Core Insights - The rapid growth of the bulk snack retail sector in China is shifting towards a focus on "quality-price ratio," reflecting changing consumer preferences for products that balance quality and affordability [3][12]. Industry Overview - The hard discount retail model, successfully implemented by companies like ALDI, LIDL, and Costco, emphasizes supply chain optimization, private label products, and cost control to benefit consumers with lower prices [5][12]. - The hard discount retail sector in China is projected to grow from approximately RMB 236.2 billion in 2024 to RMB 1,013.8 billion by 2029, with a compound annual growth rate of 33.8% [12]. Company Strategy - Wanchen Group, the only listed company in the bulk snack sector, is pursuing a unique path tailored to the Chinese market, focusing on a diverse product range and rapid product updates [6][9]. - The company operates over 15,000 stores, with more than 99% being franchise locations, allowing for rapid market penetration and reduced financial pressure [9][11]. - Wanchen's dual-brand strategy includes "Good Value" for cost-sensitive consumers and "Good Selection" for quality-focused customers, enhancing brand recognition and catering to different market segments [11][12]. Operational Efficiency - The company has implemented a centralized procurement system, sourcing approximately 95% of its products directly from brand owners, which reduces costs and optimizes the supply chain [6][12]. - Wanchen's digital systems support over 15,000 stores, enhancing operational efficiency through data-driven decision-making and real-time monitoring of store performance [13][15]. Customer Engagement - Wanchen has successfully converted offline traffic into online membership, with over 150 million registered members and a significant contribution to the company's GMV [17][18]. - The company has developed a private membership program that enhances customer loyalty and engagement, with active members showing high purchase frequency [17][18].
万辰集团递交招股书：“质价比”趋势下，价值零售如何突围？