Investment Rating - The report indicates a positive investment outlook for the bird's nest industry, highlighting its growth potential and market expansion opportunities. Core Insights - The bird's nest industry is transitioning from a luxury product to a more accessible daily health supplement, driven by diverse consumer scenarios and innovative product forms. The market is expected to grow significantly due to structural expansion of consumer demographics and product innovation. Industry Overview - Bird's nest, made from the saliva of the swiftlet, is a high-end health supplement primarily produced in Indonesia and consumed in China, which accounts for over 80% of global consumption. The nutritional benefits include immune enhancement and metabolism promotion [4][5]. - The market size of China's bird's nest industry is projected to grow from 242.22 billion RMB in 2020 to 421.24 billion RMB by 2024, with a compound annual growth rate (CAGR) of 14.6% [36][37]. Industry Characteristics - **Diverse Consumption Scenarios and Product Innovation**: The consumption of bird's nest has expanded beyond traditional gifts and high-end supplements to include daily health, beauty, and maternal care. Product forms are evolving towards convenience, such as ready-to-eat and fresh-cooked options [15][16]. - **Standardized and Intelligent Production**: The industry is moving towards standardized production processes, with stricter regulations enhancing product quality control. Leading companies are adopting automated production lines to improve efficiency [17]. - **Integrated Industry Chain and Channel Fusion**: The industry is experiencing a shift from fragmented operations to integrated supply chains, with a focus on brand building and channel expansion. Online and offline sales channels are increasingly merging [18]. Market Development History - The bird's nest market in China began in the 1990s, facing challenges due to a lack of regulation and quality control. The "blood nest" incident in 2011 led to a comprehensive import ban, prompting the establishment of a traceability system and a new regulatory framework [19][22]. - From 2014 onwards, the market entered a rapid growth phase, with the introduction of ready-to-eat products and the rise of e-commerce platforms, significantly broadening the consumer base [20][23]. Industry Chain Analysis - **Upstream**: The supply of bird's nest is heavily reliant on imports from Malaysia and Indonesia, with a focus on standardization and quality control. As of 2024, 127 overseas bird's nest production enterprises are registered with China's customs [24][27]. - **Midstream**: Companies are shifting from traditional pure bird's nest products to high-value "bird's nest+" products, such as bird's nest porridge and beverages, to drive growth [25][31]. - **Downstream**: The consumer market is characterized by increased traceability awareness and diverse sales channels, with online sales accounting for approximately 45% and offline sales 55% [26][35]. Competitive Landscape - The bird's nest industry is marked by increasing brand concentration and intensified competition. Leading brands like Yan Zhi Wu and Xiao Xian Dun dominate the market, while smaller brands focus on e-commerce and niche marketing [44][45]. - The competitive dynamics are shaped by the scarcity of imported raw materials and the high stability requirements of the supply chain, creating significant barriers to entry for new players [45][46]. Future Outlook - The industry is expected to continue its trend towards high-end concentration and channel diversification, with leading brands enhancing their supply chain control and marketing strategies to maintain competitive advantages [46].