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    Home > Biochemistry News > Biotechnology News > Nai Xue can't learn Starbucks' "Third Space"

    Nai Xue can't learn Starbucks' "Third Space"

    • Last Update: 2021-04-16
    • Source: Internet
    • Author: User
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    Image source @Visual China



    The industry has always regarded "Nayuki's tea" as the "Starbucks of the tea industry.


    "



    However, a prospectus on New Year's Eve showed us the true face of this new tea star enterprise-selling milk tea is not as good as selling water.



    Nongfu Spring has raised China’s richest man Zhong Suisui with 2 yuan a bottle of mineral water, while Naixue’s tea has lost 137 million yuan in three years at the industry’s highest unit price of 43 yuan.





    Where is the problem?

    Where is the problem?



    Through on-site investigation and analysis of Naxue's tea prospectus, she tried to analyze the problems of Naxue's tea business model from the following three aspects.



    1.


    Bleeding point: Who has dragged down Nayuki's single store operating efficiency?



    2.


    Differentiation: Why has the "third space" given high hopes become "chicken ribs"?



    3.


    Improvement points: Can Naxue PRO successfully stop bleeding?



    Bleeding point: Who hindered Nayuki's single-store operation efficiency?

    Bleeding point: Who hindered Nayuki's single-store operation efficiency?



    On the outside and on the outside, in "Catch the Fatty Sauerkraut Fish", the analysis logic of the single-store model of chain catering companies has been explained-in catering chain, how to standardize unstandardized things is the core element.



    The chain tea industry where Nayuki's tea is located, as a subdivision track of the restaurant chain, originally tried to use this analysis framework.


    However, due to the low technical barriers of the tea industry and the ease of standardization relative to the traditional catering industry, it lacks certain barriers to entry.
    Therefore, the operating efficiency-ping effect (the turnover per ping of store area) has become a measure of the tea-drinking track single store The core indicator of the model.




    So, what is the level of ping effect of Nayuki's tea?



    To mark Starbucks and advertise the business model of "product + third space", its store area is much larger than other brands, reaching 200 square meters.


    In contrast, the industry leader "Hi Tea" has a single store area of ​​only 100 square meters.






    The result of big stores must be high rents and labor costs, and a reduction in floor efficiency.



    By disassembling the single-store models of mature standard stores of Nayuki and Heycha, we found that the current labor and rent costs of Nayuki's standard stores are too high, which seriously squeezed the profit space of the single-store.





    After analyzing the prospectus, research report, and field survey, it is estimated that the floor efficiency of Naxue's mature single store is 50,000/year/square meter, which is far lower than the 120,000/year/square meter floor efficiency of Heycha.





    This means that each square meter store of Hi Tea can generate 120,000 yuan in annual turnover, while Nay Xue's tea can only generate 50,000 yuan in turnover.



    The lower efficiency means that Nayuki's ability to make money is relatively poorer, his operating efficiency is lower, and his income fails to cover the cost, making it a wound for Nayuki's continued blood loss.



    So, who on earth is dragging Nayuki's single-store operation efficiency?



    Naxue, founded in 2015, focuses on "tea + soft European buns".


    With tea and baking driven by cross-selling, Naxue has the highest unit price in the industry (around RMB 43).




    From the perspective of financial data, Naixue’s tea beverage business continued to maintain a gross profit margin of more than 65%, while the baking business continued to decline during the reporting period, and its contribution to the company’s business was getting smaller and smaller.





    It can be said that the performance of the baking business has dragged down Nayuki's overall operating efficiency.



    The baking business is different from the tea business in that its process is complicated, the ingredients and auxiliary materials are various, the production time is long, the storage time is short, the transportation is prone to damage, and the manual formula is more variable.





    This makes the baking business have higher requirements for store location, store area, baking equipment, and roasters, and accordingly pushes up the business input cost.



    According to the on-the-spot research and observations on the outside and the inside and the research information of some institutions, the current baking business of Nayuki Standard Store has the following limitations:



    A certain area of ​​space is needed for on-site production, and the back kitchen area is about 25 square meters;



    Need to be equipped with 2-3 baking furnaces (the cost of these equipment is higher than that of tea business equipment);



    The cooperation of at least four mature bakers is required.



    However, high-cost inputs did not bring high output.



    According to the research information of the expert meeting, the daily output value of Naixue’s tea per capita is only 80 Euro bags.


    At the same time, due to the area, equipment and manpower, the daily production capacity of a single store can only reach about 320 Euro bags, with an average selling price.
    23 yuan.




    According to Naxue’s prospectus, its current single store’s daily sales is 20,000 yuan.


    Based on this premise, assuming Naxue’s bakery business is in the most ideal state (average daily sales volume of 320, average customer unit price of 23 yuan), we extrapolate to get:



    The daily revenue of the single-store bakery business is about 7000 yuan.


    Calculated according to the average area of ​​200 square meters of the Nay Xue standard store, the ping efficiency is 320X23/200=36.
    8.




    The daily revenue of the single-store tea business is about 13,000 yuan, and the tea business's ping efficiency is (20000-320X23)/200=63.


    2, which is much higher than the 36.
    8 of the baking business.



    According to the prospectus, Nayuki’s tea currently has a gross profit margin of 41%.
    On this basis, after deducting expenses such as manpower, rent, water and electricity, and equipment depreciation, we roughly estimate that Nayuki’s baking business must



    Make sure that the daily sales volume is above 260 in order to reach the break-even point.



    In reality, the average daily sales volume of Nayuki's bakery products is only 184 (revenue/number of stores/unit price/number of business days), which is far from reaching the break-even point.
    Therefore, the actual efficiency of Nayuki’s bakery business is 36.
    8.
    Lower.



    From this point of view, the main problem of Nayuki's standard store is concentrated on the baking business.
    The high-cost input did not bring high output.
    The baking business has not become the second growth factor of Nayuki's tea business, but it is a drag.
    To improve the overall performance of its stores.



    Difference: Why has the "third space" given high hopes become "chicken ribs"?



    Among the new tea brands, Naixue's tea was the first to launch the soft European bag + third space model.



    For Starbucks, Naxue's tea hopes to make the space the second product of Naxue, and to shape the social space culture of the tea brand.



    But judging from the results, the high-cost investment brought by the “third space” has actually dragged down the efficiency of the floor, making the single-store model inefficient and becoming a self-harming sword.



    Why can Starbucks play the "Third Space" so well, but Nayuki's tea standard shop can't work?



    This is due to the difference between tea and coffee.

    This is due to the difference between tea and coffee.



    Coffee focuses on the positioning of leisure + business, and tea is more of a leisure attribute.
    At the consumption level, both of them have formed the habit of "drinking coffee at work and drinking milk tea at shopping parties" at the consumption level.



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