Retail giant Miniso enters the toy market
Low-budget retail store Miniso joins the global toy market with the launch of its TOP TOY store in Guangzhou.
The TOP TOY by Miniso is positioned as a collection store for trendy toys, targeting groups of young consumers aged 10 to 40 years old. Its products range from blind boxes, trendy toys and Japanese manga figures, to dolls, assembled toys and building blocks, and more. The toys are priced from 39 yuan to tens of thousands of yuan.
Miniso CEO Guofu Ye said creativity and experience are new trends in the retail market. He said the company hopes to explore the future and the imagination through innovation and creativity, and incubate more new retail brands like TOP TOY.
Toys have become one of the most popular categories in Miniso’s Chinese and overseas markets, according to Vincent Huang, vice president of Miniso’s international affairs department.
âEuropeans have recently developed a particular fondness for toys, especially plush toys,â Huang said. âPlush dolls have been in the # 1 best-selling category, especially those we make in conjunction with well-known brands. In China, toys are also the most popular products, with 30% more toys sold compared to last year, accounting for 3.6% of total sales.
On December 18, Miniso released its financial report for the third quarter of 2020, which is the first financial report after listing on the New York Stock Exchange.
As of September 30, 2020, Miniso’s third-quarter revenue was 2.07 billion yuan, up 33.4% quarter-on-quarter. The company also achieved gross profit of 522.4 million yuan, an increase of 37.7% over the previous quarter; adjusted net profit was 102.1 million yuan ($ 15.59 million), an increase of 140.8% from the previous quarter.
Contrary to the conservative strategy of many global consumer brands, Miniso has further promoted global expansion amid uncertainties during the pandemic. In the second half of 2020, Miniso opened new stores in Canada, United States, Nigeria, India, Colombia, France, Cambodia, Saudi Arabia, Iceland and other countries.
Since listing on the NYSE in mid-October, Miniso has opened more than 100 stores in key markets such as Europe, China and other parts of Asia.
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In terms of sales channels, Miniso further developed its e-commerce channels through official widgets and third-party e-commerce platforms, complementing the advantages of physical stores. In the third quarter, Miniso’s e-commerce channel revenue represented 5% of its total revenue, which is a significant increase from less than 2% in the same period in 2019.
During the national Double 11 shopping festival in China, Miniso’s online sales soared 352% as the number of active online shoppers grew 45% year-over-year. In Indonesia, the largest international market where Miniso has established its e-commerce channel, online sales are up 71% from last year.