How Does Brand Chain Expand In Different Places?

Many traditional industries are taking the franchise mode, but many enterprises are in a dilemma.

Quanjude recently released annual report shows that, in addition to the Beijing area to complete 100 million yuan profit, only Shanghai store realized profits, and other regional outlets all losses.

Obviously, the failure of this almost total annihilation expansion is not simply attributed to the impact of the overall environment or the rise in prices.

Looking at the brand chain industry with Chinese traditional culture characteristics, we can find that the problems in Quanjude expansion also exist in the vast majority of chain businesses expanding in different places.

Many enterprises are entering the target.

By comparison,

Site selection is a strategic issue. Small is location selection. In a word, it is the choice of strategic highland.

First, consider which level city to choose; secondly, consider which area to choose.

Location and market positioning are inseparable, what kind of positioning determines the choice of the location of the store.

Chinese tastes are obviously regional. For example, the northern market has different taste for Luzhou Guanyin and Qingtie Guanyin.

However, some brands of tea enterprises, when expanding in different places, take the income standard or other standards as the basis, divide the whole country into several major economic zones, and set up flagship stores in the central cities of each economic zone, and then, after a firm foothold, take the flagship store as a base to expand the strategy to the surrounding small and medium-sized cities.

This method seems to be steady and steady, but it can hide the irretrievable risks.

The first is market positioning, that is, whether the consumer groups in these areas are your target customers; secondly, whether they agree with your tastes or not; the third is brand value, and whether they will become loyal supporters of your brand.

Many old brands have gone through a hundred years of wind and rain business process.

But the expansion is not optimistic.

They have two common characteristics: first, they have a single product; secondly, the geographical characteristics are obvious. After leaving the brand origin, it is difficult to find suitable people who agree with their taste.

The Chinese have a mentality of conformity and suspicion.

In conformity with the crowd, the more people there are, the more secure they are; doubting is believing in their own superficial judgement and not being explained by others.

All industries have such an introduction period.

In the introduction period, it is not only giving enterprises confidence, but also trying to build confidence for new customers.

Once the introduction period is not good enough, the attendance rate can not keep up with the Chinese people's herd mentality: the fewer the people, the less he will go; the less he will go, the less he will go.

As soon as he is small, he doubts: is this straight shop? Is the quality the same as the old shop? Is there any problem?

It is a good practice to find suitable market research companies before the expansion of the market. It is really not possible, and it takes some energy to understand the market situation that will enter, such as market capacity, group characteristics, competitors, potential participants, their own and opponents' strengths and weaknesses, market changes and competition patterns in three to five years.

The chain industry is expanding in different places, and the consumption habits of the target group are the most important ones.

If consumers do not approve of your product, it will be useless for you to work harder.

An enterprise that wants to be bigger and stronger must reserve talents.

Talent reserves must be completed within one to two years before the opening of stores.

If the new store has been opened and the store manager is still hanging, then such an enterprise is also hanging, and the result of expansion is terrible.

The most important thing in the development of off-site chain enterprises is human management rather than system management.

People oriented is the core of promoting the development of enterprises.

If this person is right, the enterprise will also be right; if this person is wrong, how the right system can not save the tragic outcome of human error.

It is well known that blindly seeking big ideas is not a good idea, but no matter which industry, such enterprises are not in the minority.

Expansion and expansion must be done with the relationship between the list shop and the whole.

Only when a single store is ready, will the overall development be sustained.

If we only ask for scale, speed, market share, surface premium or volume growth without considering the existence of single stores, then, once the capital flow is abnormal, we will lose momentum and lose all our efforts.