Comparison of different sales models and investment value analysis of the fresh produce market under the COVID-19 epidemic

Abstract

Now in China, more and more capital and giants are starting to join the fresh food market, and new consuming models are being tapped to further expand the $100 billion market size. The fresh market e-commerce sales model has also seen growth, especially against the backdrop of the COVID-19 epidemic. In this paper, several leading companies in the Chinese fresh produce market will be analyzed, using different fresh produce e-commerce sales models in China as comparative indicators to explore the profitability of different sales models. Overall, the profitability of fresh produce companies depends on the strength of their supply chain and the quality of their upstream supplies. The results show that traditional fresh produce supermarkets have obvious supply chain advantages, relatively strong profitability and long-term investment value. The O2O model has some profitability, but it requires a lot of financial support and are prone to losses. The market size of the community group buying model is huge, but it is still in the market consolidation stage, and there may be huge profit margins when it matures.