ENJOY Launches Segment Service COFFEE PASS for Independent Boutique Coffee Shop Integration Upstream
Going back to five or six years ago, the role of coffee in China's consumer market seems to be more of an imported beverage with refreshing functions. In recent years, with the gradual development of people's habit of drinking coffee, the demand for the quality and flavor of coffee is higher than that of fast-food coffee. Still, "opening a boutique coffee shop" still doesn't sound like a reliable business. COFFEE PASS, which was launched by ENJOY recently, wants to try to solve this problem.
The pain points that COFFEE PASS needs to solve are:
1. For B-end independent boutique coffee shops: the word "Specialty Coffee" comes from Tea & Coffee Trade Journal in 1974. Different from the large amount of low-cost commercial coffee beans (the freshness of the beans themselves and the freshness of roasting are not guaranteed), fine coffee uses traceable beans and is rated by the American Association for Fine Coffee quality (Specialty Coffee Association of America). Generally, it is ordinary commercial coffee between 70 and 80 points, and more than 80 points belong to fine coffee.
Most of the domestic coffee bean supply comes from Xiangji, Wang Li and other large trading enterprises. For independent stores, due to small production, bargaining power in the face of upstream coffee bean suppliers is very weak; due to small orders, it is also difficult to obtain high-quality coffee beans from the primary market. On the other hand, it is difficult for independent stores to invest a lot in brand and publicity, and the effect of consumer word-of-mouth communication is limited.
two。 For C-end coffee lovers: many coffee lovers have consumer demand for boutique coffee, but it is difficult to get information about these shops. In many cases, chain coffee brands have "no choice". For some ordinary coffee consumers, it is not excluded to try boutique coffee outside the chain coffee brand.
ENJOY's launch of COFFEE PASS is also largely out of the above considerations. ENJOY has cooperated with more than 400 cafes in 12 cities across the country, and has signed agreements with upstream first-tier suppliers to enable merchants to get qualified coffee beans and related consumables at lower prices; COFFEE PASS marks each store details page with coffee professional vocabulary (such as barista certification, equipment used, type of coffee beans, etc.).
The form presented by COFFEE PASS to C-end consumers is a "membership card" that costs 99 yuan to open on the ENJOY platform (in the current COFFEE PASS experience stage, the card opening fee can be directly converted into consumable points, 1 yuan = 1 point, and the card opening fee needs to be paid separately at the end of the experience period). After opening, you can use the way of pre-recharge points to consume COFFE PASS cooperative coffee shop products at a 20% discount, but this service is currently only opened in independent cafes in Beijing and Shanghai. COFFEE PASS recommends nearby cafes to customers based on geographical priority and allows customers to filter by custom tags. In addition, users can also buy members' exclusive coffee products online (but need to pay separately, can not use recharge points), and can participate in offline activities such as coffee culture salon through COFFEE PASS.
As to why coffee products are segmented into professional services, ENJOY said that according to ENJOY data, more than 60% of consumers in Beijing and Shanghai have bought coffee products in stores (7 million of ENJOY total registered users), and more than 170000 users browse and buy coffee products every day. In terms of the coffee market as a whole, according to the China Business Intelligence Network, the volume of the domestic coffee market was about 70 billion in 2015 and maintained a growth rate of about 15 per cent, much higher than the 2 per cent growth of the global market.
The first phase of COFFEE PASS will be selected in Beijing and Shanghai, and then it will gradually open in Guangzhou, Shenzhen, Chengdu, Nanjing and other places. Next, ENJOY will launch WINE PASS, which provides subdivision services on wine products.
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