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Shimao Services Implements Five Major Strategies and Launches Municipal Services Manager to Help Improve Service Quality and Efficiency
[21/10/29]
HONG KONG, Oct 29, 2021 - (JCN Newswire) - In October 2020, Shimao Services Holdings Limited ("Shimao Services" or the "Company"; HKEX Stock Code: 873.HK), a leading comprehensive property management and community living services provider in China, was listed on the Hong Kong Stock Exchange and successfully embarked on a new journey in the capital market. By expanding its comprehensive property management services, diversified value-added services and smart city services, the Group has achieved high-quality growth.
Shimao Services is positioned as a leading comprehensive property management and community living service provider in China. With its brand concept focused on a "Better Smart Life", Shimao Services is committed to becoming a leading full-scenario provider of city life services in China. In addition to further developing its comprehensive property management, diversified value-added services, smart city services and digital technology businesses, it also seeks to become one of the leading players in the property services industry by 2023.
Implements five major strategies, including "1+1+X"
The resources and market share of the property service industry are gradually becoming more concentrated on the market leaders, with competition within the industry becoming increasingly intense. Based on the Company's current situation, as well as developments in the market, Shimao Services has meticulously developed its roadmap and implemented five strategies, including "1+1+X" (related diversification), horizontal integration, vertical integration, centralization, and updates.
Take "1+1+X" as an example. The first "1" refers to comprehensive properties, including residential buildings, college campuses and other comprehensive business types. The second "1" refers to community value-added services, and "X" refers to city services. However, there may be more opportunities available in the future. Shimao Services follows a clear value investment philosophy and expands its scale through cooperation under its horizontal integration strategies. Priority will be given to cooperative agreements with regional leaders and leaders in niche markets. "We incubate one platform with another platform, to achieve the effect of '1+1>2' through the cooperation of both parties," said Ye Mingjie, Executive Director and President of Shimao Services.
The vertical integration strategy, meanwhile, opens up multiple service types, such as housing, schools, hospitals, "SUNIT" and education institutions. While developing various businesses simultaneously, Shimao Services has proposed a centralized strategy to strengthen the development of its companies in five key cities: Hangzhou, Wuhan, Xi'an, Tianjin and Fuzhou. Take Hangzhou as an example. After cooperating with Zheda Sinew and Jinhu Property, the company joined forces with Yefeng Property once again in order to further increase the density and concentration of the Hangzhou market and enhance the comprehensive capabilities of a single market.
As for the updates strategy, it is the final stage of Shimao Services' post-investment integrated management plan, and is focused on further upgrades of its organizational capabilities and management mechanism; further improvement of its professional segment capabilities; and further strengthening of the coordination mechanism for project expansion. In August 2020, Shimao Services worked with Zheda Sinew and subsequently implemented its renewal strategy within the company. On 9th May of this year, Zheda Sinew upgraded its brand image and launched the " Yulin Campus Service Ecology". Shimao Services positioned it as China's leading college campus service provider, reflecting the Group's strategies of vertically developing the college campus market, consolidating its superior resources and empowering the company's growth.
A municipal service manager focused on promoting four main businesses
Municipal services, an area that is ideal for exploring service scope and demonstrating comprehensive service capabilities, is regarded as a new blue ocean in the field of property management. By leveraging its strong and comprehensive service capabilities, Shimao Services has expanded into municipal services and has rapidly achieved breakthroughs. In this year's interim report, municipal services became one of Shimao Services' four main business segments for the first time and began to demonstrate its outstanding potential, bearing fruit in many regions across China. In the first half of 2021, the revenue from Shimao Services' municipal service business reached RMB134 million.
Shimao Services sees municipal services as a new strategic engine for its business growth and is therefore positioning itself as a municipal services manager to focus on promoting four main businesses, namely, municipal environment management, urban space management, municipal renewal management and smart urban management. Building on the foundation of its existing property management business, the company has extended its breadth of service from serving residents to serving "residents + citizens", and from "serving within the service scope" to "serving within the service scope + serving beyond the service scope", and expanded from a single property service to a full-spectrum service, helping to improve each city's scientific, precise and intelligent management and participating in the creation of a better future for each city.
Since May 2021, Shimao Services has cooperated with Shenzhen Shenxiong Environment Co., Ltd. ("Shenxiong Environment") and Wuxi Jinshatian Technology Co., Ltd. ("Jinshatian Technology") in establishing its layout across two key regions, namely the Greater Bay Area and the Yangtze River Delta region, and in building its core comprehensive capabilities in municipal services. Shenxiong Environment ranked among the top 10 environmental sanitation companies in the Greater Bay Area, and Jinshatian Technology ranked sixth in the municipal environmental sanitation industry in China. Both companies are national high-tech enterprises and possess the National Level 1 Qualification for Cleaning Services.
Furthermore, Shimao Services has commenced cooperation with local governments in nine regions, including Jiangsu, Fujian, Guizhou, Sichuan and Heilongjiang. In addition, it has recently implemented two projects in the Sucheng District of Suqian City and the Acheng District of Harbin City, respectively. It is worth noting that in the future, Shimao Services plans to invest in its second national headquarters in Wenjiang District, Chengdu City, with the aim of expanding within the urban service area. Ye Mingjie said, "We will focus on leveraging our resources and advantages in community governance and municipal services to provide quality services such as management of municipal public properties, operation of urban spaces, and development and operation of smart communities, in order to help the central and western regions develop a new dynamic and smart living concept."
Striving to achieve five-fold growth in the next three years
The state has introduced a series of favorable policies in an intensive fashion in recent years. Shimao Services believes that the introduction of these policies has created favorable conditions for the standardized operation of property enterprises and the long-term positive development of the industry. "The policies are conducive to the healthy development of the property service industry, especially for those property service enterprises that insist on a long-term development approach. Shimao Services has always been firmly optimistic about property services and is confident in its future quality development and high growth potential," said Ye Mingjie.
In the long run, Shimao Group and Shimao Services are optimistic about the property service sector. As an important part of Shimao Group's "one body, two wings, aircraft-shaped" strategy, Shimao Services achieved five-fold growth in the past three years. In the next three years, Shimao Group will continue to increase its efforts in supporting the continuous rapid growth of Shimao Services' property service segment, operating on the asset-light model.
Looking ahead, Shimao Services will forge ahead by implementing its set strategies and by positioning itself as a leading comprehensive property management and community living service provider in China based on the brand concept of "Better Smart Life". It will also strive to develop into a leading full-scenario provider of city life services in China. In addition, the Group will insist on realizing both short-term and long-term goals, seizing opportunities to build a presence in and further develop the four major business segments of comprehensive property management, diversified value-added services, smart city services and digital technology business, accelerate the implementation of its strategies, expedite expansion of its business scale and build new value-added engines. Such efforts will help the Group to achieve competitiveness that is enduring and which allows it to realize the goal of five-fold growth in the next three years.
About Shimao Services Holdings Limited (Stock code: 873)
Established in 2005, Shimao Services is China's leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group's "big aircraft" strategy. Shimao Services takes the "Smart Maker of Good Life" as its brand concept and implements the "iBlue Strategy", focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.
For more information, please visit Shimao Services' website: https://www.shimaofuwu.com/
For further information, please contact:
Strategic Financial Relations Limited
Sharon Lau / Cherry Chen
Tel: (852) 2864 4852 / (852) 2114 4903
Email: sprg_shimao@sprg.com.hk
Fax: (852) 2527 1196
Copyright 2021 JCN Newswire. All rights reserved. www.jcnnewswire.com
Shimao Services is positioned as a leading comprehensive property management and community living service provider in China. With its brand concept focused on a "Better Smart Life", Shimao Services is committed to becoming a leading full-scenario provider of city life services in China. In addition to further developing its comprehensive property management, diversified value-added services, smart city services and digital technology businesses, it also seeks to become one of the leading players in the property services industry by 2023.
Implements five major strategies, including "1+1+X"
The resources and market share of the property service industry are gradually becoming more concentrated on the market leaders, with competition within the industry becoming increasingly intense. Based on the Company's current situation, as well as developments in the market, Shimao Services has meticulously developed its roadmap and implemented five strategies, including "1+1+X" (related diversification), horizontal integration, vertical integration, centralization, and updates.
Take "1+1+X" as an example. The first "1" refers to comprehensive properties, including residential buildings, college campuses and other comprehensive business types. The second "1" refers to community value-added services, and "X" refers to city services. However, there may be more opportunities available in the future. Shimao Services follows a clear value investment philosophy and expands its scale through cooperation under its horizontal integration strategies. Priority will be given to cooperative agreements with regional leaders and leaders in niche markets. "We incubate one platform with another platform, to achieve the effect of '1+1>2' through the cooperation of both parties," said Ye Mingjie, Executive Director and President of Shimao Services.
The vertical integration strategy, meanwhile, opens up multiple service types, such as housing, schools, hospitals, "SUNIT" and education institutions. While developing various businesses simultaneously, Shimao Services has proposed a centralized strategy to strengthen the development of its companies in five key cities: Hangzhou, Wuhan, Xi'an, Tianjin and Fuzhou. Take Hangzhou as an example. After cooperating with Zheda Sinew and Jinhu Property, the company joined forces with Yefeng Property once again in order to further increase the density and concentration of the Hangzhou market and enhance the comprehensive capabilities of a single market.
As for the updates strategy, it is the final stage of Shimao Services' post-investment integrated management plan, and is focused on further upgrades of its organizational capabilities and management mechanism; further improvement of its professional segment capabilities; and further strengthening of the coordination mechanism for project expansion. In August 2020, Shimao Services worked with Zheda Sinew and subsequently implemented its renewal strategy within the company. On 9th May of this year, Zheda Sinew upgraded its brand image and launched the " Yulin Campus Service Ecology". Shimao Services positioned it as China's leading college campus service provider, reflecting the Group's strategies of vertically developing the college campus market, consolidating its superior resources and empowering the company's growth.
A municipal service manager focused on promoting four main businesses
Municipal services, an area that is ideal for exploring service scope and demonstrating comprehensive service capabilities, is regarded as a new blue ocean in the field of property management. By leveraging its strong and comprehensive service capabilities, Shimao Services has expanded into municipal services and has rapidly achieved breakthroughs. In this year's interim report, municipal services became one of Shimao Services' four main business segments for the first time and began to demonstrate its outstanding potential, bearing fruit in many regions across China. In the first half of 2021, the revenue from Shimao Services' municipal service business reached RMB134 million.
Shimao Services sees municipal services as a new strategic engine for its business growth and is therefore positioning itself as a municipal services manager to focus on promoting four main businesses, namely, municipal environment management, urban space management, municipal renewal management and smart urban management. Building on the foundation of its existing property management business, the company has extended its breadth of service from serving residents to serving "residents + citizens", and from "serving within the service scope" to "serving within the service scope + serving beyond the service scope", and expanded from a single property service to a full-spectrum service, helping to improve each city's scientific, precise and intelligent management and participating in the creation of a better future for each city.
Since May 2021, Shimao Services has cooperated with Shenzhen Shenxiong Environment Co., Ltd. ("Shenxiong Environment") and Wuxi Jinshatian Technology Co., Ltd. ("Jinshatian Technology") in establishing its layout across two key regions, namely the Greater Bay Area and the Yangtze River Delta region, and in building its core comprehensive capabilities in municipal services. Shenxiong Environment ranked among the top 10 environmental sanitation companies in the Greater Bay Area, and Jinshatian Technology ranked sixth in the municipal environmental sanitation industry in China. Both companies are national high-tech enterprises and possess the National Level 1 Qualification for Cleaning Services.
Furthermore, Shimao Services has commenced cooperation with local governments in nine regions, including Jiangsu, Fujian, Guizhou, Sichuan and Heilongjiang. In addition, it has recently implemented two projects in the Sucheng District of Suqian City and the Acheng District of Harbin City, respectively. It is worth noting that in the future, Shimao Services plans to invest in its second national headquarters in Wenjiang District, Chengdu City, with the aim of expanding within the urban service area. Ye Mingjie said, "We will focus on leveraging our resources and advantages in community governance and municipal services to provide quality services such as management of municipal public properties, operation of urban spaces, and development and operation of smart communities, in order to help the central and western regions develop a new dynamic and smart living concept."
Striving to achieve five-fold growth in the next three years
The state has introduced a series of favorable policies in an intensive fashion in recent years. Shimao Services believes that the introduction of these policies has created favorable conditions for the standardized operation of property enterprises and the long-term positive development of the industry. "The policies are conducive to the healthy development of the property service industry, especially for those property service enterprises that insist on a long-term development approach. Shimao Services has always been firmly optimistic about property services and is confident in its future quality development and high growth potential," said Ye Mingjie.
In the long run, Shimao Group and Shimao Services are optimistic about the property service sector. As an important part of Shimao Group's "one body, two wings, aircraft-shaped" strategy, Shimao Services achieved five-fold growth in the past three years. In the next three years, Shimao Group will continue to increase its efforts in supporting the continuous rapid growth of Shimao Services' property service segment, operating on the asset-light model.
Looking ahead, Shimao Services will forge ahead by implementing its set strategies and by positioning itself as a leading comprehensive property management and community living service provider in China based on the brand concept of "Better Smart Life". It will also strive to develop into a leading full-scenario provider of city life services in China. In addition, the Group will insist on realizing both short-term and long-term goals, seizing opportunities to build a presence in and further develop the four major business segments of comprehensive property management, diversified value-added services, smart city services and digital technology business, accelerate the implementation of its strategies, expedite expansion of its business scale and build new value-added engines. Such efforts will help the Group to achieve competitiveness that is enduring and which allows it to realize the goal of five-fold growth in the next three years.
About Shimao Services Holdings Limited (Stock code: 873)
Established in 2005, Shimao Services is China's leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group's "big aircraft" strategy. Shimao Services takes the "Smart Maker of Good Life" as its brand concept and implements the "iBlue Strategy", focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.
For more information, please visit Shimao Services' website: https://www.shimaofuwu.com/
For further information, please contact:
Strategic Financial Relations Limited
Sharon Lau / Cherry Chen
Tel: (852) 2864 4852 / (852) 2114 4903
Email: sprg_shimao@sprg.com.hk
Fax: (852) 2527 1196
Copyright 2021 JCN Newswire. All rights reserved. www.jcnnewswire.com
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