Is the worst yet to come for the consumer sector? The path is forged through struggle, and brand globalization is the vast ocean of consumption | Year-End Summary Series (5)

In 2024, whether it is store-based social service consumption (hotels, dining, ready-to-drink) or mass consumer goods, the common dilemma faced is deflation in prices and shrinking demand, leading to an oversupply that fosters deflationary expectations.

When core faith assets like Nongfu Spring start to lower prices and the price of Moutai collapses, market confidence approaches a breakdown. The large consumption in China in 2024 can be described as the "darkest hour."

However, new life is born from despair. In the summary of large consumption in 2023, Dolphin Jun mentioned that domestic large consumption is "drawing a line." By 2024, Dolphin Jun gradually begins to see the mindset of Chinese consumer goods opening up.

Pop Mart has set a great example for us; what young Chinese consumers like can also be liked by foreign consumers. Chinese manufacturing and design are not inferior to others, and we must believe in the rise of the national trend and the aesthetics of young Chinese people.

In addition to Pop Mart, Dolphin Jun also covers Miniso. Although its brand, design, and marketing are below that of Pop Mart, compared to Made in China, the capability of the supply chain with Chinese branding is also a step up.

This year, Dolphin Jun has also seen a bunch of following overseas players. Among the companies Dolphin Jun is paying attention to, ready-to-eat and ready-to-drink companies like Haidilao, Luckin Coffee, Mixue Bingcheng, and even Dongpeng, etc. So in the future, can we look forward to the overseas expansion of other Chinese consumer goods? For example, Nongfu Spring.

After all, for century-old consumer goods, relying solely on the consumption power of one country makes it difficult to surpass cycles, and the influx of foreigners into Xiaohongshu also indicates that everyone is becoming increasingly interested in Chinese culture and products. Following the spread of culture, what reason does Chinese consumer goods have to continue drawing lines?

Annual Highlights Review:

《 Pop Mart: Overseas Crazy Growth, This "Bubble" Can't Be Burst》

《 “Plummeting” Nongfu Spring: Don’t Be Scared, Does the Richest Still Have to Pass the Baton?》

《 Unsteady Kudi, Unkillable Luckin》

《 Miniso: The Origin of the "10 Yuan Store," The Endgame of IP Retail Hits?》Risk Disclosure and Disclaimer for this Article: Dolphin Research Disclaimer and General Disclosure