Core Viewpoint - The company, 十月稻田, is poised for significant growth driven by health and convenience food trends, with strategic initiatives in product diversification and channel expansion [1] Financial Performance - For the third quarter of 2025, the company expects revenue to be approximately RMB 1.74 billion to RMB 1.82 billion, representing a year-on-year growth of about 25.7% to 31.5% compared to the third quarter of 2024 [1] - The operating profit for the same period is projected to be around RMB 135 million to RMB 150 million, reflecting a year-on-year increase of approximately 71.5% to 90.5% compared to the third quarter of 2024 [1] Strategic Initiatives - The company is focusing on a "main food + leisure food" strategy, enhancing brand momentum through integrated marketing activities during the "new rice season" [1] - There is an accelerated expansion into modern supermarket systems and direct customer channels, along with a strategic layout for instant retail platforms to seize market opportunities and drive sustained growth [1]

Core Insights - The article highlights the significant challenges faced by distributors in the beverage industry, particularly in terms of declining revenue and profit margins from 2023 to 2025. It emphasizes the need for adaptation and transformation in business models to navigate these changes effectively. Revenue Trends - In the first half of 2023, 60.6% of distributors reported a decline in revenue compared to the same period in 2022, with the figures expected to improve slightly to 58.7% in 2024 and 37% in 2025 [2] - The data indicates that the most significant impact on revenue occurred between 2023 and 2024, largely due to the disruption of traditional distribution channels by new retail formats [4] Profit Trends - The proportion of distributors experiencing profit declines was 51.7% in 2023, increasing to 63.3% in 2024, and slightly decreasing to 56.3% in 2025 [3] - This trend underscores the widespread nature of profit erosion among distributors, necessitating a reevaluation of business strategies [4] Business Transformation - The case of Haocun Special Trade illustrates a successful transformation from a traditional distributor to a more diversified business model, focusing on multiple product categories and channels [7][12] - Key strategies included expanding product categories, establishing a B2B platform, and entering the instant retail market, which collectively helped stabilize the business [8][20][36] B2B Development - Haocun Special Trade's B2B initiative aims to shift from a wholesale mindset to a platform-based approach, addressing the challenges of integrating traditional distribution with digital solutions [21][24] - The company plans to achieve a B2B scale of approximately 12 million in 2023, focusing on structural health rather than just size [33] Instant Retail Strategy - The company has established seven instant retail stores in 2024, adopting a "light asset, self-operated" model in collaboration with Meituan to enhance market presence [36][40] - The expected sales for instant retail are projected to reach 10 million in 2024 and 15 to 20 million in 2025, emphasizing the strategic importance of this segment for market positioning rather than immediate profit [40] Industry Evolution - The article concludes that the role of distributors is evolving from mere sellers to operational nodes that connect brands with consumers, highlighting the importance of self-selling capabilities and data collection [42] - This shift reflects a broader trend in the industry where the focus is on operational efficiency and consumer engagement rather than traditional distribution metrics [42]

Core Viewpoint - The article discusses the practice of mandatory product bundling by manufacturers in both the luxury goods and fast-moving consumer goods (FMCG) industries, highlighting the implications for distributors and the evolving market dynamics [2][6][10]. Luxury Goods Industry - In the luxury goods sector, it is common for customers to be required to purchase additional products to gain access to desired items, such as Hermes bags [2][4]. - This practice is rooted in the scarcity of luxury products, where limited quantities are allocated to each store, necessitating a bundling strategy to prioritize access [2][12]. - The perception of fairness regarding this practice is largely unchallenged within the industry [5]. Fast-Moving Consumer Goods (FMCG) Industry - In the FMCG sector, mandatory product bundling is also prevalent, particularly among leading brands and their best-selling products [6][7]. - Manufacturers justify this practice by citing the need to balance market demand across regions and to promote new products alongside established ones [6][12]. - Distributors have mixed reactions, with some accepting minor bundling while others express frustration over receiving unsellable products [8][9]. Market Dynamics and Challenges - Recent trends indicate a growing discontent among distributors regarding mandatory bundling, particularly as demand for best-selling products declines [10][12]. - The oversupply of products and decreasing consumer demand have eroded the unique advantages of leading brands, making mandatory bundling more contentious [12]. - Brands may bundle slow-moving products with popular items to manage excess inventory and maintain a balanced product line, but this can strain distributor relationships and impact sales performance [12][14]. Financial Implications for Distributors - Mandatory bundling can lead to increased inventory pressure for distributors, tying up capital and complicating cash flow [14]. - The challenge of selling non-popular products may require additional promotional efforts, which can diminish overall profitability [14]. - Distributors are encouraged to assertively refuse unreasonable bundling demands to protect their business interests and maintain market confidence [16][17][19].