IPO News | Jushuitan accounts for 24.4% share of China's e-commerce SaaS ERP market through Hong Kong Stock Exchange hearing

The Zhitong Finance App learned that according to the Hong Kong Stock Exchange's disclosure on September 29, Jushuitan Group Co., Ltd. (hereinafter: Jushuitan) passed the Hong Kong Stock Exchange main board listing hearing, with CICC and J.P. Morgan Chase as co-sponsors.

According to the prospectus, according to data from Insight Consulting, in terms of relevant revenue in 2024, Jushuitan is the largest e-commerce SaaS ERP provider in China, accounting for 24.4% of the market share (more than the total market share of the second to fifth largest participants). According to Insight Consulting, the size of China's e-commerce SaaS ERP market in 2024 (in terms of merchant expenses) was RMB 3.1 billion. In the SaaS market for e-commerce operations in China, the company also ranked first in terms of total SaaS revenue in 2024, with a market share of 8.7%.

Furthermore, according to Insight Consulting, in terms of relevant revenue in 2024, the company is the second-largest e-commerce SaaS provider in China, accounting for 7.1% of the market share. The e-commerce SaaS market in China includes e-commerce operation SaaS; and website management SaaS. The e-commerce SaaS market in China mainly includes ERP, CRM, sales and marketing management, and others, such as data analysis, human capital management, and financial management.

With industry insights accumulated by the founders over the past 25 years, the company has developed cloud-based e-commerce SaaS products that can promote merchant customers to connect to more than 400 e-commerce platforms in China and around the world. According to Insight Consulting, the average number of connected e-commerce platforms in the industry is less than 200. The company's products provide customers of all types and sizes with a unified and intuitive set of business monitoring, operation and management tools, and enable them to make intelligent data-driven decisions, making them stand out in the rapidly growing e-commerce industry. According to Insight Consulting, in 2024, the company served 88,400 SaaS customers in different categories, while the average number of customers served in the industry in 2024 was less than 20,000. In 2024, the company's net customer revenue retention rate was 115%.

Relying on a strong technical infrastructure, the company's products remained stable even during peak traffic. For example, the company successfully processed about 1.6 billion orders during the 2024 Double 11 period, setting an industry-leading record and strongly demonstrating the stability of the technology infrastructure. The company also built a development platform with an expandable architecture and rich development kit for engineers to facilitate timely product launch and iteration. The company can embrace the latest industry trends, meet the diverse needs of users in different scenarios, and maintain a leading position.

The company has established a nationwide customer network (composed of sales staff, implementation engineers and after-sales service teams). The company believes that the customer service network is the core ability to efficiently acquire and retain customers, thereby establishing long-term customer relationships and improving operational efficiency. Through sales and marketing efforts and customer word-of-mouth recommendations, the company believes it has the unique advantage of sustainable expansion and effective acquisition of new customers, which enabled the LTV/CAC ratio to achieve market-leading levels during the performance recording period. The ratio was 6.2 times, 7.7 times, 9.3 times, 7.9 times, and 8.0 times in 2022, 2023, and the six months ending June 30, 2025, respectively.

The LTV/CAC ratio measures the relationship between customer lifetime value and customer acquisition cost. It describes the company's unit economic efficiency and customer acquisition efficiency. According to Insight Consulting, the LTV/CAC ratio is a commonly used measurement in the SaaS industry, and the industry average is about 3 times that of the industry average. Meanwhile, the company's customer service network enables the company to cross-sell other products and services to customers. In 2022, 2023, 2024 and the six months ended June 30, 2025, customers who purchased two or more Jushuitan products contributed 30.6%, 33.0%, 37.7% and 39.3% of the company's total SaaS revenue for the same period, respectively.

On the financial side, for the six months ended June 30 in 2022, 2023, 2024, and 2025, the company's revenue was approximately $523 million, $697 million, $910 million, and RMB 524 million, respectively. In the same period, profits for the year/period were approximately -507 million yuan, -490 million yuan, 10.583 million yuan, and -395.44 million yuan, respectively.