During the National Day holiday just past, “daily economic news” reporter visited Quanjude store in Beijing, waiting in line and full of customers. The impact of the epidemic seems to have dissipated. However, Li Shuai, an employee of Quanjude’s former store in Beijing, is full of mixed feelings. “The salary reduction is certain. Many employees did not come back after the Spring Festival.” He wanted to talk but stopped. < p > < p > as a Chinese time-honored brand and a world-famous brand of roast duck, Quanjude (002186, SZ), A-share “first share of roast duck”, is in a serious business dilemma. In the first half of the year, the company lost nearly 150 million yuan, and the declaration of “keeping the bottom line of cash flow” highlights the challenges the century old store is facing. < / P > < p > the sudden outbreak of the epidemic has exposed Quanjude’s fragile commercial moat in front of risks. With the arrival of the national day tourism season, the short-term consumption recovery seems to be unable to eliminate the accumulated disadvantages of Quanjude. Will the busy restaurant scene be a flash in the pan? Looking back on the plain operation of the restaurant in the past few years, Li Shuai could not help feeling like a “frog boiled in warm water”. “Fame is the biggest, but the worst reviews are the most.” Li Shuai said to himself.
make complaints about Quanjude in recent years, most of which are full of netizens’ Tucao about their “high consumption”, “poor service” and “old dishes”. After many unsuccessful attempts, Quanjude has to admit publicly that its products and services lag behind the market demand, lack of innovation, single business model and product type, and continuous decline in traffic. < / P > < p > from “the first share of roast duck” to “sticking to the bottom line of cash flow”, what did Quanjude do wrong? Through the investigation and visit of several Quanjude stores, the reporter interviewed the staff and catering industry experts in-depth, trying to find the answer. In 156 years, Quanjude experienced countless storms. This time, can Quanjude resolve the current crisis and start again? < p > < p > with the gradual disappearance of the domestic epidemic haze, the signs of consumption recovery in the catering industry have been particularly obvious in the National Day golden week. At 12:00 on October 6, tourists jostled on Qianmen Street in Beijing. In Quanjude front store, which used to be an important clock in place for tourists visiting Beijing in the past, more than ten tables of diners are anxiously waiting for the order to order meal. < p > < p > according to the restaurant’s receptionists, during the lunch rush hours a few days before the holiday, the number of customers in line even reached the 70th or 80th. After experiencing the baptism of the epidemic, for Quanjude front stores, such a hot scene is really “long lost.”. < p > < p > at the end of January this year, when the epidemic situation was serious, the domestic catering industry had been looking forward to the Spring Festival rush season, which was suddenly turned into a bubble, replaced by a vigorous self-help action. Quanjude, a time-honored Chinese brand, has begun to set up “vegetable stalls” in front of its many restaurants to sell vegetables, chicken, duck and fish on the street in the face of the cancellation of a large number of new year’s Eve meals. < / P > < p > the time-honored brand of roast duck suddenly came into the market, which once closed the distance between Quanjude and many mass consumers. But from another point of view, the “condescension” of the first brother of roast duck was a helpless move, and “cash flow safety” had become the biggest business objective of the company at that time. In July this year, Quanjude was once frank and introspective when replying to the inquiry letter of the Shenzhen Stock Exchange. He said that the decline in the catering and food sectors of the company was mainly due to the lag of products and services to market demand and insufficient innovation. At the same time, the company has not been involved in other catering areas, business model and product type is single, resulting in continuous decline in traffic. Under the pressure of the epidemic situation, general manager Zhou Yanlong formally proposed three reform strategies for Quanjude Restaurant: reducing the price of dishes, canceling the service fee, unifying the product price and production technology at the ceremony of “honoring the plaque” on the sixth day of June this year. < p > < p > the reporter learned that in several large stores of Quanjude, the tradition of charging 10% – 15% service fee for each meal has a long history, but it is also widely criticized. But even Quanjude’s employees are not clear about the reason for the charge. < / P > < p > “in any case, the negative comments on the Internet have a lot to do with it.” Li Shuai said, “after the cancellation of the service fee, it seems that there is no action to say that the service is not good.” < / P > < p > if it is said that the cancellation of the service fee is “conforming to the public opinion”, then the reduction of the price of vegetables is a sign that Quanjude, a “high-end duck”, is once again exerting its power to popularize its positioning. According to an employee of Quanjude Beijing Shuangjing store, the “standard dishes” in the company’s Direct stores are all at the same price. Since the implementation of the reform strategy, they have basically dropped by more than 10%. For example, the original price of a set of high-quality roast duck is now reduced to 258 yuan, while the price of home-made dishes, which used to be above 40 yuan, is now basically around 30 yuan. < / P > < p > can Quanjude attract consumers again after reducing the price and canceling the “tip”? In the short term, it seems difficult to see a positive answer. At least, from the perspective of employees in Quanjude stores across the country, the signs of recovery are far from obvious. According to Li Shuai’s description of the restaurant’s operation, the summer vacation is supposed to be the peak season every year, but the Qianmen store where he works is not as good as before. Outside the Beijing market, Quanjude’s Roasted Duck specialist in a Shandong franchise store said, “in August last year, we were able to produce 40 or 50 ducks a day, but this year, affected by the epidemic, we have sold more than half as much as last year.” < / P > < p > the experience of employees may also be directly reflected in the company’s operating figures. According to the performance expectation of Quanjude, it said in the semi annual report that the impact of the epidemic will continue. In the first three quarters, the net profit will drop by 499.21% ~ 442.18% year on year, and the loss will be expanded to 180 ~ 210 million yuan. According to the staff of Quanjude Beijing Shuangjing store, affected by the epidemic, the company’s restaurant did not resume dining until May this year. During the “suspension” period, employees can only get a meager basic salary. Everyone is under pressure to support their families. They have no income, and many of them have been withdrawn. < / P > < p > at present, Quanjude’s front stores are finally in full swing again, but the decline in popularity of restaurants is still an indisputable fact. The reporter noticed that in a four seasons Minfu roast duck restaurant hundreds of meters away from Quanjude front store, the waiting customers in the same period of time are more than several times of Quanjude’s front store. In addition, brands such as Dadong and Liqun duck restaurant are also eager to try, and become the first choice for many young diners. < / P > < p > in several groups of Quanjude diners interviewed by the reporter randomly, most of them are in pursuit of the famous brand of their century old brand, but the final evaluation of dining experience is uneven. And Li Shuai and other employees may also know that relying on tourists’ clock in consumption, it is obvious that they can not maintain the good business of the restaurant for a long time. Compared with Li Shuai and other young employees, Lao Wang is an “old qualification” who has devoted most of his life to Quanjude. From joining Quanjude in 1978 to officially retiring in 2019, more of his memory is still the scenery of Quanjude at that time. Premier Zhou loves to eat our ducks. When foreign leaders visit, they also climb the Great Wall first, and then eat roast duck. ” Wang recalled confidently. According to the company’s records, Premier Zhou Enlai used to interpret the three words “complete without lack, gathering without separation, benevolence and virtue first”. In addition, Quanjude roast duck has been on state banquets and other high-end diplomatic occasions for many times. < p > < p > in 1993, the three major stores in Quanjude, namely Qianmen, Hepingmen and Wangfujing in Beijing, began to merge. During this period, Jiang Junxian, an important leader in the company’s development history and the sixth president of China Cuisine Association, was welcomed. During Jiang Junxian’s helm, Quanjude completed several major changes in its organizational structure, including the establishment of a joint stock limited company (the predecessor of Quanjude) by way of directional fund-raising, the reform into a wholly state-owned enterprise after capital increase and share expansion, and the acquisition and holding of shares of capital travel group After mentioning Jiang Junxian’s leadership over Quanjude, Lao Wang praised him one after another: “he is a practical man. He has made many innovative things in Quanjude, such as standardized food factories, chain requirements, and the establishment of distribution centers…” As Lao Wang said, Jiang Junxian changed Quanjude more importantly or integrated chain thinking and brand awareness into the enterprise, and the result of this strategy was to lead Quanjude into the capital market. Since 2003, Quanjude has experienced a series of acquisitions and direct business expansion, and the brand camp and asset scale of Quanjude have been continuously expanded, and the conditions for listing are basically mature. On November 20, 2007, Jiang Junxian sounded the opening bell in the Shenzhen Stock Exchange, and Quanjude, who was 143 years old, became the first company of time-honored restaurants. On the day of listing, the company’s share price soared 271.4% over the issue price. < p > < p > according to the prospectus, Quanjude had planned at the beginning of listing to strive for more than 100 chain enterprises of various types within three years, including about 1 / 3 of direct chain stores. Through horizontal chain, vertical industrialization, and vertical and horizontal connection of logistics and distribution, the company will form a network operation profit model covering the national market and develop into the largest Chinese catering group in China. The ambition of Quanjude can not be underestimated. After its initial A-share listing, it has indeed tasted the sweetness of capital and ushered in the golden five years of enterprise development. In 2012, the company’s operating revenue was 1.944 billion yuan, with a net profit of 152 million yuan, which was the highest performance of Quanjude so far. In the same year, the company has 24 “Quanjude” brand stores in Beijing, Shanghai, Chongqing, Changchun and other places, and 94 member catering enterprises. However, for Quanjude’s rapid expansion in the early stage of development, some people in the industry also expressed some concerns. In addition, the rapid expansion of product quality and enterprise scale is difficult to achieve both, or has become the main reason why its catering service is gradually unequal to the reputation of “time-honored brand”. Huang Geng, founder of Huang Jihuang brand, said in an interview with the daily economic news recently that from the “gene” point of view, time-honored and ingenious catering enterprises are not suitable for large-scale and industrial operation. For time-honored brands like Quanjude, the most important thing is the inheritance of traditional craftsmanship. However, in its expansion stage, it is difficult to pass on generations of chefs, so it is difficult to say whether the products can continue to taste good. At the beginning of 2011, Jiang Junxian officially stepped down as chairman of Quanjude, and Wang Zhiqiang, assistant general manager of capital travel group, the company’s controlling shareholder, took over. Compared with Jiang Junxian, Wang Zhiqiang is also a veteran of capital operation, and has personally participated in a number of large-scale acquisition and restructuring projects, such as Hainan Nanshan, Ningxia Shahu, Xidan Yansha, and CTS trust. < p > < p > Wang Zhiqiang witnessed the breakthrough of Quanjude’s performance, but soon after taking office, he met the biggest challenge since the company went public. Due to the intensive introduction of a series of policies such as the restriction of Sangong consumption, domestic high-end catering has been greatly impacted since 2013. In the same year, Quanjude’s revenue and net profit declined for the first time since listing. Since then, the trial and error period of this century old brand has been slowly unfolding, and the company’s performance has been hovering for a long time. < / P > < p > high end catering bonus