Core Insights - The main focus of Taogongchang is to deepen its engagement with 100 core industrial belts by enhancing efficiency and maintaining quality, with specific criteria for selection including category matching, efficiency, market share, and consumer adaptability [1][2] - Taogongchang aims to shift from a diversified supply strategy to a more focused approach, emphasizing certainty and rapid product explosion within selected industrial belts [2][3] - The company has experienced significant growth, with over 200% increase in buyer-side users and over 120% growth in GMV and order volume during the 2024 Double Eleven shopping festival [2] Company Strategy - Taogongchang is adopting a three-step approach to identify and operate core industrial belts, focusing on high market share and representative belts, high-growth categories, and leveraging AI and marketing capabilities for rapid product launch [3][4] - The company has defined quality standards for 150 categories and launched the "Guohuo Yanquan" platform, which has quickly developed into a platform with a transaction scale of 100 billion [2][3] Challenges and Opportunities - Despite the growth, industrial belt merchants face challenges in marketing capabilities, new channel access, and operational efficiency, which hinder their ability to convert production advantages into consumer recognition [4][5] - Taogongchang's platform offers a semi-managed model that simplifies operations for factory-type merchants, allowing them to focus on production while the platform handles marketing and logistics [5] Incentives and Future Plans - A new three-month incentive policy has been announced to lower operational costs, improve efficiency, and enhance the operational experience for merchants, aiming to attract more participants and meet consumer demands during the upcoming Double Eleven [5]

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