Can you achieve your wish after the promotion?, Chinese fast food brand price reduction WeChat | Era | Brand

After consumers frequently roast that they were "too expensive" and "can't afford to eat", Chinese fast food people finally put down their posture and lowered their prices.

9.9 yuan of oil splashed noodles, 3 yuan of buffet breakfast... Chinese fast food with an average price of 30-40 yuan has also started to play "casual pairing".

Chinese fast food prices are all reduced, "No 99, only 9.9"

Since May, Master Xi has sent three price cutting tweets on the WeChat official account, and the classic package has dropped more than 10 yuan, returning to the "20 yuan era". Later, he directly printed "price cut!" on the logo of the take away platform.

In June, the price of "Chicken Bone Thick Soup Sour and Spicy Noodles" in some areas of Xishaoye's stores plummeted, returning to 9.9 yuan within a limited time. Following the price reduction, it was also the turn of oil splashed noodles, with promotional activities such as a 25 yuan four piece set, a 12.9 yuan optional set, and a 18.75 yuan three piece set also being launched on its official WeChat account. It's hard to imagine that in the days to come, the word "1+1" will also be tied to Chinese fast food.

Also starting the 9.9 yuan era, there is Xiaoman handmade powder. On June 9, its official official account announced the launch of the "9.9 yuan wool card", which resulted in 17 meal coupons and attracted consumers to "pull wool" with various RMB 0 snacks.

Since May this year, Mr. Xi has been continuously launching low-priced activities. Screenshot from WeChat official account.

In terms of breakfast, the prices of Chinese fast food have even bottomed out, with three chain fast food chains including HeHegu, Nanchengxiang, and Jiahe Yipin successively launching a "3-yuan buffet breakfast". On July 21, Master Xi also shouted the slogan of "free soybean milk, coffee and deep-fried dough sticks" when he launched the "5 yuan breakfast with your heart".

The significant drop in promotional prices of Chinese fast food has made netizens not only doubt that Chinese fast food, which has always had high prices, has finally understood the thoughts of consumers?

Is it because you haven't found the pain point that the price cannot be lowered?

In recent years, Chinese fast food chain brands have experienced rapid development. Not only did Yonghe Dawang, the local chicken, the old lady's uncle, the village base and other chain brands continue to expand, but also various Chinese noodle restaurants were favored by the capital. New chain noodle restaurants such as Hefu Lo mein, Meet Xiaomian, Chen Xianggui and so on flourished in the first and second tier cities.

Compared with "bulk" fast food such as Lanzhou Lamian Noodles and Shaxian snacks on the streets, these chain brands have settled in major shopping malls. Not only are the stores decorated exquisitely, but the prices have also become extremely exquisite - if you want to eat enough, you can get as little as 30 yuan, as much as 40 yuan or even 50 yuan.

"My fellow villagers can't afford to eat their chicken anymore." "My monthly salary is 20000 to 30000, so I can't afford fast food." Netizens' comments may seem humorous, but they also reflect a phenomenon: although Chinese fast food is becoming more expensive, working people are more concerned about cost-effectiveness when it comes to cooking.

However, before this wave of price cuts, why couldn't the prices of Chinese fast food come down for a long time?

According to a survey conducted by iMedia Consulting, when Chinese people consume a Chinese fast food, 43.7% of them have a budget of less than 20 yuan, and 85.2% of them can accept a price of no more than 30 yuan.

Although consumers feel that the expenses spent on meals are increasing, the wallets of catering companies have not bloated. The data shows that the gross profit margin of Chinese fast food brands is declining year by year. Due to the rising prices of raw materials, as well as the continuous rise in costs such as rent and labor, many Chinese fast food brands find it difficult to lower their costs, which also constrains the pricing of their meals.

It is impossible to operate in a market with an average price of less than 20 yuan like street vendors, and it is difficult to stand out in a market with an average price of over 30 yuan that most people refuse to accept. The dilemma of Chinese fast food is that it can only survive in a price range of 20-30 yuan, but the market competition here is also fierce. Reflected on the menu, it naturally means adding price but not quantity.

Can the transition from internet celebrities to popular Chinese fast food break through?

"The catering industry is fiercely competitive, and when other merchants generally lower prices, the customer flow of stores that have not lowered prices will be" swept "away by others. According to media reports, some industry insiders believe that most Chinese fast food brands are" forced to lower prices "and attract sales through low-priced packages, thereby driving the sales of their main products.".

So, can the promotion methods of Chinese fast food be successful?

Founder of Nanchengxiang, Wang Guoyu, has previously publicly stated on multiple occasions that "a price war for catering is about to begin" and believes that chain brands will be the biggest beneficiaries of this price war.

For a price war that is essentially a cost struggle, chain brands have obvious advantages in both supply chain and scale and branding, making it easier to achieve the ultimate cost-effectiveness. However, compared to Western fast food that has been in the Chinese market for many years, there are still many problems that need to be solved for Chinese fast food.

"KFC and McDonald's used to think that eating a meal in their thirties and forties was very luxurious. If Chinese fast food was priced higher than Western fast food, they would definitely not find it affordable." A post-90s office worker told China News Finance that compared to Western fast food, Chinese fast food lacks a sense of "scarcity" and has a wider range of options, making it difficult to maintain its attractiveness.

Due to their early entry into the Chinese market, some established foreign fast food brands have achieved localization, with a large number of suppliers and mature supply chains. They are able to obtain raw materials at lower prices and have more cost advantages. In terms of marketing, foreign fast food brands are also thriving. Under the backdrop of popular slogans such as "Crazy Thursday v Me 50" and "Maimen Forever", foreign fast food brands are tightly grasping the young consumer group and further enhancing their brand identity. In addition, in the continuous cross-border collaborations, multiple popular products have emerged, constantly providing a platform for brand discussion.

In contrast, Chinese fast food, which has only experienced rapid development in recent years, not only finds it difficult to break through cost bottlenecks, but also faces the challenge of regional differences in terms of scale. Due to the significant differences in taste preferences among consumers in different regions, some Chinese fast food with distinct regional characteristics face the problem of being difficult to match.

For many Chinese fast foods, it is not easy to compete for a place in the Chinese food market with numerous cuisines. Behind the price war, there is more helplessness and desperate survival with food companies.

Have you been tempted by the discounted Chinese fast food?