Jushuitan (聚水潭) is China’s largest e-commerce SaaS ERP provider in terms of relevant revenue in 2024, with a market share of 24.4%, exceeding the combined market share of the second through the fifth largest players, according to CIC. The size of the e-commerce SaaS ERP market in China in terms of merchant spending was RMB3.1 billion in 2024, according to CIC. We also ranked first in China’s e-commerce operation SaaS market in terms of total SaaS revenue in 2024 with a market share of 8.7%. In addition, we are China’s second largest e-commerce SaaS provider in terms of relevant revenue in 2024, taking up 7.1% of the market share, according to CIC. The e-commerce SaaS market in China consists of (i) e-commerce operation SaaS, and (ii) online store set-up and management SaaS. E-commerce operation SaaS market in China mainly encompasses (i) ERP, (ii) CRM, (iii) sales and marketing management, and (iv) others, such as data analytics, human capital management and financial management.
Leveraging the industry insights we accumulated in the past over 25 years by our founder, we have developed cloud-based e-commerce SaaS products, and are able to facilitate the connection of merchants with over 400 e-commerce platforms in China and across the world, as compared to an industry average of less than 200 e-commerce platforms according to CIC. Our offerings provide customers of different kinds and sizes a unified and intuitive way to monitor, operate and manage their businesses, and make data-driven intelligent decisions that help them excel in the fast-evolving e-commerce industry. In 2024, we served 88.4 thousand SaaS customers across various categories, as compared to an industry average of less than 20 thousand customers in 2024, according to CIC. In 2024, our net dollar retention rate was 115%.
Our operations are supported by a technology infrastructure that ensures our products stay reliable under large spikes in traffic. For instance, we successfully processed approximately 1.6 billion orders during the Double 11 Festival in 2024, an industry-leading record and powerful testament to the robustness of our technology infrastructure. We have also built a development platform with a scalable architecture and rich development toolkits for our engineers to facilitate timely launch and iteration of our products. We are able to embrace the latest industry trends, meet diverse needs under varied scenarios and maintain our leadership.
We have built a nationwide customer service network, which consists of our sales personnel, implementation engineers, and after-sales service team. We believe that our customer service network is a core competence to effectively acquire and retain customers, leading to long-term customer relationships and increasing operating productivity. Through the combination of our sales and marketing efforts and word-of-mouth referrals from customers, we believe that we are well positioned to expand sustainably and acquire new customers efficiently, which has resulted in our market-leading LTV/CAC ratio during the Track Record Period, being 6.2, 7.7, 9.3, 7.9 and 8.0 times in 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, respectively. The LTV/CAC ratio measures the relationship between the lifetime value of customers and the cost of acquiring the customers. It illustrates a company’s unit economics and customer acquisition efficiency. According to CIC, LTV/CAC ratio is a commonly used measure in the SaaS industry, and the industry average is approximately 3 times. Meanwhile, our customer service network enables us to cross-sell additional products and services to our customers. In 2022, 2023, 2024 and the six months ended June 30, 2025, our customers that purchased two or more of Jushuitan products contributed 30.6%, 33.0%, 37.7% and 39.3% of our total SaaS revenue for the same periods, respectively.
We offer a broad range of SaaS products and services in one-stop, helping our customers seamlessly upgrade capabilities, improve performance and grow their cross-platform businesses, while greatly reducing installation and operation costs.
‧ Jushuitan ERP is our cornerstone SaaS product, serving the core demands of merchants associated with their fulfillment of e-commerce orders across major platforms. Our Jushuitan ERP is designed for simplicity and ease of use. Merchants can easily integrate, synchronize and coordinate all of their stores, orders, products, inventories, and other operating or financial data from various platforms through Jushuitan ERP, enjoying a streamlined cross-platform commerce experience. Key features that our Jushuitan ERP provides include (i) Order Management System (“OMS”), which enables real-time synchronization and centralized management of orders across multiple shops on e-commerce platforms, (ii) Warehousing Management System (“WMS”), which visualizes the warehousing management process by providing real-time stock and logistics information, (iii) Procurement Management System (“PMS”), which helps merchants to optimize their procurement management by connecting manufacturers, suppliers and merchants in one system, and (iv) Distribution Management System (“DMS”), which enables centralized management of orders from different channels – direct sales, online distribution and offline distribution. According to CIC, Jushuitan ERP has become the most popular e-commerce SaaS ERP brand among Chinese merchants.
‧ With ERP at the core, we have further expanded product and service offerings to include other e-commerce operation SaaS products, and became a one-stop e-commerce SaaS provider. Our comprehensive SaaS tools serve various needs of e-commerce participants to equip them with financial accounting, management reporting and analytics, workflow management, and wholesale market procurement, among others. For example, our Jushengsuan automatically prepares daily, weekly, monthly, quarterly and annual financial statements for merchants, which cover various types of costs and expenses in e-commerce businesses. With our products, they are better equipped in coordinating internal resources and collaborating with external partners, including suppliers, distributors, logistics and warehousing service providers.
Source: JST Group (06687) Prospectus (IPO Date : 2025/10/13) |