Online company explores toy rental
Buying toys and books for children could be a costly investment for parents, and their interest for a single toy or book doesn’t normally last long. Now, some Chinese companies are exploring the niche market of renting toys and books for children.
Although toy rental is nothing new in the U.S., it’s still rather new to China. With the rapid development of E-commerce, the industry is also taking advantage of the trend.
Liketoy.com is an online toy rental business based in Shanghai. It has over 10,000 registered users, including over 6,000 paying members. Its average number of daily orders is over 500. It provides service to over 5,000 families in Shanghai.
O2O store taps book rental market
Apart from toy rental, book rental is also a hotly explored segment of the market. Senior John Picture Book Store is a book rental business that operates both online and offline. It also provides guidance on parent-child reading and other value added services, with over 200 franchise outlets across China.
It also provides child psychological counseling service to guide the parents on how to communicate with children. The company is extending its business to other parts of this industrial chain, such as publishing picture books, developing franchise products, and designing picture book programs.
Opportunities abound for industry
Since China started to ease the one-child policy in 2013, its population of new-born babies has been growing rapidly, and this trend is expected to continue in the future. This brings both impetus and challenges to the industry.
Industry insiders believe the rapidly growing child population will help attract more capital into the industry and the competition will be fiercer. At the same time, industry players are expected to boost their competitiveness through consolidation and integrating online and offline resources.