"The price increase is full of question marks."
Recently, a Beijing diner posted a menu on Weibo. He was excited to reopen the stove under the Haidilao line, but he was dumbfounded when he saw the price, " Per capita 220+, blood wang half price increased from 16 to 23 yuan, eight small slices; half potato chips 13 yuan, a potato 1.5 yuan, self-service seasoning 10 yuan per person; rice 7 yuan per bowl; small crisps It’s too much for a plate of meat for 50 yuan.” On Weibo,
is full of users who complain about Haidilao’s price increase. Some netizens said that two people recently ate 344 yuan, but before the epidemic, even if the discount was included, two people spent less than 200 yuan.
Source: Sina Weibo
Haidilao's price increase has also caused controversy. Supporters believe that costs are rising now, coupled with the huge losses suffered by the epidemic, "Haidilao has the right to increase prices, and it is your choice whether to eat or not." The voice of opponents is that while wages have not risen, consumption has risen, which is incredible.
Some netizens also think that
spends this money, don’t you cook it at home?
According to the Beijing News, on the evening of April 5, the relevant person in charge of Haidilao responded that the price increase was affected by the epidemic and cost increases, but the overall price increase was controlled by 6%. The
epidemic has led to the suspension of dine-in food for nearly 50 days.
Recently, Haidilao released its 2019 annual report. The annual report shows that in 2019, the company achieved operating income of 26.556 billion yuan, a year-on-year increase of 56.5%; realized net profit of 2.345 billion yuan, a year-on-year increase of 42.4%. Achieved both revenue and net profit growth. The
turnover rate has always been Haidilao’s most proud and better indicator than its peers. Its average turnover rates in 2016, 2017 and 2018 were 4.5 times/day, 5.0 times/day, and 5.0 times respectively. /day. However, in 2019, Haidilao’s average rate of overturning has dropped to 4.8 times per day. This is the first decline since Haidilao has released financial data.
In 2020, affected by the epidemic, Haidilao’s stores will be closed from January 26, 2020, takeaways will resume on February 15, and dine-in will resume business on March 12. According to this calculation, Haidilao’s dine-in business will close in the first quarter. 50 days. According to the previous research report issued by CITIC Construction Investment, it is estimated that the epidemic will cause a loss of about 5.04 billion yuan in revenue for Haidilao in 2020, and a loss of about 580 million yuan in net profit attributable to the parent.
Picture source: every reporter Zhu Wanping photo
Will the catering industry generally increase prices?
Recently, Xibei You Noodle Village was also noticed by sharp-eyed netizens that the price has increased. “I thought that Haidilao’s price had risen a little bit, so I took a look at Xibei’s take-out menu. Potato chips beef stew 80, and sauerkraut sealed cylinder meat more than 80.” According to Beijing Business Daily, a catering industry insider judged
"As long as the epidemic is not completely controlled and epidemic prevention work will continue, catering consumption cannot be fully liberalized. More and more catering companies will encounter such problems, and companies participating in price increases are likely to increase. The more."
However, Zhang Yaqing, president of Wangshunge (Beijing) Investment Management Co., Ltd., said that Wangshunge's dine-in food is steadily recovering, and there is no increase in the cost of ingredients for the time being. According to Liu Jingjing, the founder of Jiahe Yipin, the cost of food and beverage ingredients has increased slightly, and there is currently no intention to increase prices.
Picture source: per editor Li Jinghan
China food industry analyst Zhu Danpeng said that the price increase from Haidilao has also seen the development trend of the catering industry, and the leading companies take advantage of the trend to increase prices. On the consumer side, the price increase is right. Consumers are affected by certain emotional factors. But for consumption power, there is not much impact, because Haidilao’s fans and heavy consumers are middle-to-average consumersgroup. So a 6% increase is actually negligible for these consumer groups. But for companies, profits will increase.
Zhu Danpeng believes that the epidemic is a differentiator for China's catering industry and an accelerator for the elimination and reshuffle. The leading companies rely on their own comprehensive strength, risk resistance, brand power and other dividends to have the right to speak and set prices. right. However, more small and medium-sized enterprises may conduct promotional activities, so the trend of differentiation will be very obvious.
What do you think about this?
Source: Comprehensive Daily Economic News, Beijing News, Beijing Commercial Daily, China Business News, Investment Circle, Qianjiang Evening News
