Beijing-based toy rental platform ToySuperman has raised 30 million yuan (US$4.36 million) in a series A funding round, led by Engage Capital. Roots Capital is another investor.
Founded in 2016, ToySuperman is a website where parents can rent toys for their children at lower than retail prices.
The platform is said to have more than 5 million registered users, who can place their orders by using its mobile app or WeChat account.
The company shoulders the logistics service and offers tutorial services on how to use the toys at the customer’s residence.
Rents for the toys are charged daily, with a deposit, amounting to one-fourth of the retail price, to be paid for first-time rent. The customer will get back the deposit in about three to 10 days after the toy is returned and the transaction is completed.
Toys on the platform, which are all brand new, cost from several hundreds to even thousands of yuan. They are mostly imported from Europe and the United States.
The toys, once returned, undergo a strict sterilization process before they are packed in plastic bags for the next customers.
There are currently about 100,000 toys available for rent on the platform, with their models updated monthly.
The company has also teamed up with distributors of toy retailers to have their products on the platform.
After the latest funding round, founder and chief executive Xu Shu said the company will build warehouses in eastern and southern China, and partner with a logistics service provider.
Aside from expanding its delivery service, ToySuperman is also considering developing offline markets and opening a physical flagship store to boost its brand image and diversify its services, Xu said.
This article appeared in the Hong Kong Economic Journal on Aug 23
Translation by Jonathan Chong
[Chinese version 中文版]
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