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‘Robust growth’ for Cogobuy Group

Electronics eCommerce service platform Cogobuy Group reports “robust growth” across its three major businesses for the year’s first half.

Releasing its unaudited summary for the second quarter and unaudited consolidated results for the six months ended June 30, it says the total gross merchandise volume (GMV) reached about RMB9.25 billion (US$1.39 billion) – year-on-year growth of about 59.2 per cent.

Growing numbers of new customers, mainly from SMEs, contributed to the strong results, says Cogobuy. As at June 30, online transaction customer numbers reached 14,952, of which about 1.2 per cent are blue-chip clients, the balance being SME customers. This was an increase of 99.8 per cent from 7485 at the same date last year.

Registered customers reached 69,137, up 69.1 per cent from 40,891, while total revenue was RMB5651 million, up 31.9 per cent.

Second quarter data

For the three months ended June 30, the company’s total GMV was RMB5360.2 million, an increase of 61.6 per cent. Of this, 41.2 per cent came from blue-chip customers with the balance of 58.8 per cent coming from the SME sector.

IngDan.com, the company’s Internet of Things (IOT) innovation business platform for supply chain services, attracted many new customers and generated good results during the period, says Cogobuy.

At June 30, IngDan.com had attracted more than 12.5 million followers and more than 13,000 IOT project entries. GMV contributed by the platform was RMB1198.3 million, 22.4 per cent of total GMV.

During the quarter, the company had total revenue of RMB3224.5 million, an increase of 35.6 per cent.

Highlights

Cogobuy and IngDan.com officially entered the robotics industry this year. IngDan.com signed a co-operative agreement with Intel to partner in building a robotics ecosystem, while Cogobuy launched EZ-Robot.cn, an online to offline (O2O) eCommerce platform for industrial robotics as well as acting as a professional community for industrial robot manufacturers, component manufacturers and system integrators.

IngDan.com also formed a strategic partnership with crowdfunding platforms JD.com, Suning Commerce and Taobao Marketplace. IngDan.com will be providing intelligent hardware startups on each platform with eCommerce services such as product launches and B2B distribution.

Further, IngDan.com signed a co-operative agreement with the Hong Kong University of Science and Technology to jointly establish a sharing economy platform for the electronic materials industry. The university is committed to helping IngDan.com’s several thousand Chinese electronic manufacturing customers connect with new materials research institutions.

Outlook

“We are optimistic about our ability to deliver even faster growth in the second half of the year,” says Cogobuy Group CEO Jeffrey Kang.

“Cogobuy and IngDan.com have expanded into five complementary markets including robotics, smart cars and smart homes, and new materials. We are committed to matching smart hardware innovators around the world with the best Chinese supply chain and marketing resources.”

He says the robotics market, valued at $71 billion, is projected to grow in the next few years. “IngDan.com is positioned to capture value from the growth of this industry through its latest partnerships with Intel and several German and Japanese robotics key component suppliers.

“Its co-developed robotics ecosystem with Intel will serve industrial robotics, commercial services robotics, family services robotics and educational robotics.”

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