Nippon Paint China Interior Wall Latex Paint Business Sales Revenue Exceeds 10 Billion Yuan

Nippon Paint, which has been China's paint sales champion for 25 consecutive years, has always attached great importance to the development of its retail business and has gradually grown into the largest decorative paint retail brand in China. Although demand in the entire paint market has been weak this year, Nippon Paint China's latex paint business still achieves growth due to its strong comprehensive strength, such as strong product power, brand power, channel power and service power, as well as a complete and mature supply chain.

As of November 16, the sales revenue of the interior wall latex paint business of Nippon Paint China's TUC business group exceeded 10 billion yuan. It is worth mentioning that in December last year, the sales revenue of this business exceeded 10 billion yuan, and the sales revenue of the powder business exceeded 2 billion yuan. This means that the company's latex paint business sales revenue exceeded 10 billion about one month earlier than last year.

At present, the demand for growth in the architectural coatings market is weak. At the same time, affected by factors such as the continued downturn of the real estate market and insufficient consumer demand, the demand for the entire coatings market has been sluggish this year. However, Nippon Paint has made great progress in product innovation, channel network, brand marketing, market sales, etc. The hard work has promoted the continued growth of sales, and the sales revenue of Nippon Paint's China latex paint business has still achieved growth against the trend.

Facing the severe market situation this year, Nippon Paint has taken a variety of effective measures to promote the growth of its latex paint business, from product innovation to brand building, from channel development to store upgrades. The painting space of Magic Paint launched by Nippon Paint has expanded from home spaces to stadiums, well-known B&Bs, art galleries and commercial spaces. So far, more than 46,000 projects have been completed, with a painting area of more than 2.4 million square meters.

In addition, Nippon Paint has also increased the development and cultivation of terminal channels, and the channels continue to sink and penetrate. The market share in tier 3-6 cities is gradually expanding, and sales volume is growing very fast. Actively promote the construction of omni-channel marketing network, not only expand the construction of traditional store channels, but also transfer sales and scenarios online to acquire more consumers online and achieve the integration of online and offline sales. While actively expanding its channel layout, Nippon Paint also continues to invest in brand building and upgrading, sparing no effort to improve and maintain market recognition and high brand evaluation.

Thanks to the active promotion and effective implementation of various measures, Nippon Paint China's retail business has achieved growth against the trend. The financial report shows that Nippon Paint China achieved sales revenue of approximately RMB 18.939 billion in the first three quarters of 2023, a year-on-year increase of 7.0%. Among them, the architectural coatings business revenue was approximately RMB 16.208 billion, a year-on-year increase of 7.8%. Retail business sales revenue increased by 19%, 15%, and 10% year-on-year in the first quarter, second quarter, and third quarter respectively. Nippon Paint predicts that its China's full-year retail business sales revenue in 2023 will increase by about 20% year-on-year.