GoldeElms金榆 Digest #001
LifeCow, gDiapers, Suzi’s, Relic
March 5th, 2018 – March 11th, 2018
Welcome to the first edition GoldenElms金榆 digest!
I will do my best to write weekly updates to keep everyone informed of GoldenElms progress.
Our next steps moving forward will be to set up operations, distribution channels, and growing sales.
LifeCow来福牛 is our digital retail store where customers will shop (WeChat, Tmall, Alibaba, JD etc) to help make healthy living more accessible for Chinese consumers. Our partners are local brands in the natural, organic, and eco-friendly space.
GE closed a distribution agreement with gDiapers and will consume the majority of our time/energy over the next few months to launch their brand the Chinese market and will be a catalyst for LifeCow.
gDiapers are the most eco-friendly disposable diaper in the world. Their disposable inserts are 100% compostable (wet ones only) and the only baby product (and diaper) that are Cradle to Cradle certified, comfortable for kids, and very adorable.
55M disposable diapers are used per day in the United States and take hundreds of years to break down. gDiapers are a hybrid solution of cloth + disposable diapers.
You can learn more about their company here: gdiapers.com.
The gDiaper system has three parts:
- Pants (see above) which is a soft cotton.
- Pouch goes inside of the pants, and is made of a breathable nylon and can be washed / re-used.
- Disposable inserts can be composted (wet ones only) are placed inside the pouch .
It’s an innovative system that combines comfort, fashion, and eco-friendliness.
Diaper Market in China
I learned a lot researching both offline/online distribution channels for diapers. There are two clear market segments.
- Cloth: cheapest, least convenient, and most eco-friendly.
- Disposable: most convenient, expensive, least eco-friendly.
Within the disposable segment in China, there are three tiers that come with different pricing and perceived value.
- Foreign brands manufactured abroad
- Foreign brands manufactured in China
- Chinese domestic brands
We will be able to be priced competitively in the foreign brand space.
GoldenElms, LLC is incorporated in Oregon but need register a company in China to operate.
I planned to register in Haining (Tier 4) for speed and to save costs. After consulting a lot of folks, it turns out company location makes a huge difference to customers here.
Registering in a small city automatically lowers brand equity. Tier 1 cities like Shanghai/Beijing is the way to go.
I’m excited for you to be on this journey with us.