Minquan tripled its profit

The financial report shows that in 2018, Gluttony opened a total of 195 restaurants, including 168 Gluttony restaurants and 27 Minquan restaurants, and as of now Gluttony owns and operates a total of 886 Gluttony restaurants in 108 cities in 20 provinces in China as well as three municipalities in the Central Government (Beijing, Tianjin and Shanghai). As of today, Gluttony owns and operates 886 Gluttony restaurants in 108 cities in 20 provinces and three municipalities (Beijing, Tianjin and Shanghai) in China, with the majority of the Group's revenue coming from Gluttony restaurants.

Among them, the revenue earned by Picnic restaurants increased from 117 million yuan in 2017 to 555 million yuan in 2018, a growth rate of 374.9%, the financial report revealed that Picnic's revenue more than tripled mainly due to the continuous expansion of the network of Picnic restaurants by Gluttony. 2018, Picnic also recorded a restaurant-level operating profit of 64.8 million yuan, compared to a loss of 24.4 million yuan in 2017, and a loss of 3.4 million yuan in 2011. It was a loss of $24.4 million, and in one year's time, Minjiao Restaurant turned a loss into a profit.

Borrowing new products to raise customer unit price

The financial report also reveals that the Group's per capita customer spending continued to increase in 2018, mainly due to the company's continued optimization of the product, the introduction of new products on a regular basis, as well as the increase in sales of new dishes. In this regard, some industry insiders analyze that the increase in the customer unit price of sip and eat is mainly due to the launch of the middle and high-end side brand of sip and eat mincing hot pot in 2017, in terms of profitability mode, mincing hot pot focuses on the tea drink + hot pot mode attracts a lot of young consumers.

Xu Yiwen, director of marketing for Minato Catering, once told the media that Minato's hot pot + tea drink model has accumulated a wealth of experience, in which the tea drink part has accounted for 20% of Minato's turnover, while the tea drink takeaway turnover is more than 40%. It is understood that due to the popularity of Minato's tea drinks, in 2018, Gluttony opened two tea drink stores - Cha Mi Tea - in Beijing Huanyu Hui and Shanghai. Some industry insiders believe that the new model of relying on the patchwork has brought a new revenue growth point for Gluttony, but Tea Mee Tea, especially the patchwork are direct mode of opening stores, the model is heavier, the expansion of stores will cost a lot of money, and the patchwork to continue to expand the opening of stores, the management will also encounter problems.

Takeaway has become a new engine

The takeaway business expanded from 5 cities in 2017 to cover 75 cities in the first and second tiers, and by the end of 2018, the sales revenue of the takeaway business was nearly 203.3% of that of 2017. Revenue income increased by more than 20%. Gluttony said that the takeaway business affects the operating profit at the restaurant level to a certain extent, but the opening of takeaway helps to improve the brand image, so in the strategic year of 2018, Gluttony began to invest in this business in advance.

It is understood that sip cook hot for sip feed risotto brand, in addition to risotto delivery, sip feed in last year also launched a hot pot delivery service, some industry insiders believe that the cost of hot pot delivery service is heavier, can not yet bring profit for the brand, and risotto takeaway mode is lighter, and with the mode of takeaway distribution is very consistent, many restaurant enterprises to open a subsidiary to specialize in takeaway, in order to bring a new revenue Growth space, but with the rising cost of takeaway, restaurant companies want to continue to develop the takeaway business, but also need to reshape the cost structure of takeaway products, the cost control within a reasonable range, at the same time, the expansion of the takeaway business is also affecting the brand image, with the glacial boil hot stores to expand the store management capabilities should be strengthened.