Is Jiu'an Medical's path to transformation unconventional or right?

As a domestic A-share listed company, its revenue is more than 68% from overseas. At the same time, in order to make traditional and cold medical devices go to fashion and intelligence, and invest a lot of manpower, material resources and financial resources, the company has suffered losses for two consecutive years, and is on the verge of "ST". Jiu'an Medical seems to be a company that does not take the usual path.

The company has permanent offices in Germany and the United States. Chairman Liu Yi frequently travels to and from these countries to participate in exhibitions, host R&D and marketing work, and even his most important subsidiary, ihealth, is also registered in Mountain View, California. City, its research and development work mostly relies on American technical talents.

Liu Yi holds a judgment and development path plan different from most of the peers in the medical device industry . Therefore, we have seen that a traditional medical device manufacturing enterprise such as blood pressure meter and blood glucose meter is rapidly developing into intelligence, consumer electronics, Internet import and data.

Obviously, it has a stable market share and OEM profits, but chooses such a seemingly “fashion frontier” but invests hugely. Sticking to innovation or pioneering or martyrs, Liu Yi's choice, right or wrong?

Copy the cooperation mode between ihealth and apple

The main customer groups of blood glucose meters and blood pressure meters are still middle-aged and elderly. There will be certain risks in transforming products for this group into the most advanced Internet. Even the international industry leader Omron, in its official website, it is difficult to find new products based on Internet development.

But hardware intelligence, including medical devices, is a general trend. Nowadays, the development of hardware intelligence is still in its infancy. Jiu'an Medical wants to expand this new selling point to all families by itself, which is obviously impossible. Therefore, Liu Yi chose to target the target consumer group as the “intelligent preference group” with the most cutting-edge consumer perspective. To this end, Jiu'an chose to cooperate with the pioneers of hardware intelligence, Apple and Xiaomi are listed here.

In September 2014, Jiu'an Medical announced a capital cooperation program with Xiaomi. Xiaomi will acquire ihealth, a subsidiary of Jiu'an Medical, for 20% of the shares.

Most of the outside comments believe that this move means that Jiu'an Medical is included in Xiaomi's "ecosystem", and Liu Yi does not deny it. He told the author that today's smartphones have become an infrastructure, and in the era of mobile internet, the operating status of all industries will be subverted or changed. Jiu'an Medical hopes to adapt to this changing trend and transform itself.

In terms of domestic development, Xiaomi has the potential to become the world's second-largest intelligent hardware company after Apple. Even some aspects have already achieved blue and blue. Therefore, he chose to cooperate with Xiaomi, and it is inevitable to copy the cooperation mode of ihealth in the United States with Apple.

The benefits of integrating the millet ecosystem into Jiu'an Medical are obvious. An industry insider said that the millet consumer group has strong acceptance of intelligent products, which will hopefully translate into the consumption power of mobile medical hardware. Jiu'an's move is equal to the young people represented by "rice flour", the consumer expectations in the smart medical field.

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