Core Insights - The "My Store" model is not late to enter the market; it is considered a golden opportunity for capturing market share as many physical store owners are transitioning to this model [1][3] - The model helps businesses reduce costs associated with traditional platforms, which charge high commissions and have low customer retention rates [3][5] - Government policies are now supporting digital transformation with significant subsidies, making it an opportune time for businesses to adopt the "My Store" model [3][5] Industry Challenges - Physical stores face high commission fees from mainstream platforms, ranging from 15% to 25%, which can significantly cut into profits [3] - Customer retention is low, with only 12% of customers returning after their first purchase [3] Government Support - The government has allocated 30 billion yuan in subsidies to support digital transformation, with individual businesses eligible for up to 500,000 yuan [3] Market Potential - There are approximately 8 million physical stores in China, with less than 5% currently using the "My Store" model, indicating a vast untapped market [7] - The local life services market is valued at 14 trillion yuan, with the "My Store" model currently capturing only a few hundred billion yuan [7] Business Model Advantages - The "My Store" model allows businesses to attract customers without paying franchise fees or deposits, only needing to allocate 3% to 20% of profits for customer acquisition [5] - The model aligns with national "green points" policies, ensuring compliance and safety while benefiting from policy incentives [5] Implementation Strategy - Companies can become "platform leaders" by investing 300,000 to 500,000 yuan in a mature system for points management and user profiling [10] - Initial steps include partnering with high-frequency stores and offering promotional activities to build a customer base [10] Competitive Landscape - Major investment firms like Sequoia and Hillhouse have invested 50 billion yuan in this sector, indicating strong interest and competition [7] - The traditional platforms' high commission rates and low customer retention create a favorable environment for the "My Store" model to thrive [12]