Coffee review

40% high rent cafes face losses plug-in cafes become a new trend

Published: 2024-09-17 Author: World Gafei
Last Updated: 2024/09/17, Drinking coffee and making cafes has become a new way of life in cities. In recent years, China's coffee industry has taken the lead in the most valuable areas of consumption with a consumption growth rate of more than 20%, and the prospect is bright. Take the Central Plaza on the ring road as an example, Starbucks, LAVAZA, COSTA and other first-tier coffee brands are gathered within 100 meters. Take a stroll around, siphon and garden coffee.

Drinking coffee and making cafes has become a new way of life in cities. In recent years, China's coffee industry has led the most valuable areas of consumption with a consumption growth rate of more than 20%. Take the Central Plaza on the ring road as an example, Starbucks, LAVAZA, COSTA and other first-tier coffee brands are gathered within 100 meters. Siphon, garden coffee and other large and small private cafes also occupy the streets.

So the question is, can anyone open such a cafe? Where can I make money?

Pain point: 40% high rental costs, cafes face losses.

As we all know, Starbucks' secret is to open stores in densely populated front-line business circles and win by volume. However, in recent years, although domestic high-quality commercial real estate projects have extended an olive branch to Starbucks with preferential policies such as shopping malls, rent reduction, subsidized decoration fees, and exclusive agreements, Starbucks' profit margins are still decreasing year by year. The crux of the problem lies in the increasing rental costs and labor costs.

By contrast, independent cafe owners who are supreme in their feelings are struggling. These small shops generally cover an area of about 100 square meters, and if they want to settle down in a hot business district, they are often deterred from renting for more than a million years. The second choice is to choose a shop along the street with moderate passenger flow, although the rent can be saved. But the operator is extremely melancholy because of the few passenger flows.

The rent of the first-tier business district is too high and the passenger flow on the second-tier street corner is not guaranteed. Where is the breakthrough in the development of the cafe?

Breakthrough: platinum Tao pioneered plug-in cafe model

MORA COFFEE (Platinum Tao Group's first coffee chain brand) made a long-term inspection of the property market before entering the coffee market. MORA found that domestic commercial buildings, hotels, schools, hospitals and other lobbies gather a huge flow of people for office work and consumption every day. However, in addition to being used as a receptionist and enterprise introduction, the lobby space has almost no great functional function. The empty idle space seems to hide a huge business opportunity.

Nowadays, coffee has become synonymous with quality of life. In the coffee shop in the afternoon, white-collar workers and three or five bosom friends can be seen everywhere, chatting on the sofa with coffee cups. They generally don't want to go too far. All they need is a short relaxing space for the eyes to help them quickly "recharge" and engage in new jobs.

"plug-in Cafe" business model, came into being!

Plug-in Cafe-with a prefabricated modular coffee operation counter with low investment and small footprint, it is flexibly and easily embedded into the idle space of any property, so as to provide consumers with a convenient quality of life experience and improve the flat-efficiency ratio of the idle space of the original property. make the property develop from the original single consumption scene to the compound industry.

Experiment: hotel into plug-in coffee shop proving ground

In order to adapt to more specifications of idle space, MORA heavily invited Hong Kong designers to design a factory prefabricated counter system. The coffee counter of the general chain cafe covers an area of 15-20 square meters and requires a construction period of 15 days. Through industrial module design, reduced to 6-8 square meters, 3-5 days on-site assembly can be achieved.

MORA plug-in model shop-Tianhe East Dian, opened in 7 days in the hotel, covers an area of about 50 square feet, with 20 seats. Coffee and western-style light meals attract hotel residents and office staff, receiving an average of 157 customers a day, and the transformation of customers within the hotel is as high as 68%. Since its formal operation in March 2015, the average monthly operating income has reached more than 100, 000 yuan, and the monthly net profit has exceeded 30, 000 yuan. From the business trend, MORA COFFEE Tianhe East Store will recover its initial investment within two years. In addition, the 7-day hotel where MORA is located has added coffee queen rooms since March, attracting a group of travel customers with requirements for the quality of life. Although the room rate increased from 210 yuan to 240 yuan, the occupancy rate of the hotel increased rather than decreased, directly increasing the income of the main business of the hotel.

MORA COFFEE Tianhe East Store

Practice: Internet promotes the Development of plug-in Cafe

Some people cannot help but worry that although the "plug-in cafe" has solved the problem of flat efficiency ratio very well, if the cafe is opened in commercial buildings, will the source of customers be restricted by the geographical location of the property?

With the development of mobile Internet, merchants can attract external consumers through the word-of-mouth comments of social network platforms such as Dianping and group buying sites. At the same time, MORA will carry out activities with the theme of "love" every week when the cafe is free, actively attracting consumers outside the store to spend money. Since the launch of the brand in October 2014, MORA has teamed up with more than 20 event groups to organize more than 50 sharing meetings, concerts, handicraft classes, art exhibitions and other activities, with nearly 3000 participants, gathering a group of die-hard fans who share common love. at the same time, it also brings more than 20% external customers to coffee stores.

According to the MORA plan, the plug-in Cafe will be extended to consumer scenes such as cinemas, creative parks, banks and so on. MORA will organize various characteristic marketing activities according to the property characteristics. For example, consumers can get coffee coupons when they buy movie tickets and organize fan sharing meetings. The marketing mix of the alliance will benefit customers, investors and cafes.

Development: ever-changing idle space

In the past, the "coffee shop +" model is generally simply to add the coffee shop to the property space, and the immutable design style can not meet the aesthetic requirements of consumers. The establishment of "plug-in Cafe" requires the design of the cafe to be creatively adjusted on the basis of being loyal to the overall environment of the original property.

In order to better integrate the design into the original property, MORA often invites the owners to participate in the early stage of the design, combined with the property theme to design, so that the whole design and the environment are in harmony.

The former site of Yangcheng Evening News, located at 733 Dongfeng East Road, carries countless good memories of Yangcheng people. Now it has become the incubator of Internet innovation-Yangcheng Creative Industry Park. Youth and creativity are the core elements of Yang Chuang-the tree-lined ecological environment and the green and innovative aerobic office are permeated with a green atmosphere. After communicating with the owners, MORA Yangchuang Store will perfectly combine the simple Nordic style with the original garden style of the property by highlighting the "wooden" decoration style.

MORA COFFEE Yangcheng Creative Park Store

2015 will be an important year for MORA to practice and promote the "plug-in Caf é" business model. In addition to ploughing within the Platinum Tao Group, it will also expand to consumer scenes such as cinemas, office buildings, schools, hospitals, banks and shopping malls to provide consumers with a richer life experience.

From: winner Network

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