Core Viewpoint - The coffee brand 85°C is facing significant challenges, including store closures and declining consumer traffic, particularly in the mainland China market, despite some locations still operating normally [2][4][8]. Group 1: Store Operations - The last 85°C store in Tianjin has posted a closure notice, while the Hangzhou Chaohui store remains operational with fresh baked goods available for purchase [2][4]. - Staff at the Hangzhou store confirmed that there are no plans for closure, although consumer traffic has noticeably decreased due to intense competition in the bakery sector [4]. - A search on popular review platforms revealed multiple 85°C locations in Hangzhou are closed, indicating a trend of store closures across the region [6]. Group 2: Company Background and Financial Performance - Founded in 2004 in Taiwan, 85°C gained popularity with its affordable premium coffee strategy, surpassing Starbucks in market share in Taiwan [9]. - The company expanded into mainland China in 2007, experiencing rapid growth with nearly 100 new stores annually, peaking at 475 stores in 2014 [9]. - However, the parent company, Gourmet-KY, reported a loss of approximately 200 million New Taiwan Dollars (around 46 million RMB) for the first half of 2024 in mainland China, with projections indicating potential losses exceeding 400 million New Taiwan Dollars (over 93 million RMB) by 2025 if operational adjustments are not made [11].

Core Insights - The article discusses various trends and developments in the baking industry, highlighting the challenges and opportunities faced by bakeries in the current market environment [20]. Group 1: Industry Trends - The opening of the Haidilao bakery is noted, emphasizing its low-cost offerings and potential to attract a new customer base through the "poor-friendly bread" concept [1]. - A significant influx of foreign tourists in China has led to a surge in demand for specific types of bread, indicating changing consumer preferences [2]. - The article mentions a closure trend among 100,000 bakeries, prompting an exploration of what successful shops are doing right to remain profitable [4]. Group 2: Innovations and Techniques - The article discusses the competitive landscape regarding ingredient transparency, particularly following the discontinuation of sodium dehydroacetate [5]. - It provides insights into the overnight refrigeration method, which bakers find both beneficial and challenging, offering tips for achieving time efficiency [6]. - The article highlights the advantages of mastering frozen baking techniques, which can significantly enhance operational efficiency and revenue [7]. Group 3: Expert Insights - The article features interviews with industry veterans and champions, sharing their experiences and strategies for success in the baking sector [20].