Group 1: Beverage Market Dynamics - The beverage market is undergoing intense adjustments, with Danone reporting a 9.9% year-on-year sales growth in its China, North Asia, and Oceania region, reaching €936 million (approximately RMB 7.776 billion) in Q1 2025 [1] - Danone's water and beverage segment in the CNAO region saw a 10.2% increase in sales to €176 million (approximately RMB 1.462 billion), with the majority of revenue coming from the "Pulse" brand [1] - Eastroc Beverage's electrolyte water product "Bushi La" experienced a remarkable 261.5% year-on-year sales growth, reaching RMB 570 million in Q1 2025, with an annual target of RMB 3 billion [2] Group 2: Competitive Landscape - The packaged water market, a key segment for major players, is contracting, with Nongfu Spring reporting a 21.3% decline in revenue to RMB 15.95 billion in 2024, reducing its market share from 47.5% in 2023 to 37.2% [3] - China Resources Beverage's revenue from packaged water also fell by 2.6% to RMB 12.124 billion in 2024, with a significant decline of approximately 8.7% in the second half of the year [3] - Other beverage categories are helping to offset losses, with Nongfu Spring's tea beverage revenue increasing by 32.3% to RMB 16.75 billion, now accounting for 39.0% of total revenue [4] Group 3: Strategic Shifts - Beverage giants are increasingly focusing on multi-category development in response to market changes [5]

Core Viewpoint - The article discusses the launch of the first handmade store by the baking giant Lukxihe in Nanjing, highlighting a shift towards a fully fresh-baked production model, which contrasts with their traditional factory-plus-store approach [2][11]. Company Summary - Lukxihe's new handmade store is located in Nanjing's Xinjiekou and features a production model where all products are freshly baked on-site, differing from their previous model where some items were produced in a central factory [2]. - The store retains popular items like meat floss cakes and egg tarts but introduces new products aimed at younger consumers, such as croissants and butter rice cakes [9]. - Pricing for popular items includes egg tarts at 8.9 yuan, croissants at 12.9 yuan, and butter rice cakes at 16.9 yuan, maintaining a mid-range pricing strategy [9]. Industry Summary - The handmade baking segment is emerging as a new trend in the baking industry, driven by intense market competition and a recent industry reshuffle since 2024, which has seen many once-popular brands decline [11]. - The rise of handmade stores is seen as a differentiation strategy for brands in a competitive environment, as traditional brands face challenges in maintaining market presence [11]. - Other brands, such as Youhe and Shitou Xiansheng, are also adopting similar handmade and fresh-baking models, indicating a broader industry shift towards this approach [9][11].