This article only represents the author's own views.
Online may be fine in the modern retailing landscape. But there’s nothing like a traditional brick-and-mortar store for reaching more people directly and building your brand. That said, the online realm of social media is also an important supplement to word-of-mouth when it comes to building brand awareness. Those are two of the key messages in the latest earnings report from ATRenew Inc. (RERE.US), China’s leading recycling specialist handling everything from smartphones at the core of its business to more everyday consumer items like used gold and luxury goods.
The company unveiled a major new expansion for its national network of AHS Recycle stores as it reported 25.2% year-on-year revenue growth in the fourth quarter to 4.85 billion yuan ($669 million), bringing its annual revenue growth to a similar 25.9%. Apart from raising its profile, the major new buildout of its brick-and-mortar store network is also aimed at boosting ATRenew’s business of selling direct to consumers, which carries much higher margins than selling to middlemen and other merchants.