"8 yuan coffee" stirs up the prosperous business circle, relying on the "cabbage price" to break through the market?

Seeing the milk tea shop next to the customer stream, why my cafe door empty? Coffee shop owners know that one of the dead spots selling coffee is that there are few people drinking and low consumption frequency.

Recently, however, in busy business districts, a wave of "cabbage price coffee" is on the rise.

"10 yuan freshly ground coffee","8 yuan boutique cup"... These cheap coffees not only appear in cross-border KFC, Coco and other menus, but also appear on the small blackboards of some independent cafes, becoming their flagship products.

The price dropped so low, how should we play?

【 1 】

Prosperous business district,"cabbage price" coffee popular

Abu Abu, an independent cafe at the "elder" level in Zhengzhou, opened its new store in a shopping center more than three months after closing the "floor coffee" store in the office building, with "10 yuan freshly ground coffee" as its main product.

"I want more people to drink a good cup of coffee, and 10 yuan coffee is the easiest way to achieve it." Boss Xiaowu said, Not everyone is willing to spend 30 or 40 yuan to drink a cup of coffee, The price is low, For consumers trial and error cost is low.

"Even if you don't like coffee, you can try it once."

Old Chen of Shanghai was also brewing a low-priced coffee brand.

From Italy to Shanghai, Lao Chen has been in the beverage industry for more than ten years. Not long ago, he left a well-known company to start preparing his own cafe.

"Coffee beans for 80 cents, coffee for 80 cents, only 8 yuan." Old Chen said.

I don't know when it started, not only KFC, 7-11 convenience stores, bakeries and other cross-border players, but also some independent cafes like Abu Abu began to sell cheap coffee, even becoming a "flagship product" with a lot of categories on the menu.

The idea of selling coffee in this way is related to the downturn in the coffee market in recent years. The high price of coffee relative to mass consumption keeps coffee floating above the product itself.

From the market point of view, the broader mass coffee market is obviously a price-sensitive market.

The milk tea shop, which is full of flowers and popular, is a ready-made case. 10 yuan is obviously closer to the psychological price of an ordinary consumer for a drink. Cabbage price coffee objectively lowers the threshold for its attempt.

Milk tea at a price close to the people quickly won the mass market

Ji Ming, the first president of the Beijing Coffee Industry Association, said that lower-priced coffee is good for cultivating the domestic market.

【 2 】

Where does the profit come from?

Different from independent cafes in street alleys, 8 yuan and 10 yuan "cabbage price" coffee frequently appear in the bustling business districts of the city.

"Because it's cheap, the key to profitability lies in the volume of sales." Abu Xiaowu told Camen that the cost structure of 10 yuan coffee is similar to that of 30 yuan, so a larger amount of cups is needed to evenly spread the operating costs.

In order to increase the flow, the prosperous business district is the most important site selection scheme for "cabbage coffee". The traffic problem is solved, but what about profits?

An industry insider helped Fei Jie calculate an account.

At 50 yuan/pound (454g) of coffee beans taken from the factory-this price can already get good coffee beans, 180g coffee powder out of 2000ml product, 360ml(12 oz) a cup.

If the raw material cost is calculated alone, the cost of a cup is 3.6 yuan, and the gross profit of selling 10 yuan is 64%.

Selling 15 yuan a cup earns 11.4 yuan, three times the cost of raw materials.

It sounds wonderful, but if you run a traditional independent cafe the way it is run, once you add manpower, marketing, operations, and rent, profits are almost wiped out.

Apart from everything else, the rent alone was enough for the cafe owners to sigh.

High rent can bring high traffic, and then use high traffic to fill high rent, which has to be said to be an embarrassing situation for cheap coffee.

Reducing the space experience seems to be the only way out for low-cost coffee.

From "floor coffee" to shopping mall, the space for customer consumption has been reduced from more than 100 ㎡ to 30㎡. In July, Abu Abu sold 688 cups of coffee. On a good weekend, you can sell 60 cups a day.

Although the number of cups sold has doubled several times, Xiaowu said that due to the low price,"after selling 50 cups a day, it will start to make a profit."

Old Chen's idea is to do a stall like COCO to reduce rental costs. Even more powerful_"1 square meter shop, 1 coffee machine, 1 person, 1 cup of coffee in 1 minute."

The core issues considered by Lao Chen and Xiaowu are to select a prosperous business district with large passenger flow, minimize operating costs such as rent, rely on inexpensive coffee products, lower consumption threshold and increase consumption.

【 3 】

Before low prices, calculating costs is key!

For coffee, do you believe in "you get what you pay for" or "it's good and cheap"?

In fact, for many industries, the problem of good quality and low price is not difficult to solve. We turn our eyes to the restaurant enterprises that are moving towards brand and scale. It is not uncommon for us to see examples of price pro-people and good seats.

For example, the grandmother's house in the north and south of the Yangtze River is not expensive, the taste is excellent, and the fashionable dining environment has a very high cost performance ratio for consumers. The queue is justified, and for the boss, it is full of money.

Behind the high quality and low price, its core competitiveness lies in the optimized cost structure_the low supply chain cost brought by centralized procurement, and the standardized cost advantage of kitchen brought by central distribution center.

With the fast food approach to business dinner, the back-end "highway" has been opened up, the price advantage can appear, just like the clothing industry ZARA and Uniqlo.

In the coffee field, despite the transportation distance of raw materials, imperfect relevant standards and other factors, the industry chain appears to be a bit mixed. Fortunately, however, at least in terms of upstream supply needs to be integrated, the relative restaurant is not too complicated.

Compared with the traditional cafe business, affordable coffee needs more thinking and mastery, first of all, the secret of operating costs.

- How to optimize upstream supply costs? How many stores do you have the lowest cost and the highest profit? How to standardize products? How to optimize inventory? How many employees are the best profit for the store?...

If you don't calculate the cost structure well, you just blindly cut prices with the wind. There is flow, but there is no profit. In the end, it is just drinking poison to quench thirst!