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EZZ LIFE FPO [EZZ]$2.64

EZZ’s cashes in on China’s multi-billion dollar e-commerce shopping festival with one product proving a winner

EZZ’s Bone Growth Capsules have proven a winner at one of China’s biggest e-commerce festivals of the year 618.

EZZ has had a solid win at this year’s 618 shopping festival in China, with Bone Growth Capsules topping the charts. Pic via Getty Images.

Genomic-tech firm, EZZ Life Science Holdings (ASX:EZZ) has reported that its sales from China’s mid-year e-commerce shopping festival, known as “618”, are expected to be more than $650,000.

Topping the list for EZZ was its Bone Growth Capsules sales, with sales reaching $400,000 during the 618 festival, accounting for 60% of the total sales on Tmall Global.

Bone Growth Capsules is the leading children’s nutritional supplement sales chart in sales, reviews, and re-purchase on Tmall Global, China’s largest cross-border B2C online marketplace.

618 is the second-largest e-commerce shopping event in China—second only to Single’s Day (November 11).

The festival is a rebranding of what was originally JD Day, as created by the e-commerce giant JD.com.

The date of June 18 was originally the birthday for the platform, although it has now been co-opted by other e-commerce platforms including Alibaba and Pinduoduo.

Chance to recover lost sales
This year’s festival was an opportunity for retailers to recover sales lost over the past few months, where lockdown restrictions in China had many people confined to their cities or homes.

According to estimation by retail market consultancy Syntun, total sales across major e-commerce platforms, including online marketplaces Tmall, JD.com, and Pinduoduo, were 582.6 million yuan, a slight increase from last year’s 578.5 million yuan.

This figure includes the pre-sale period leading up to the actual date of 18 June, with presales beginning as early as 26 May this year.

Tmall Global and EZZ Bone Growth Capsules profit winners
For EZZ, the 618 shopping festival was a chance for the company to further increase its sales on Tmall Global.

Although the company has launched on Douyin (China version of Tiktok) in an attempt to follow the new e-commerce trend, Tmall Global remains one of its dominant export sales channels, alongside export wholesaler AUBay.

Together, Tmall Global and AUBay account for 45% of EZZ’s annual total sales revenue. EZZ sales on Tmall Global have accrued $11.7 million in revenue since launching in August 2020.

EZZ has been focusing on sales in the e-commerce space as the popularity of digital shopping continues to grow, particularly in Southeast Asia.

During the month of May, when the pre-sale for the 618 shopping festival began, EZZ’s sales revenue on Tmall Global reached 1.8 million yuan ($390,000). Sales are expected to pass 3 million yuan ($650,000) in June.

The rise in sales for the EZZ Bone Growth Capsules, one of its hero products, has been credited with the increase. The capsule is a children’s supplementary product that supports healthy growth and development, as well as bone and muscle growth.

The capsule generated $250,000 in sales over the month of April, and as marketing activities ramped up, this lifted to $350,000 in May.

Sales for the product are expected to pass $400,000 by the end of June, making up over 60% of the total sales on Tmall Global for the month.


This article was developed in collaboration with EZZ Life Science Holdings, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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