Xianghuanji.com
Platform for the financial leasing of electronics .
| Date | Investors | Amount | Round |
|---|---|---|---|
| investor | €0.0 | round | |
| N/A | €0.0 | round | |
| investor investor | €0.0 | round | |
* | $8.5m | Series B | |
| Total Funding | 000k | ||
Xianghuanji.com, which translates to "Enjoy Changing Phones," operates as a credit-based rental platform for digital products in China. The company was established as an independent project incubated by the major electronics recycling platform "Aihuishou" (爱回收) in late 2016 and began independent operation as a subsidiary in July 2017. The venture was spearheaded by CEO Wang Sibao, who identified several key market trends based on phone recycling data: shortening device usage cycles, rising handset costs, and a growing acceptance of subscription-based models among younger consumers.
The core of Xianghuanji's business is a "lease-to-own" model for smartphones and other electronics, promoting a consumption philosophy of "paying for usage, not for residual value." Clients, primarily individual consumers, can rent a new or pre-owned device by paying a monthly fee. This model leverages credit assessments, often in partnership with services like Ant Group's Zhima Credit and Huabei, to allow users to rent devices with no cash deposit, instead freezing a credit limit. At the end of the lease term, customers have the flexibility to return the device and upgrade to a new one, continue renting, or purchase the device outright.
Revenue is generated through these monthly rental payments. The company's strategic partnership with its parent, Aihuishou, provides a critical advantage in managing the lifecycle of the devices. Aihuishou's extensive experience in electronics recycling and resale allows Xianghuanji to accurately predict the residual value of phones at the end of a lease, enabling competitive rental pricing. This synergy also facilitates the efficient disposal and refurbishment of returned devices. To enhance customer experience and retention, Xianghuanji has expanded its offerings beyond hardware to include a suite of value-added services such as on-site repairs, data backup, and mobile plan bundles. The company has secured significant funding, including a Series A round of 110 million RMB in late 2017 and a subsequent A+ round of 150 million RMB in April 2018, to fuel its expansion.
Keywords: phone rental, electronics leasing, consumer electronics, credit rental, subscription service, circular economy, product-as-a-service, gadget rental, smartphone leasing, Aihuishou, pay-for-use, mobile device rental, rent-to-own electronics, China, Wang Sibao, asset lifecycle management, electronics subscription, digital product rental, Zhima Credit, Ant Group