1. Changes and upgrades of customer needs.

The essence of business is always to meet the needs of consumers. Who can see and meet the demand, who has the living space.

The difficulty is that consumer demand has changed.

Second, the erosion of substitutes.

The underlying logic of the catering industry-jiaozi is delicious and can't be eaten in three days.

Early adopters are the unique demand point of human eating, which gives a large number of new brands and new categories the opportunity to seize the market.

For example, the big bone hot pot, which is very popular in Shaanxi recently, obviously replaced the original string hot pot to meet the needs of diners who like to eat meat and drink.

Under the impetus of Tik Tok, fried noodles created network celebrity products in a short time, which met the needs of consumers and was bound to have an impact on the original pasta.

There are such substitutes every year, some of which have a long life cycle and become new categories; Some have very short life cycles and become online celebrity products.

But in any case, it is an erosion of the original category market. After all, people can only eat three meals a day, and the demand is constant. The entry of substitutes will inevitably affect the business, which is also one of the reasons for the bad business.

Third, the influence of existing competitors.

Business is easy, hello, I am good, hello everyone. As long as the business is not good, in order to survive, all kinds of bottomless marketing tactics emerge one after another. Some obviously kill the enemy by 1,000, and secretly lose 800. There are also a large number of merchants who are happy to do it.

For example, the very popular activity of charging 1000 to send 1000 in previous years, even if the gift cost is only 150, the profit of the merchant has been lost.

Moreover, everyone still fights price wars every day. The more they fight, the lower the price, and there is no profit for each other.

Internal management, improving service and the quality of dishes all cost money. Without profit, how to do internal optimization and upgrading? Finally, the store is caught in a vicious circle of marketing.

Fourth, the threat of new entrants.

Cross-border robbery was once a hot word in the catering industry around 13. At that time, the Internet catering brands represented by the carved burdock and Huang Taiji were born, and the old catering people were simply shocked. The restaurant can actually play like this.

Cross-border robbery and dimensionality reduction are obvious labels for new entrants. With advanced marketing management tools learned from the internet industry and in-depth insight into consumer demand, it quickly emerged in the food market.

The most typical example is He Fulao Noodles, several veterans of the mobile phone industry, who got rid of the traditional mode of opening a shop and cooking food according to the Internet thinking. The market research link alone spent tens of millions. Last year, it raised 2150,000 yuan, with a turnover of over 2 billion yuan, making it an absolute dark horse in the field of pasta.

Fifth, high-quality supply chain has become a competitive barrier for the strong.

The catering industry will eventually compete with the supply chain. Brand determines your business premium ability. The same bowl of noodles, the brand sells 250 thousand, but you can only sell 15, and no one pays.

The supply chain ensures the basic support of the brand. Before Xibei built its own beef and mutton breeding base, I visited many mutton and sheep production bases all over the country, and found that all of them were scattered farming mainly by small farmers, which could be satisfied with a small amount of purchase. Once the main beef and mutton products were exploded, they immediately faced the problem of unstable supply, so they were forced to build their own bases.

On the other hand, you can copy Siebel's dishes and even get the secret recipe, but you can't copy the ingredients.

Ingredients determine the taste of dishes. In this way, Siebel has formed its own competitive barriers by building a high-quality supply chain. It is unrealistic for latecomers to surpass in a short time. Even if you are determined to be a supply chain, you still have to take the road of Xibei now. If you build it, others will have new explosives.