DJI open its first drone store in China

By Money Times

Nov 18, 2015 06:38 AM EST

World's biggest drone maker, the China SZ DJI Technology Company announced that they are planning to open its first flagship store in China. According to the announcement, the company will open a store in the heart of Shenzhen shopping center as soon as December before the shopping district get busier as customers preparing for a festive season.

Although the amount invested for the new store is kept confidential, according to a source acquired by The Wall Street Journal, the new store will be the biggest investment made by the company. The 8,611 square feet store will showcase the latest drone released by the company.

Besides showcasing its own product from entry level to high-end product, the company will also host an array of other gadgets inside its store including the Osmo robotic selfie stick. Previously most of its sales comes from the online shop and other pop-up shop that they open. With the opening of its own flagship store, DJI is hoping that they will be able to make more sales soon.

Fortune reported that most of the company's sale comes from overseas market including the United States. Its strategy with the China store is to give its consumer the opportunity to interact with the products.

As the company spokesperson said, "We want more people to see and touch our products."

The company declined to comment regarding any possibilities for store expansion in the future according to Ubergizmo. However, the website said that the flagship store will be able to attract lots of customers soon as the store is considered as any hobbyist dream.

DJI Technology is currently valued at $8 billion dollars and one of the company's biggest investor is the venture capital firm known as Accel Partners. The firm invested a total of $75 million in DJI during its early year.

Most of DJI cash flow comes from its own profit and investment as the company did not receive many funding for expansion. However, as competition in the drone market get fiercer with more company offering similar products with lower cost, it gets harder for DJI to compete.

Drone sold by DJI will cost around $4,000 for its high-end Inspire 1, while its most affordable drone, the Phantom 2 is sold at $500 in the US. With the opening of its first store in China, the company will gain the competitive advantage against other rivals in tapping the growing number of drone users in the country as the technology is not yet being popularized there.

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