Jumei gross sales soar
In this article (5)
Jumei Worldwide, the Chinese language on-line retailer of magnificence merchandise, has revealed a 61.eight per cent improve in first quarter gross sales to US$250.6 million.
Gross merchandise quantity lept 20.three per cent because of a 14.three per cent improve within the variety of lively clients to five.6 million, and an 18.four per cent improve in complete orders.
Gross revenue was US$78.7 million, a rise of 15.2 per cent from the primary quarter of 2014. However expressed as a proportion of gross sales it decreased from 44.1 per cent to 31.four per cent, largely because of the firm’s shift in technique from pure play magnificence market to a broader merchandise supply.
Founder and CEO Leo Chen stated the expansion price was stronger than anticipated for the primary quarter.
“We efficiently accomplished our transition for magnificence merchandise from market gross sales to merchandise gross sales on the finish of 2014, and our new enterprise initiative – Jumei International, took off early this yr and skilled excessive progress when it comes to gross sales quantity. Jumei is at present one of many main gamers in cross-border eCommerce in China.
“We expanded into cross-border child and maternity class in mid-April, 2015 and shortly achieved market main place on this new class in China. Our goal for 2015 is concentrated on prime line progress and enlargement into different cross-border classes as we glance to broaden our buyer base and considerably develop our order numbers. We’re assured that we will obtain our quarterly and yearly gross sales goal for 2015,” he concluded.
For the second quarter of 2015, the corporate tasks complete internet revenues to be between US$270.1 million and US$277.eight million, representing a year-over-year progress fee of between 75 per cent and 80 per cent.
Questions & Answers
Q.Why did Jumei's gross profit decrease as a proportion of sales, despite increased gross sales?
Why did Jumei's gross profit decrease as a proportion of sales, despite increased gross sales?
The decrease in gross profit as a proportion of sales, from 44.1% to 31.4%, was mainly due to the company's strategic shift. Jumei moved from a pure play beauty market to offering a broader range of merchandise.
Q.What new business initiatives has Jumei launched recently?
What new business initiatives has Jumei launched recently?
Jumei launched its new business initiative, Jumei International, early this year, which experienced high growth in sales volume. It also expanded into the cross-border baby and maternity category in mid-April 2015.
Q.What is Jumei's main focus for the remainder of 2015?
What is Jumei's main focus for the remainder of 2015?
Jumei's target for 2015 is focused on top line growth and expanding into other cross-border categories. The aim is to broaden the customer base and significantly grow order numbers.
Q.What are Jumei's projected net revenues for the second quarter of 2015?
What are Jumei's projected net revenues for the second quarter of 2015?
For the second quarter of 2015, Jumei projects total net revenues to be between US$270.1 million and US$277.8 million. This represents a year-over-year growth rate of between 75 per cent and 80 per cent.
Reader pulse
Is Jumei's broad category expansion a smart move?
Be the first to vote