Increased demand for EZZ’s hero products at China’s 618 shopping event
EZZ Life Science expects sales revenue through the 618 e-commerce festival will pass $650,000.
While China overcomes another period of COVID-19 related lockdowns and restrictions, its second largest annual e-commerce shopping event experienced more than 10% higher demand than last year’s event – with that demand flowing through to EZZ’s hero products.
This year’s 618 shopping festival gave retailers a chance to recoup some of the sales lost to COVID-19.
China’s e-commerce platforms recorded RMB695.9 billion (A$149.7 billion) in sales during the 2022 618 event, which spans from 1 to 18 June annually.
The 618 shopping event originated in China back in 2004 to mark Chinese e-commerce company JD.com’s founding anniversary. Commonly labelled as China’s version of Amazon, JD.com is one of China’s leading e-commerce retailers, along with Alibaba’s Tmall and Pinduoduo.
Chinese shoppers purchased RMB379.3 billion (A$56.48 billion) of goods on JD’s platform over the duration of the shopping festival this year.
This exceeded last year’s figure by more than 10%.
EZZ hero products shows promise
Australian-based EZZ Life Science (ASX: EZZ) reported its sales revenue through the 618 e-commerce festival would pass $650,000.
Although EZZ recently launched an e-commerce store on Douyin, which transacted around $28 billion in gross merchandise value in 2020, the genomic life sciences company reaped significant financial benefits through Tmall Global and AUBay.
Together, Tmall Global and AUBay account for 45% of EZZ’s annual total sales revenue as a brand.
During May and the 618 pre-sale period, EZZ’s sales revenue on Tmall Global reached RMB1.8 million (A$390,000), with it expected to pass RMB3 million (A$650,000) through June.
The company hinted one of its hero products, its bone growth capsules, could be the reason for the surge in sales.
The EZZ bone growth capsule is a children’s supplementary product that supports healthy growth and development, as well as aiding in bone and muscle growth.
EZZ’s hero product generated $250,000 in sales through the month of April, $350,000 in May and is expected to pass $400,000 in sales by the end of June, making up for over 60% of the total sales on Tmall Global for the month.
The bone growth capsule was the first of its kind in the category of children’s nutritional supplements on Tmall Global for sales, reviews and re-purchase.