Key investment points
The industry is booming and optimistic about the rise of volume and price in the medium and long term
From 2016 to 2021, the annual compound growth rate of retail sales in the integrated stove industry reached 33%, of which the retail sales in 2021 reached 25.6 billion yuan (year-on-year + 41%), maintaining a high boom.
Volume increase: compared with traditional range hoods, integrated stoves have the core advantages of good fume absorption effect and space saving. The penetration rate of integrated stoves is only 12% in 2021. We believe that the penetration rate of integrated stoves is expected to continue to increase with the support of strong product strength.
The demand side will be driven by the supply side. On the supply side, the continuous upgrading of integrated stoves and integrated categories will promote the increase of average price; On the demand side, there is a significant trend of consumption upgrading. The proportion of retail sales of multi-functional integrated models of integrated steaming and baking models and independent steaming and baking integrated stoves has increased, and there are opportunities for structural improvement in the average price.
In the context of consumption upgrading, those with strong product upgrading ability will stand out
Under the trend of consumption upgrading, the market share of multi-functional integrated models, integrated stoves with integrated steaming and baking models and integrated stoves with independent steaming and baking models has increased. Looking ahead, we believe that enterprises with strong product upgrading ability can stand out from the competition Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) R & D expense rate is higher than that of peers. Based on the patent of lower fan, it creates a precedent for independent steaming and baking in the industry, and successively creates online explosion steaming and baking integrated stoves and independent steaming and baking integrated stoves. Compared with peers, due to product upgrading, the average sales price of Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) integrated stove increased faster.
Online feedback and offline expansion to first and second tier cities are the focus of competition in the next stage of the channel
Low brand awareness of integrated stoves is the bottleneck of development. Enterprises promote online sales ranking by encouraging dealers to purchase online, forming word-of-mouth fermentation, so as to drain offline stores. At this stage, integrated stove enterprises are expanding from third and fourth tier cities to first and second tier cities. Enterprises support channel development by recruiting large merchants, strengthening marketing and improving product layout Marssenger Kitchenware Co.Ltd(300894) online and offline back feeding mode is mature, the average sales of dealers have increased rapidly, and the layout of dealers' stores in the first and second tier cities is leading.
Catalyst
Integrated stoves are dominated by new demand. Under the main tone of "stable growth", the marginal real estate policy is relaxed, and the demand for integrated stoves is expected to benefit and boost.
Investment advice
The double rise of volume and price promotes the prosperity of the industry. Product upgrading and channel expansion are the focus of the future growth of integrated stove enterprises. It is suggested to pay attention to Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) , which has outstanding R & D ability and is good at creating popular products; Pay attention to Marssenger Kitchenware Co.Ltd(300894) , a mature online sales rebate model that promotes the rapid growth of dealers and the leading layout of first and second tier cities.
Risk tips
Property fluctuations; The price of raw materials has increased significantly; Intensified market competition, etc.
