China Food

Chen Huabin, founder of Mr. zansi & Tang: our experience in pre packaged food of catering brands

Eco conference is a series of brand activities held by foodplus. Each session will focus on a certain industry or major theme to carry out

The theme of the first ecological conference is food and beverage prepackaged food

[about foodplus · 2020 catering prepackaged food ecological conference] this is the first time that foodplus has held an “ecological conference”. We hope to find some neglected but important topics and topics that can represent future trends. Around these topics, we invite important companies and senior & practical guests in the industry to conduct in-depth discussion and exchange, so as to let the relevant public Companies and practitioners have the opportunity to further or even re understand what they are doing.


Catering and prepackaged food is not a new topic. However, in the past, the topic discussed more in the industry is the retail of catering, which is based on the perspective of catering enterprises. In this conference, we re-examine it from the perspective of prepackaged food. If we think about the issue of prepackaged food in the consumer goods industry, we may have different thinking and judgment, and even strategies.

PS: at the end of the article, there is a notice of the latest issue of small dinners, the theme of which is functional food and beverage. It will be held in Beijing on September 19.

Food plus:

In mid August, we held the foodplus · 2020 catering prepackaged food ecological conference in Shanghai. Different from most industry conferences, catering prepackaged food is not an industry, but across many industries and categories.

Food and beverage prepackaged food is an ecology. There are catering enterprises, prepackaged food enterprises and upstream and downstream industrial chains, including supply chain enterprises and retail channels. From the perspective of catering enterprises, how to make the basis of supply chain, products and brands accumulated in the past into consumer goods is to diversify the business of catering enterprises. The core logic is to graft the potential energy of catering into the consumer goods industry so as to enter another huge market.

As a research-oriented institution focusing on entrepreneurship and investment in the field of food consumer goods, foodplus first paid attention to the trend of pre packaged food in catering industry in mid-2018. It was found that many catering enterprises attached prepackaged food in their retail strategy. However, we also observed that some representative enterprises at home and abroad have adopted business diversification or authorization Prepackaged food is a core strategy, so at the end of 2018, we conducted an in-depth study on the prepackaged food of catering, and output an in-depth analysis article.

On the one hand, we hope to continue and extend our research in 2018. On the other hand, we also hope to do something for the ecology of food and beverage prepackaged food based on our accumulated research, accumulated industry resources and influence from the past to the present. Therefore, we held the first foodplus · 2020 catering prepackaged food ecological conference in August.

Today’s article is a sharing guest of the catering prepackaged food ecological conference, which is shared by Mr. Chen Huabin, founder of Mr. zansi & Tang. As a catering company, Mr. zanfu has tried to provide food pre packaging experience for many catering enterprises.

Sharer: Chen Huabin, founder of zansi & Tang

Organized by: foodplus

Thanks to the organizer. I really didn’t twist my foot for this topic. The soft tissue was a little bruised, but it didn’t involve the injury. Entrepreneurs should be stronger. The chair has nothing to do with me.


My topic today is to share the catering brand, because our company is still a restaurant brand in essence, and also a service restaurant brand. We have stepped into a lot of pits in the process of retailing. I think it is meaningful to share the “pit”, and there are also some gains in the process, so I’d like to give you a simple review.


Quick self introduction. First, I am a science and engineering man. I used to study mathematical modeling. Second, I later did retail. There were more than 2000 watch retailers. The management of retail was good, because you can think about it. 2010-2015 was a time when luxury goods in China were developing wildly. At that time, a large number of luxury brands were soaring, more than 1.2 billion The annual growth rate of 70% of the companies was below average, which was the situation at that time.


Third, we are now an entrepreneur and have been starting a business. From the end of 2015 to now, we have been doing this company, but the company has some more tentacles in the strategic extension. In the process, we still determine the value we stick to. I have a label for myself, that is, I am a young man, and I will update it every year. My head picture is a two-dimensional one.


What kind of company are we? What does retailing mean for us? Today’s theme is prepackaged food. The process of our thinking and rise and fall is basically the perspective of how a restaurant brand views this matter.

1. Mr. Tang’s experience

Who is Mr. Tang? Photo source: Chen Huabin’s sharing at foodplus · 2020 catering prepackaged food ecological Conference

The first brand is our own brand. From the end of 2015 to 2018, we basically only made this brand, which is called Mr. Tang. If we ask whether there is any innovation, we are not a complete innovation in the category. We are still a Chinese fast food brand. We cut a sub category and take soup as a special category.


Some people ask, you do retail, why not directly do retail soup, and choose the catering track cut in? My idea is to see whether there is benchmarking abroad.


There is a very good company in the United States, which is a company with more than 10 billion dollars. They only do retail cans. I used to do watches, but now I do retail. It’s a simple thing with high gross profit and high turnover. Why don’t I do retail? I searched Taobao, which is a common search. When Taobao finds out the word “soup”, there will be very subtle things. From 60 cents to more than 600 yuan, the single item with the highest sales volume is called soup bag. However, there is no brand for this single product. Is it true that if there is no brand, I must have a brand opportunity? Because the soup bag is not a special craft product, it is only a combination of raw materials and can not be used as a competitive barrier for brand development. So we didn’t cut into the soup bag retail track at that time.


There is also a finished soup model. Because the Chinese and Americans have totally different views on soup, Americans understand that soup is a cheap thing, so the things sold by jintangbao are very cheap. However, Chinese soup has its own health attributes, with premium, stew and nourishment. In terms of retail logic, there was no good technical solution at that time, so it must be No way.

Mr. Tang’s first store, photo source: Chen Huabin’s sharing at foodplus · 2020 catering prepackaged food ecological Conference


That’s why I switched from retail to catering. Let’s take a look at what we’ve experienced in the past few years.


The first stage is 2015-2016, what is the brand doing.


What do you mean by testing a single store model and testing a product model? We had just finished production, and the soup couldn’t be sold because you kept telling him how good this product was. It was different from the logic and delivery logic of tmall. At that time, there was no place to grow grass. The single product we made at that time was not a product that broke through the space to circulate. It was only within the three kilometer radius of local life. At that time, there was only one takeout platform Were you hungry? What’s more, you were very poor when you were hungry. You had poor experience. You didn’t have any tools.


What if there is no traffic?


We started to take the initiative to attract customers. We started to break through some scenes, such as the moon center and the hospital’s postoperative rehabilitation, such as some processing scenes. When one scene broke through one by one, I began to obtain the first wave of seed users. At that time, we opened three kinds of stores, including large shops, small shops and gift shops in the hospital. When you visit a patient, you can only take flowers, right? In fact, I can get a stewed, hot and fresh stewed soup.


At that time, all kinds of attempts were tested for a year. As a result, from the financial indicators, I personally invested 1.2 million yuan. At the end of the year, I had more than 800000 left. I changed back to three stores and a car. Basically, I felt that this business model worked because we would continue to open and close stores, and the fastest store would be closed in three days. This thing must be closed when it fails. The cost is very low The first model is to do this.


The second stage was in 2017, when we got financing, and traditional brands began to think about how to expand and how to copy.


My logic at that time was that unless you could open so many stores in one year as Ruixing did, most brands would not be different if you told me that there was no difference between 40 stores and 80 stores. It was very important to see whether your actions and copying were distorted in the process. Compared with pre packaging, catering is particularly flexible when copying Easy to deform.


Therefore, in the first half of 2017, we only did one thing, that is, how to keep our actions unchanged. When there were only six stores, we started to establish our own SaaS operation management system. At that time, our data-based operation was particularly important for the future small store expansion, which could help the store manager to reasonably control the loss, arrange the human efficiency, and get through the supply chain and sales data.


Through the management system based on business design, we can achieve product standardization and operation standardization. Even the partners who don’t have much catering experience can realize the data management and operation of stores based on the system and key indicators. This is the first half of 2017.


In this process, we reflect on what we have precipitated over the past few years?

What did Mr. Tang precipitate for zansi? Photo source: Chen Huabin’s sharing at foodplus · 2020 catering prepackaged food ecological Conference

First of all, we have been making soup for 5 years. We have been insisting on no added soup. We provide it to the patients in the maternity center and the hospital. If the soup is thick enough, it will turn into sauce. These two parts will become a little barrier for us. The barrier is that you can make the same thing as me, but the cost of research and development is lower than you.


Second, Mr. Tang has gradually defined a new cost model for small stores in the past. Similar McDonald’s and KFC in the United States at the very beginning also built a very high-quality offline dining efficiency operating system. This operating system has a very fast meal, user experience is particularly good, and the quality is particularly high. Based on the advantages of real estate and various kinds of advantages behind the system, it finally forms scale and brand barriers. Is China suitable? No, because the infrastructure for takeout in China is better than that in the United States.


In addition, the penetration rate of e-commerce in China is better than that in the United States. These two factors have given birth to the next generation of chain store model. It is not a pure hall food or a pure take out, but a hall food, takeout, walking food, and the retail of signboard products. These four scenarios exist at the same time. No restaurant has done a good job. If a category cuts into a category that needs high frequency, and the cost structure of the store can have these four genes, it will be easy to copy. This model is a set of SaaS operation management system in our operation system.


Based on the above product supply chain and system, we gradually found some new requirements in the business. Especially after the outbreak, many chain restaurants actively came to us to help them optimize their operation. Shanghai may have waist customers, more than 5-15 catering stores, in which 60% of the merchants are our service. This set of supply chain and operation management system has precipitated our third capability. It is the comprehensive operation enabling ability.



2. Mr. Tang’s experience in prepackaged food


It is necessary to consider whether it is possible to extend and extend some business after precipitation.


In 2019, because we serve a lot of restaurants, we realize that in the process of service, retail opportunities are very large in 2019, and each restaurant has its own signature dishes. In this process, we are thinking, is it possible to make the famous dishes into retail products? It is impossible to test other people’s brands, so we use our own brands to test water, and we have today’s theme, the pit we have stepped on in the process of experiment.


The epidemic situation is devastating to restaurants. Our income in February was 160000 yuan, and last month it was 20 million yuan. That’s the concept. In the capital theory, we realized the company level fuse in February. In this process, we can’t stop. We have to do some things. We want to do public welfare. In addition to practicing some social values, we also have a selfish intention to make the team feel that this company Still running.


We said that from a catering brand affected by the epidemic, the revenue in May, June and July have all exceeded that of last year, and the year-on-year growth of each month is more than 10%. We didn’t stop. We ran all the time. The process of Mr. Tang’s brand catering is mentioned above.

Food plus insight


Back to this process, we can focus on the process of testing new water packaging. I particularly like this picture, but it is well written.


There are a lot of external environment problems, technical upgrading at the bottom of the supply chain, and takeout, which is actually a bridge between retail and catering. After all these are thoroughly understood, the prepackaged food is close to the vision of catering people. The impact of the epidemic situation makes catering people very willing to embrace and test water.


In fact, we have tried many retail products before, from our own hot chicken soup to soup rice pot to pure chicken soup. These products are based on Mr. Tang’s non added health soup. We hope that more people can drink the health soup without adding any more anytime and anywhere.

Mr. Tang’s several attempts at prepackaged food. Photo source: Chen Huabin’s sharing at foodplus · 2020


So far, our company’s retail strategy has not been successful, because we use the value model of catering to do retail products, and the value models of the two are completely different. From user perception to cost structure, they are not suitable for direct replication. It’s not that if you sell this product very well in restaurants, retail consumers will buy it.


Based on the trial experience, we summarized several “pits” of catering to retail.


The first one is the selection and logical thinking. Our first product was a 39.8 piece pot of chicken soup, which was actually lost in the selection. The taste of the product crushed all the self heating soup on the market at that time. However, it failed in positioning, product structure and ml number, and pricing was also a failure. We took this as our first idea.


We must find some large categories and big products. If we can’t find them, we can find products with different prices. If we can’t find them, we can find a big position of snack scenes. If we can’t find them, we can go to foreign countries or advanced places. If we can see the future capabilities, we can see what products we have in the future.

Mr. zansi & Tang made the first pit in the summary of food prepackaged food. Photo source: Chen Huabin shares at foodplus · 2020 catering prepackaged food ecological conference


There are also some products that you can find in the Red Sea, all of which are red sea. Can you find a product with a longer life cycle, which you endure longer than it, or find a higher ceiling in the blue ocean, find an unpopular product in the popular trend, or find some products with gross profit in non mainstream products, or a product with low gross profit You can find a special demand in the product. You can do something else slowly. If you can’t, you can’t. You can find cash flow. It’s not for you to buy it yourself, but for the dealer to quickly spread out and recover the cash flow.



Based on this idea, we rethink the future direction of retail products. In this process, I met sun Sida, the founder of a food laboratory. What they convinced me was quite interesting. He wanted to make the next generation of snacks. He was the first to look at its ingredient list, which was very transparent and reassuring. Second, this product is very happy in your mouth and healthy in taste. The third is the brand association, whether it is the packaging design aspects can let you have a smile emotional things.


So here’s the product, a healthy snack made of deep sea fish and soy protein.

A new attempt of Mr. zansi & Tang, photo source: Chen Huabin’s sharing at foodplus · 2020 food and beverage prepackaged food ecological Conference

The second pit is when catering brands do prepackaged food, positioning is not convenient for publicity, how to do? The part that the restaurant is proud of is that it is the leader of a traditional and well done catering brand. Our products are good products and good taste. It has a good taste and is well done. But in the eyes of consumers, if they want to do pre packaging, they can’t feel the value of your publicity. The promotion of retail products needs more scene sense and common emotion.

Mr. zansi & Tang makes the second pit in the summary of food prepackaged food. Photo source: Chen Huabin shares at foodplus · 2020 catering prepackaged food ecological conference


For example, you need to consider what kind of products are easy to spread. This picture is very good. When they design a product in the early stage, they have already figured out which parts are suitable for online image dissemination, which parts are for selling point communication, and which parts are for video communication. If there are new media in the future, they should think about which channel should be considered early, Instead of talking to the media about the better way of communication after the product is finished, it may have to be reversed. This is communication.

The third is the difference in thinking. When catering brands are doing business, they often ask, which channel sells how much money and which channel needs how much money. This is the traditional channel thinking.


However, if you are an e-commerce business, it is not this thinking. In the early stage, it was the flow thinking. Now, the brands of retail products that are doing well are all in this logic. Which of the online and offline sales accounts for the most? From the entire retail market. Definitely offline.


Because the offline retail market is relatively large, so let’s take a look at what has been done well in recent years. Their growth logic is both moving at the same time. However, they will run faster online and occupy the online category mind. Because we are all Internet natives, we will feel that this category is the same brand. It is a logic to do offline business at this time.


This logic is hard for restaurant owners to accept. Maybe they are obsessive about the channel. They think that I have entered a very good mall, such as the 7-11 shelf, which is a milestone for them. However, the 7-11 shelf may not sell well, or the profit may not be high enough or the turnover rate is high. They will not care about this thing in the early stage. Just as they enter a well-known shopping mall, they will have a very typical channel thinking, which needs to be changed.


At the same time, for the catering brand, what he has to think about is whether the pre packaging of a restaurant is addition or multiplication. The addition is the original catering income or 10 billion yuan. How much income should I bear when I make this product now? Addition. There is also multiplication. It is possible for pre packaged products sold online to be drained offline or offline to it. There is a cross between them. This logic of thinking led to the fact that in the early stage of organizational structure design, there were two different diagrams.


There is a word called “old store growth” in catering. If we do prepackaged food, we will not pay attention to this value in retail because it pays more attention to the quantity of plates or the repurchase rate. These two perspectives are quite different mathematically. One is micro and the other is macro. This chart is convenient for prepackaged food. If you want to serve with Restaurant brands, you should understand them, Because their thinking is like this.


The original intention of catering people to do retail is to break through the ceiling of the cost of people’s goods yard, including us. In our early days, restaurants made a lot of money around 2017, which may be more profitable than many retail products. However, we will realize that every store has a roof. If you want to further grow, you must go through this. The second point is to expand new markets, that is, to open stores, or to increase the unit price Or some new products with high gross profit will increase our income or improve our efficiency. The best way to improve efficiency is to have a completely different breakthrough curve. Therefore, the importance of prepackaged food for catering is of great significance.


Just now, I talked about a lot of pitfalls. One of my favorite people said that entrepreneurship has never failed and never succeeded. The most difficult thing in this process is your courage to continue to persevere in this state of failure and immortality. This courage is very interesting.


We can see many successful cases in the market. They have a lot of methodology. They lose in basic skills. Otherwise, they lose in cost and financial control. Whether a brand wants to be prepackaged or a restaurant, we should pay attention to whether we adhere to our previous values. Our own company has a standard. If we make a product, we have to feel that the product does not violate our original intention and values, and we will not regret it.


The new generation of young people first look at the category. After reading the category, they look at the appearance, and then look at the ingredients list or the production date and other things. After reading, they will make some horizontal comparison. In the middle of this, if a promoter talks to you, the activity will not be a very core. In fact, the number of sales promotion posts in the field of FMCG is declining, It’s interesting, so the spiritual dividend is very important, so the values are very important. Thank you for your time.


In the catering industry, I hope that any food we make will make everyone eat more and more healthy. We can make money by the way.


Finally, I will use a mathematical model to give you a good blessing. This is a company, and some people must have seen it. But I always like to put good things together, and see that the market value of the company from the beginning to the end is not high. This is another company. This is Maotai. All companies in the field of consumer goods are like this Form, it’s an airplane curve, it’s going to accelerate crazy, it’s going to improve all your basic skills, there’s no other shortcut.


We are all industrial, we have a lot of opportunities, we all refuel!

The latest issue of food plus · dinners will be held in Beijing

Topic: how can functional food and beverage stand out?  》 

Time: 17:00-21:30, September 19, 2020 (special reminder, 17:00 is the time for the formal start of the small meal)

Sharing guests:

Shared by Weng Binbin, founder and CEO of lemonbox, the theme of the future development of customized functional food

Yang Peng, founder and marketing director of Hengmei food, with the theme “development of new opportunities for functional food innovation”

Yu Yue, head of Huachuang investment and consumption, shared the theme “rising functional demand, how to seize the opportunity of new brand of food consumer goods? “

Venue: jinshangli Shanghai, No. a, Jiangtai Road, Chaoyang District, Beijing

Cost: RMB 269 / person

Registration method: scan the QR code of the poster or click to read the original to enter the registration page

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