Three Squirrels(SZ:300783) Nan Fang Du Shi Bao·2025-05-15 12:05Core Viewpoint - Three Squirrels has re-entered the pet food market with the launch of its new pet brand "Gold Medal Dad," offering a range of products including cat and dog food, snacks, and supplies, indicating a strategic pivot towards the growing pet economy in China [2][3][5] Company Summary - Three Squirrels previously ventured into the pet food sector in 2017 and established a wholly-owned subsidiary, Anhui Raised a Hairy Child Pet Food Co., Ltd., in 2020, creating its own brand "Raised a Hairy Child" [3] - In 2022, the company transferred the brand trademark to Shanghai Qixiang Enterprise Consulting Co., Ltd., which was seen as a strategic retreat from the pet food market due to business considerations [5] - In January 2023, Three Squirrels announced the establishment of Anhui Three Squirrels Pet Food Co., Ltd. to incubate the new brand "Gold Medal Dad," demonstrating renewed confidence in the pet economy [5][7] Product Launch and Market Position - The "Gold Medal Dad" brand has launched various products, including freeze-dried dog food and cat food, with a notable price point of 58.125 yuan/kg for its baked cat food, achieving over 6,000 sales [7] - The brand's Tmall flagship store has attracted nearly 14,000 followers, indicating a positive reception in the market [7] Industry Context - The pet economy in China is experiencing significant growth, with the market expected to exceed 300 billion yuan by 2024, driven by a 7.5% increase in urban pet consumption [9][10] - Major pet companies have reported record-breaking performances, with Petty Co. achieving its highest net profit in nearly a decade and other companies like Zhongchong Co. and Guibao Pet reaching historic revenue milestones [9] - Over 30 leading companies from various sectors, including food and beverage, pharmaceuticals, and retail, are entering the pet market, reflecting a broader trend of diversification into the pet economy [10] Competitive Landscape - The domestic pet industry is still in its developmental phase compared to international markets, with many companies relying on overseas operations for initial revenue [12] - The competitive landscape is intensifying, with both new and established brands vying for market share, necessitating innovation and differentiation strategies to succeed [13] - The pet food and supplies sector is characterized by a mix of foreign brand dominance and local enterprise participation, leading to a diverse and competitive market environment [13]