Core Insights - The Taiwanese bakery brand 85°C is closing over 40 stores in mainland China due to ongoing low profitability, marking a significant retreat of Taiwanese bakeries from the market [1] - New "baking forces" from Northeast China are emerging, with brands like "Entrance to Heaven" and "Kikimoto" rapidly expanding into various cities [4][6] - The baking industry in China remains highly fragmented, with no dominant brands, allowing for new entrants to find opportunities [1][13] Group 1: Market Dynamics - 85°C's closure of stores in cities like Hangzhou, Shanghai, and Nanjing indicates a strategic shift in its operations in mainland China [1] - The exit of Taiwanese and some Korean brands from the market has created space for new players, particularly from Northeast China [1][4] - The baking market in China is characterized by a lack of leading brands, which presents opportunities for regional strong brands to expand [1][13] Group 2: Emerging Brands - "Entrance to Heaven," a popular bakery from Shenyang, has quickly expanded to cities like Xi'an, Qingdao, and Tianjin, with plans for a store in Beijing [4][6] - "Kikimoto," another Northeast brand, has opened 19 stores across various cities, showcasing the growth of regional brands [6] - The rise of these Northeast brands is reshaping the competitive landscape of the baking industry in China [8] Group 3: Regional Insights - Jiangxi has historically dominated the baking sector in China, with a strong production base and a high number of bakeries [9][12] - The success of Jiangxi brands like "Zhan Ji" and "Lvxihai" is attributed to their ability to adapt products to consumer preferences [9][12] - The competition between Jiangxi and Northeast brands raises questions about who will emerge as the leading force in the baking industry [15]

Core Viewpoint - A number of Northeast baking brands are aggressively entering the Beijing mid-to-high-end market, with "入口天物" being a notable example of success in this expansion [6][20]. Group 1: Company Overview - "入口天物," a baking brand from Shenyang, is preparing to open its first store in Beijing, located in Xizhimen [6]. - The brand has rapidly expanded, opening stores in cities like Xi'an, Qingdao, Hohhot, and Tianjin within a year of its inception [6][12]. - Each store opening generates significant consumer interest, with daily sales reaching up to 200,000 yuan [13]. Group 2: Consumer Engagement - The average consumer spends around 45 yuan per visit, with some products priced at 29 yuan for a signature durian bread and 38 yuan for a brioche [17]. - The store design features an open layout that enhances customer experience, resembling an art exhibition, which attracts a younger demographic willing to wait in line for up to two hours [8][14]. Group 3: Competitive Landscape - Other Northeast brands, such as "一栗 Nutco" and "崎本的店," are also entering the Beijing market, indicating a trend of regional brands seeking recognition and validation through expansion into major cities [20][21]. - "一栗 Nutco" has also seen success in Beijing, with a similar consumer spending pattern and long wait times reported [20]. - The entry of these brands into Beijing serves as a benchmark for their business models and future national expansion [21].