Juewei Food (SH:603517) 3 6 Ke·2025-10-31 05:17Core Insights - The core issue facing the company is a significant decline in revenue and profit, with a 15.57% decrease in revenue and a 40.71% drop in net profit in the first half of 2025 compared to the previous year [1][11] - The company has closed over 4,000 stores, reducing its total from approximately 16,000 to about 10,800 [1][11] - The competitive landscape in the marinated food sector is intensifying, leading to a slowdown in market growth as consumer spending becomes more cautious [1][10] Business Model Transformation - The company has launched a new "supermarket-style" store in Changsha, which integrates retail and dining functions, moving away from traditional weight-based pricing to a "one-price" model [1][4] - The new store features a diverse product range, including over 90 SKUs, with snacks now surpassing marinated products in sales proportion [3][4] - The operational model emphasizes trust, short shelf life, and immediate purchase, with a focus on fresh, made-on-site juice beverages [5][6] Market Position and Strategy - The new store format represents a strategic shift from community marinated food shops to a supermarket retail model, aiming to expand consumption scenarios beyond late-night snacks to include casual snack shopping [7][8] - The company aims to reshape brand perception by moving from a focus solely on marinated products to a more transparent pricing and convenient packaging approach [8][9] - The transformation is seen as a necessary response to declining sales and increased competition, with the company betting on this new model for future growth [9][14] Industry Context - The marinated food market is experiencing a shift from explosive growth to a more competitive, stagnant environment, with major players like the company facing revenue declines [10][11] - Consumer sensitivity to pricing is increasing, with a notable shift towards lower-priced options in the marinated food sector [12][13] - The company's new pricing strategy in the supermarket aims to address consumer concerns about high costs and improve overall customer experience [14][16] Future Outlook - The new supermarket model is expected to provide new revenue growth opportunities and enhance operational efficiency [16] - If successful, this model could help the company shed its negative reputation and build brand trust through fresh, high-quality offerings [16][17] - The company's ability to compete effectively in the marinated food and snack sectors will depend on its operational efficiency, product management, and customer experience [18][19]