Chapter 194 The scam in the milk tea shop
"You...ahem, how much did you invest in your friend's milk tea shop?" Luo Fan asked.
"The store is rented on a quarterly basis, at 18,000 a month, and the total cost is 54,000. The decoration, raw materials, and everything else cost more than 120,000 in total."
"120,000! So much!"
"It's not much. I... specially accompanied her to investigate. The cost of opening a milk tea shop is generally 80,000 to 100,000. If you join the franchise, you can save some.
It can save you some trouble in supplying goods and so on, and it also has a brand effect, but in comparison, the profit will be greatly reduced, so she chose to open her own store instead of joining a franchise."
"So you want me to help your friend find a way to bring her store back to life?"
Li Jingyi nodded.
Luo Fan smiled bitterly when he heard this: "You think too highly of me. Bringing a milk tea shop back to life is as difficult as building your own rocket to the sky."
"Is it that exaggerated?"
Luo Fan shook his head when he heard this. He was not exaggerating at all.
In the past life, with the emergence of various milk teas, opening a milk tea shop has become an opportunity for more and more people to start a business, and some people have indeed made their first pot of gold through milk tea shops.
Therefore, many novice entrepreneurs who have just graduated from college plunge into the deep pit of milk tea shops with the desire to get rich overnight.
Can milk tea shops make money? In fact, they can, otherwise why are there so many milk tea shops open?
But it is not easy to make money in a milk tea shop. Many people, like Luo Fan in the previous life and Li Jingyi in the current life, entered the industry with little knowledge and then lost all their money.
The term milk tea shop scam also has something to do with this group of people, but it is more likely caused by some quick-recruitment companies trying to collect franchise fees.
Milk tea shops are actually the same as coffee shops, bookstores, flower shops, and other such shops.
They have all been "deified" by film and television works, and they are the dream entrepreneurial project choices of many young people who have just graduated, especially girls.
They hope to reap the first pot of gold for starting a business in a relaxed and comfortable atmosphere.
However, the depiction of this type of store in film and television works only seems to be peaceful on the surface, but there are actually turbulent waves lurking behind it.
From the initial inspection, location selection, store staff recruitment, marketing and promotion, to the later product development and upgrade, and the continuous battle of wits and courage with dozens of surrounding milk tea shops of the same level, if you are not careful, you may be overtaken and eliminated.
To sum up, whether you are opening a milk tea shop or doing something else, you will not be eliminated by the market only if you love this industry enough and persevere in learning and researching.
Of course, milk tea shops generally have nothing to do with love. If you love drinking milk tea, you should open a milk tea shop. If you love drinking cola, you should open a visible processing factory?
After Luo Fan failed to open a milk tea shop in his previous life, he reflected on himself. He felt that opening a milk tea shop was simple, but it was too difficult to actually do it and run it well.
First of all, the milk tea shop is not as profitable as the headquarters boasts. The headquarters calculates the accounts for franchisees by directly comparing the cost of raw materials and selling prices.
But in fact, you need to spend money to hire shop assistants to make milk tea, space rental, store decoration and equipment maintenance.
Luo Fan entered the market in 2017 in his previous life. At this time, the first batch of people who had eaten crabs had already made a lot of money, and those who entered after that were all leeks.
Because by 2018, the milk tea market has roughly shown the "19 pattern", with less than 10% truly profitable, and the remaining 90% struggling to survive.
This is why many milk tea shop owners have a good business, but after one year of operation, they find that the key is not making money or even losing money.
The probability of making money by opening a milk tea shop is only 10%, and it doesn't just depend on getting up early and being busy at night.
If you want to make money, you have to start from raw material formulation to marketing and promotion. No matter where there is a problem in the middle, it will be impossible to make money.
Secondly, many franchisees who open milk tea shops are actually deceived by the warm images in various music videos and TV series.
But if you think about it carefully, you will understand that in a narrow store of only 30 square meters, you have to find ways to put away ice machines, tea machines, water purifiers, freezers, milk, tea buckets, fruits, plastic cups, etc., and then put them away.
Busily crowded with several shop assistants.
When business is in a slump, you will frown with confusion; when business is booming, you will be so busy that your hands and feet are trembling.
People who slowly open a milk tea shop will find that their original intention of opening a milk tea shop turned out to be a fiction. At this time, many people will lose the motivation to continue doing it.
The last and most critical point is that the hype around milk tea is too strong, especially after the emergence of new concepts of milk tea, such as fruit tea and milk tea, which have become popular all over the country in the marketing of merchants.
If the franchise store is good, there is a high probability that you will be able to obtain the formula, it will just be a matter of one day earlier and one day later.
But if you open your own store and there is no recipe, what should customers do if they want to drink this latest drink?
Even if you can research the formula yourself, without a stable wholesale supply of the ingredients in the formula, there is no way to guarantee the quality and cost-effectiveness of the milk tea.
But if you join blindly from the beginning, you may be ruthlessly harvested like leeks before the store is even opened.
Lugging a novice entrepreneur who doesn't know anything to join the milk tea franchise is a favorite thing for scammers in the catering industry.
These people are called "quick hire companies". They constantly register new companies and harvest waves of leeks who dream of starting a milk tea business.
Although the current situation of the milk tea shop is not as severe as before Luo Fan was reborn, it is not something that a novice like Li Jingyi can play with. It is natural that she will lose money.
But then again, Luo Fan can't save all milk tea shops, but it is possible to save Li Jingyi's one. After all, a milk tea shop is too small.
Luo Fan didn't even need to think of other ways. He just had to tell his employees that the milk tea shop downstairs was opened by an employee of the company. If everyone could help, he could bring the milk tea shop back to life.
Now there are more than 170 employees in the Xingyuan head office, 50 employees in the nearby branch Xingliao, and 20 employees in Xingyuan Venture Capital, adding up to more than 240 people.
The boss, Luo Fan, has spoken out personally. Selling about 100 more cups a day shouldn't be a big problem.
Li Jingyi's store is not a franchise store. Even if the ingredients are very conscientious, the cost of selling a cup of milk tea should only be about one-fifth of the price.
If you earn 8 yuan for a cup of milk tea that costs 10 yuan, if you sell 100 more cups every day, the profit per day will be more than 800 yuan. After a month, at least it will be able to sustain it without going bankrupt.
As for making money, don’t think about it. There are so many milk tea shops around here and the flow of people is so huge. Unless we can give away milk tea and not compete with the milk tea shops here, otherwise...
Chapter completed!