Core Viewpoint - Lao Gan Ma has achieved a remarkable revenue recovery, reaching 5.391 billion yuan in 2024, nearly matching its historical peak of 5.403 billion yuan in 2020, despite minimal engagement in social media and live streaming marketing [2][18]. Revenue Recovery - In 2020, Lao Gan Ma's revenue peaked at 5.403 billion yuan, but fell by 20% to 4.201 billion yuan in 2021 due to the pandemic's impact on offline consumption [18]. - From 2022 to 2024, the company's revenue steadily increased from 5.26 billion yuan to 5.391 billion yuan, alleviating market concerns [21]. Marketing Strategy - Lao Gan Ma has adopted a "lying flat" strategy, avoiding regular live streaming and social media updates, relying instead on natural consumer repurchase to maintain online sales [2][24]. - The company has ceased regular updates on its social media accounts since early 2022, with no live streaming activity recorded for over a year [23]. Product Development and Innovation - Despite the lack of marketing noise, Lao Gan Ma continues to develop new products and expand into overseas markets, with a reported 30% growth in its international market in 2023 [24][25]. - The company has introduced over 20 new products since 2020, including various types of chili sauces, while maintaining a focus on its core offerings [27]. Competitive Landscape - In comparison, other brands like Fuling Mustard and Zhongjing Foods have faced challenges in maintaining revenue growth post-pandemic, highlighting the competitive pressures in the condiment market [20][21]. - The emergence of new brands in the low-fat and health-oriented condiment segment poses a challenge for traditional brands like Lao Gan Ma, which have not yet adapted their product lines to these trends [29]. Distribution and Sales Model - Lao Gan Ma employs a large distributor model, allowing regional managers to develop their own distribution channels, which can lead to issues like product "trespassing" [28]. - The company's pricing strategy and low profit margins for distributors necessitate high sales volumes to maintain distributor interest, emphasizing the importance of product demand over marketing efforts [28].

Core Insights - The article discusses the contrasting market performance of two Guizhou-based consumer brands, Moutai and Lao Gan Ma, highlighting Lao Gan Ma's revenue recovery amidst a consumer downgrade environment [4][5]. - Lao Gan Ma's sales reached 5.391 billion yuan in 2024, nearing its historical peak of 5.403 billion yuan in 2020, despite a previous decline due to the pandemic [4][6]. Revenue Recovery - In 2020, Lao Gan Ma's revenue peaked at 5.403 billion yuan but fell by 20% to 4.201 billion yuan in 2021, attributed to the pandemic's impact on offline consumption [6][8]. - From 2022 to 2024, Lao Gan Ma's revenue steadily increased from 5.26 billion yuan to 5.391 billion yuan, alleviating market concerns about its performance [11][12]. Marketing Strategy - Lao Gan Ma has adopted a unique approach by not engaging in regular live streaming or influencer marketing, relying instead on natural consumer repurchase [4][13]. - The brand's social media accounts have been inactive, with no significant online marketing efforts, which contrasts with competitors who heavily invest in e-commerce and live streaming [13][15]. International Expansion - Lao Gan Ma has significantly expanded its international presence, growing from 90 countries in 2019 to 160 countries by 2024, with a 30% increase in overseas market revenue in 2023 [15][16]. - The brand's popularity abroad has surged, particularly among non-Chinese consumers, aided by social media trends and endorsements from international celebrities [16][20]. Product Development - Despite perceptions of stagnation, Lao Gan Ma continues to innovate, developing new products and expanding its product line, which includes over 20 new items since 2020 [18][20]. - The brand's pricing strategy remains competitive, with most products priced around 10 yuan, focusing on volume sales to maintain profitability [20][21]. Market Challenges - The article notes that while Lao Gan Ma has found success, it faces challenges in adapting to changing consumer preferences, particularly the rising demand for healthier options in the condiment market [21]. - Competitors like Hu Bang and Chuan Wa Zi are introducing low-fat and zero-fat products, which Lao Gan Ma has yet to address in its product offerings [21].