Core Viewpoint - Shanghai Laiyifen Co., Ltd. is transitioning its store model from version 1.0 to 2.0, expanding store sizes and enhancing consumer experience to adapt to market competition and changing consumer preferences [2][3]. Group 1: Store Transformation - Laiyifen's 1.0 stores are approximately 30 square meters, while the new 2.0 stores will range from 80 to 120 square meters [2]. - The company plans to introduce various store types, such as Laiyifen Life and Laiyifen Mall, to cater to different consumer scenarios [2]. - The Laiyifen Life stores will be larger (≥100 square meters) and offer a wider range of products, focusing on community life characteristics [3]. Group 2: Operational Efficiency - Laiyifen currently operates 70 Laiyifen Life stores, which have improved operational efficiency and reduced fixed cost allocation through enhanced product display and increased repurchase rates [3]. - The company aims to adjust the structure of its direct and franchise stores, increasing the proportion of franchise stores [3]. - As of the end of 2024, Laiyifen had 1,485 direct stores (48%) and 1,600 franchise stores (52%) [3]. Group 3: Brand and Marketing Strategy - Laiyifen is integrating supply chain, brand marketing, and business team resources to respond quickly to the needs of the younger consumer demographic [3]. - Major initiatives are expected to be launched in Q3 2023, including deepening IP collaborations and enhancing online content marketing [3]. Group 4: E-commerce Development - Laiyifen's e-commerce revenue accounted for only 6.29% of total revenue, significantly lower than competitors like Good Products (41.27%) and Three Squirrels (69.73%) [4]. - The company plans to balance its multi-channel development and focus on brand and IP collaborations rather than low-price competition [4]. - The core development direction for e-commerce this year will revolve around "gift boxes + IP + peripherals," with significant growth expected in online sales by September [4].