I Know Everything

Chapter 391: Learn from the Giants

What Zhang Yaya said was a bit wrong.

Although it has disadvantages in logistics and labor costs, Amazon in the United States still beats Wal-Mart in defeat, and it is no longer overbearing like before.

But in this environment where online commerce is rampant, Costco, the second-ranked storage supermarket in the United States, has sprung up all the way. Its annual turnover and market share are constantly rising, and it has achieved a miracle in the Internet age.

Its mode is actually very simple, just like what Shen Huan said.

Product quality and service.

Product quality includes two aspects. The first must be its own quality. It must be a good thing. People often buy things that cannot be of inferior quality, otherwise others will not come back for the second time.

The second actually includes the price, which is commonly known as cost performance.

Wal-Mart's 26% commodity gross profit rate ranks first in the world, which also makes it earn a lot of money.

But Costco only has about 13%, which is basically half of Wal-Mart.

This gross profit rate, excluding various circulation costs and taxes, etc., is actually not very profitable, and you will lose money if you are not careful.

With such an extreme price-performance ratio, will your business be good?

Basically everything on Amazon is not as cheap as Costco.

If it is a large-volume purchase, of course it is better to drive to Costco to purchase at one stop and go home.

After all, there is no such thing as free shipping in the United States, or free shipping in Jiangsu, Zhejiang and Shanghai.

Calculated in this way, the fuel cost is much cheaper than the courier fee.

Needless to say, Costco's service is to meet all the requirements of customers.

Can you imagine that after buying a watermelon, it doesn’t taste good and you return it with the remaining half?

Can you imagine buying a pair of trousers and returning them if you feel uncomfortable wearing them?

Can you imagine a fish bought back 12 years ago, but it has been kept in the refrigerator and forgotten to eat, and it is still returned?

As a result, all the above-mentioned things were returned without any excuse.

This makes people feel that there is a service account, and there is no need to worry about buying things.

When a person feels that this supermarket is very reliable, he will naturally think of buying things here.

It's also a shopping satisfaction.

Commonly known as the customer is God, that is the feeling.

Another similar supermarket is a regional supermarket in the Central Plains of China.

It has never been out of the Central Plains at all, but it is a myth in the new supermarket retail industry across the country.

Rebs from another world, in the retail industry, has only admired two companies in his life, and both of them have made pilgrimages.

One is, and the other is this Fat Donglai.

Moreover, the word pilgrimage was said by Rebs himself, and it was hung on a meager account, so it cannot be faked.

Even a character like Rebs can use pilgrimage to describe the two of them, which shows how powerful these two supermarkets are.

Among other things, Rebs, who has a vision beyond the times, is so impressed that their business model has continued to thrive for 50 years without any problems.

The price of Pangdonglai's products is not cheap, but their service attitude is far beyond.

Use examples that everyone knows to describe.

Pangdonglai’s service is an upgraded version of Haidilao.

Then in the city where they opened a supermarket, no matter which supermarket it is, it is a dead word to meet them.

They even deliberately closed one day off every week to give other small supermarkets a way to survive, otherwise even small supermarkets would collapse.

Do you know how powerful they are?

But why didn't such a powerful Fat Donglai fight all over the country like Haidilao?

The reason is actually very simple.

Any good service is definitely not based on voluntary contribution, but on the accumulation of money and honor.

Fat Donglai only develops in prefecture-level cities in the Central Plains, and there are about 20 or 30 stores. The price they pay is the salary of the employees, which is generally more than twice the average salary of the city.

Even a sweeper and mopper can earn the same salary as a white-collar worker. Why do you think those workers have no reason not to do it?

If you don't want to do a good job, just walk away, and some people will do it.

This model can be done in third-tier prefecture-level cities, but if it comes to first-tier cities, such as Beijing, Shanghai, Guangzhou and Shenzhen, Fat Donglai will not be able to maintain it.

You can't just pay 20,000 a month for sweeping and mopping the floor, right?

What about the specific service personnel? What about the middle class? What about the top management?

No matter how good the business is, there is no way to earn so much!

Therefore, their model is destined to be limited to third-tier prefecture-level cities, and it cannot be separated from the Central Plains.

Because if the gathering is too far away, various logistics transportation and management costs will increase a lot, and it is not worthwhile to do so.

Compared with Fat Donglai's imperfection, his model actually has some flaws.

Their profits depend on membership fees, and the annual membership fees of tens of millions of users are their main source of profit.

But they also stipulate that members can withdraw at any time, just like buying something.

In developed countries, only a very small number of people will be greedy for such cheap things.

But what if you come to a developing country like Huaguo?

The quality of the customers here is much worse. Many customers can really enjoy taking advantage of it.

If you insist on following the example of the United States, you will definitely fail.

This is also the reason why Another World did not open its first store in Huaguo until 2019.

...

Come back.

Of course, this world didn't come with Pang Dong, so Shen Huan felt that he could use the models of these two supermarkets, or even add some other interesting supermarket models, to help them improve their environment.

Of course, just like the ones mentioned above, it is definitely impossible to apply it mechanically. We must make a good design according to the actual situation here, and even the actual situation in Lin'an.

For example, the annual membership card fee, even Wal-Mart has done this before, but the effect is not very good, let alone your annual fee is so expensive.

Even though Lin'an's economy is very developed and there are many middle classes, considering the pressures on housing, education and pension, etc., it is absolutely impossible to compare Lin Yushang with Americans in consumption.

This is also an important factor why even in the most developed four major cities of Beijing, Shanghai, Guangzhou and Shenzhen, people with low-priced commodities will explode with money.

Any business model that ignores the regional situation and applies it mechanically is bound to fail.

Shen Huan needs to properly integrate the successes of the two supermarkets and avoid some of their untimely strategies, so that Zhang's supermarket will have immediate results.

But the problem is that Shen Huan knows that he has a successful experience, but Zhang Yaya doesn't know it!

Zhang Yaya in front of her already felt that Shen Huan was unreliable, and it was very likely that she was talking on paper.

Because Shen Huan has no experience in supermarket operations at all.

Even he only went abroad once to participate in the Olympiad competition. How could he know so much about the foreign supermarket industry?

For a while, Zhang Yaya was a little disappointed with Shen Huan, and was not very interested in Shen Huan's so-called essence.

But she still maintained restraint and didn't turn around to leave.

Shen Huan looked at her disappointed look, and felt a little funny, If you believe me, I will ask Xiao Shuishui to bring you a document in two days, you can take a look first. If you are interested , I will tell you in detail.”

good.

Zhang Yaya figured it out now.

As long as you don't regard Chen Huan as the savior and use his opinion as a reference, what's wrong with that?

They didn't charge the Zhang family a penny, it was purely a voluntary help.

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