The number of users and revenue maintained an annual growth rate of more than 100%
It was learned that “Sheng Yuancheng”, a SaaS vendor dedicated to providing IOT-based after-sales service for equipment companies, received tens of millions of yuan in Series A financing from Saiyi Industrial Capital. This round of financing will be used to accelerate the iteration speed of product research and development, while accelerating market coverage.
“Sheng Yuancheng” provides IOT-based after-sales service SaaS software for equipment companies, which includes IOT software and hardware. Realize the digitization of traditional equipment through IOT technology, and revolutionize the traditional passive after-sales service into active after-sales service. After-sales service elements such as equipment, users, service engineers, and accessories are online to improve equipment Corporate customer satisfaction promotes the transformation and upgrading of equipment companies from traditional project-based business to service-based business.
This can solve the long-standing pain points of extensively operated equipment companies:
Equipment research and development: lack of user feedback; lack of analysis of equipment failure and efficiency;
Equipment sales: long sales cycle; low sales success rate; high sales cost; difficult parts sales;
Equipment information: equipment BOM, drawings, manuals, and knowledge base lack unified management;
Equipment collection: lack of standardized management for equipment installation, commissioning, acceptance, and operation and maintenance; low customer satisfaction;
After-sales management: difficult to manage personnel; difficult to manage efficiency; difficult to manage quality; difficult to control after-sales cost, low customer satisfaction.
The core team of “Sheng Yuancheng” has been deeply involved in the industry for many years, leading foreign companies in the digitalization of manufacturing industries such as Siemens, PTC, Toshiba, HP, etc. Engaged in technology and sales for many years, serving more than 1,000 equipment companies, so they understand the needs of the industry better What kind of digital solution.
Sheng Yuancheng thoughts
“Sheng Yuancheng”‘s idea of industrial digitization is different from other manufacturers.
First, most of the current star projects in the industrial Internet field are digital transformation from the perspective of the factory side. This will bring about a problem. The equipment on the factory side is very complicated, and it is difficult to use standardized digital capabilities to improve the entire factory. Operational efficiency. For different equipment companies, the equipment is relatively standardized, so it is easier to promote and copy from the equipment company’s digital cut.
Second, the idea of ”Sheng Yuancheng” is to integrate IOT technology into the equipment operation and maintenance system, Which is to provide equipment companies with IOT digital capabilities, and at the same time provide SaaS-based after-sales service management software to improve the equipment operation and maintenance efficiency of traditional equipment companies, reduce operation and maintenance costs, and improve customer satisfaction. This is different from the previous companies that only provided IOT capabilities or only cut in from the perspective of after-sales. “Sheng Yuancheng” provides equipment companies with complete equipment digital operation and maintenance capabilities.
Although “Sheng Yuancheng” has cut into a very subdivided and niche track, the market where it is located has a high ceiling. According to data from the Ministry of Industry and Information Technology, the output value of China’s equipment industry exceeds RMB 20 trillion, and the global output value exceeds RMB 60 trillion. CEO Zhang Yancong told that there are currently about 1 million domestic equipment companies. The business model of “Sheng Yuancheng” is that the software adopts a subscription system, and equipment companies purchase IOT software and hardware products on demand, and the market scale is huge.
Not only that, but the market continues to expand. According to Sun Yuxuan, an enterprise-level SaaS investor and founding partner of Saiyi Industry Fund, the service-oriented transformation of the equipment industry is an inevitable trend. One is because IOT technology will improve equipment after-sales service and reduce labor costs, and the other is IOT-based after-sales service software. It will greatly improve the customer satisfaction of equipment companies, thereby gaining more customers, and helping equipment companies improve after-sales experience, which can be reused with high standardization in the industry for a long time.
The SaaS model of after-sales service in the equipment industry has the ability to prepare digital transformation to reduce costs and increase efficiency. The vast majority of equipment manufacturing industries serve China and then the world.
Since the commercialization of “Sheng Yuancheng” at the end of 2019, it has accumulated more than 200 paying users, and the current contract renewal rate is around 75%. The number of users and revenue have maintained an annual growth rate of more than 100%, and the overall gross margin of products and SaaS software gross margins are extremely high.
The goal in the next five years is to make the current products thicker and stronger, and to explore ways to quickly replicate, and serve more than 10,000 equipment companies.