Hisense Aims to Achieve $47 Billion Revenue by 2025
15 June 2021
[London, 20 May 2021]
Kantar and Google recently launched the “2021 Top 50 BrandZ Chinese Global Brand Builders Ranking Report”. In a survey of consumer habits over 860,000 global consumers, Hisense has secured No. 7 on the list and ranked No. 1 in the home appliance industry, maintaining in the Top 10 brands for 5 consecutive years. In “Top 20 Chinese Star Brands in Emerging Markets”, Hisense ranked No. 8 and No. 1 in the home appliance industry.
Although impacted by the pandemic, Hisense continued brand-building investment to grow business overseas. In 2020, Hisense’s overseas revenue was $7.93 billion, accounted for nearly 40% of the total revenue, and the YOY growth was 18.2%. Data for the first quarter of 2021 shows that Hisense’s overseas revenue share has exceeded 42%. According to Hisense’s globalization strategy goal, Hisense aims to achieve $47 billion revenue by 2025, with overseas markets accounting for 50% of the total.
Hisense’s globalization must be a comprehensive one of product development, manufacturing, branding and marketing,” said Jia Shaoqian, President of Hisense Group.
Hisense started its overseas trade in 1985, and formally established a South African company in 1996 to build its first overseas production base. To date, Hisense has 90,000 employees in 54 companies worldwide, with 16 R&D centres and 16 production bases. From cutting-edge technology innovation to localized product design, Hisense gradually accelerates the localization and globalization process by continuously strengthening the construction of brand.
Acquiring well-known local brands is a major part in Hisense’s globalization strategy, which is challenging for Hisense’s cross-cultural management capabilities. Taking the acquisition of Toshiba Visual Solutions Corporation (“TVS”) as an example, Hisense has adopted the principle of localized management. All departmental positions are managed by Japanese managers, and deputy positions are appointed from headquarters, which also positively stimulates the vitality of the workforce.
Hisense has also won recognition for its contributions to local communities. The case of Hisense Appliance Industrial Park Project in South Africa was a remarkable case mentioned by UNOSSC, as Hisense has not only driven the sustainable development of the local manufacturing industry but also creating job opportunities, successfully increased financial and social development in South Africa.
In terms of brand building, Hisense insists on building Hisense Sport IP, uses sports as a linkage to consumers to enhance emotional communication. Since 2016, Hisense has sponsored top events such as Euro 2020 and the FIFA World Cup. Also, Hisense has accelerated its globalization and brand rejuvenation and achieved a significant increase in its market share and brand equity by joining hands with global football club PSG and esports organization FNATIC.
Currently, Hisense has evolved from a TV manufacturer to a Multi-scenario display solution system provider. In addition to the home appliance industry, Hisense is also developing smart transportation, smart healthcare, smart cities and smart living to build the most trusted and valuable brand in the world.