On 1 april, sunfung holdings inc. (hereinafter referred to as “sunfung”) conducted a televised 2020 performance presentation, responding to a number of recent hotspot developments involving new layouts such as hufu nests, hufu nets and a positive response to price wars。
About the power company: double-branding, winning more shares
In the 2020 financial year, the growth of the economy has increased the strength of the surplus, but it also reflects the trend of industries caught in a “price war”. During this performance presentation, economics and price wars were hot spots for discussion. It was indicated that in the future, double branding (favourable+rich net) operations would continue to improve the competitiveness of electrical products。
The sunfung 2020 financial report shows that in 2020, the economic component of the sunfung express operation contributed 40 per cent of the increase to the good overall income, with business volume increasing by 155. 86 per cent and income increasing by 64 per cent。
With regard to the growth of the economy, the analysis by chairman and general manager wang wei indicated that the epidemic had contributed to an increase in the penetration of the grid, that there was a strong demand in the electrician market, and that a major increase in the volume of the economy's contribution to the preferential distribution of products in the adjoining electrician market had led to an increase in the share in the electricity company market. “countries will continue to improve the competitiveness of their products in the future, optimize their timeliness, experience, provide differentiated services and layer their products, operate double brands (favourable+richnets) and continue to gain a greater share in the economy-type telecoms market through differentiated advantages such as brands, services, technology, etc.”
In september 2020, sun-fung launched the economic express brand of "founded net express", using a coalition-based approach to face the challenges of polar rabbits and mass mail. Woodwardine noted that the market-based, customer-oriented and fast-tracked products had obvious service and pricing grids and resource synergies and reuse across business lines。
In 2019, sunfeng introduced preferential tailor-made products to supplement product gaps and increase product value. At the 2019 performance statement, chen fei, then chief strategic officer, stated that he would actively optimize the land transport network through various measures in 2020, and that cost-efficiency gains on the average of preferential packaged tickets would continue to emerge. “hong fong will provide products that are more competitive in terms of prices and have higher value for money.” today, the 2020 financial paper also confirms chen fei's judgement。
At the same time, however, with the growth momentum, the impact of price wars in the express delivery sector continued, with single-vote revenues falling by 18. 99 per cent by 2020。
In response to the continuing downward trend in the prices of individual items, the executive director and deputy managing director, chen fei, noted at this performance presentation that the decline in unit prices for the goods of logistics was due mainly to changes in product structure. In terms of the operational structure, the share of new operations rose from 25. 6 per cent in 2019 to 28. 2 per cent in 2020, with an overall diversification. In terms of package structure, the share of the economy with relatively low unit prices in 2020 has exceeded the time limit。
With regard to price warfare: the fast-track is at a critical stage in expanding market share
In recent years, price wars have not stopped as new entrants have entered. At the same time, the impact of price wars is evident in the favourable financial returns, which showed a downward trend in the gross domestic product (maori) ratio and in the average income from fast-track logistics operations from 2017 to 2020。
In response, wang wei stated that he had for many years insisted on building the capacity of integrated logistics services and on continuing to invest in scientific and technological research and development around the core objective of the data technology services company, which was an independent third-party industry solution。
He also noted that, as seen in the 2020 financial statements, both the express and the new business blocks were at a critical stage in expanding network building and market share and were necessary inputs for building integrated logistics capacity around long-term strategies, which could lead to a slight decline in the māori ratio. “but companies believe that the gains and value added they bring to the company will gradually come to light with the expansion of the scale of their operations, the enhancement of their combined capabilities and the ability to emerge from market competition in the future.” wang wai argues。
In response to a question about the price war in the industry, the chief financial officer and deputy chief executive officer, wu, replied that, in 2020, 8,360 million items, representing an increase of 31. 2 per cent over the same period, were operating in the national express delivery industry, and that, according to the national postal administration's forecast of a 15 per cent increase in the volume of courier operations in 2021, china's express delivery market was expected to continue to grow at a high and medium rate in the future, with a higher level of activity in the express delivery industry。
She also pointed out that the express delivery industry was one of a more large-scale industry and that, as a result, counterparts were pursuing higher market shares in business volumes, with market segmentation accelerating in price competition over the past few years, with two- and three-line express delivery coming out, and with first-line express delivery enterprises in recent years. “there are two paths to market share: better services or better prices; and a commitment to build a diversified product matrix based on better services, greater bottom-drive capacity and better differential services than their peers.” wu jin ting indicated。
The electronics market is the main field of current price battles in the express delivery industry, where sunfung is faced with direct competition from different factions, such as kyoto logistics, the four-tone one-tone, and others, which are endorsed by the power companies platform, such as kyoto, the poacher and others. In response to a question from investors as to how the market for power suppliers was being considered, vice-president sunfung and board secretary gan lin said that it would be better to follow good service and work with the major electrician platforms; at the same time, an increasing number of emerging electric power company platforms were emerging, giving independent third-party firms more business imagination。
With regard to filtration: platform cumulative registered couriers 4. 1 million
At the presentation, the smart delivery cabinet brand was repeatedly mentioned. Although during the first half of last year, a wave of public debate over, among other things, overtime charges, fong nests continue to be an important “frontier” for the distribution solution at the sunfung terminal。
According to chen fei, bio-technologies have now achieved a distribution of 200+ priority cities, 140,000+ communities, 280,000+ cupboards, with a total of 4. 1 million registered couriers and nearly 350 million service consumers。
Asking about the prospects for the future development of the nest, wangway noted that the nest is an independent, open third-party platform, with a business model focused on the last 100 metres at the end of the end, a high-density, 24-hour, low-cost, and efficient end-delivery network based on technology in each city, with a focus on the last 100 metres at the end of the line, and dedicated to providing maximum facilities for end consumers and couriers。
Chen fei also indicated that the technology of a nesting facility, driven by technology, to dig and meet user needs, covered a wide range of end-of-smart products such as express containers, smart microware, safes, cabinets, etc. “a key end-to-end distribution solution is a nested smart cabinet that, on the one hand, meets the individualized demand of customers for delivery and, on the other hand, enhances the efficiency of the last kilometre of delivery, contributing to the accelerated implementation of the last kilometre of no-contact distribution strategy and improving the efficiency of the delivery at the end of the express delivery.”
In relation to the objective: to become a data technology service company
With regard to the uniqueness of sunfung, there has been a consistent view within the industry that sunfung is actually a technology company. In this regard, sunfung's commitment to become an independent third-party industry solution was repeatedly mentioned by wang wai at the performance presentation。
Wang wei began by pointing out that sunfeng insisted on the positioning of independent third parties. In his view, in the light of the trend towards decentralized flow channels, neutral, professional third-party services could more effectively support the full-source operation of clients. Second, it is the future trend to provide customers with end-to-end integrated logistics solutions through product combinations to achieve better benefits for customer supply chains. “the future service customers with a single homogenized product are not competitive.”
There is also a need for technical and technological factors, such as big data, to support the true landing of the overall solution. As wang wei notes, “we have packaged digital technology technologies and systems into products for use by customers, as technology is the strongest in stickyness, and in the future sun-fung will continue to standardize, plug in and modularize them and apply them to the supply chain of more small and medium-sized b businesses to upgrade their technology, thereby contributing to the transfer of logistics downside operations to xiaofung and enhancing the stickyness of logistics services.”
He noted that, in the future, the ability to service the multi-level, multi-species supply chain chain, as well as the ability to integrate and implement smart supply chain technologies, would enable real-time collection, access and sharing of supply chain data across a broader client group and a more complete industrial chain, and would truly facilitate the upgrading of national industries and logistics services。
In addition, in response to the actions of the cari logistics operation of the shunfung 17. 6 billion hong kong dollar holding stock, chen fei indicated that, upon completion of the cooperation with cari logistics, the cui logistics will be used as the main platform for the expansion of overseas markets. It will further refine the capacity of the sumi logistics complex as well as effectively supplement the resources and capabilities of the shun fong in terms of international freight forwarders, customs clearance, etc., and will further strengthen the competitive advantage of sui fong in international cross-border freight transport by combining the resources of its own international cargo shipping with the extensive network of international freight forwarders with cari logistics。
