Dow Jones received a payment from EQS/DGAP to publish this press release.
EQS-News / 25/05/2017 / 21:12 UTC+8
Date: 25 May 2017 Total 2 pages
To: Business/ Investment/ China Page Editor
*Tianyi (Summi) Launches Internet+Internet of Things Business Model
CCTV Chose Tianyi (Summi) As A Subject For Promoting Safe Products*
Hong Kong-listed orange juice producer Tianyi (Summi) Holdings Limited
("Tianyi (Summi)" or the "Company", stock code: 0756) today announced its
plan to launch Summi fresh orange juice smart vending machines in various
cities in China. These smart vending machines apply Internet of Things
("IoT") technology for operation and inventory and restocking management.
Big data can be collected through these smart vending machines and be used
to enhance the Company's market development efficiency and cost
effectiveness of selling activities. Tianyi (Summi) aims to install 20,000
smart vending machines in China in the next three to five years, through
self-operation or cooperation, as the key innovative sales channels for its
fresh orange juice.
Apart from the announcement of the geographical coverage of its smart
vending machines, Tianyi (Summi) today also entered into strategic
cooperative agreements with three independent third parties, namely Siteduo
Cultural Communication Company Limited, Shanxi Fuying Product Trading
Company Limited and Fuwa Maoyi Company Limited. These enterprises have
experience in vending machines operations and/or business connections in
each of their cities of operation. They will be the local partners of Tianyi
(Summi) in Xiamen, Wuhan and Hangzhou respectively, to develop a network of
smart vending machines for the Company.
As of now, Tianyi (Summi) has set up smart vending machines in Beijing,
Shanghai, Qingdao, Hangzhou, Wuhan and a number of cities in Fujian Province
for pilot run. The smart vending machines focus on a single product, and
they are mainly installed in hospitals, which exhibit huge demand for health
drinks and high traffic, as well as schools and appropriate public places.
Sales are targeted at children and women. According to the National Health
and Family Planning Commission, the total number of visits to medical and
health institutions across the country from January to November 2016
amounted to 7.09 billion, representing a 2.3 per cent year-on-year increase;
2.9 billion of which were hospital visits, up by 5.6 per cent year-on-year.
Tianyi (Summi) plans to install approximately several thousand smart vending
machines in 2017. Mr Sin Ke, Chairman of Tianyi (Summi), said that the Group
will gradually expand the network for its smart vending machines, according
to their operations in different cities and consumption pattern of the local
markets, through self-operation or third party cooperation.
Tianyi (Summi)'s smart vending machines are connected with the operations
center via the Internet. According to the operational data of each vending
machine, Tianyi (Summi) can obtain real time sales information of the entire
fleet of vending machines, and achieve highly efficient logistics and
warehousing management based on these data. Tianyi (Summi)'s management can,
via mobile applications, have access to the latest operational data of each
smart vending machine. Consumers can purchase products from the vending
machines and settle through online payment. Not only can the smart vending
machines be connected to the new sales model of the Company's e-commerce
platform via IoT, but they can also enable the Company to analyse big data
by gathering customers' information. Basing on the analysis, the Company can
make effective allocation of sales resources. Smart vending machines are
equipped with digital displays, which can be used to market products and
Summi brand, while promoting healthy eating to the public. These displays
can also be used for advertising other products.
Mr Sin noted: "In the age of Internet+Internet of Things, the Group has to
utilize advanced technology to directly control its sales channels which
have direct contact with consumers. Smart vending machines have the
advantages of large cold storage space and easy operations and maintenance.
They are "around the clock super salespeople". Unlike traditional
distribution and retail network, their operational management is more cost
effective."
Tianyi (Summi) adopts online to offline ("O2O") sales model. At present,
Tianyi (Summi)'s fresh orange juice is available via 1,500 traditional
distribution outlets across the country. The Group recently formed a
strategic alliance with Sun Generation Limited, to jointly establish "Eat
East Shop" to sell its products. In addition, Tianyi (Summi) also sell its
products through its own online sales platform and Summi "Zero Distance",
and other e-commerce platforms including JD.com, Tmall, Yihaodian and
mall.icbc.com.
Mr Sin is of the view that the central government pays high regard to the
safety of food products and strives to create new opportunities for the
development of a healthy business environment for those committed to be a
scrupulous food and beverage company assuming social responsibilities.
In addition, Tianyi (Summi) entered into an agreement with CCTV (China
Central Television) today. Tianyi (Summi) has been chosen as a subject for
one of the episodes in a documentary series produced by CCTV, in search of
safe products and scrupulous companies.
CCTV "OUTLOOK" channel will produce a documentary series entitled "Trace",
which is in line with the State's preparation for expediting the
implementation of a tracing system for important products in order to
tighten management of product quality and requirements for standardization.
This program focuses on tracing the origin and safety of products and
identifies excellent companies, with an aim to create a healthy business
environment and advocate social responsibility. CCTV "OUTLOOK" channel is
available via 31 provincial broadcast television wired networks in China in
over 230 cities, reaching 160 million wired digital television viewers and
more than 480 million population.
*About Tianyi (Summi)*
Tianyi (Summi) is principally engaged in the production and sale of frozen
concentrate orange juice (FCOJ), fresh orange juice and related products
(such as orange pulp and orange fibre), as well as fresh oranges. With its
vertically integrated business model, the Group runs five highly efficient
production plants which are strategically located in China's three major
citrus growing areas, namely Chongqing, Hunan and Fujian. The Group is one
of the few fully-integrated orange juice manufacturers operating its own
upstream orange farms.
Tianyi (Summi) launched fresh orange juice under its Summi brand in early
2015. This product is 100% freshly squeezed orange juice (not from
concentrate), thereby retaining effectively the natural flavour and
nutrition value of orange juice. The product has been sold in major
supermarkets in major cities in China such as Beijing, Shanghai, Guangzhou,
Shenzhen, Chongqing, Chengdu and Nanjing as well as in Hong Kong.
Media Enquiry: CorporateLink Limited:
Shiu Ka Yue Tel: 2801 6239 / 9029 Email:
1865 sky@corporatelink.com.hk
Lau Wai Kong Tel: 2801 6237 / 9181 Email:
0091 kong@corporatelink.com.hk
Landy Lan Tel: 2801 7729 / 5421 Email:
0158 landy@corporatelink.com.hk
Document: http://n.eqs.com/c/fncls.ssp?u=EHUUHNKQRJ [1]
Document title: TIANYI (SUMMI) LAUNCHES INTERNET+INTERNET OF THINGS BUSINESS
MODEL
25/05/2017 Dissemination of a Financial Press Release, transmitted by EQS
Group.
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(END) Dow Jones Newswires
May 25, 2017 09:13 ET (13:13 GMT)
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