The earliest Internet coffee was used to sneak out of the market. Under the spoiler of new players and industry giants, the old “distribution” ace has become a supporting role in the industry, and its influence has been ruthlessly diluted. In this situation, even coffee recently used the “double 11” heat to test the “group purchase” business, which even reduced the average price of coffee to a minimum of 3.98 yuan / cup. The rule of dispensing 10-50 cups of coffee at a time is interpreted by the industry as a test for the needs of B-end users. However, the price of the game as low as 1% off, in the end can successfully attract business users, how should the brand balance the cost benefits?
4 yuan coffee test buy
The coffee brand is also licking the heat of “Double 11”. The Beijing Business Daily reporter found in the coffee Wechat public number that the brand launched 50 cups for sale, which can be divided into one-time delivery, two-time delivery and five-time delivery. The more the single delivery, the more The lower the total price, the longer the validity period.
Take the gold award American package as an example. The price of 50 cups for one-time delivery is 199 yuan, the price for 25 cups for two-time delivery is 299 yuan, and the price for 10 times for five-time delivery is 399 yuan. In this way, the price of each cup of coffee for different delivery packages is 3.98 yuan, 5.98 yuan, 7.98 yuan, compared with the original price of 22 yuan, equivalent to 1.8-3.6 fold.
When the Beijing Business Daily reporter consulted the coffee customer service product, he was told that the product specifications and tastes of the package did not differ from the ordinary single product coffee. It only needs to be reserved 2-4 hours in advance to deliver the goods. The event is until November 11.
On November 12th, the Beijing Business Daily reporter found that even the coffee service order page “Coffee Package” has been removed. At present, there are only individual group activities.
Regarding whether such a low price is intended to test the B-end market and how effective the sales are, the Beijing Business Daily reporter interviewed the person in charge of the coffee, but the other party said that it is not currently responding.
The old trump card has changed standard
In recent years, even coffee has seized some of the high-priced customer bases with Internet thinking and O2O mode, which has hit the weakest link of traditional coffee. Nowadays, with the rise and perfection of Internet coffee and traditional coffee, it has gradually joined the delivery industry. The coffee medal distribution of this trump card seems to be halved.
In the Internet distribution market where coffee was first tested, the giants frequently spoiled the situation and took advantage of stronger capital resources. In August of this year, Starbucks officially teamed up with Alibaba. At the same time, its business lines such as Hungry, Box Horse, Taobao, Alipay, Tmall, and Word of Mouth are also involved. It is not limited to the take-away business. Alibaba will provide more for Starbucks. Positional digital operational support. The emerging coffee brand Ruixun Coffee is also entering the store in many core business districts in Beijing with the O2O+coffee+new retail model in the form of B-side business cooperation, and rapidly deploying colleges and tourist attractions.
More importantly, since the large-scale layout of the fast-distribution business of Ruixing Coffee and the follow-up of the industry peers, a large number of young consumers have been cultivated invisibly, and “30-minute home delivery” has become the standard for outgoing coffee.
Backed by Wechat ecosystem, it brings high-speed fissile user growth to even coffee. In fact, most of the customers who have at least one-time delivery of 10 cups of coffee are enterprise or special customers, and can see even coffee to B. Clear intention of the market layout.
Hong Tao, director of the Economic Research Institute of Beijing Technology and Business University, said that in the field of E-Commerce transactions, the amount of E-Commerce transactions on the 2B side accounted for 80%, and the proportion on the 2C side was 20%. Even this mode of coffee is to capture 80% of the 2B end. Share. Nowadays, it has entered the period of new E-Commerce development, namely, the integration of online and offline development, the development of omnichannel, and the development of the whole business, forming a new ecological chain of E-Commerce. The B-side supplement is conducive to online promotion, pulling online transactions, and cooperating with the distribution side. However, the high-frequency, high-traffic and high-profit B-end market is not easy to expand.
Low price strategy deviates from demand?
In fact, even coffee has been constantly upgrading consumer scenes and SKUs. In August of this year, even the coffee was launched on the small program “Pocket Cafe”. The user built a coffee shop and sold coffee to friends through Wechat. Earlier in 2017, even coffee had released more than 30 drinks in a row, in order to meet the needs of evening consumption, and even tried to launch cocktails. However, the model of the “coffee package” is different from the previous innovation direction.
Lai Yang, executive vice president of the Beijing Business Economics Association, said that the demand for group-purchased coffee in the market is not very strong, and the demand for coffee group purchases at the enterprise side is also very limited. As a company, such purchases need more consideration. Instead of financial expenditures or actual customer needs, prices are not the most important or sensitive issues. The core of any business model is the relationship between input and income. This requires not only the return of cash flow, but also the return of benign profits. He believes that many brands are now conceptually serious. From the perspective of long-term development, whether the concept can create long-term benefits requires a deeper argument.
However, this model of 2C end to 2B end test does have a development trend, but companies need to work hard on price, coordinated development, and consumer rights. Hong Tao said that in the B-side model, the price of the seller is a key factor, and the company should consider the break-even point. If the price is set too low, it will have a huge impact on the retail end of the coffee network, and the transmission will eventually lead to consumption. The interests of the company and the loss of the company’s own interests. In fact, take-away coffee has always had hidden dangers such as insufficient coverage of distribution, insufficient timeliness of delivery, and easy leakage. In addition, if even coffee enters the industry, it needs a full-service layout, including online trading, payment, and material distribution, to avoid the impact of word of mouth on corporate image.