing."

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.

"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.

Xie Hong also has his own view on the potential of the baby Economy: China's "post-80s" and "post-90s" people will enter the stage of marriage and child birth. The sustained high growth of GDP in China will lead to overall consumption growth. China's economic pformation will be an important force to stimulate domestic demand. The promotion of parent child culture in China will determine the direction of China's infant economy will continue to develop rapidly.

"The baby industry is too fragmented."

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.

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.