With an annual shipment of 500,000 units, leading E-bike company DYU Zhixing recently completed ¥100 million in Series A financing, with Zhongjin Huirong Investment under China International Capital Corporation leading the investment. The funds from this round of financing will be primarily used for team building, product development, market promotion, and supply chain optimization.
As one of the earliest Chinese companies to seize the E-bike opportunity, DYU Zhixing entered overseas markets in 2017 with a differentiation design strategy. In that year, its shipments reached 18,000 units, and the following year, it became the first Chinese E-bike company to enter the Costco channel. Over the subsequent years, its revenue maintained a doubling growth rate. Leveraging a model driven by a team of German designers and the Chinese supply chain, DYU Zhixing flourished overseas, achieving record-breaking shipments and firmly holding a top position in the industry. In 2020, it surpassed 150,000 units in sales, becoming the first Chinese E-bike exporter to break the 100,000-unit mark. Currently, its annual shipment volume has surpassed 500,000 units.
DYU Zhixing precisely targets the European and American markets. Considering the strong biking culture for short-distance travel in these regions, where E-bike penetration is increasing yearly, estimates suggest it will reach 42.6% by 2028, with a compound annual growth rate of over 25% in the coming years.
In terms of product positioning, DYU Zhixing primarily targets young people whose daily living spaces are relatively small. Foldable E-bikes align with their scenario-specific needs, making it the main category for DYU Zhixing, with foldable models accounting for over 50% in Europe and America. Around the needs of European and American users, DYU has successfully developed multiple E-bike product lines, including foldable, urban, mountain, and fat-tire E-bikes, acquiring over 100 global patents. It is a long-term high-quality supplier for retailers such as Costco, Sam’s Club, and Best Buy, with cumulative sales exceeding 1.5 million units.
In terms of design philosophy, DYU’s product designs draw inspiration from aesthetically pleasing natural phenomena. For instance, the classic D series uses the Fibonacci sequence (Golden Ratio) and the iconic natural phenomenon of the parrot spiral as design principles. By employing the “Golden Spiral,” the company aims to discover, understand, and create beauty, enhancing the dynamic feel with a leaping dolphin, creating a naturally aesthetic experience when admiring DYU’s bikes.
DYU adheres to a user-centric, innovation-driven product development philosophy. Due to its startup team originating from the balance scooter industry, DYU possesses rich product experience. The fusion of balance scooter algorithms with bicycle drive algorithms—such as the gyroscopes that autonomously assess road conditions and enable automatic gear shifting—has become an innovation in intelligent short-distance transportation. This technology has long been applied by DYU Zhixing. While there are numerous imitators in the market, none have surpassed DYU, attributing its success not only to innovation but also to the long-standing overall quality and attention to product details.
Localized Deployment in Overseas Markets. Despite having an online presence through brand websites and retailers like Amazon, 90% of DYU Zhixing’s revenue comes from offline channels. Presently, it has entered multiple offline retailers, including Costco and Sam’s Club in the United States, Carrefour and Auchan in France, and Myer Department Store in Australia. In European countries such as the Netherlands, Italy, Poland, and France, it has also established a network of relatively dispersed dealer points. Simultaneously, it has set up overseas warehouses and after-sales service centers in the United States, the United Kingdom, the Netherlands, Poland, and other locations to facilitate better services in overseas markets.
DYU Zhixing has accumulated years of experience in short-distance travel and holds an early advantage in the E-bike market, with supply chain advantages and experience in cooperation with retailers. After this round of financing, it will establish financial advantages, and the landscape of the E-bike market over the next two years is expected to gradually become clearer.
