Another big seller has ceased operations! A large number of Amazon listings have been removed

The stay-at-home economy brought about by the pandemic has ushered in a window of explosive growth for the cleaning appliance industry. However, this period of high growth did not last long. With the increasing uncertainty in the macroeconomic environment and the intensified competition in the market, the cleaning appliance market has gradually returned to rationality from an overheated state.

After the dividends receded, many brands have fallen into the dilemma of slowing growth in the past two years, even iRobot, the originator of sweeping robots. , and also fell into difficulties such as losses and layoffs.

Just recently, another well-known cleaning appliance brand was involved in controversy.

On December 15, the cleaning appliance brand ROIDMI suddenly disclosed a notice of termination of operations: due to changes in the market environment and adjustments to the company's business strategy, ROIDMI decided to terminate brand operations.

▲ Image from ROIDMI

It is reported that ROIDMI will continue to provide necessary support for customers and the products they purchase before the end of operations on January 15, 2025. Once the brand operation ends, the relevant services will no longer be provided.

ROIDMI said in the notice that its goal has always been to provide users with the best products and services, but the current business environment and company resources no longer allow it to continue operating in the way customers expect.

According to industry media reports, ROIDMI's termination of operations was not sudden, due to the impact of the overall environment and lack of investment support. Currently, all the company's businesses have been stopped, with only two or three employees who are about to leave.

Judging from the product sales situation, most of ROIDMI's products on Amazon are currently unavailable for sale, with only one link selling a cordless upright vacuum cleaner still available for sale. In addition, some links are also available for sale at Walmart stores and the official independent website.

Public information shows that ROIDMI was founded in 2015. It is an innovative technology brand targeting the global market, focusing on the research and development of high-end cleaning appliances such as cordless vacuum cleaners and sweeping robots.

It is worth noting that ROIDMI has been included in the smart home enterprise of Xiaomi's ecological chain. It received investment from Shunwei Capital, the founder of Xiaomi Lei Jun, in January 2015. In October of the same year, its first product, ROIDMI Music Bluetooth Car Charger, was launched on Xiaomi crowdfunding. Go online.

As of 2024, ROIDMI's sales network has covered more than 80 countries and regions in Europe, America, Asia, Australia, and the Middle East, including mainstream markets such as the United States, the United Kingdom, Germany, Japan and South Korea.

It is learned that ROIDMI adopts an online + offline dual-track parallel model, among which overseas online sales channels cover mainstream e-commerce platforms such as Amazon, Walmart, and AliExpress.

Entering the ROIDMI official website, you can see that its product line is mainly divided into five categories: sweeping robots, wet and dry vacuum cleaners, dust-free vacuum cleaners, hair dryers and accessories.

Since its inception, ROIDMI has been committed to the innovative development route and has accumulated a lot of innovation, research and development and cutting-edge technology in the past decade. So far, it has more than 400 patents worldwide, and its product design has won 10 international design awards, including iF, Red Dot and Good Design Awards.

Relying on this series of product matrices and re-researched product strategies, ROIDMI successfully entered the fast growth lane and achieved revenue of nearly 600 million yuan in 2022.

However, the market environment is changing rapidly. In the past two years, as industry competition has intensified, ROIDMI has fallen from a period of rapid growth to the bottom, and its operations have become increasingly difficult, until now it has announced the termination of operations.

The termination of ROIDMI's operations, to a certain extent, also reflects the current situation of fierce internal competition in the smart cleaning industry.

In recent years, with the expansion of the market scale and the continuous advancement of related technologies, the market demand for high-performance, diversified intelligent cleaning appliances has emerged, especially diversified products in the fields of sweeping robots and floor scrubbers continue to emerge, and cleaning appliances in different segments have ushered in a period of rapid growth.

However, the surge in players in the cleaning appliance industry has also led to intensified market competition, with each segment becoming increasingly competitive. On the one hand, brand concentration is high, with leading brands continuing to dominate and competition becoming increasingly fierce; on the other hand, traditional home appliance companies such as Haier, Midea, and Gree are rushing into the smart cleaning market, further squeezing out market space.

As we enter 2024, the smart cleaning industry is experiencing an accelerated reshuffle. The living space of small and medium-sized brands with weaker strength and backward technology is constantly being eroded, and they are even gradually eliminated. The leading brands are facing multiple challenges from the market environment and are falling into growth bottlenecks one after another.

It is understood that in this wave of reshuffle, a number of old and young companies have been swept out first. On July 30, 2024, the old smart cleaning company Baole Robotics announced bankruptcy and reorganization; the smart cleaning brand Zhuiguang Robotics was caught up in a negative storm and was labeled as a person subject to execution, restricted from high consumption, and had its equity frozen...

At the same time, leading brands are also facing multiple growth concerns.

Not long ago, robot vacuum cleaner giant Roborock Technology disclosed its third quarter results. While revenue growth declined, net profit also suffered a Waterloo. The financial report shows that its Q3 net profit was 351 million yuan, a year-on-year decrease of 43.40%. According to industry forecasts, based on this trend, Stone Technology is likely to suffer a loss in its full-year profit.

Another giant, Ecovacs, is also having a hard time. According to the financial report, Ecovacs' revenue in the third quarter was 3.25 billion yuan, a year-on-year decrease of 4.06%; its net profit attributable to the parent company was 6 million yuan, a year-on-year decrease of 69.21%. After the performance was disclosed, Ecovacs' stock price once hit the limit.

Another example is iRobot, the former pioneer of sweeping robots, which has been overtaken by emerging smart cleaning brands and has seen its global market share continue to decline. Under the pressure of years of losses, iRobot made two drastic layoffs in 2024.

From the peak moments boosted by the epidemic bonus, to the rapid growth of multiple sub-segments spawned by the diversified development of the industry, to the intensified competition for existing stocks and the gradual transformation of the market into a red ocean. After the great waves, more and more smart cleaning brands such as ROIDMI have been eliminated, and only brands with strong enough barriers can survive.