The new tea drink track is really a windfall. Financing, IPO news wave after wave, is ushering in the final sprint before the listing harvest. Originally, the 16 billion valuation of Xicha was already staggering enough, but I didn't realize that in the past two days, there were media reports of rumors that Honey Snow Ice City was about to complete a new round of financing at a valuation of 20 billion.

Although, the honey snow ice city gave a "report is not true, have not received the relevant news" reply, but combined with the similar reply to the set of Xicha, Naixue, have to make people doubt the authenticity of the incident.

As the milk tea industry "old man", now 23 years old, the honey snow ice city compared to the rapid rise of the Xi-cha, Naixue, has always been steady, silent cultivation. But in the past two years has ushered in the outbreak, in June just became China's first store number of more than 10,000 tea drink enterprises, and now the rumors of 20 billion valuation triggered the spectators.

Crowned "milk tea industry Pinduoduo" honey snow ice city is how to make? How can it pry half the sky of the tea drink track? Does it have a chance to become the first share of the new tea drink track? strong>

The success of any brand is not overnight, there are a variety of accidental and inevitable factors mixed in. Of course, the honey snow ice city nature is no exception. From the beginning of the grassroots qualities to the rough development of the scale effect, honey snow ice city and tea, Nai Xue show a very different temperament.

1, the founder of the brand's "grassroots" genes, Honey Snow Ice City's civilian victory

Unlike the later Xi-tea, Naixue's "aristocrat" qualities, Honey Snow Ice City Zhang Hongchao, the founder of Honey Snow Ice City, from the first day of business, did not want to do a how expensive products. His idea was simple: to support his family and bring his parents from the countryside to live in the city. It was also very simple to make the best product on the market at the lowest price.

This grassroots entrepreneur from the countryside out of the almost stubborn persistence to determine the brand to do better quality, adhere to the lower price route. Although the fire of the subsequent honey snow ice city, Zhang Hongchao has never wavered, with a low price strategy to benefit consumers is Zhang Hongchao has never changed the principle of business. Not to look at the market, and not maliciously against competitors, but to take the cost of regressive pricing strategy.

The founder of this rather "grassroots" qualities of the simplicity of the commercial business law achievements of the brand for the supply chain almost paranoid about the pursuit of affordable high-quality genes slowly penetrate into the corporate culture.

The 2-dollar cone, the 5-dollar lemonade ...... It is this "to create a high-quality price revolution, benefit the public" vision of the enterprise, and ultimately let the honey snow ice city's civilian victory method can work.

2, "rural surrounded by the city", to stimulate the immense power of the sinking market

The reason why the honey snow Ice City has been crowned "milk tea industry Pinduoduo".

The reason why honey snow ice city has been labeled as "milk tea industry Pinduoduo" has a great deal to do with its focus on three, four and five tier cities in the sinking route.

Honey Snow Ice City stores throughout China's urban and rural areas, especially Henan, Hebei, Shandong, Shaanxi, Sichuan and other provinces and cities of prefecture-level cities and districts, where young people and students are its main consumer groups. And with the intensive opening of the store mode to maximize brand exposure, thereby increasing the consumer's consumption frequency and consumption demand, so as to achieve the purpose of covering a wider range of people.

In this way, honey snow ice city bright line with endless, many less than ten dollars of explosive single product and buy as much as the number of preferential strategy to attract consumers; dark line is "ten steps a honey snow" sinking market strategy as far as possible surrounded by every potential consumer.

In the sinking market for more than a decade, the honey snow ice city constantly from the perspective of the sinking market, the establishment of the brand image, but also gradually formed its "earthy" temperament, revealing a strong market penetration.

3, 10,000 + stores scale effect, help honey snow ice city from category to brand leapfrog upgrade

As mentioned earlier, in June this year, honey snow ice city with 10,000 stores to become China's first store number of more than 10,000 tea drink enterprises.

In the restaurant industry, there is such a thing as scale advantage. The number of stores is large, which means that there is capital to talk to the upstream supply chain, and the cost advantage is large. Be able to keep the price down and maintain the terminal price advantage.

The former era of barbaric growth is over, and the industry is beginning to step into the era of scale and segmentation. At this moment, standing on the scale of 10,000 stores, honey snow ice city has completed the brand's huge barriers. How many times a year the repurchase, self-contained advertising flow of the honey snow ice city has completed from the category to the brand of the road of success by leaps and bounds.

In the highly competitive world of tea drinks, Honey Snow Ice City can break through the 10,000-store scale as a "dark horse", which is bound to have a milestone significance for the entire tea drink market, and is also an encouragement to the market.

4, with the differentiation of the tea, Nexus, the victory of the law of misplaced competition

Previously, the industry on the "tea and honey ice city, who can represent the future of Chinese tea drinks," a heated debate. Such a debate is not destined to have a result, because of the different main market, the target population, but also determines the different development of the two brands towards.

Under the concept of consumer upgrading trend, Xi Cha, Nai Xue inherent noble qualities in the wave of new tea drinks invincible. According to the more and more fine attentive service, packaging design of the elaborate design planning, to the customer to produce a more "expensive" feeling, to create a "tea drink aristocrat" qualities of the brand image.

In contrast, focusing on white-collar head of the customer Xi tea, its core competitiveness lies in the brand and pop-ups, its profit margins are relatively large, when there is greater capital intervention in the market, it is easy to create through the power of capital to create other Netflix brand and pop-ups, so as to seize the market.

On the contrary, honey snow ice city, its profits have been almost to the extreme, its core competitiveness lies in its extreme cost control, in this case, it is difficult to have other brands to intervene and share the market.

02

Standing on the cusp of a new tea drink

Will Honey Ice City be able to take off?

It is true that the focus of all brand competition may end up in the user. Only from the user's point of view, to customize the production of products to meet the user's preferences, tastes, you can stand firm in a certain region.

The success of Honey Snow Ice City follows this path. Some people say, honey snow ice city rely on cheap, low price, in fact, not exactly. Price is the shallowest thing, and then go deeper, honey snow ice city has been constantly breaking down their own cognitive barriers, products and marketing direction are centered around the user's needs of the times.

1, honey snow ice city hidden in the "back end" of the brand barriers

For honey snow ice city, whether it is the ultimate low price, or 10,000 stores across the country is just the tip of the iceberg. These are all backed up by a strong backend, and since 2012, Honeywell has its own independent research and development center and central factory, realizing that the core raw materials are all self-produced. Honey Snow Ice City has mastered the right to control the raw materials of its own products, with bargaining power, and raw material prices are adjusted downward.

Operation management, R & D production, warehousing and logistics have a special company responsible for, realizing the seamless connection from raw material procurement, R & D, processing and production to store sales.

These in the domestic catering industry are rare self-supply system, only the core competitiveness of the honey snow ice city. It is also because of this set of complete industrial chain, honey snow ice city raw material costs, operating costs are greatly reduced to support the brand has been doing "high quality affordable products.

2, honey snow ice city "front-end" brand side of the loss

However, just like Poundland, when the energy of the sinking market has been drained, the first and second tier of the honey snow ice city also became a market that had to be considered, after all, to give the capital of the story has not been told.

In 2018, honey snow ice city had launched a high-end brand "M +", the price of about 20 yuan, used to capture the core business district of the big city. However, because of the lack of innovation and research and development capabilities and the lack of high-end attributes, M+ did not replicate the myth of the growth of Honey Snow Ice City, and its popularity is extremely low.

It is worth mentioning that when the domestic tea drink market entered the era of brand competition, away from the main battlefield of brand competition, Honey Snow Ice City also had to pay attention to brand building, to a more fashionable and trendy brand image and high quality, delicious and high-value product direction change.

In 2018, Honey Snow Ice City joined hands with Hua and Hua, a famous brand planning company in the industry, to re-design the brand VI, and the brand image, store sign, logo, and IP image were all comprehensively upgraded.

However, from the current effect is not very obvious, after all, the brand upgrade is a systematic, long-term work, not overnight. The grassroots genes that have been formed over the years in Honey Snow Ice City are too obvious, and this inherent logic is hard to break for a while.

03

Conclusion

The history of the growth of the Honey Snow Ice City is a story of breaking the self-perception and external perception. It swept through the counties with only one "affordable" strategy, and became the first tea drink brand to break through 10,000 stores. Although the valuation of 20 billion is a oolong, but also enough to show that the capital market on the honey snow ice city expectations and recognition.

But compared to the honey snow ice city in the brand side of the loss, as well as to the first and second tier cities to attack the strategy of obstruction. Hi-tea, Naixue sinking strategy is much more successful, has been in the third and fourth tier cities to run the horse enclosure. Book also burnt Xiancao, YiHoTang, GuMing and other second-tier brands on the honey snow ice city siege momentum has also been formed.

But even so, in the entire new tea drink track stands at the mouth of the upcoming "harvest", Honey Snow Ice City, like Xi Cha, Nai Xue, is still full of unlimited possibilities. After all, the exploration of new tea drinks is still continuing!