BYD(SZ:002594) Soochow Securities·2025-04-23 13:02Investment Rating - The industry investment rating is "Add" (maintained) [1][89] Core Insights - The report analyzes the characteristics of "New Consumption," which includes the formation of new consumption habits and the breaking of new brands into mainstream markets [3][6] - Key features of new consumption include "word-of-mouth" marketing, tradability, and the ability to create memes [20][30] - The report emphasizes the importance of understanding the "emotional value" that young consumers seek, particularly their desire for "voice" and "aesthetic rights" [47][48] - The selection criteria for a "New Consumption ETF Index" focus on the formation of new consumption habits and the breaking of new brands, with a notable emphasis on Hong Kong stocks over A-shares [49][52] Summary by Sections New Consumption Characteristics - New consumption is characterized by the formation of new habits and the breaking of brands into wider markets, with examples including collectible toys and branded pet food [8][9] - The report highlights the rapid increase in retail penetration of new energy vehicles, which rose from 5.8% in 2020 to 47.6% in 2024 [14][16] - The emotional value sought by young consumers is crucial for investment in new consumption, with a focus on brands that provide aesthetic and communicative power [48][49] New Consumption Index Selection - The index pool for new consumption should consider both the formation of new consumption habits and the breaking of new brands, with a preference for stocks with significant market capitalization [51][52] - The report identifies specific sectors such as collectibles, beauty and personal care, ready-to-drink tea, new energy vehicles, pet products, emerging toys, new home appliances, medical beauty, and bulk snacks as key areas of focus [53] Sector Analysis - Collectibles: Brands like "Old Shop Gold" and "Pop Mart" exemplify the characteristics of new consumption, with strong trading and meme-creating potential [58] - Beauty and Personal Care: Brands like "Maogeping" and "Ruyuchen" are highlighted for their strong market presence and rapid growth [61] - Ready-to-Drink Tea: The market is dominated by brands like "Mixue" and "Guming," which are experiencing significant growth [66] - New Energy Vehicles: Brands such as "Li Auto" and "Xpeng" are emerging as leaders in this rapidly growing sector [69] - Pet Products: Companies like "Guibao Pet" and "Zhongchong" are capitalizing on the strong social attributes of pet ownership [71] - Emerging Toys: Brands like "Blok" and "Aofei Entertainment" are noted for their strong market presence and social engagement [73] - New Home Appliances: Companies like "Anker Innovation" and "Ninebot" are leading in innovative home appliance solutions [76] - Medical Beauty: Brands like "Jinbo" and "Juzi" are noted for their innovative products and market growth [79] - Bulk Snacks: Companies like "Wancheng Group" and "Salted Fish" are rapidly expanding their market presence [82]