Circulation Association, IMF, CIC, UBS estimates Why are snack discounters reshaping the retail channel? market's structure, in our view. Snack discounters are innovative retail stores specialising in snack and beverage products, offering a broad product selection at competitive pricing. By delivering a more affordable and convenient shopping experience, snack market, such as limited product variety, alignment with consumer preferences and demand for better value. As a result, they have emerged as a critical driver of growth in the market. Our assessment of the snack discounter store network suggests the number of outlets has rapidly grown from just over 1,000 prior to 2020 to approximately 56,000 industry value chain, which translates to a value-for-money proposition that fits the current consumption downtrend. Compared with the value chain of traditional retail producers/brand owners—>snack discounter system and franchise stores). The shorter supply chain results in improved channel efficiency and competitive product pricing. Along with rapid expansion over the past three to five years, snack discounters have enhanced consumer convenience and solidified market competitiveness, becoming the key domain for snack brands to capture channel transformation opportunities, in our advantages: Compared with traditional KAs, we believe the snack discounter channel efficiencies. Our channel-specific supply chain model suggests 25% lower pricing for the snack discounter channel compared to the KA channel, due to: 1) snack producers/ brand owners offer 10-15% lower ex-factory prices to snack discounters than KAs; 2) a lower channel markup of 36% for snack discounters versus 55% for KAs. In conclusion,