Following the trend of consumption upgrading and consumer demand diversification, we will promote the quality, health and personalized development of products. At a time when 60% of Chinese consumers are concerned about food health ingredients, 70% of global consumers are concerned about fresh food, and healthy and fresh snacks continue to receive attention, Laifen is the first to propose the use of central kitchen-style supply to ensure the fresh taste of ready-made food. increase product quality control investment. With the accelerated pace of life of consumers, eating less and eating more has become a habit, the boundary between meals and snacks is blurred, the company's production response capacity has improved rapidly, continue to launch one-person meals, nutritious meals and other products to meet individual needs, deepen the development of healthy food. In addition, the improvement of technology and transportation efficiency provides conditions for the company to achieve service to home, driving the growth of fresh food.

Take "fresh snacks" as the goal of brand strategy upgrading, and make efforts to the omni-channel layout. Laifen put forward five standards to ensure the freshness of fresh snacks: fresh raw materials, technical fresh-keeping, packaging locking, distribution leading fresh, and production and marketing competing for freshness. In terms of raw materials, the freshness of raw materials can be ensured by direct collection of origin, Bao Shan and Baolin, and the seasonal freshness can be realized in the current season. In terms of production and logistics, strictly control the time of arrival and sales, carry out constant temperature cold chain transportation, daily distribution or more than one day, and continuously improve the distribution frequency of stores. In terms of terminal sales, with the community as the core, there are more than 2800 stores densely distributed across the country, which can achieve 30-minute door-to-door instant delivery and realize the linkage of online and offline communities. With consumers as the core, the company forms an omni-directional system of stores, third-party e-commerce platforms and community self-run APP. Fresh snacks are more suitable for offline store sales, and the advantages of Laifen are more prominent.

The brand is younger and iterative to achieve accurate marketing. The company announced that the star Wang Yibo, as the spokesman of the brand image, showed a new generation of concept stores for the first time, and the younger the brand is, the bigger the pace is. On the day of the press conference, online sales in Iraq exceeded 10 million, sales of fresh snack gift boxes exceeded 57000 boxes, passenger flow exceeded 1.45 million, new fans exceeded 170000, new members in all channels increased by 558% compared with the same period last year, and the appeal of high-flow stars is extremely strong. directly close the distance between the brand and consumers, enhance the brand younger experience.

Through the operation of live streaming and short video marketing on emerging traffic platforms such as Douyin, Laifen brand marketing has broken the circle, upgraded its self-media matrix and content quality, granted access to large single products and APP customers, vigorously implemented the rejuvenation strategy, and further enhanced brand differentiation competitiveness.

Profit forecast and investment suggestions: after the adjustment of business thinking, the company is gradually on the right track, with the improvement of brand awareness, the acceleration of offline channel expansion, and the gradual appearance of scale effect. It is expected that the net profit level of the company will rise to a new level after 21 years. It is estimated that the revenue for 20-22 years will be 55.3,68.5 and 8.34 billion yuan respectively, the net profit will be 1.3,2.2 and 350 million yuan respectively, and the EPS will be 0.39,0.66 and 1.02 respectively. Taking into account the company's compound growth rate of more than 50% in the next three years and the valuation of similar companies, the 21-year PE will be 31 times and the corresponding target price for 21 years will be 20.50 yuan, maintaining the "recommended" rating.

Risk tips: direct store rents and labor costs have risen sharply, the progress of joining has been lower than expected, online growth has slowed down, raw material prices have risen, food safety issues, and so on.