When you buy a car you will thank of Mercedes. When you buy a watch you will think of Rolex. When you buy a computer automatic weighing machine, you will think of Highdream, that's somthing like it.
-- Zheng Jinkang
When Zheng was 17 years old, he started to work, doing industrial scales. For 35 years, he improved and improved, with more precision and faster speed. Today, his weighers have gone abroad and are among the top sellers in the world.
52 years old his own company listed, he hopes to use the power of capital, let the brand further improve, let the quality of a step up.
Panorama finance "Appointment · Capital" Highdream chairman Zheng Jinkang
Zheng Jinkang was born in 1965. When he was 17 years old, he worked in Luojiao Electrical equipment Factory. He started as a welder and assembler. After two years' work, he went to South China University of Technology to receive mechanical professional training and then became a designer.
Zheng Jinkang said: "Regarding the machinery and structure of the automatic weighing apparatus, the automatic weighing apparatus is an electronic weigher with a mechanical structure. I am specially responsible for the mechanical structure."
Reporter: Is there a connection between what Lungu does and the multihead weighing machines?
Zheng Jinkang: It is to do automatic weighing equipment, so far has not left my industry, so it is a special preference.
Reporter: What have you learned from your experience at LTU?
Zheng Jinkang: That's crucial. Why? First of all, from how the machine is assembled in the workshop to how you can draw the drawing, you will decide whether the machine can be made, how difficult it is and how much it costs. Actually the most important thing is that the factory is a private, at that time many of the collective units, state-owned units, in the early eighty s at that time, if the private enterprise to do, is not the case, you will learn many things, including the boss how to run, how to operate, at that time have begun to learn the things slowly.
Lunjiao Electrical equipment factory was later renamed Guangdong Huapu Electrical Equipment Group, where Zheng Jinkang has been working for 14 years. In 1996, he moved to Foshan Codi Industrial Control Equipment Co., Ltd. as the general manager.
Reporter: It's a big leap.
Zheng Jinkang: In fact, I learned how to make machines when I was in HUapu. Later, When I was in Cody Industrial Control, I learned how to sell machines, how to plan marketing, how to exhibit, and what occasion to push the machine.
Reporter: Not everyone starts out as a welder and becomes a general manager
Zheng Jinkang: It has something to do with the family environment. When I was a teenager, my family started a business. I was also involved in purchasing raw materials and making and selling them. I know how my parents run a small business.
Reporter: Before 2004, as a general manager a year of income is also quite considerable, why would you want to start your own business?
Zheng Jinkang: general manager just a performer, he's function is to perform resolution of the shareholders, but a lot of things will be restrained, I consider myself more professional, in the industry for more than 20 years, so I think you are sure to open a company at the time, and to operate the things, so I opened a company.
Before 2004, domestic industrial scales are based on the primary electronic principle of the design of traditional scales, but Zheng Jinkang to do is really peers do not dare to think of computer combination scales.
Zheng Jinkang: At that time, all the scale makers in China thought that the computer combined scale was a lofty and unattainable product, which could only be achieved in developed countries.
Reporter: You have to add elements of the computer.
Zheng Jinkang: Right, so I have a partner, some shareholders are specialized in computer. We knew that he had the ability, he had the ability on the computer, I had the ability on the mechanical side, I had the ability to expand the market, and we thought we could do it.
Reporter: How many people did you start with?
Zheng Jinkang: a software, one is me, mechanical, there are three or four people, specific drawing.
Reporter: When you were in sales, did it go against your expectations, did you have any difficulties?
Zheng Jinkang: in 2005, when the machine just do it, including the packing machine, including the balance price is very high, almost concentrations, a system, because the salary, please the Labour is cheap, so a lot of food factory boss will think, you that machine of choose and employ persons with me, that I not choose and employ persons, cheaper, and in turn now, your a lot of artificial, machine a lot cheaper, so the situation is not the same again, after ten years.
In the mid-2000s, due to low labor costs and low application of automation equipment in domestic food processing and other industries, Zheng jinkang quickly set his sights on exports.
Zheng Jinkang: because at that time, the industry, only two companies, the German company, Japan and Italy, Denmark, may add up to six or seven factories in do it, they sell price is very expensive, we made in 2005 in China, to sell, is relatively easy to accept, because the price is a third of it, so it is easier to price, although not he that machine so perfect, but the price is very attractive, immediately opened the market. Germany, the United States, have gone to, not a year to go to ten, overseas exhibition.
Reporter: did domestic at that time do this respect to weigh implement?
Zheng Jinkang: Not in China. We were the first. We developed it by ourselves.
Reporter: Remember who your first client was?
Zheng Jinkang: it should be from Spain. An old man from Spain also makes scales. It should be 20,000 DOLLARS.
Reporter: When did you sell it?
Zheng Jinkang: the end of 2005, at that time burned a lot of money to go to the exhibition, alibaba online promotion, at that time Alibaba we are the first group of users.
In the first two years of the venture, Zheng Jinkang and other shareholders took out all their savings. "In 2004 and 2005, the money was almost used up and the business was not fully opened. That was the time of confusion".
Reporter: Since when has the company had a certain size?
Zheng Jinkang: it should be 2007, 2008 began to have the quantity, the quantity, and the profit can also be, almost 50 million, 60 million of the quantity. Most of them are repeat customers, because it's not disposable, it's matching, he buys my machine matching his machine, and then he sells it to the food factory.
Reporter: As the company has grown, what factors do you think have contributed to its success?
Zheng Jinkang: Thanks to the fact that China's basic industry is just on the rise, our domestic manufacturing industry has just been recognized by many European and American countries. People did not believe what China did before, and they were not willing to buy it. At that time, they began to believe that China's machinery was ok. And the WTO, the WTO, 2004, 2005, we went out of the exhibition, feel every exhibition has a great harvest.
Up to now, Highdream ranks the first in the domestic combined scale market, and in the international market, the sales volume also exceeds the well-known Japanese companies.
Zheng Jinkang: Japan should be the first in the world. Its quantity is not necessarily larger than ours, but its sales amount is much larger than ours, because it is expensive. What it does is high-end customers, big food companies, and what we do is medium and low.
Reporter: Now the domestic market has achieved the first, how to develop the future market space?
Zheng Jinkang: the future is definitely a focus on European and American market, our products to improve, improve the brand again, actually we now scales from Japan, Germany, the price or not far away, we are much lower than it, if our class to improve again, brand increase again, we think is a certain space.
Reporter: What specific aspects should be improved?
Zheng Jinkang: One is speed, the number of bags per second, and long-term stability, like the German machine is very stable, very reliable, ours is relatively ok, up to now, ten or eleven years ago, our machine in Europe and the United States, now still in use.
Reporter: How do you improve?
Zheng Jinkang: For example, whether there is a real agency in Europe and America, service center, exhibition center, timely distribution of accessories, and the most important thing is that the function of our scale itself should be further improved, the process and function should be increased.
Reporter: Are you still involved in R&D?
Zheng Jinkang: I am the R&D team leader and the team leader.
Reporter: How much energy do you put into R&D every day?
Zheng Jinkang: About one third.
While the combined scale is leading the way, Zheng Jinkang has also started to add weight in the weightless scale field. The loss-in-weight feeder is about indirect feeding and continuous discharging, which is suitable for controlling the batching of fine materials.
Reporter: Is the input cost of loss-in-weight feeder very high?
Zheng Jinkang: The input cost is relatively high, because we have to buy several companies' products to analyze this scale. At that time, we bought Swiss, German, Japanese and the most advanced weightless scale in the world. We tested them by ourselves and used them for half a year before we started to develop our own software.
Reporter: How long did the loss-in-weight feeder take to develop?
Zheng Jinkang: It should have started in 2011, and the prototype was sold in 2014. It took more than three years.
Reporter: Why did the loss-in-weight feeder take so long?
Zheng Jinkang: loss-in-weight feeder balance is the threshold of the research and development a little lower than the combination scale, but its market entry threshold is higher than combination scale, customers want to buy you this machine, he has too much consideration combination weigher is packing a bag of candy, a bag of peanuts, you have a weight problem, forget it, do it on one side waste if scales are weightless ingredients, is continuous, all day out waste products, it may be one thousand millions, is a big problem, so people buy the machine carefully.
Reporter: I saw the financial report in 2015, loss-in-weight feeder accounted for the proportion is not very high, now?
Zheng Jinkang: Now compared to last year's growth should be 30%, 40%, the first half of the year. It should be in. Sales threshold. We're in.
Reporter: Besides the combination scale and loss-in-weight feeder, the company has also expanded other products. What is the opportunity of launching other products?
Chairman of the Board: This is when the customer buys my combined scale. He often needs to buy the matching scale. If I don't make it, he will go to other places to buy it. Same customers, same technology platform.
On November 6, 2017, Highdream landing capital market, at this time, Zheng Jinkang most want to do is to increase research and development, further improve the quality of products.
Reporter: After the listing, do you have any new plans for the company's business development?
Zheng Jinkang: After the listing, the focus is to put the process, brand up again.
Reporter: before always say a lot of products abroad substitute, does that weigh the market opportunity that also exists abroad substitute?
Zheng Jinkang: Now it is. For domestic factories, most of them must be domestic machines, because foreign machines are too expensive, plus the tariff, and the cost of spare parts for maintenance in the future are very expensive.
Reporter: So your goal is to target alternatives to foreign markets?
Zheng Jinkang: Yes.
Reporter: What confidence does Highdream have in replacing Japanese products in the future?
Zheng Jinkang: In fact, this is a question of whether there is capital. Without capital, it may take ten or twenty years. With capital, it may take three or five years.
Reporter: Is there anything else you'd like to achieve that you haven't?
Chairman of the board: it is the brand, positioning the brand of Highdream in the middle and high end of the world. In foreign countries, in the world, if you want to buy automatic scales, then you think of Highdream, which is a high-end brand,.Like we buying a car, we will think of Mercedes Benz, high-end brand.
- trivia -
Reporter: Now the scale of Haichuan can represent the highest level in China?
Chairman: I should say so, in terms of speed, precision and output.
Reporter: do you have this kind of specificity in your character? Do something to see it through, or is it just a matter of chance?
Chairman: It must be a hobby. Luckily, I like the industry and I can make money there. To enjoy the pleasure is to make a scale that can be used.
Reporter: If I didn't meet scales and did other industries, would it have the same effect?
Chairman of the Board: That is possible, anyway I make scale once like this thing, later I make scale.
Reporter: What's the difference between the scale you make now and the scale you taught in London?
President: It's equivalent to the 1980s when we were doing tractors and now we are doing sports cars.
Reporter: You have been at the forefront of this field?
Chairman of the Board: The combination scale, in China is affirmative.
Reporter: When you started your business, how many hours a day did you work?
Chairman: It should have been ten, eight, no more than ten hours.
Reporter: Do you make time for yourself?
Chairman: Yes, because I think work is a part of life. Anyway, you have a good rest and you are full of energy when you work.
Reporter: can there be occupational disease, can in the life ask to what precision is especially high?
Chairman: I think so, such as the time requirement. Be sure to be on time. I'm very, very sensitive to time.