Top ten hotspots in China's smart lock industry in 2016

Hot spot 1: Lenovo, ZTE, Godson and other giants enter the smart lock industry

The old-fashioned communication manufacturer ZTE officially launched the smart door lock on November 22, 2016, and announced its official entry into the smart lock industry. On December 29, 2016, Loongson Technology announced that its Loongson 1C100 fingerprint lock solution entered the product testing phase and has been separated. It has reached a supply intention with Yongkang Kaifeng Group and Zhejiang Juli Group. It is expected to achieve sales of 50,000 to 100,000 sets in 2017. In addition, China's PC giant Lenovo has entered the smart lock industry.

In 2016, the addition of these giants made the smart lock industry so lively. Nowadays, China's smart lock industry has formed five camps: the IT camp based on Lenovo and Loongson; the home appliance camp based on Haier, Skyworth and Rongshida; the security camp based on Hikvision and Dahua; Samsung-based communications camp; traditional smart lock camp based on traditional smart locks.

Hot spot 2: Ding Jing, Xiao Yan, Guo Jia, etc. have won the favor of the capital market

After various industry giants entered the smart industry, major capital companies also smashed the smart lock industry and threw out olive branches to major smart lock companies. In the smart lock financing in 2016, the highest has exceeded 100 million yuan.

In March 2016, the domestic smart lock brand Deschman revealed that it has completed the A-round financing of RMB 123 million. The investor of this round of financing is Xinjiang Ronghai Investment Co., Ltd.; in April 2016, Ding Star Intelligence announced this year. In April, the company completed the B round of tens of millions of financing led by Fosun Kunzhong Capital. The sponsor of the project was Wang Hao, the founding partner of Fosun Kunzhong. In July 2016, the smart home brand of Beijing Huohe Technology Co., Ltd. The investment community revealed that it has received nearly RMB 100 rounds of financing.

Hotspot 3: Cadiz, ZTE, and Deschman enter the top ten in China's science and technology crowdfunding

Crowdfunding uses the characteristics of the Internet and SNS to allow small businesses, artists or individuals to showcase their ideas to the public, and to get everyone's attention and support, and then get the financial assistance needed. Since the “incoming goods” of crowdfunding, it has been in a state of constant warming since entering China. In the smart lock industry, all new products are crowdfunded in various public platforms. This is not the case. In 2016, Cadiz, ZTE, and Deschman successfully entered the top ten of China's science and technology crowdfunding with excellent results.

On November 25th, 2016, Caddy, who completed the crowdfunding, won the first batch of smart lock industry crowdfunding and the third place of technology crowdfunding with a total amount of 30.391 million yuan. The ZTE smart lock was completed on January 1, 2017. With a score of 23.081 million yuan, it won the second place in the smart lock industry crowdfunding, and the seventh in the science and technology crowdfunding; Deschman "Xiaoying" cloud smart housekeeper fingerprint lock won the smart lock industry with a score of 20.52 million yuan Raise the third, the ninth good results of technology products crowdfunding. In 2017, what smart lock products will enter the top ten of technology crowdfunding? let us wait and see.

Hotspot 4: Smart lock industry shipments exceeded 2 million sets, an increase of 40%

The past 2016 is an extraordinary year for the smart lock industry, and this year the smart lock market is experiencing explosive rapid growth. According to the latest statistics, in 2016, China's smart lock market shipments exceeded 2 million sets, and the industry's overall annual growth rate exceeded 40%; the smart lock brand increased from several hundred in 2015 to more than 1,000 in 2016.

Some insiders expect that the smart lock industry will usher in the first year of the explosion in 2017, and the industry output value will exceed 10 billion yuan. With the large-scale procurement at the end of 2016, smart lock shipments will usher in a new round of large-scale outbreaks in the third quarter of 2017.

Hotspot 5: 80, 90 has become the consumer of smart locks

The home market has sprung up after the 80s and 90s, which has made many companies unprepared. In the future, without understanding the consumption view after 80 and 90 and their demands for home decoration, the products of the company are difficult to be favored. Therefore, in order to capture the hearts and minds of the post-90s consumer groups, companies need to understand their consumption views and understand what kind of home improvement they will pay for.

In the field of smart lock retail, more than 80% of consumption is mainly from consumers after 80s and 90s. It can be seen that 80 and 90 have become the main consumers of the smart lock industry.

Hotspot 6: The market continues to heat up, and B is still the main sales force.

From the perspective of market distribution, due to the centralized procurement of the B-end market and the large transaction volume, the smart lock B-end market is still the main growth driver in 2016, and the hotel and real estate projects are still the major customers of smart locks. In addition, the B-end market has also driven the sale of smart locks in apartments due to the popularity of long-term rental apartments. According to statistics, the smart lock B-end market still accounts for more than 90% of the total sales of the smart lock industry; the C-end market share is only about 10%.

With the arrival of the new marriage wave after 80 and 90, the new development of the smart lock industry in 2017 will be in the C market and the retail market.

Hot Seven: Smart Lock Internet Brands Surge

During the National "Two Sessions" in 2015, Premier Li Keqiang first proposed the "Internet +" action plan in the government work report, which subsequently caused heated discussions. With the deepening of the "Internet +" action plan, many smart lock industries are also playing the "Internet +" idea.

Today, smart lock brands such as Staring, Guojia, Deschman, and Walnut have become the fastest growing companies in the retail market. Therefore, if the smart lock enterprise wants to win the future market and consumers, the Internet thinking is indispensable.

Hotspot 8: The central government is demanding to open a closed community, and the industry is welcoming new business opportunities.

Several Opinions of the Central Committee of the Communist Party of China and the State Council on Further Strengthening the Management of Urban Planning and Construction (hereinafter referred to as "Opinions") were recently issued. The "Opinions" proposes that the new residential buildings in China should promote the block system, and in principle no closed residential quarters will be built. The completed residential quarters and unit complexes should be gradually opened to realize the internalization of internal roads, solve the problem of transportation road network layout, and promote land use and utilization.

With the gradual opening of closed communities, people's demand for security and home security will be expected to further improve, and will also bring new business opportunities for the development of smart lock industry.

Hot spot nine: long and short rent apartment will become a smart lock new blue sea

Over the years, “Northern drift” and “Southern drift” have been the two key terms for China's population mobility, and it has also been one of the problems that have plagued China's “big city disease”. With the advancement of urbanization and the further widening of the economic development gap between the east and the west, the phenomenon of “north drift” and “southern drift” is still one of the problems that have long plagued China’s economic development in the future.

With the intensification of the phenomenon of “Northern drifting” and “Southern drifting”, long-term and short-rental apartments are increasingly favored by “Northern drifting” and “Southern drifting” in the north and the north. Therefore, the apartment smart lock will become the next blue ocean in the smart lock industry. Are you ready?

Hotspot 10: Costs rise, the overall price increase of the industry is a foregone conclusion

Due to the rising supply chain and transportation costs of steel, copper, aluminum profiles, etc., since November 2016, major hardware manufacturers have issued notices on price increases, such as snow flakes to major channels and dealers. Many hardware companies that have not yet increased their prices have indicated that they can only try their best to ensure that prices are not raised before the end of the year. In 2017, the overall price increase of the entire hardware industry is basically a foregone conclusion.

In addition, human resource costs have also gradually increased in recent years. Therefore, if 2017 smart lock can further control and reduce costs, maintain the original price or slightly increase the price, improve product cost performance will gain a greater competitive advantage.

Prospects: Smart lock installation and after-sales service

Due to the rapid growth of the smart home field with smart locks, the installation of masters and after-sales service will be the bottleneck of various manufacturers. The professional service platform based on Lock Tradelink APP solves the industry bottlenecks and pain points of difficult installation and after-sales service, and helps manufacturers, merchants, especially online sales to play a vital role. The lock trade platform is online. Only half a year has achieved good results in the industry, and 2017 will show explosive growth.

Conclusion: In 2017, it is a year full of challenges and opportunities for smart lock companies. The smart lock market capacity is expected to exceed 10 billion yuan this year. How can you miss this blue ocean?