"Sister Xi's fried skewers" won another 75 million yuan A + round of financing

"Sister Xi's fried skewers" won another 75 million yuan A + round of financing, it is reported that this round of financing will continue to be used for supply chain upgrading, digitalization system construction, and operation center construction and so on.

"Sister Xi's fried skewers" won another 75 million yuan A + round of financing.

"Sister Xi's fried skewers" won another 75 million yuan of A + round of financing1

The fried skewer industry in 2022 is no longer the world of small dirty stalls and husband and wife workshops, and with a series of brand chains, capital into a series of "high" operation, the fried skewer industry seems to be driven towards a new direction. is being driven toward a new peak.

"Peak" under the mouth, into the player suddenly increased. Some platform data show that by the end of 2021, the number of fried skewer enterprises registered in the country reached 8,184, an increase of 52% compared to 2019, compared to five years ago, it is nearly 10 times.

This, as the industry dark horse Xi sister fried string, is more attention. The successive entry of capital, the achievement of a thousand stores, etc., in just two years to the Xi Sister fried string brought endless glory, and behind the glory, the increasingly obvious business problems, but also increasingly being concerned about.

From 295 million to 75 million yuan, hi sister fried string in six months and then financing

April 25, the blue whale financial reporter was informed that the hi sister fried string has recently completed the 75 million yuan of A + round of financing, by the Jiaoyu capital exclusive investment, the Mingyue capital as a financial adviser, the funds will continue to be used to Supply chain upgrading, digital system construction and operation center construction.

It is understood that just in October last year, Xi Sister fried string has just received 295 million yuan A round of financing jointly led by Source Capital and Star Nach Capital. So far, the brand has won two rounds of financing in six months, with a cumulative financing amount of 370 million yuan.

As a dark horse killed halfway through the snack food track, the story of Sister Xi's fried skewers goes back as far as 2019. At that time, serial entrepreneur Wang Kuankuan put down his fledgling hot and spicy business and plunged into the fried string industry, opening the first Sister Xi fried string store on Huaihai Road in Nanjing.

Subsequently, with the help of the franchise model, Sister Xi opened its own expansion road. Founded less than half a year, it was a rapid breakthrough of 100 stores, was established about a year, the number of stores in the country has exceeded 300. According to the official website, up to now, the company's chain of stores has exceeded 1800, with an average monthly sales of 80 million strings.

In the view of industry insiders, the rapid development of the fried skewer category is related to its easier standardization and expansion. The Pacific Research Institute has pointed out in its report, fried string, hot pot category does not rely excessively on the skills of the personnel, almost all products can be finished products delivered to the store, the store only minimalist operation, with very easy to copy the conditions.

A happy sister fried string to join the person in charge of the reporter said, the franchisee from the signing of the site selection to the official opening of the store, the time cycle is generally about a month, during which there will be a pre-induction headquarters training and learning, a period of seven days, no less than three people to participate.

Blue whale financial reporter learned from the Xi Sister fried string franchise manual, according to the different cities and locations, the franchisee is required to pay the fee also makes a difference, in which the county-level stores, prefecture-level city sub-center stores and prefecture-level city center stores, respectively, the franchise fee of 39,800 yuan, 49,800 yuan, 59,800 yuan. This also means that has exceeded 1800 stores Xi sister fried string, headquarters only franchise fee income will be in the 70 million yuan -110 million yuan range.

Compared to the franchise fee, for Xi Sister fried string, the income from the franchisee to continue to buy materials is more substantial. According to the person in charge of the above franchise, after the official opening, the store only need to be equipped with fried food, out of the meals and cashier three positions can be, and all the dishes sold in the store, by the headquarters of the cold chain uniform distribution.

Image source: Hei sister fried string franchise manual

It is understood that the current Hei sister fried string single store to join the need to buy 2-3 million of the first batch of material, the person in charge of the franchise, according to the normal daily turnover of prefecture-level cities, the batch of material can be sold out in about more than half a month. So far, according to 1,800 stores to calculate, hi sister fried string every year to franchisees to sell materials can bring 850 million yuan - 1.3 billion yuan income. For the franchisee, the brand's profitability is not yet known.

However, to dominate the market in terms of quantity, low cost and short-term earnings, obviously, for the capital, with this advantage of Xi Sister fried string, is undoubtedly the epidemic era, the catering industry, a piece of meat and potatoes.

The number of stores opened doubtful, join the food safety difficult to control

However, the fact is really so? Not really.

In terms of the number of stores, in the company's official website, has been mentioned in the introduction of the chain of stores Xi Sister kebabs exceeded 1800, in which, "1800" this data is deliberately red, appear particularly eye-catching.

And the reporter then according to the official Sister Skewer small program and a life service platform open store data statistics found that, as of now, the brand in the number of stores less than 1,100, plus part of the suspension of stores, the total number of less than 1,200, and the official website publicity said that there is a certain gap between the 1,800.

Some industry insiders said that this data is pointing to the contracted stores. However, according to this calculation, in December 2021, the company signed the number of stores has more than 1,500, as of now nearly 5 months have passed, it seems that there are still a few hundred stores failed to open, which is a far cry from the above mentioned 30 days to open the cycle of the person in charge of joining the store.

On the specifics of the store, the reporter consulted with the headquarters of the Sister Sister Skewer staff, but the other side did not give a clear reply.

In addition, in the franchise model dominated by the Xi sister fried string, food safety hazards is also one of the weaknesses of its existence.

The reporter noted that, in the black cat complaints, the public comments and other platforms, more than one consumer said in the store to buy uncooked meals. In addition, some customers said that when they bought fried food in the store, they saw the clerk calmly wash the mop with the only pool in the store this behavior, so they chose to refund.

For this type of brand, food industry analyst Zhu Danpeng pointed out that it does not have a strong comprehensive strength, there is not much precipitation of resources, relying only on financing to help, from the perspective of long-term development, there is a great deal of uncertainty, and to join as the main form of expansion for the brand itself, the entire risk is extremely high, because each franchise is a time bomb, and the moat is difficult to establish. It is also difficult to establish their own moat.

At the same time, in the skewer industry, Xi, also faced with the pressure of product homogenization.

On the one hand, limited by the cooking method of the skewer product itself is difficult to break through, on the other hand, the industry under the heat, the player into the sudden increase in a limited number of products within the competition is more intensified. It is understood that, with the sister of Xi fried string together with the breakout, there is the dark horse of the quartet fried string.

Previously reported in the media, Xi sister fried string and quartet fried string has more than half of the product duplication, and the two brands are in the running stage. Reporter statistics learned that the current Xi sister fried string stores are more concentrated in Jiangsu, Zhejiang and South China, while the quartet fried string in the northern region of the number of stores, and in the future, the two sides in order to achieve the goal of "one hundred cities and ten thousand stores", will inevitably be in the expansion of the path of the collision, at that time, the competition will be even more intense.

"Xi sister fried string, although based on the new generation of demographic dividends to seek a certain development, but in the highly competitive catering market, whether by virtue of the fried string of a single category of long-term continuation of their own vitality, or unknown." Zhu Danpeng said.

"Sister Xi fried skewer" won another 75 million yuan A + round of financing2

According to the eye of the news on April 24, fried skewer snack chain brand "Sister Xi fried skewer" recently announced the completion of the A + round of financing, the total amount of this round of financing of 75 million yuan, by the Jiaoyou The total amount of this round of financing is 75 million yuan, invested exclusively by Jiayu Capital, with Mingyue Capital as the financial adviser.

It is reported that the funds from this round of financing will continue to be used for supply chain upgrading, digital system construction and operation center construction.

As a popular street food, skewers have gradually embarked on a branded and scaled-up development path with spicy hot pots, giving rise to a number of chain brands, of which Xi's fried skewers is one. According to the brand's official website, Xi Sister fried skewers was established in 2019, the earliest in Nanjing to open offline stores, aims to provide young consumers with delicious and healthy casual snacks, has launched about 35 products, covering meat products fried skewers, sauce stinky tofu and fresh vegetables fried skewers, and so on.

In the past three years since its establishment, Sister Sister Skewers has expanded from Nanjing to 23 provinces across the country, and has signed a total of 1,876 offline stores, with more than 100 new stores signing up every month. Wang Kuankuan, the founder of Xi's fried string, has publicly stated that the goal of Xi's fried string is "100 cities and 10,000 stores", and is committed to helping 100,000 Chinese people to successfully realize the dream of entrepreneurship.

Wang Kuankuan introduced, hi sister fried string to make "targeting high-value ingredients" and "supply chain with" two actions, targeted to solve the fried string products in the past ` industry pain points. One action is to select high-value fried skewers through big data, covering pork, imported beef kebabs, palm kebabs, boneless chicken claw kebabs and rib kebabs, etc., to replace the traditional stalls to seasoned duck as raw material for low-value kebabs, and abandon short-term insurance and product value of the sense of low fresh food, reduce logistics costs and improve the supply chain ability to fully allocate.

Another action is to establish a central kitchen, the procurement, cutting, marinating, tumbling, stringing and other labor demand, are placed in the back-end to complete, reduce the difficulty of the stores to make fried skewers, and can quickly output standardized products, so that stores can be "foolproof" operation. The company has eight warehousing and distribution centers and its own factories across the country, covering 29 provincial administrative regions and 304 cities, enabling it to achieve nationwide fast delivery.

Wang Kuankuan said: "In terms of industry trends and competitive advantages, the consumer demand for fried skewer track always exists, as long as the supply chain and food safety issues can be resolved, this category will be like the absolute flavor of the duck neck in the future to go all over the country streets."

Wei Zhe, Chairman and Founding Partner of Jiaoyu Capital, said, "Fried skewer is a large category with a broad mass base, high gross margins, high customer stickiness, and single-store replicability, making it a very good track. Xi sister in the first store did not open when the central kitchen began to establish the string, and constantly improve the warehousing and logistics capabilities, improve the performance efficiency and performance ability, which is Xi sister can stand out in the category of fried skewers an important reason."

Guo Xiao, director of Mingyue Capital, said, "Sister Xi's fried skewers come with a chain gene, with new high-value ingredients, new frying methods, and new visual design combining to form a whole new set of outputs to satisfy the taste buds and aesthetics of young people."

It's worth noting that Xi Sister Fried String just completed a total of 295 million yuan of Series A financing in October 2021, which was jointly led by Source Capital and Star Nach Capital, and the funds were likewise invested in the company's supply chain upgrades, operational middle office and digital system construction.

"Sister Xi's Fried Skewers" Wins Another 75 Million RMB A+ Round of Financing3

On April 25th, Nanjing No Boundary Catering Management Company Limited (hereinafter referred to as: No Boundary Catering) announced that it has won 75 million RMB A+ round of financing exclusively from Jiayu Capital, which is well known for its project of the chain of snack brands, Sister Xi's Fried Skewers. This is the second financing obtained by Borderless Catering in the past six months. In October 2021, Source Capital and Star Nach Capital had already injected 295 million yuan into the company in the A round, which means that Xi Sister's fried skewers have already attracted nearly 400 million yuan in six months.

Less than three years to open 1500+

Public data show that borderless catering was established in April 2018, is a set of catering chain operation, standardized food material research and development production, marketing, brand building as one of the enterprises. According to eyeball check data, the company's actual controller Wang Kuankuan controls about 68.41% of the equity in total.

Although the establishment of the time is not long, but the expansion of borderless catering is non-stop. The company's website shows that the main products of Xi Sister Fried Skewers include six categories such as Stinky Tofu in Sauce, Xi Sister Palm, and dozens of other products.

Silver persimmon financial reporter from the Xi Sister Fried String staff to obtain the franchise manual shows that the brand's first store was opened in May 2019, only lasted one year in June 2020, the number of stores in the country exceeded 300, to the end of 2021, in about 2 ? years the number of stores in the country of Xi Sister Fried String exceeded 1,500, and as of now has exceeded 1,800 The number of stores has exceeded 1,800 as of today.

Image source: Xi sister fried skewer franchise manual

This expansion speed is considered rapid, to know the parent company not long ago just handed the table of the Hong Kong Stock Exchange Yang Guofu spicy hot, from the first store in 2003 after nearly 19 years in September 2021 to expand to nearly 5,800 stores, an average of about 300 stores per year, and Xi sister fried skewer from the first store to 2021 to the end of the year, the first store to the end of the year, the number of stores in the country has exceeded 1,500 so far. The average number of stores opened per year from the first store to 2021 is about 600.

According to the company's website, Sister Sister Skewer has gradually established a unified product development and supply system, brand operation system, franchisee management system, etc. The supply chain covers 29 provincial administrative regions, 304 cities, **** there are nine warehousing and distribution centers in Nanjing, Hangzhou, Shanghai, etc., with an average of 60 million skewers of products sold per month.

How much does it cost to open a Sister Xi fried string?

So, how much money is needed to open a store of Xi Sister fried string? The silver persimmon financial reporter to the Xi Sister fried string staff to understand that the opening of the year's investment mainly includes the preliminary investment, the first batch of material, store rent three major parts, which is divided into the preliminary investment of the franchise fee, management fee, deposit, etc., will be because of the opening of the store city, the store decoration of the specific situation is different and different;

store rent will be due to the location of the city positioning and the height of the overall in the county to open the

In addition to the rent will be affected by different actual situation and the large differences, just from the initial investment budget and the first batch of materials, open a sister of the two parts of the cost of frying skewers of about 180,000 to 210,000 yuan, may not be cheap. To silver persimmon finance and economics previously to Yang Guofu spicy hot and Zhang Liang spicy hot official customer service to understand the situation, for example, these two brands in Hangzhou to take away the rent of the store in that year's investment of 220,000 yuan to 240,000 yuan, as well as 150,000 yuan to 160,000 yuan, can be seen, Xi Sister fried skewer costs between Yang Guofu spicy hot and Zhang Liang spicy hot.

In addition, Sister Xi fried string also in the franchise material gives a single store investment profitability analysis, in its estimate, the county, prefecture-level city sub-center, prefecture-level city core of the key locations of the store annual net profit or can reach 354,000 yuan, 582,000 yuan, 1,302,000 yuan, respectively. However, Xi Sister fried string also indicates that its estimated data is for reference, the investment is still at risk.

In recent years, Yang Guofu handed the Hong Kong Stock Exchange, Laoxiang chicken, Lao Niangwu, etc. have also started the listing process, more and more chain restaurant brands with a variety of ways to docking with the capital, hi sister fried string six months attracted nearly 400 million yuan of investment is also a microcosm of the industry in this environment.