used to be an "ice cream assassin", but now he is struggling to get by. A few days ago, some media disclosed that Lin Sheng, the founder of Zhongxuegao, took a green train to Beijing overnight after being "limited in height". He said that even if he sells sweet potatoes, he has to pay off his debts.
The question is, can Zhong Xuegao, who is deeply involved in negative public opinion such as sky-high ice cream prices and layoffs in arrears, make a comeback?
Selling sweet potatoes also has to pay off debts
Zhong Xuegao, who was once high on the top, fell into the world, and the founder Lin Sheng's life was not easy. On April 21, Deng Qingxu, CEO of Sina Finance, posted on social media that Lin Sheng, the founder of Zhongxuegao, took a green train to Beijing overnight after being "restricted". Regarding the debt, Lin Sheng said that even if he sells sweet potatoes, he must pay it back.
On April 22, the topic of "Zhong Xuegao's founder said that he would also repay his debts when selling sweet potatoes" appeared on the hot search list and was hotly discussed by netizens. In this regard, Lin Sheng also said on social media, "Although Zhong Xuegao is currently facing many difficulties, our determination to change and take responsibility has not changed. ”
In fact, Zhong Xuegao, who debuted with a high-end route, has been controversial since its inception. On Double 11 in 2018, Zhong Xuegao launched Ecuador Pink Diamond Ice Cream, with a unit price of 66 yuan. Zhong Xuegao has become an Internet celebrity brand because of this product, known as the "Hermes of the ice cream industry", and has become an Internet celebrity ice cream that young people compete to check in.
Success is also high-priced, and defeat is also high-priced. Because of the high pricing, Zhong Xuegao was also dubbed the "Ice Cream Assassin", which was almost the target of public criticism. In order to calm down this voice of doubt, in March 2023, Zhongxuegao launched the affordable product Sa Saa, priced at 3.5 yuan, hoping to expand the product line on the basis of maintaining high quality.
The change has not yet had a substantial effect, and Zhong Xuegao was suddenly hit by rumors such as "unpaid wages and layoffs". In October 2023, some media reported that some employees at Zhongxuegao's headquarters were owed wages for two to three months, and since 2023, the proportion of layoffs at Zhongxuegao's headquarters may have been close to half.
In March 2024, Zhong Xuegao and Lin Sheng were restricted from high consumption. Zhong Xuegao's rise came to an abrupt end. From 2018 to 2024, Zhongxuegao spent 6 years showing the ebb and flow of a new consumer brand.
Can it be restored?
For Zhong Xuegao, it is indeed a pity to come to this point. In the face of old dairy enterprises, foreign brands and regional well-known brands, Zhongxuegao has made a bloody way in the ice cream market with the help of the power of the Internet and has become a new pole in the market.
Zhong Xuegao's fall from the altar, in addition to the micro-level reasons, is also closely related to the development of the industry. First, ice cream is bidding farewell to rapid growth. According to data, in 2023, the sales of ice cream and ice cream categories will decrease by 13.85% year-on-year. Second, friends such as Moutai, Yili, and Mengniu have increased their promotional efforts to squeeze the living space of Zhongxuegao. In particular, Moutai ice cream has become popular, selling 10 million cups a year, which shocked the industry.
Even though he was under siege, Zhong Xuegao still persevered. According to reports, the company is currently in normal operations. At the beginning of this year, it was also reported that Zhong Xuegao had embarked on the road of re-entrepreneurship. It is undeniable that Zhong Xuegao's former glory has come to an end, and if they want to regain their glory, Lin Sheng and his friends still have a difficult way to go.
Of course, Lin Sheng's so-called "selling sweet potatoes also has to pay off debts", this may only be a temporary statement. If he wants to really solve the problem of funds, if he still wants to rely on the brand Zhongxuegao, he must have insight into the profound changes that have taken place in consumers' aesthetics and shopping. If you still blindly rely on the concept of Internet celebrities to make products, then this debt may still not be repaid.
The rise and fall of Zhongxuegao has great reference value for other participants in the new consumption field. A business must be sustainable, otherwise, in the cruel business jungle, no matter how good the dream is, it is easy to be shattered by reality.