Housing miniaturization and AI PC are in power! Why is "WanDau" targeting the 2B market the savior of Tsann Kuen?

Tsann Kuen, Taiwan's leader in the 3C home appliance distributor, has revenue of approximately 14.37 billion yuan in the first three quarters of 2024, a year-on-year decrease of 5.82%. However, looking forward to 2025, Tsann Kuen and related industry insiders are quite optimistic about the market situation. The reason is due to two popular keywords: the continued fermentation of AI PC and the trend of housing miniaturization.

Tsann Kuen invited top industry executives on January 2, including LG Electronics Chairman Zheng Yuankuan, Taiwan Panasonic's home appliance sales department general manager Zhang Tianlai, Acer's chief operating officer Zhang Shixin, and ASUS's joint technology system business general manager Liao Yixiang shared industry trends and observations, hoping to bring new sales opportunities to the distribution market this year.

Customers with an area of ​​less than 82 square meters account for 30%, and small home appliances will drive performance growth

Spreading out Tsann Kuen's financial report, its information and communications and household appliances products accounted for approximately 58:42. Both of its two major sales axes have caught up with this trend. In terms of household appliances, Li Rongsen, the purchasing director of Tsann Kuen 2C household appliances division, mentioned that in order to seize the next growth momentum, on the one hand, in addition to continuing to promote the sales of AI and energy-saving and electricity-saving related household appliances, there will be more and more Pay attention to small household appliances.

He observed that in recent years, the proportion of customers living below 82 square meters has increased from more than a dozen percent in the past to nearly 30% now. This data also echoes the recent trend of housing miniaturization in Taiwan. According to data from the Ministry of the Interior, the average transferred area for building sales across Taiwan was 98 square meters, falling below 100 square meters for the first time, highlighting the phenomenon of smaller houses.

In response to the trend of housing miniaturization, the industry estimates that more personalized and more refined products will appear, such as the launch of more washing, drying and drying functions, or higher-end heat pump drum washing machines; refrigerators may have been mainly sold in the past with a capacity of 400 liters or more, and now the trend is gradually towards 300 to 400 liters. These small household appliances will drive 3 to 5% performance growth.

The "WanDau" service is aimed at builders and designers, allowing construction projects to be sold with Tsann Kuen products.

Tsann Kuen has also continued to promote B2B2C services in recent years: WanDau. WanDau is a concept conceived by Chairman Lin Jidian in 2022. It has changed the B2C model in the past where distributors directly sold home appliances and other products to customers. "WanDau" is geared towards the B2B market and cooperates with builders, consignments and designers, so that Tsann Kuen's 3C products can be used with construction projects when they are sold.

Such services can make up for the builder's lack of software and hardware services when handing over a house, and can also provide a certain amount of money to attract consumers to Tsann Kuen to purchase home appliances for their new homes, forming a B2B2C business model. This service has also benefited from the trend of more housing miniaturization. Lin Jidian once told the media that the central bank's house purchase policy has allowed builders to increase their publicity and launch activities such as giving away home appliances, which has led to an improvement in WanDau's performance; by 2024 The third quarter performance has exceeded 150 million yuan in 2023, and this year is also expected to be one of Tsann Kuen's main growth drivers.

The AI ​​PC market boom will continue, and Tsann Kuen will expand sales of trend-oriented products.

In terms of information and communications, Li Jingwei, Chief Marketing Officer of Tsann Kuen's Marketing Strategy Department, said that even if we face various challenges such as tariff increases and changing trends in international trade agreements in 2025, we will also encounter tools and products that improve work efficiency such as AI PCs and AI mobile phones. They have been put into the market one after another to drive sales of information and communication products and bring growth opportunities to related industries.

Li Rongsen said that Tsann Kuen will comprehensively expand the sales of trend products in 2025, including popular AI application products such as AI PCs and AI laptops. Acer Chief Operating Officer Zhang Shixin used his own sales profile to observe the next market trend. He said that in 2024, Asus has launched more than 20 AI PC products, driving positive growth in Q3 and double-digit growth in Q4; in 2025, it will increase AI PC items by multiples, but due to too many unpredictable things, The most important thing is to continue to observe and dynamically adjust strategies.

NVIDIA Taiwan Business Associate Zhu Yiwei predicts that more AI applications will be launched in 2025, making AI PC applications more widespread. In addition, he is also optimistic about the development of related hardware in the e-sports industry, such as in the second half of 2024. The release of the Chinese game masterpiece "Black Myth: Wukong" triggered a wave of phone replacements, indirectly benefiting related distribution and industries.

Looking at industry development, participants were optimistic about the market situation in 2025, including benefiting from AI PCs, energy-saving home appliances and the trend of housing miniaturization, which are expected to drive the overall 3C industry and distribution performance.