The baking industry started relatively late in China, but the speed of development can not be ignored, and the proportion of the food industry in China is increasing. According to the data of the China Business Industry Research Institute, the scale of China's baking industry in 2016 was 179.5 billion yuan, of which the bread market accounted for 17%, with sales reaching 29.8 billion yuan. The compound annual growth rate of sales from 2011 to 2016 was 12%, leading most sub-industries of food and beverage. In this fast-growing blue ocean market, the industry concentration is relatively low. From international chain brands to local small handicraft workshops, they all want to get a share of this industry. There are also companies that use the capital platform of listed companies to quickly cross the border. In the leading echelon of the baking industry, Xinjiang's leading dairy company Maiquer (002719) is the dark horse in the baking industry.

The industry space is large and the growth rate is fast, entering the golden period of development.

The survey shows that my country's baking industry has maintained a growth rate of more than 10%. In 2017, the scale of the domestic baking market has reached 401.3 billion. At the same time, it continues to grow with data between 12% and 14%. It will maintain 30 consecutive years in the future.% High growth. With the gradual improvement of people's living standards, baked goods are increasingly favored by the younger generation of consumers. In addition to being an alternative to Chinese breakfast, lunch, afternoon tea, etc. have also begun to have baked goods. Baked food has become a fashionable, efficient, nutritious and health-care consumer goods, doubling the blue ocean market with great potential.

At the same time, the gross profit margin of bakery industry in China has maintained a high level. Due to the superposition effect of factors such as color value and brand, the general cost of bakery products only accounts for 10%-15% of the selling price, which is one of the lowest costs in traditional industries. Especially in the sub-industry of bread, the gross profit margin of sales has maintained a high level, with the industry average value higher than 29% since 2014. At present, the overall revenue of the industry continues to increase, has maintained a positive year-on-year growth rate, manufacturing profits are rising year by year, and the market is in a golden period of rapid growth.

Industry A- share listed companies are a handful, dark horse McGee steal the mirror

From the distribution of baking chain enterprises, there are fewer national brands and more regional brands, among which there are few A- share listed companies with baking-related products, including peach and plum bread, Yuanzu shares, Maiquer, Guangzhou Restaurant, etc., the first three are national brands. Tao Li Bread was established in 1995 and landed in A shares in 2015. Taiwan brand Yuan Zu, which entered the mainland market in 1993, was listed only at the end of 2016. Maiquer is a leading dairy enterprise in Xinjiang that successfully listed in 2014. It successfully crossed the baking industry through mergers and acquisitions of baking chain enterprises in 2015. Subsequently, Maiquer entered the baking market and continuously expanded its channels through various means such as fixed increase, rights issue and acquisition, like a dark horse of a listed company in the baking industry.

According to public information, Maiquer completed the acquisition of Zhejiang Xinmeixin Food Company in April 2015 to enter the leading echelon in the baking industry. In November 2016, Maiquer issued a fixed increase plan to raise 0.99 billion yuan to build a complete baking business O2O business chain. In October 2017, Maiquer plans to issue shares to raise 0.93 billion yuan for baking chain network construction, Xinjiang characteristic food production line construction project and supplementary working capital. December 2017, mcGee intends to buy 51% of Qingdao Danxiang for 0.219 billion yuan. Recently, McGee plans to buy ST Hand Music, a new three-board company that has just turned around after three years of losses, from 2 to 0.4 billion. After the completion of this series of fixed-addition mergers and acquisitions, McGill will realize its strategic goal of integrating the national layout with online and offline development.

At present, the baking industry has entered a continuous update iteration of the acceleration circle, to promote every baking enterprises to speed up the pace to keep up with the pace of the industry, capital has become an important weapon for baking brand enterprises to continue to expand. In addition to McGill's success in the cross-border baking industry through the power of capital, Peach and Plum Bread will also raise 0.738 billion funds for the construction of multiple production bases in 2016.

There are so many brands in the industry, and the national brand has more room for development.

From the perspective of bakery food chain stores, there are three main types of participants in the domestic market: one is domestic-funded cross-regional chain brands, the second is foreign-funded mature brands, and the third is a large number of local unknown brands. There are so many brands, and with the increasing diversification of consumer choices, the importance of brands has become increasingly prominent.

According to statistics, the concentration of the domestic baking industry has been rising over the past decade, with the CR5 share rising from 7 per cent to 12.6 per cent in 2016, but it is still at a low level compared with developed countries and regions. Take Japan as an example, Yamazaki bread, which has the largest market share, accounts for 36%,CR5 accounts for 88% of the market share, while even peach and plum bread, which has been in the industry for more than 20 years, has less than 7% of the total market share. As many brands are still in the extensive operation stage, referring to the Japanese market, the market space of national big brands in the future is still very large.

At present, the business models of the baking industry mainly include "central factory wholesale distribution" models such as Binbao, Mankelton, Garton and peach and plum bread, and "central factory self-built brand chain stores" models such as Paris Beitian, Haolilai, Yuanzu, 85 C, Christine, Bread Newspeak, McGill, etc. In recent years, with the development of the Internet, the new development model of "central factory online ordering" has emerged. However, there are still a few mainstream brands laying out the new Internet model, because the distribution speed requirements of the baking industry are very strict, and the three major problems of ordering, distribution and big data must be solved at the same time.

The above-mentioned cross-border baking industry with capital power, in addition to the layout of the line, but also smell the baking industry Internet O2O business opportunities. ST Hand Music, a new three-board company to be acquired by McGill, is an "Internet cake retail" enterprise, which realizes omni-channel sales of baked cakes through the O2O model. According to ST Hand Music's 2017 semi-annual report, its business chain takes Shanghai as the center and the Yangtze River Delta region as the radiation area, taking into account the expansion system of the capital and cities in the south, north and central and western regions. Logistics stations have been set up in many cities to ensure the efficient operation of the distribution chain and realize "cloud distribution" under Internet big data ". At present, the company's cloud orders can be guaranteed to be delivered within 2 hours.

Industry analysts believe that the offline channel layout of Maiquer Baking Chain has been gradually improved. If the acquisition of ST Hand Music is completed, with the perfect big data system and distribution efficiency of ST Hand Music, the online and offline integration will be further integrated, and the future development will have great imagination space. With the increasingly strong consumer demand for bakery products, the industry will enter a golden stage of vigorous development, large-scale capital and strength competitors have poured in, more fierce market competition will follow, with channels and capital advantages of listed companies will be able to obtain a larger market space.