突发！开业仅9个月，这一品牌12月中旬将全部关闭

Core Insights - The pet retail brand "Paiteshengsheng," founded by Hou Yi, is facing significant operational challenges, leading to the decision to close all physical stores by mid-December 2023 while maintaining online operations [2][6]. Group 1: Company Overview - "Paiteshengsheng" was launched in February 2023, with plans to open 100 stores in Shanghai, focusing on new retail, discounting, and pet-owner social interactions [3][4]. - The brand raised $25 million in angel funding in May 2023, aiming to innovate product offerings and enhance supply chain operations [3]. Group 2: Store Performance - As of November 2023, out of over 10 stores, 7 have already been reported as closed or paused operations due to low customer traffic and poor sales performance [2][4]. - The first store, located in Changning, is still operational but is experiencing low foot traffic and is offering significant discounts [6]. Group 3: Market Context - The pet retail market in Shanghai has seen a growth in pet-friendly shopping spaces, with a reported 2.1% of new retail space dedicated to pet services in 2022 [8]. - The overall pet economy in China is projected to exceed 300 billion yuan by 2024, with a 7.5% growth in urban pet consumption [8]. Group 4: Challenges and Considerations - The business model of "Paiteshengsheng" has faced criticism for not adequately addressing the dietary needs of pets, as it adopted a fresh food retail model similar to that of Hema, which may not be suitable for all pets [9]. - High operational costs, including rent and labor, along with competition from e-commerce, have posed significant challenges for physical retail stores [9].