This article was first published by the China Used Car Self-Media Alliance

The author is a contributing author of "Used Car Small Boss"

Rarely do you get to sleep on weekends, but you're still woken up by the sound of the phone. I picked up the phone impatiently and looked at the name and felt that it was a drinking game to get people together (the caller was a friend of a used car dealer), and I was still thinking of reasons to excuse myself, and I felt that it was enough to persuade the other party to pick up the phone with full confidence.

The old Zhang changed the tone of the usual cheap whooshing said "Mr. Wang" today have time? I'd like to formally ask you for some advice! Listen to his tone of voice in a serious look, I am still very serious back to the "What is the matter say it, within the ability to try to help you solve"

He couldn't wait to say "I stall near a commercial tenant can't continue to do the rent, this year, the stall fee there are still hope that some of the decline, I think! I'm thinking about expanding my business."

Listening to him, my first thought was, "You've got no heart, do you? I'm not sure if it's a good idea, but I'm sure it's a good idea. I'm not sure if I've ever had a problem with that. But with a high level of cultural literacy (I don't even believe it) I asked him in a gentle manner, "Why?"

Beeping~Rambling~Rambling a lot, in the "literacy" and "sleepy" under the influence of I have not interrupted him, but ultimately I still have questions? Why? Where did the courage come from? Where is the basis? Today, most industries have been hit hard by the epidemic.

No matter what kind of volume you are in the industry, it is hard to escape the fate of closure. Used car industry, although not as bad as the film and television, catering and other industries, but most are in a state of struggle.

Let's not talk about expansion and profit growth, can well survive the epidemic will read Amitabha Buddha. He saw me not much movement, and not too supportive of his ideas so said "I am not eloquent to say that I do not understand, where are you? I drove you to find an expert to talk!

He took me to Sanlitun, Beijing, a sell crayfish restaurant, my first reaction was to be swindled this is not the obvious "drinking game" well!

Entered the store and ordered two pots of crayfish, the wine is naturally full. The owner of the store sat down and drank with us for a while.

Chatting for a while, I realized that this store has just opened soon, the owner is my friend's friend, to this store first let me taste his family's craftsmanship, the more important reason is to let me listen to the owner of the store's reasons.

To be honest, when I heard the boss say that the store was just opened, I was also surprised ~ because the restaurant industry is the industry affected by the epidemic.

Smaller stores, not to mention the well-known restaurant chains "Haidilao, Xibei and many other catering companies" during the epidemic also complained that their capital chain to maintain at most 3 months or so, if the epidemic can not be effectively controlled within 3 months, they are at risk of closure.

I don't know if these big corporations are talking about something evil, but what I can see is that many of the storefronts around my house are empty, and the rental information is posted all over the glass, and there are so many restaurants and 24-hour convenience stores that have gone out of business.

What kind of courage does this boss have? Where is the confidence? Is this what is often called "greed when others are afraid?"

But this is also the word used in the financial world, it should not apply to the restaurant industry.

Countless questions converge into one sentence, "Dude, why did you choose to open a restaurant in such poor external conditions?"

The boss's answer is simple and clear:

First of all, open a restaurant child is I have always had the idea, before looking at a lot of places nothing particularly suitable, and now due to the epidemic vacated a lot of stores, my choice of space is much larger.

Secondly, it is much cheaper to enter at this time than after the epidemic has passed. (I had a million question marks in my mind when he first opened his mouth).

By the impact of the epidemic at present the general store rent has declined, before the rent here is basically in 9 yuan / square meters, I signed more than 7 yuan / square meters, which each month compared to the previous to save a few thousand dollars of rent.

And signed not a one-year contract but five years, if I was to come over last year to sign a five-year lease, my God! How much more rent would I have to pay!

That's not all. Anyone who has worked in the restaurant industry knows that you have to pay a "transfer fee" to the previous tenant to lease a store.

A good friend of his opened a restaurant in the neighborhood and paid 600,000 yuan in transfer fees. The "transfer fee" is no longer there, so I saved hundreds of thousands of dollars.

On the other hand, if you don't have a single sale after the opening, you won't lose any money because you've already "saved" money.

Lastly, the sales channel change, the past crayfish store most of the source of income for the amount of diners into the store to eat, online single go single is not a lot, especially with the spicy hot, sell rice kind of store than, but I changed the way to play.

I divided the store into two parts: online and offline. If you order online, you might not even know that I specialize in crayfish, but rather in rice, because my online store sells rice-based meals.

That's not a conflict either, because there are already fewer people eating crawfish in the morning and at noon, so we're just freeing up our energy to make covered meals. And then in the afternoon and evening the main focus is on the store.

Don't look at me this store just opened less than a month time, on the performance so far, 3 weeks I have already earned out the cost of the month.

Listening to the boss talking about this I was mulling over what he said in my head and my friend nudged me and said "I told you this morning that the idea of me wanting to expand a little bit more came from here!" At that time my thoughts were still stuck in my boss's words and I secretly gave him a thumbs up in my mind.

But, the owner of a restaurant line, used cars on this idea to open a store or expand their scale is really feasible? The company has a lot of people who are interested in the business of the company, but they are not interested in the business of the company, and they are not interested in the business of the company, and they are not interested in the business of the company.

But after a cigarette I was still very sure to tell my friend "used car blind expansion, no way!" The owner of the restaurant just a set of words in my heart is very sure, but this set of theories used in used cars is not applicable.

There are several reasons for this:

The cost structure is different

I remember that I read an article before, which mentioned the cost of the restaurant industry. If I remember correctly it was divided into three parts, rent and utilities, staff costs, and the cost of ingredients, each accounting for about one-third of the total.

Restaurant owners now out, in the rent cost savings, ingredients to sales based on the probability of waste is not high, so catering is feasible.

But the cost of a used car is enough not so.

The main cost of a used car is the cost of capital and depreciation costs (Beijing, Shanghai, and other first-tier cities, the cost of land rent is higher here not to be discussed in detail)

So, even if the current market or market store rent compared to the previous slight downward adjustment of our work in the second-hand car for the "meaningless"

The supply chain is different

The supply for restaurants is the food market, which is theoretically endless.

And used cars? Can you receive as many cars as you want to sell? Can you receive as many cars as you want? (Unless you take whatever price you want) The answer is obviously no!

Repurchase cycle gap

Whether it's restaurants or used cars, advertising plays a very important role in promotion, but repeat customers repurchase and referrals are also very important.

This restaurant is so tasty and affordable that you'll probably be at it again within the week if you're quick, or bring a friend back within a month or two if you're slow.

But what about the repurchase cycle for used cars? Most are around three years, so you don't have enough repeat customers to support your current volume of business, and how much will it cost you to rely solely on online advertising and promotion? So that's a huge difference.

Decision-making logic is not the same

Restaurant trading is not good to put the heart in the dish flavor, publicity, service and other issues a little bit of change will always see some effect. Even if nothing much progress at least not much harm.

But used cars are not the same, to take the simplest example. When you expand, you have to pick up cars as quickly as possible in order to fill them up, so how can you just happen to have so many cars at the right price all at once?

It is inevitable that some of the salty cars will be slightly overpriced, not the best-selling models to pick up the price of the car is not low, and ultimately it is likely to fall into the inventory of cars. The risk of losing money on one more stock car is one more point.

Personnel development speed is not the same

Restaurant child you are the boss you let the waiter do what she can basically do almost. To put it simply, the skill threshold is low, and you can basically teach her once and she'll know.

Used cars, however, is not the case, vehicle evaluation of such work without a few years of experience in general people can not do.

Sales look relatively simple, but the current market is the cost of trial and error is a little too high, really have a white you do not dare to be too assured that he went to do.

Totally with the old man is certainly difficult to support you to expand the existing business. You in a short period of time on where to recruit a reasonable salary with the ability to rely on the staff?

There are many other factors that we will not list, summarized in a simple sentence is "the current situation of blind expansion is not very applicable to the used car business individuals"

Listening to my drunken remarks, I see that my friend will be the size of the glass of wine and then change the size of the big one child.

Heh~

I don't know if I want to change the beer or just get drunk!

I don't care about him, I put on my gloves and grabbed the shrimp, and then I went back a little earlier and maybe I could not sleep again, but I can't let a rare weekend be ruined by a meal of crayfish!

I am a small boss of used cars, welcome to give me a brick message!

-END-

This article comes from the author of the automobile home car family number, does not represent the views of the automobile home position.