China Gift Industry Market Foresight and Investment Forecast Report
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Content Summary
Even though the gift industry with an optimistic prospect, there are many existing problems as well. Firstly, the industry lack of the guidance of policy and standard. Secondly, low barrier to enter the industry that most industry corporations are in small scale and are trading companies. The current competition is still in the price competition stage which usually with low quality. With the increasing market demand and capital entry, the industry reconstruction will speed up that the industry may turn from the price competition towards service and brand competition, and customization will develop rapidly. Yealotus Gifts, Bazaar and other gift corporations show a sound beginning and may become the leading corporations in the industry!
China is a traditional country of courtesy that courtesy plays an important role from ancient time till now. Correspondingly, gifts become inevitable parts in people’s daily life and routine work in China. Promoting by official holiday system in China, the gift industry shows a booming trend that birthday gifts, commercial gifts, festival gifts and promotion gifts are emerging. Besides, due to the relatively low labor cost in China, China’s gift industry also in charges of global gift production. According to statistics, 70-80% gifts in major gift consumption countries in the world are made in China.
Stimulating by market demand, the gift industry develops fast. By the end of 2009, the annual sales revenue of China’s gift market was RMB 890 billion (not including H.K. Macao, and Taiwan), among which that of the promotion gifts was about RMB 400 billion. In current China, there are about 10,000 gift manufacturers and 100,000 gift corporations. Products which produced and sell annually are of ten thousand kinds, and if take the varied collection or relevant products into consideration, the gift category exceeds 100,000. Benefiting from the implementation of domestic demand policy, adjustment of economic structure, and important events like Expo and the Asian Games, China’s gift market obtains a significant advantage that the annual growth rate of industry sales revenue is 20% or above. It is in sharp contrast to the recessed global gift market.
For the enormous market demand and sound development of the gift industry, venture capital has targeted at the gift industry. Bazaar Gift got the angel investment from Opener Huijin Company in 2009. And Giiv, the mobile gift corporation announced that the first round financing which was USD 3.35 million has been completed in June, 2010. In the same time, Yealotus Gifts were preparing to list in NASDAQ. Some venture investors choose to corporate with gift industry giants selectively. The venture investment tries to become the industry oligarch by capital strength and to change scatted industry structure. The entry of capital is bound to break the long-term balance of gift industry and bring a new market competition.
Even though the gift industry with an optimistic prospect, there are many existing problems as well. Firstly, the industry lack of the guidance of policy and standard. Secondly, low barrier to enter the industry that most industry corporations are in small scale and are trading companies. The current competition is still in the price competition stage which usually with low quality. With the increasing market demand and capital entry, the industry reconstruction will speed up that the industry may turn from the price competition towards service and brand competition, and customization will develop rapidly. Yealotus Gifts, Bazaar and other gift corporations show a sound beginning and may become the leading corporations in the industry!
Here, we’d like to express our sincere gratitude to National Statistics Bureau of China, International Information Institute, General Administration of Customs, National Institute of the Ministry of Commerce, National Tsing Hua University Library, Institute of Market Economy of the State Council Development Research Center, and Beijing Qinghua Forward Market Research Center, etc. Thank you so much!
Notice: all the market data, especially the corporation list data in this report is only for business reference. Please don’t take the data for enterprise publicity. Thank you! Or Forward shall not take any responsibility for any consequences!
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