JD.com-backed second hand goods platform Aihuishou spots big opportunity in trade-in market

Xiaofeng Chen, CEO of Aihuishou

Chinese secondhand consumer electronics recycling and trading group Aihuishou, which is valued at over $2.5 billion and counts e-commerce giant JD.com as its largest shareholder, is ramping up its expansion in both its home market and internationally. 

In 2019, JD.com merged its secondhand commodity trading platform Paipai.com with Aihuishou, and led a $530-million Series E round funding in the firm.

“Our working capital flow is positive, but we will need more strategic investments for a further business extension,” Xuefeng Chen, co-founder and CEO of Aihuishou, told DealStreetAsia. 

Launched in 2011, Aihuishou is a customer-to-business (C2B) platform offering auction-like solutions for digital items including cameras, phones and laptops among others. 

Aihuishou operates three secondhand trading platforms: aihuishou.com specialising in 3C (computer, communication, consumer electronics) products; pai.aihuishou.com with a focus on digital products, and paipai.com. It also owns over 600 brick-and-mortar stores. Its on-site service network covers about 120 first and second-tier cities in the country.  

As of 2019, Aihuishou recorded more than 20 billion yuan ($2.8 billion) in annual transactions. In 2019, it recycled and traded over 22,000,000 digital goods, with 50,000 transactions per day. 

Its CEO Xuefeng Chen details the opportunities and his business plans for the near future. 

Edited excerpts of an interview:-

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In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

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  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
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