Core Viewpoint - The article discusses the challenges faced by Nayuki, a prominent player in the new tea beverage industry, highlighting its recent rebranding efforts and the underlying issues of declining performance and market competitiveness [3][5][11]. Brand Rebranding - Nayuki has changed its brand logo and name as part of its "internationalization strategy" for its 10th anniversary, simplifying its name from "Nayuki's Tea" to "Nayuki" and altering its English representation to "Naìsnow" [3][5]. - The rebranding has not been well received by consumers, with negative feedback on social media and a significant drop in stock price, reducing its market value to less than 1% of its peak [5][6]. Financial Performance - In 2024, Nayuki reported revenue of 4.92 billion yuan, a year-on-year decline of 4.7%, and an adjusted net loss of 919 million yuan, with average daily sales per store dropping below 10,000 yuan [5][7]. - Since its IPO, Nayuki has struggled with profitability, only briefly returning to profit in 2023 with a net income of 13 million yuan [5][7]. Operational Challenges - Nayuki's direct sales model, which aims to replicate Starbucks' "third space" experience, has faced severe cost control challenges, with employee costs at 29.2% and raw material costs at 36.8% [7][11]. - The average daily order volume per store has decreased from 363 orders in 2018 to 270 orders in 2024, and the average transaction value has dropped from 32.4 yuan to 26.7 yuan [7][11]. Market Positioning - Nayuki primarily targets women aged 20-35 but faces competition from brands like Chayan Yueshu and Hushang Ayi, which have increased their market share by offering products priced below 10 yuan [7][11]. - The market share of products priced above 30 yuan has fallen to 12%, while those priced between 10-20 yuan account for 58% of the new tea beverage market [7][11]. Competitive Landscape - The new tea beverage industry has entered a phase of rapid expansion, with franchise models becoming crucial for efficiency. Nayuki has only 345 franchise stores compared to competitors like Mixue Ice City, which has 23,000 stores [8][11]. - Nayuki's market presence is diminishing, with a total of 1,798 stores as of the end of 2024, including a reduction of 121 direct stores [8][11]. Strategic Adjustments - Nayuki is attempting to adjust its strategy by closing underperforming stores, launching "Nayuki Green" light food outlets, and lowering franchise investment costs from 980,000 yuan to 580,000 yuan [10][11]. - The company is also exploring international markets, having opened several stores in Southeast Asia, but faces challenges due to limited market capacity and cultural differences in Western markets [10][11]. Industry Trends - The article indicates a fundamental shift in the new tea beverage industry, moving away from capital-driven growth to a focus on efficiency and differentiation [11]. - Brands that fail to establish a unique market position risk being pushed out of the market as competition intensifies [11].

Core Viewpoint - Naixue's rebranding effort, aimed at internationalization, has not resonated with consumers and has led to a decline in market value, reflecting deeper issues within the new tea beverage industry [1][3][9] Financial Performance - In 2024, Naixue reported revenue of 4.92 billion yuan, a year-on-year decline of 4.7%, with an adjusted net loss of 919 million yuan [3] - Since its IPO, Naixue has only briefly returned to profitability in 2023, with a profit of 13 million yuan [3] - The company's market capitalization has plummeted over 93% from 34 billion yuan at IPO to approximately 1.995 billion yuan [6][8] Market Position and Strategy - Naixue's direct sales model, which aims to replicate Starbucks' "third space" experience, has faced significant cost challenges, with employee costs at 29.2% and raw material costs at 36.8% [5] - The average daily sales per store have decreased from 12,700 yuan in 2018 to 8,900 yuan in first-tier cities by 2024 [5] - Naixue's focus on a premium pricing strategy has led to a disconnect with the market, as competitors have successfully captured the lower price segments [5][6] Competitive Landscape - The new tea beverage industry is shifting towards a franchise model, with competitors like Mixue Ice Cream leading with 23,000 stores and a net profit of 4.45 billion yuan in 2024 [6] - Naixue has only 345 franchise stores, significantly lagging behind competitors, and has seen a reduction in direct stores [6][7] - The market is increasingly dominated by brands that offer lower prices and greater efficiency, with Naixue struggling to maintain its market share [8] Brand and Product Development - Naixue's recent rebranding has been criticized for lacking clarity and failing to address underlying performance issues [1][3] - The company is attempting to pivot towards health-oriented products, but faces challenges with high costs and low repeat purchase rates [7] - The introduction of new store formats and reduced franchise fees are part of Naixue's strategy to regain market traction, but their effectiveness remains uncertain [7][9]