In December 2022, prefabricated building one-stop delivery platform Dalezhuang announced that it had received nearly 100 million yuan in Series B financing . This round of financing was led by Shenqi Capital (58 Industry Fund), followed by Bell Ding Capital and several industrial capital . Huaxing Capital served as the exclusive financial advisor. Dalezhuang was founded in July 2020. It had previously completed angel round, angel + round and Pre-A round financing in August, September 2020 and August 2021 respectively.
Dalezhuang pioneered the "finished product e-commerce" transaction model in the prefabricated industry. Taking design-driven standardization as the entry point, it created an industrial PaaS system to connect the whole process of "design-quotation-production-delivery" to achieve a one-stop delivery experience for prefabricated buildings.
The prefabricated construction industry is in urgent need of change
The "Digital Construction Development White Paper (2022)" released by China Academy of Information and Communications Technology shows that , the construction industry, as the most traditional and ancient industry with the largest proportion of GDP, the highest proportion of carbon emissions, and an online rate of less than 0.7% of the entire industrial operation process, is in urgent need of industrial transformation and upgrading; and the proportion of the cake of prefabricated segmentation in the traditional construction industry is increasing year by year. Driven by strong policies, labor structure changes and dual carbon targets, the industry scale has reached trillions, and is still growing at a high speed.
At present, industry experts agree that the industry chain presents a backward customized handicraft industry, facing many problems such as high costs, low efficiency, uncontrollable quality, and complex process collaboration. Practitioners have always been looking forward to "building a house like putting together Lego".
pioneered the finished product e-commerce transaction model
It is understood that Daluezhuang is a An industrial Internet company committed to "driving the industrialization of the construction industry with digitalization", in addition to deploying several component collaborative production factories in the Greater Bay Area, it also connects the entire chain from prefabricated building design to production through the digital product matrix of cloud collaboration, providing customers with a one-stop delivery experience for prefabricated buildings.
Liu Hui, founder and CEO of Dalezhuang, said that on the design side, Dalezhuang has self-developed a cloud-native design engine and an intelligent BOM calculation and quotation system. Cloud login does not require downloading and installation. AIGC generates architectural plan design results in a fool-proof manner. Intelligent recommended standard components, similar to "Figma" in the prefabricated design industry, can complete a month's workload of a traditional team in just half a day, reducing the overall cost of a single project by 10% to 20%; while improving the work efficiency of designers/ estimators, it also increases the standardization rate at the starting point of the industrial chain, allowing the supply chain side to significantly reduce costs and improve efficiency.
Dalezhuang intelligent solution design system
On the supply chain side, uses APS scheduling and order splitting technology to merge components across projects Standard categories are matched according to optimal efficiency and assigned to different factories. The entire supply chain process is digitally scheduled and managed, changing the original supply chain connection mode from linear to mesh, greatly reducing non-material costs such as plant/equipment/management amortization, achieving large-scale and continuous production, and realizing network collaboration based on digital intelligence.
On the delivery side, is similar to e-commerce platforms such as Taobao. It provides Party A with the "Party A Assistant" applet, which can be used online in real time on a mobile phone to query the entire process from component production to transportation. Each component has its own code, and the quality traces throughout the entire process are traceable and can be inspected remotely. It also provides multi-role collaboration based on drawings.
Daluezhuang's vertical track is a fully closed-loop PaaS digital base. connects the entire "design-quotation-production-delivery" process and can empower upstream and downstream partners in the industry chain.
On the transaction model side: Dalezhuang has created the "Amazon" of the prefabricated construction industry, changing the industry's traditional square meter pricing model, upgrading the traditional 4-6 month delivery cycle of prefabricated buildings to 72-hour shipment of standard components, completing the industry's transformation from handicrafts to industrialization.
Dalezhuang official website (www.dalezhuang.com)
As of 2022, Dalezhuang has completed the signing of nearly 400 million yuan in component delivery contracts and has served more than 60 real estate projects. Daluezhuang's current profits come from the sales of prefabricated components, collaborative factory empowerment service fees, assembly design and software services. Customers include developers, general contractors, designers, industry chain ecological partners, etc.
Internal information shows that Daluezhuang’s core founding team has a strong lineup, consisting of many of the country’s first batch of senior industry experts in prefabricated construction and cross-border Internet technology talents. Founder and CEO Liu Hui received a master's degree in architecture from the University of Pennsylvania after graduating from the junior class. She had previously worked for the only two listed companies in this field (Broada Housing and Zhuyou Intelligent Manufacturing) and held senior management positions.
Liu Hui also said that since its establishment, Daluezhuang was born in the epidemic and grew up in the epidemic, but "crisis gives birth to great enterprises." Daluezhuang will continue to be committed to "standardization of design through AIGC + reconstruction of industrial chain structure + fully closed-loop PaaS digital system" to subversively achieve industrial cost reduction and efficiency improvement, and transform the handicraft industry form that is still stuck in the agricultural civilization period into a new intelligent business form with the three concurrent waves of digitalization/standardization/industrialization.
Investor perspective
The lead investor in this round 58 Group CFO and 58 Industry Fund management partner Liang Mingshu said:
We believe that the Internet is slowly but surely penetrating into the heavy industry track from consumer Internet to light industry industry Internet. In the future, the industry's demand for information collaboration will definitely further increase, and the number of companies that provide more reasonable delivery processes for upstream and downstream companies will also increase. We believe that the "finished product e-commerce" transaction model exclusively proposed by Dalezhuang in the prefabricated industry has the opportunity to reconstruct the industry. We hope that the field of prefabricated construction and the online and offline integration capabilities developed by Dalezhuang can create synergy with our advantages and jointly promote new changes in the traditional and ancient offline industry of the construction industry.
Early investor Tang Tao said:
We have always believed in the inevitability of AI replacing humans in completing heavy and complex labor. Dalezhuang's intelligent design software allowed me to see the huge development potential of AI in the prefabricated construction industry. The Dalezhuang team led by Liu Hui has deep industrial insights and strong digital capabilities. They proposed the "cloud design + cloud factory" model and carefully built a cloud-native design engine and a PaaS-level industrial digital base. The cost reduction and efficiency increase brought by the cloud factory have actually taken place. In the past year, Daluezhuang was able to maintain rapid business growth during the epidemic, proving that the direction is correct. The digital supply chain can link various roles in the industry, allowing the industry to transform from fragmentation in the past to a closed loop. In the context of my country accelerating the pace of carbon neutrality and , the traditional construction industry, as a high-carbon emission industry, will be replaced by more advanced prefabricated buildings. As the first team to delve deeply into the digitalization of prefabricated buildings, Dalezhuang will surely usher in faster and better development.
Xu Kun, managing director of China Renaissance Investment Banking Division and head of the Intelligent Enterprise Service Group, said:
Carbon neutrality and carbon peak are national themes. The construction industry is the core industry to achieve the dual carbon goals, and prefabricated buildings are an important path for technological change in the traditional construction industry and the achievement of the national dual carbon goals. The trillion-level market breeds huge opportunities. We are very happy to see Daluezhuang transforming the traditional supply chain from the perspective of prefabricated building industrialization and AIGC tool group empowerment, opening up the entire chain of AI solution design, BOM calculation and quotation, component intelligent production, etc. in one stop, providing one-stop intelligent solutions from upstream design to downstream manufacturing and delivery. We are honored to help the company complete a new round of financing and hope that the company will continue to develop rapidly and become the world's leading prefabricated construction technology platform.
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