I collect gold fingers in the heavens

Chapter 395 Franchise Expansion, Pork Rise

Wu Siyuan was worried whether the franchising model of [Little Fresh Meat] would be accepted by the market!

And the feedback given to him by the market is that his worries are too superfluous.

In the society, there are a lot of idle funds, looking for stable wealth appreciation opportunities.

They didn't have many options before.

Now, [Little Fresh Meat] gave them another choice.

Su Shixian went back and asked the people in the planning department of the business department to work out a [franchise plan]. Because he didn't dare to push it to the whole country, he first conducted a pilot project in the cities around Yangcheng.

Because I don't want to spoil the signboard, the joining conditions given by [Xiao Xianrou] are relatively strict, including:

1. Basic capital expense conditions - investors need to have a minimum capital condition of 50 yuan or more;
2. The agency franchise fee is about 20-30 yuan, and the minimum contract is 5 years;
3. A minimum trademark licensing fee of 8000 yuan/year and a technical service fee of 2000 yuan/month,

4. About 800 yuan/square decoration fee;
5. Equipment fees of 25000 yuan or higher;
6. A security deposit of 50000 yuan;
7. All products in the store are provided by the [Xiaoxianrou] headquarters. The store is not allowed to purchase goods from outside to sell in the store. Expired or deteriorated goods must be disposed of in time;
8. All employees in the store are recruited by [Xiaoxianrou] headquarters. Without the consent of [Xiaoxianrou] headquarters, employees are not allowed to hire employees without authorization. The wages and social security of employees are guaranteed by store investors;
9. Store investors have the right to financial supervision;
10. All rights of interpretation belong to [Xiao Xianrou] Company.

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Are the joining conditions made by the planning department of Su Shixian's business department harsh?

harsh!

But when [Little Fresh Meat] announced the franchise plan to the public, the phone calls of [Little Fresh Meat] were immediately rang by these enthusiastic investors.

When Wu Siyuan found out about this, he was taken aback. He didn't know whether it should be said that the investment enthusiasm of the people was high, or that there was so much money.

But no matter what, it is a good thing that investors have confidence in [Little Fresh Meat] and [Chaoqun Group].

Wu Siyuan emphatically gave instructions to Su Shixian not to waste money, investors trust our group so much and should be responsible for them.

Su Shixian naturally said yes loudly.

Half a month later, the list of the first batch of franchised stores was confirmed, a total of 125 stores, distributed in Yangcheng and surrounding cities with high consumption power.

These 125 stores alone have earned [Xiaoxianrou] at least 2500 million yuan, and there is also a stable monthly technical service fee of 25 yuan.

As for the product supply price, franchise stores charge an extra ten points.

In terms of decoration and equipment, there is another income.

Su Shixian looked at the data every day, and his stomach was about to lose weight from laughter. He instructed the relevant departments of the business department to go all out to complete this franchise.

A month later.

125 franchised [Little Fresh Meat] have been renovated and officially opened.

Because [Little Fresh Meat] has long been famous and has a good reputation among consumers.

So after the opening of [Little Fresh Meat], except for a few stores where the business is slightly worse, the other franchised stores are booming every day.

On the first day of opening, with the support of activities, the average turnover of franchise stores on that day can reach 2.2 yuan.

The next day, 2.5 yuan.

On the third day, 2.3 yuan.

On the fourth day, 1.9 yuan.

On the fifth day, 2.01 yuan.

On the sixth day, 1.88 yuan.

On the seventh day, 1.43 yuan.

On the eighth day, 1.52 yuan.

On the ninth day, 1.55 yuan.

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The business of the store has stabilized, and the daily turnover can reach 1.4 yuan.

After the first month, the franchise store's store turnover reached an average of 49.59 yuan.Some stores with good locations can have a turnover of more than 60 yuan, but the turnover of the worst franchise stores will not be lower than 30 yuan.

Because during the operation process, [Chaoqun Group]'s internal intelligent software controls the quality control and supply well, and there are very few scrapped products in the store, which reduces the operating expenses of a large part of the store.

Although [Little Fresh Meat] has high operating expenses in other aspects, after deducting all costs and expenses, an average store can bring investors a net profit of [-] to [-] per month.

Calculated, there is an income of 48-60 a year.

Some stores can pay back their capital in a year.

Some stores have invested a lot, and they can pay back in a little more than a year.

Investors can do the calculations themselves, and when they calculate the data, their faces are smiling like chrysanthemums.

There are some active investors who have taken the initiative to find people from the relevant departments of [Xiaoxianrou] company, hoping to invest in one or more [Xiaoxianrou] franchise stores.

Of course, this request was mercilessly rejected by the people from the [Little Fresh Meat] company.

On the one hand, [Super Group] does not want franchise stores to be monopolized by a certain group, which will be detrimental to the management of the group.

On the other hand, it is Wu Siyuan's request. Since [Little Fresh Meat] has proved its ability to make money, Wu Siyuan hopes to benefit more people.

Therefore, after a brief discussion, the group made a decision - one person can only apply to join one [Little Fresh Meat] store.

Other brands are eager for investors to invest in more stores, only [Xiao Xianrou], a community fresh food brand, does the opposite and restricts investors' investment behavior.

But just like that, investors who want to join [Little Fresh Meat] are in an endless stream, and the franchise hotline is often overwhelmed.

This is really a happy trouble.

Other community fresh food brands are all jealous when they see it.

The executives of more than one community fresh food brand have announced at the management meeting that they will learn the business strategy of [Little Fresh Meat] and provide consumers with convenient and preferential services in a down-to-earth manner.

But this is just a toddler in Handan. Not only did he not really learn the essence of [Little Fresh Meat], but his own advantages were almost lost, and the turnover did not increase but decreased.

But these community fresh food brands also have hardships that cannot be explained.

In the past, [Little Fresh Meat] insisted on direct marketing, and the expansion speed was not fast, which is nothing!
After all, the entire Huaguo market is huge.

But now [Little Fresh Meat] has opened direct sales, which means that the market share of [Little Fresh Meat] will usher in a huge increase in a short period of time.

The market ebbs and flows.

The market share of [Little Fresh Meat] has increased, so their market share will decrease.

Under the Matthew effect, these community fresh food brands will face increasing pressure.

These community fresh food brands also have hardships that cannot be explained. They will die if they are tossing, and they will die faster if they don’t toss.

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There are many investors who want to join [Little Fresh Meat], but the [Little Fresh Meat] company does not expand blindly, and does not act shamelessly like some community fresh food brands.

A certain fresh food brand in the community ——【Aunt Q】, has also ushered in a period of great development after it became popular through the slogan of "Don't Sell Overnight Meat" and social media promotion.

There are also many investors who have joined [Aunt Q].

At the beginning, it was barely profitable, but two months later, another [Aunt Q] appeared within 500 meters, and after a while, there may be several [Aunt Q] in one community.

For example, in Yangcheng and Pengcheng, two first-tier cities in Vietnam, there are more than 1000 [Aunt Q], and some shops are within 250 meters in a straight line.

You know, [Little Fresh Meat] has only about 500 stores in these two first-tier cities.

[Aunt Q] Stuffed in so many stores, it can be described as frenzied.

Although in this way, the market share of [Aunt Q] has increased, and the barriers to competition have been established.However, the profitability of the franchise store has also declined: Obviously, if one cake is eaten by one person and ten people eat it, the amount of food in the mouth is different!

[Little Fresh Meat] Of course we don't do this.

A business where everyone can't make money won't last long.

The top management of [Aunt Q] may have the mentality of making a fortune and leaving, but [Little Fresh Meat], under the training of Wu Siyuan, still has a very high sense of social responsibility.

Besides, Su Shixian has not forgotten that the reason why [Little Fresh Meat] is open to franchise is to expand the coverage area as much as possible and assist Guan Xuelie's Agriculture and Animal Husbandry Development Division to fight the next pig price war!

Therefore, the second phase of [Little Fresh Meat] franchise opening areas are all second- and third-tier cities, and even fourth- and fifth-tier cities.

Of course, depending on the consumption power of the city, the franchise conditions of [Little Fresh Meat] will also change, and the franchise fee and other related expenses will be reduced accordingly. Anyway, the ultimate goal is to control the profitability of investors and achieve a balance.

The number of stores brought about by franchise expansion has increased exponentially.

[Little Fresh Meat] It took four or five years from the first store to 1, 100, and even 1000.

But after the franchise was opened, the number of [Xiaoxianrou] stores changed from 3200 to 8500, and it only took more than seven months.

And [Shen Nong Orchard], which operated earlier than [Xiaoxianrou], currently has more than 3000 stores.

On average, 800 [Little Fresh Meat] stores are opened a month, and more than 20 stores are opened a day, of which more than [-]% are franchise stores.

Among the franchise stores, more than [-]% of the stores can meet the profit standard. Investors in the stores with the worst business can also make a profit of [-] to [-] yuan a month. Investors in the stores with the best business can make a monthly profit of more than Eighty thousand.

Earn 100 a month, and close to [-] million a year.

And his investment in [Little Fresh Meat] only cost seven or eight million yuan, which means that he has fully recovered his capital in less than a year, and the rest is pure profit.

The so-called milk is a mother.

This return on investment is already quite high.

Therefore, these franchisees of [Little Fresh Meat] all agree with the management of [Little Fresh Meat] company.

Even if [Little Fresh Meat]'s management requirements are much stricter than those of the same industry, it is acceptable.

After all, there is money to be made!

And at this time, it is already September 2019.

After the short-term fluctuations in January and February, the national pork price has been rising all the way since March.

In March, the price of pork was still 3 yuan/catties, but by the end of July, it had reached 5.89 yuan/catties, an increase of more than 7%, reaching 9.43%!

This increase is exaggerated enough.

But the next increase was disappointing.

At the end of July, the price of pigs was 7 yuan/catties. By September, the price of pigs had reached 9.43 yuan/catties!
The price doesn't seem very high.

But this is wholesale price!

The retail price of pork will be higher.

The price of live pigs is related to the retail price of pork. According to the slaughter loss rate of live pigs, it is generally between 1.6 and 1.8, which is converted into 1.7. When the price of live pigs is 12 yuan per catty, the retail price of pork The price is around 21 yuan a catty.

The price of live pigs in September was 9 yuan/catties. According to the coefficient ratio of 13.81, the retail price of pork will reach 1.7 yuan/catties. If it is a bit exaggerated, it may reach 23.47 yuan/catties or even higher.

If it is pork ribs or pork belly, the price of pork is much higher.

Such a high price, ordinary people really can't afford it!
I can't even afford pork knuckle rice.

The impact of rising pork prices has spread to society.

We must know that the status of pork in our country is not ordinary, and it occupies a very important position in the consumer consumption index, that is, CPI.

The CPI data rose by 2.9% year-on-year, which is already a new high in eight years.

The CPI is pulled up, and the happiness of the people is naturally lowered.

This is no longer a social issue, but a political one.

How to suppress the price of pork has become the main task of the top management in the near future, and many meetings have been held around this matter.

Relevant departments even took 20 shots in more than 14 days, taking multiple measures to stabilize the price of pigs.

For example, on September 9, the Ministry of Commerce, together with the Reform and Development Commission and other departments, released 19 tons of central reserve pork, 1 tons of reserved beef, and 2400 tons of reserved mutton to the market.

But this amount is just a drop in the bucket for the market's pig shortage.

The price of live pigs only fluctuated slightly, then turned sharply again, without stopping for a while.

Relevant departments have issued a series of preferential policies related to the pig industry, involving a number of supports and subsidies.

But distant water cannot save near fire!

Even if a closed pig farm is opened, it cannot produce commercial pigs for sale in a short period of time.

The laws of nature cannot be violated.

The choice to increase imported pork is like a small splash for the huge domestic pork gap, and it is still not enough.

Pork is still rising, and the high-level leaders of relevant departments are already bubbling with anxiety.

At this moment, a piece of news reached the ears of some high-level officials.

This news is like sweet rain, soaking into my heart.

Not long after, a very high-level high-level inspection team set off from the imperial capital and finally came to the largest cold storage of [Chaoqun Group] in Yangcheng.

(End of this chapter)