99 Wuxian Ltd (ASX:NNW) continues its growth during April as it upgrades its Chinese mobile platform and signs new clients and merchants.
This follows the recent news that 99 Wuxian has achieved platform revenue growth of 96% and increased its user base by 36% in 1Q16 compared to 1Q15.
iBenefit received a system upgrade during April as it launched its mobile point redemption platform.
World leading ThyssenKrupp Elevator (China) has become a new client by selecting to use iBenefit to provide a fitness offering to their employees.
99 Wuxian also secured a contract with Hong Kang Life Insurance through its Incentive Cloud Service (ICS) expanding on the company's strong presence in the insurance industry.
Amalisia Zhang, CEO, commented: “There have been some important developments to our platform in the last month, and we are excited to have a number of new merchants on board, broadening our offering to customers and encouraging increased transaction levels.
“Our footprint in the insurance sector in China continues to grow, and we are pleased to have secured a high-profile customer in ThyssenKrupp Elevators (China).”
iBenefit provides an employee loyalty and reward benefit redemption platform for business partners.
Recent signing, ThyssenKrupp Elevator, entered the China market in 1995 and now has over 10,000 staff, around 60 branch offices and four factories across the country.
99 Marketplace is a mobile market gateway where registered users may purchase virtual and physical products.
99 Wuxian has commenced partnerships with a number of leading Chinese online video sites to promote electronic membership cards to customers on the 99 Marketplace platform.
ICS focuses on providing loyalty point platform for business partners to manage their customer’s rewards redemption and provide marketing and channel incentives.
Using ICS, Hong Kang Life Insurance will provide its customers with customised e-coupons for lifestyle services such as movie tickets redemption or mobile phone recharge
Hong Kang Life Insurance has registered capital of 1 billion yuan and is headquartered in Beijing.
As the company invests in upgrading its 3 platforms (99 Marketplace, iBenefits and ICS), it allows itself to grow revenue by
- attracting more registered users (buyers) on 99 Marketplace;
- attracting more merchants (sellers) on 99 Marketplace; and
- and attracting more clients for it iBenefits and ICS service offerings.
At the end of 4Q15, 99 Wuxian had achieved rolling 12 month quarterly revenue compound annual growth of 31% from the beginning of 1Q14.
Over this time the gross margin had increased from 39% to 67%, which shows the company is not only maintaining gross margins while growing revenue, but increasing them.
The quality of the company's iBenefits and ICS service platforms are validated by the continued signing of high profile enterprise level companies such as ThyssenKrupp Elevators and Hong Kang Life Insurance.
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