This week’s research focus: Research on the consumption trend of household appliances during the Spring Festival
With the advent of the Chinese Lunar New Year, “buying new year goods” has become a hot topic of public concern. As one of the more important consumption festivals at the end of the year, “new year goods Festival” and other promotion activities also contain changes in residents’ consumption habits and preferences. This paper describes the change trend of consumption habits by observing the sales of household appliances related products during the new year goods promotion.
TikTok festival activities special purchases for the Spring Festival special purchases for the Spring Festival are special purchases for the Spring Festival. The time for starting Taobao, Jingdong, the most frequent and vibrant annual products is all in early January, while the main selling time is concentrated on the year before. From the perspective of full reduction policies of major platforms, each platform mainly adopts the combination of cross platform full reduction and store full reduction.
Consumption trend of Spring Festival: the concept of healthy home + lazy economy continues to be popular, and live broadcasting with goods has become an important promotion channel.
From the perspective of sales categories, the concept of healthy life has received further attention. When the younger generation of consumers choose new year products, whether from the perspective of pleasing themselves or filial piety to their elders, cleaning appliances such as floor sweepers Siasun Robot&Automation Co.Ltd(300024) , floor washers, massage appliances and personal care appliances have become more popular choices. The local Chinese new year will stimulate the further development of the lazy house economy. At the end of the year, many migrant workers chose to celebrate the new year on the spot due to the continuous epidemic situation in various places. All kinds of hands-free smart appliances have become the first choice for consumers to use at home or give gifts. On the other hand, home entertainment equipment such as projectors have become an important carrier equipment for home entertainment of many young consumer groups who cannot return home during the Spring Festival, and sales continue to be hot. From the perspective of sales channels, live broadcasting with goods has become an important channel for the promotion of new year goods. Since the live broadcasting industry encountered a series of events such as the closure of the head anchor in 2021, the bargaining power between KOL and the brand has been reshuffled. At the same time, all brand parties pay more attention to the construction of self operated live broadcasting channels. It is expected that live broadcasting with goods will become a more important commercial product sales model for major brand parties in 2022.
Sales of household appliances before the Spring Festival: the traditional categories decreased slightly compared with the same period, and the boom of emerging categories remained the same. The annual sales of traditional categories decreased slightly compared with the same period. On the whole, household appliances are relatively stable, while small household appliances are greatly affected. In terms of categories of small household appliances, rigid demand categories such as electric rice cookers are less affected, while non rigid demand categories such as wall breaking machines are more affected. The popularity of emerging categories remains unchanged, and the prosperity of clean electrical circuits remains the same. Compared with the decline of traditional categories, clean appliances, emerging kitchen appliances, personal care, projection and other tracks maintained a high boom during the annual sales promotion. During the Spring Festival, the turnover of emerging categories of Taobao live broadcast increased gratifying year-on-year. On the one hand, we think it reflects that the racetracks such as floor sweeping Siasun Robot&Automation Co.Ltd(300024) and floor washing machine meet the needs of users to liberate their hands and carry out deep cleaning in an efficient and time-saving manner, which is generally recognized by the market and maintains a high landscape; On the other hand, it also reflects the attention of major brands of emerging categories to the construction of new channels such as live broadcasting and goods.
Trend of household appliance sector this week: this week, CSI 300 index – 4.51%, gem index – 4.14%, SME board index – 4.02%, household appliance sector – 5.73%. In terms of segments, white electricity, black electricity and small household appliances rose or fell by – 5.15%, – 2.97% and – 6.99% respectively. Among the stocks, the top five gainers this week are Guangzhou Shiyuan Electronic Technology Company Limited(002841) , * ST Fenda, Zhejiang Goldensea Hi-Tech Co.Ltd(603311) , Zhenjiang Dongfang Electric Heating Technology Co.Ltd(300217) , Jiangsu Yinhe Electronics Co.Ltd(002519) ; The top five declines this week are Skyworth Group, Bear Electric Appliance Co.Ltd(002959) , Zhejiang Sanhua Intelligent Controls Co.Ltd(002050) , Shenzhen Yitoa Intelligent Control Co.Ltd(300131) , Yimikang Tech.Group.Co.Ltd(300249) .
Price trend of raw materials: on January 28, 2022, the spot settlement prices of SHFE copper and aluminum were 70230 and 22415 yuan / ton respectively; SHFE copper was – 1.39% and aluminum was + 4.72% compared with last week. Since 2022, copper price + 20.96%, aluminum price + 43.55%. On January 21, 2022, the price index of China plastic city was 993.62, up from + 0.28% last week and + 4.09% since 2022. On January 21, 2022, the comprehensive price index of steel was 132.59, which was + 0.34% compared with the price last week and + 6.15% since 2022.
Investment suggestions: continue to recommend and pay attention to the clean electrical circuit, with dual logic of domestic sales growth and global commodities, and core targets [ Beijing Roborock Technology Co.Ltd(688169) ] and [ Ecovacs Robotics Co.Ltd(603486) ]; [ Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) ] is recommended in the integrated stove.
In terms of steady growth, it is recommended to pay attention to the investment opportunities of power grid. The data before the festival has shown signs of improvement in growth rate. Driven by the steady growth policy, the demand is expected to be further repaired, and the cost side is expected to fulfill the improvement logic. The corresponding 22-year valuation is [Gree], [boss], [Midea] and [Haier] from low to high
Risk tip: the expansion of the epidemic situation, the risk of fluctuations in the real estate market, exchange rate and raw material prices, etc.
