Baozun Releases 2024 Chairman Letter

Core Insights - Baozun has demonstrated resilience and adaptability in a volatile global market, achieving a 7% year-over-year revenue growth in 2024 and reaching operating profit breakeven, indicating operational efficiency and disciplined execution [3][11][12] Business Performance - Baozun e-Commerce (BEC) returned to topline growth in 2024 after two years of contraction, supporting over 490 brand partners, with a Net Promoter Score (NPS) increase to 8.53 from 8.23, and a strong 95% renewal rate among key accounts [4][5] - Baozun Brand Management (BBM) achieved a 16% revenue growth in 2024 while narrowing adjusted operating losses by 10%, focusing on product innovation and localization efforts, particularly with Gap Inc. [5] - Baozun International (BZI) expanded its regional presence by introducing the Hunter brand to Singapore and Malaysia, enhancing market access and synergies across business lines [6] Technological Advancements - The company emphasizes technology as a catalyst for efficiency and innovation, enhancing capabilities in technology monetization and integrating online and offline experiences [7][8] - Baozun has been recognized as a Representative Vendor in Gartner's 2024 Market Guide for Distributed Order Management Systems and Direct-to-Consumer solutions, showcasing its tailored offerings for the Chinese market [8] Sustainability Initiatives - Baozun is committed to sustainability, achieving ISO 14064 carbon verification for three logistics parks and two attaining PAS 2060 carbon-neutral status, while implementing a green operations strategy to reduce environmental impact [9] Future Outlook - The company anticipates that BEC will enter a phase of quality growth post-transformation, with BBM positioned to capture new opportunities and diversify revenue streams for long-term success [11][12]