Businessmen must read: revealing the business methods behind the "hurricane" of mass sales snacks.
In the past 2023, the whirlwind of mass snack stores has blown through many cities, and the newly franchised stores have penetrated into counties and towns. Behind the "soaring" of mass selling snacks is to rely on the girlfriend effect to integrate the industrial chain, reduce costs, and achieve small profits and quick turnover.
Under the traditional distribution model, a snack product needs to go through agents, distributors, retailers and other links from the factory to sales, and many fees such as entry fees, bar code fees, and shelf fees are charged in the process. Relying on the franchise system, mass snack enterprises usually directly connect with upstream food manufacturers, reduce intermediate links, reduce the charging chain, and thus reduce operating costs.
In mass-selling snack stores, big-name mineral water, beverages, potato chips and other products that consumers know the price of are often placed in a prominent position in the store, attracting customers at prices below the market. After entering the store, a variety of snacks are neatly stacked, and in the spacious and bright store environment, consumers can choose at will and enjoy the offline immersive shopping experience. At the same time, branding, chaining and other forms of operation allow consumers to establish trust in quality in terms of mobility.
As an emerging retail format, the wholesale snack industry entered the merger stage in the second half of last year after experiencing the expansion of the scale of "horse racing".
The track is hot, and it has also attracted some old snacks to enter the game.
The snacks of the two sellers can be loved by consumers, but they are still in price advantage. In order to compete for the market, the price war between brands was hot last year, and the discount was even as low as 5.5% off when it was stalemate. However, the blind low-price competition strategy is obviously not a long-term solution for the industry. In addition to low prices, how to establish differentiated and valuable competitiveness is a must for the industry to go further. From this point of view, quality control, supply chain improvement, and the application of digital technology are all very important.
On the one hand, consumers should not only eat delicious medicine, but also eat healthy. With the proposal of the "three reductions" initiative to reduce salt, sugar and oil, snack products are developing in the direction of quality and health. In this context, mass snack companies should not only enhance the quality control of source products and eliminate the damage that food safety problems may bring to the brand image, but also introduce healthier retail products to increase customer consumption stickiness.
On the other hand, cost-effective needs to be supported by a large-scale and more efficient supply chain. Through the rapid expansion of open franchise, how to establish a systematic and solid snack business model from procurement, channel promotion, supply chain upgrading, road matching management, service optimization and other whole process systems tests the business wisdom of mass snack enterprises.
Not only that, actively promoting digital management is also an inevitable requirement for the sustainable development of the large-scale snack industry. The digitalization of the supply chain can effectively reduce the cost of enterprises, and promotional methods such as remote ordering and live streaming can help expand marketing.
