Industry Overview - The water purifier industry is showing strong growth, with retail sales expected to reach 24 billion yuan in 2024, a year-on-year increase of 17.2% [1] - The penetration rate of water purifiers in China remains significantly lower compared to mature markets, with first-tier cities at 40% and third and fourth-tier cities below 15%, indicating a structural gap that necessitates a shift from policy-driven to innovation-driven growth [1] Company Performance - Angel, a leading company in the water appliance market, reported a 28% year-on-year increase in offline sales in Q1 2025, driven by high R&D investment and scenario-based innovation [1][3] - The company has successfully transitioned from a single product supplier to a comprehensive water ecosystem solution provider, adapting to changing consumer demands and channel dynamics [3][5] Strategic Initiatives - Angel's new flagship store in Shanghai represents a strategic shift towards immersive consumer experiences, allowing customers to engage with advanced water purification technologies in real-life scenarios [3][5] - The company's strategy includes embedding sales touchpoints earlier in the consumer decision-making process, enhancing conversion rates and restructuring the average selling price (ASP) model [5] Technological Advancements - Angel has established a multi-layered technological barrier through continuous innovation, having introduced several generations of water purification technology over the past decade [7][8] - The company holds over 1,000 patents and has been involved in the formulation of more than 20 national and industry standards, creating a competitive advantage in the market [8] Market Expansion - Angel's products are now exported to 65 countries, and the company has received certifications from eight global authoritative organizations, marking a significant step in transforming Chinese manufacturing from scale output to standard output [9] - The company is actively expanding its offline presence, with 233 new stores opened across 28 provinces and 143 cities in the first four months of 2025 [10][13] Consumer Trends - The shift in consumer behavior, particularly among Generation Z, has led to a significant increase in the inclusion of water purifiers in home renovation budgets, with 92% of users considering them essential [3][10] - The market share of professional brands in the water purification sector is projected to rise from 45% to 60% in the next three years, indicating a trend towards companies with technological expertise and consumer insights leading the industry [13]

Core Viewpoint - The introduction of the old-for-new national subsidy policy in 2024 is expected to stimulate a rebound in domestic home appliance consumption, particularly in the water purifier market, which is projected to experience significant growth due to increasing health and diverse consumer demands [1][3]. Market Overview - The water purifier market in China has shown a volatile yet overall high growth trend, with retail sales expected to reach 240 billion yuan in 2024, marking a year-on-year growth of 17.2% [2][3]. - In 2022, the retail sales of water purifiers were 185 billion yuan, a decline of 18.7% year-on-year, but the market rebounded in 2023 and 2024 with growth rates of 11% and 17.2%, respectively [2]. Consumer Demand and Market Penetration - The penetration rate of water purifiers in China is significantly lower than in developed countries, with only 23% compared to over 80% in the US, Europe, Japan, and South Korea [3]. - The demand for water purifiers is driven by a shift in consumer preferences towards health and safety, alongside technological advancements in product features [2][3]. Competitive Landscape - The water purifier market is becoming increasingly competitive, with leading brands like Angel and Qinyuan leveraging technology upgrades and B-end services to gain market share [3][4]. - Traditional home appliance manufacturers such as Haier and Midea are also entering the water purifier market, utilizing their existing advantages [3]. Commercial Water Purification Demand - There is a growing demand for commercial water purification solutions, particularly in the restaurant and public office sectors, which presents new growth opportunities for the industry [5][6]. - The commercial water purification market is evolving from hardware sales to a service-oriented model, integrating real-time monitoring and data analytics to enhance customer relationships [7]. Future Trends - The market is expected to focus on personalized drinking water needs, with a trend towards high-end, intelligent water purifiers [4]. - The shift towards a service model in the B-end market is anticipated to enhance user satisfaction and drive digital transformation in the office ecosystem [7].

Industry Overview - The commercial water purifier industry in China is experiencing rapid growth driven by policy incentives and rising consumer demand, with the market expected to exceed 21.4 billion yuan by 2027 and a compound annual growth rate (CAGR) of 15.7% from 2023 to 2027 [1] - The market potential is significant, with new machine sales projected to reach 19.79 billion yuan and after-sales service market estimated at 1.61 billion yuan [1] Company Developments - Angel, a domestic professional water purification brand, has launched two new commercial water purification product series: Zhi Ji and Zhi Rui, targeting different market segments [1] - The Zhi Ji A1000 series is priced between 26,800 to 29,800 yuan for high-end commercial scenarios, while the Zhi Rui A100 series offers a combination of a 6,999 yuan direct drinking machine and a 3,999 yuan pipeline machine for small and medium-sized businesses [1] - Angel's Chairman and President, Kong Na, emphasized the focus on public offices, catering, and industrial medical sectors, with plans to increase R&D investment to drive industry development through technological innovation [1] Product Features - The Zhi Ji A1000 series is designed for high-density water usage, featuring a 1000G ultra-large flow design to meet the instantaneous water demand for large groups [2] - It incorporates a full-link 3.0 sanitation sterilization system to ensure water quality meets direct drinking standards and integrates the Anqi Smart SaaS management platform for enhanced operational efficiency [2] - The product also utilizes self-developed ultra-quiet balance pump technology to address common issues such as high noise levels and short pump lifespan in traditional commercial equipment [2] Market Comparison - China's commercial water purifier penetration rate is only 23%, significantly lower than developed countries, indicating a substantial growth opportunity in the market [5] - Despite bottled water and boiled water dominating the commercial drinking water sector, the market share of water purifiers is gradually increasing [5] - The forecast suggests that by 2027, while bottled water and boiled water will still lead the market, the share of water purifiers will continue to rise, highlighting the potential for future growth [5]