On August 29, 2024, the 18th Frost & Sullivan China Growth, Innovation and Leadership Summit & 3rd New Investment Conference (referred to as '2024 Frost & Sullivan New Investment Conference') ESG & New Productivity Summit Forum was grandly held at the Jing'an Ruiji Hotel in Shanghai. With the theme of 'Leading New Productivity and Painting a New ESG Future Together', the forum brought together industry experts, ESG & new productivity enterprises, investment institutions and professional service providers. It focused on new investment and financing opportunities in ESG & new productivity, and jointly explored the successful path in the capital market.
On the sub-forum, Hong Guozhi, founder and CEO of Rentplus, delivered a speech on how the new rental economy promotes the high-quality development of new productive forces. The speech mainly focused on opportunities in the new rental industry, how new rentals drive the development of new productive forces, and the development trends of the new rental industry.
The following are the key points of Hong Guozhi's speech:
Founded in 2016, Rentee is based on blockchain and big data. It is currently a leading digital new rental platform in China, covering approximately 200 industries including digital products, 3C products, consumer electronics, smart hardware, healthcare, new energy, and more.
New leasing industry opportunities
The new rental economy refers to a sales and marketing method where platforms connect upstream merchants with downstream tenants through online self-operation or third-party matching models. Relying on digital technology, users can obtain the right to use rental properties without collateral through credit. Compared to traditional operations, digital leasing leverages new technologies such as big data and biometrics. By significantly reducing user transaction thresholds, time thresholds, and collateral requirements, it lowers transaction costs for consumers and businesses, thereby promoting the development of the entire industry. The new rental economy has shown explosive growth, partly due to consumption upgrades such as young people choosing trendy consumption, and partly because new products have been introduced on the production side, reducing consumer purchase thresholds.
The new consumption norm of ' replacing ownership' is the trend of future generations. Faster consumption iterations, novelty-seeking, low-carbon, and environmentally friendly usage concepts are in line with the trend. Paying only for the right to use rather than the residual value or depreciation will gain more recognition and choice from post-90s and post-00s consumers. Therefore, the company firmly believes in the explosive opportunities for the next decade under the new rental economy track. Looking at segmented markets, enterprise IT equipment solutions will exceed 60 billion yuan in 2023. New leasing has a market value of over three trillion yuan in typical scenarios such as new energy vehicles and consumer electronics. Moreover, short-term scenarios such as outdoor tourism equipment, home appliances and furniture, performance and exhibition venues, as well as service-intensive industries, have become new growth highlights, driving continuous industry growth.
New leases drive the development of new quality productivity
The new leasing model has promoted the development of new productive forces. Firstly, the new leasing model has lowered the consumption threshold, especially in the field of high-tech products. By leasing, brands can quickly reach out to users and help manufacturers expand their market platforms.
Secondly, the new leasing model helps brands achieve rapid feedback and iteration. Brands can use the leasing model for product promotion, obtain user feedback in real time, understand the actual performance of products and market demand, facilitate product improvement and technological innovation, thereby accelerating the R&D cycle;
In addition, brand owners can obtain stable and predictable income through continuous rent payments, which helps enterprises with long-term financial planning and stabilizing their capital chain;
Finally, the new leasing model helps brands quickly build user trust and establish a good brand image. New products face difficulties in gaining market trust during the promotion and market introduction phase, but by allowing users to experience the products through leasing, brands can quickly build user trust. On the other hand, leasing also reduces waste of social resources and environmental impact, and is more conducive to enhancing brand image.
Future development trends of the new leasing economy
Firstly, the application scenarios are gradually expanding, covering a wide range of fields from traditional industries to emerging markets. More and more new brand owners are joining in or using this model for marketing. In the future, rental platforms will not only be limited to their role as transaction intermediaries but are likely to become an important force driving cross-industry integration and innovation.
Secondly, as data assets accumulate, the platform's credit system will continue to improve. Relying on massive data accumulation and powerful analysis capabilities, the platform is gradually building a more comprehensive credit risk control system to avoid credit risks and filter out dishonest individuals.
In addition, industry standards are becoming increasingly standardized, including rental prices, service quality, residual value recovery, product maintenance, recycling processes, and user credit assessment. This promotes the healthy and orderly development of the industry.
