Good News on Listing | Frost & Sullivan Assists Powerful Powder Holdings Limited to Successfully List in Hong Kong (2685.HK)

Frost & Sullivan has always been a leader in helping companies go public in Hong Kong. According to LiveReport's big data (statistical data as of September 30, 2025), from January to September 2025, as well as during the past 12 and 36 months, Frost & Sullivan provided listing industry advisory services for 47 (market share of 72%), 62 (market share of 69%) and 162 (market share of 70%) Hong Kong IPOs respectively, ranking first in terms of number, with rich industry experience and communication experience with regulatory agencies, exchanges, investment and financing institutions and various relevant institutions.

• The company is an operator of online markets in China, covering various retail products.

   

• The company has a good track record in helping market suppliers effectively match target end customers.

   

• The company's management team includes pioneers who promoted the development of intelligent integrated matching service product portfolios, effectively improving customer participation and satisfaction.

   

• The company can analyze customer preferences and data in real time through its independently developed AI algorithms.

   

• The company has long accumulated experience and technical expertise.

Online consumer stores refer to online platforms that provide matching services for goods and end consumers in consumer-related industries, including e-commerce and online-to-offline product purchases. The upstream participants in the value chain of the online store market in the consumer field mainly include IT service providers, payment service providers, supply chain management service providers, logistics service providers and others. Online consumer stores are in the midstream of the industry and can be mainly divided into consumer e-commerce platforms and consumer retail O2O platforms. Consumer e-commerce platforms refer to online stores that provide commodity transactions for consumers, with core functions including product display, online payment, order processing and logistics distribution. Consumer retail O2O platforms refer to online stores that combine online channels with offline store visits, converting online traffic into offline commodity purchases. The former focuses on online transactions, while the latter combines online participation and offline experience. The downstream participants in this industry mainly include merchants and consumers.

Source: Frost & Sullivan report

In terms of total transaction volume, the market scale of online consumer stores in China increased from RMB 13.9 trillion in 2020 to RMB 25.7 trillion in 2024, with a compound annual growth rate of 16.5% during this period. This rapid growth is mainly due to the development of innovative technologies such as big data, cloud computing and artificial intelligence, the increasing diversification of consumer demand, and favorable policy environments. During the forecast period, driven by the in-depth application of emerging technologies in the industry, it is expected that the market scale of online consumer stores in China will further increase from RMB 29.1 trillion in 2025 to RMB 41.2 trillion in 2029, with a compound annual growth rate of 9.1%. In 2024, the market share of online stores in China's consumer field in the overall retail market reached 36.9%, and it is expected that this share will further increase during the forecast period.

Source: Frost & Sullivan report

●Further Deepening of AI Technology Applications

The online consumer market in China is undergoing an intelligent transformation, with AI technology deeply integrated into business operations. Big data recommendation systems have significantly improved the accuracy of product matching, thereby increasing conversion rates. In terms of customer retention, predictive AI marketing can actively identify risky users and implement personalized retention strategies, significantly improving user stickiness. This evolution reflects the market's shift from traffic competition to a strategy focusing on retention.

●Accelerating Expansion into Lower-tier Cities

With the continuous improvement of infrastructure in lower-tier cities in China and the continuous evolution of consumption habits in the online store market in the consumer field, these emerging markets show strong growth potential. Online stores are adjusting their strategies, optimizing supply chains and implementing localized operations to better serve these regions. For example, compared with first-tier markets, lower-tier cities show different consumption characteristics, paying more attention to cost-effectiveness, responding more to social-driven marketing and recommendations made by influential people. At the same time, the demand for high-quality products and services is constantly growing, reflecting the upgrading of consumption in these regions. Major e-commerce platforms have adopted differentiated operating methods to meet the diverse needs of consumers at different urban levels.

The competitive landscape of the online store market in China shows a highly concentrated feature. Leading online store markets benefit from strong brand equity, stable user groups and mature ecosystems. These leading platforms have significant advantages in technology, logistics, merchant network, etc. The fierce competition among top platforms drives continuous innovation, and economies of scale further consolidate their market position.

Source: Public materials of listed companies, Frost & Sullivan report