How much does the ice city store cost to join? how does the ice city make money?

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Recently, when you open bilibili and Weibo, you can't miss the words Honey Snow Ice City. Honey Snow Ice City got everyone's forgiveness by relying on that brainwashed theme song. More than a month ago, Honey Snow Ice City also exposed food safety problems, not a month, a theme song will wash away the previous humiliation.

However, the reason why people can ignore the food safety of Snow and Ice City is not only because of the sentence "you love me, I love you" in the theme song, but also because it is really cheap.

Unlike Nai Xuehu tea and Xi tea, most of the ice cities are set up in third-and fourth-tier cities, mostly near university towns, villages in the city, commercial streets, shopping malls and stations. And the price of the product is generally 6 yuan or 7 yuan. The cheapest ice cream costs only 3 yuan. Such a price can not be seen at all in Naisuelu tea and happy tea, which cost more than 20 yuan and 30 yuan, so that many low-income groups, such as college students who are not yet fully independent and poor, are entitled to enjoy an ice cream and a cup of tea. Some consumers even said, "what kind of bicycles are needed at such a low price?" and "Honey Snow and Ice City do not dislike your poverty, so don't dislike it low."

Since the price of Honey Snow Ice City products can be so low, how does it make a profit?

Control costs from the source

At a time when the price of this tea is becoming more and more expensive, the reason why Honeysnow Ice City is able not to increase its price is, first of all, because of its business model of small profits and quick turnover. The second is Honey Snow Ice City in order to reduce costs, negotiate and cooperate with tea farmers to win low prices with a stable purchase volume, set up a factory in 2012 to achieve self-production of core raw materials, and establish its own warehousing and logistics center in 2014. has its own strong logistics support.

This effort to control costs from the source, cut the length of the supply chain as short as possible and control it in their own hands, dispelling the worry that middlemen earn the price difference. So that the product price will not be deeply affected by the market, at the same time, it can be far lower than many online celebrity tea shops. In 2020, when the prices of several milk tea brands rose as a result of the epidemic, Michelle Bingcheng made a decision not to raise prices. This is also because Honey Snow Ice City has such a supply chain that it has the strength to say, "We still don't raise prices."

It is precisely because prices do not rise easily, making people's trust in Honey Snow Ice City rise. It is precisely because there is no price increase, people are no longer obsessed with the taste. After all, the price is so low, there is no need for bicycles. Also precisely because does not raise the price, the honey snow ice city has grafted the risk to the franchise store. Some franchisees cannot resist the pressure of rising prices and turn to tampering with food dates or using stale ingredients.

Brainwashing propaganda

In 2018, Honey Snow Ice City didn't even have to pay for endorsements, and directly launched its new brand image, Snow King. And put the image of the Snow King in the most conspicuous places of their own goods, such as the logo of the store and the packaging of milk tea.

After that, there is a theme song, because the melody of the theme song is the Oh Susanna that we have known since childhood, and the simple lyrics make this song popular in addition to being remembered by the world. In bilibili, there is no lack of up to create it for the second time.

Even on Douyin, an APP with nearly 700m users, there is a hot topic about "the death scene of Honey Ice City", which is filled with short videos of singing theme songs free of order at stores in Honey Snow Ice City. There are even many people to answer the challenge and participate in it.

Although such social death activities can be embarrassing enough to cut through the cement, it has brought a wave of traffic to the success of Honeysnow Ice City.

Annual membership fee is charged.

If you think Honey Snow Ice City can earn 6.5 billion yuan a year by relying on ice cream and milk tea, I can only say that you also too young, too simple, sometimes naive. The real source of income for Honeysnow Ice City is the franchise fee they charge.

According to the official website of Honeysnow Ice City, there are now more than 10,000 franchisees, and there is a steady stream of new franchisees. According to a report from Sina Finance on May 17, 2021, Honeysnow Ice City has opened more than 7000 stores in the past three years. The franchise fee of Honeyue Ice City is divided into three levels: provincial capital cities, prefecture-level cities and county-level cities. In addition to the annual franchise fee, it is also necessary to pay management fee and consulting fee every year.

With the combination of the above factors, it is not difficult to see why Honey Snow Ice City can beat Nai Xueju Tea and follow Xi Tea to take the second place among the top ten tea brands in China in 2020.

Finally, let's sing one more song. You love me, I love you, snow ice city sweet honey!

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