Core Viewpoint - The company has successfully navigated through a challenging period and is now focusing on becoming a comprehensive supply chain company that integrates manufacturing, branding, and retailing. Group 1: Company Recovery and Strategy - The company experienced a significant decline in revenue and profit after its peak in 2019, where it became the first in the snack industry to exceed 10 billion yuan in annual revenue [1][42] - A consensus was reached among executives that the company's products were priced too high, leading to a strategic shift towards "high-end cost-effectiveness" [2][14] - The company has successfully utilized platforms like Douyin (TikTok) to boost sales, achieving 2.2 billion yuan in sales in 2023, surpassing Tmall's 1.9 billion yuan [4] Group 2: Organizational Changes and Market Adaptation - The company adopted a "weaker" approach to management, focusing on small changes and empowering teams to make adjustments [11][12] - A new pricing and operational strategy was implemented to enhance competitiveness against lower-priced brands [15][16] - The company is expanding its product range with 33 new proprietary brands across various categories, including pet food and convenience foods [4][28] Group 3: Future Vision and Market Positioning - The founder envisions the company as a "super supply chain" entity that can serve various retail channels and consumer needs [5][17] - The company aims to establish a presence in community retail through convenience stores and lifestyle shops, capitalizing on urbanization trends [19][22] - The company recognizes the importance of adapting to market changes and is committed to continuous innovation and brand development [34][40]

Core Insights - The article discusses the strategic transformation of Three Squirrels as it aims to return to a revenue scale of over 10 billion yuan in 2024, with a focus on full-category and full-channel expansion [2][3] - The CEO, Zhang Liaoyuan, describes 2025 as a "year of rebirth" for the company, emphasizing the need for brands to navigate the challenges of diminishing traffic dividends and intensified competition [2][3] Strategic Transformation - Three Squirrels has submitted an application for a dual listing on the Hong Kong Stock Exchange, marking a shift from an e-commerce model to a "manufacturing-oriented private brand retailer" [3] - The company aims to create a "super supply chain" that integrates manufacturing, branding, and retail, thereby shortening the delivery chain and providing consumers with high-quality and affordable products [3][4] Market Position and Financial Performance - In 2024, Three Squirrels reported a revenue of 10.622 billion yuan, a year-on-year increase of 49.3%, and a net profit of 408 million yuan, up 85.51% [3] - The company anticipates that 2025 will be a pivotal year for many traditional brands, with a shift in competition from price to innovation [4] Channel and Product Expansion - Three Squirrels is expanding its product offerings to include various sub-brands such as pet food, pre-packaged meals, and beverages, with plans to launch 33 sub-brands [7] - The company is also focusing on offline sales, which accounted for 30% of total revenue in 2024, with a significant increase in offline distribution revenue [9][10] Challenges and Opportunities - The company faces challenges in diversifying its product categories while maintaining brand recognition, as consumers may associate the brand primarily with nuts [7][8] - The offline market presents a significant growth opportunity, with Three Squirrels aiming to double its offline distribution by 2025 [9][10] Future Plans - Three Squirrels plans to open 20 new stores for its all-category lifestyle brand by 2025, indicating a shift in its offline store strategy [11] - The company is also exploring partnerships and acquisitions to enhance its market presence and operational efficiency [5][10]