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Hot search on “17 yuan eat Haidilao”! Someone took their children for 27 yuan and complained that the service was “not so good”. Netizens quarreled and Haidilao responded…

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On April 15th, a topic of “Eating Haidilao for 17 yuan” appeared on the hot search. The matter originated from someone claiming that they spent 17 yuan for a meal of Haidilao. The bill published in the post showed that,I ordered four clear water pots for 0 yuan, a Lao Pai Lao noodles for 7 yuan, and an optional snack for 10 yuan, for a total of 17 yuan.

After the news that “17 yuan eat Haidilao” was fermented, many people said that they followed this method and tried to spend tens or even tens of yuan for a meal in Haidilao.

One of the netizens said that he had watched so many pieces and dozens of pieces to eat Haidilao, and couldn’t help but take his children to experience it. He said that he ordered four pots of clear water, half of vermicelli, a raw egg and a bowl of rice, which cost 27 yuan in total.

The netizen felt that the experience was “too embarrassing”. Although the waiter delivered fried dough sticks and tomatoes, and brought toys to the children, he thought that “Haidilao’s service does not seem to be so good. The food is delivered, but the attitude or something makes me feel very embarrassed. They waited for the nail art. No water.”

Haidilao stores responded:

No discrimination, no low consumption

According to Jiupai News, the reporter contacted the Foshan Haidilao store where the whistleblower was spending. A staff member said that low-consumption behaviors only happen occasionally in their store. It stated that it is their freedom to spend what guests want and how much they are willing to spend. As long as the guests come in, they will receive them.”Even if you are alone and only order the clear water pot and one or two favorite dishes, we will serve them normally and will not treat them differently.”

Asked if it would affect the store’s business, the staff member said, “No matter whether the store’s business is good or not, as long as the guests come, and then order and eat normally, we will serve as normal.” He also said that it will not follow Therefore set a minimum consumption.

The general public also holds different attitudes towards “17 yuan to eat Haidilao”. Some people think that “there are such rules for how much Haidilao you want to consume” and “when a 17 yuan meal becomes a shame and Is it a beggar?”; Some people think that “this approach is like begging.”

Some netizens said that since Haidilao asks customers to do this, then its behavior is allowed, but it is shameful to point to the people who are priced at a few hundred yuan to enjoy the service of a few hundred yuan in the price of goods at a price of more than ten yuan. Some netizens said that Haidilao beef cubes were changed to charges because of the behavior of these people.

Haidilao’s net profit fell nearly 90% last year

According to Haidilao’s previous performance report, in 2020, the company achieved a net profit of 309 million yuan, a year-on-year decrease of 86.8%; revenue of 28.6 billion yuan, a year-on-year increase of 7.8%, although revenue still achieved growth, this is since its listing. Revenue growth dropped to single digits for the first time.

All this is related to the 2020 epidemic. Haidilao was almost “half-closed” in the first half of last year. The loss caused by the epidemic in the first half of the year amounted to 965 million yuan. As the epidemic improved, the company only flattened the loss in the second half of the year, but net profit still fell sharply.

Haidilao raised the price of dishes last year, but after the fermentation of public opinion, Haidilao quickly issued an apology letter in April and announced the restoration of the original prices. However, in the face of performance pressure, Haidilao’s price increase is also “secretly proceeding”. The financial report shows thatHaidilao’s per capita consumption in 2020 will reach 110 yuan, higher than the 105.2 yuan in 2019.

In addition, the myth of opening a shop that Haidilao relied on no longer exists. Haidilao’s previous high-speed performance growth on the one hand officially originated from its rapid expansion of new stores. In the past four years, the number of Haidilao stores has increased by nearly six times, and operating income has increased from 560 million yuan to 2.66 billion yuan, an increase of nearly four times.

However, it takes a period of growth for newly opened stores from opening to profitability. The strategy of continuously expanding and opening new stores is a serious burden on Haidilao’s profitability. Coupled with the impact of the 2020 epidemic, the model of achieving revenue growth by “unlimited opening of stores” is not working. From 2018 to 2020, the number of Haidilao’s stores has grown rapidly from 466 to 1,298, but the turnover rate has dropped from 5 times per day to 3.5 times per day. In addition, with the increase in the number of stores, Haidilao’s same-store sales growth rate dropped from 6.2% in 2018 to 1.6% in 2019. It can also be seen that Haidilao’s single store value is not as high as before.

In the past few years, Haidilao’s net sales profit has fallen year by year. In 2016, Haidilao’s net sales profit margin was 12.5%, and in 2019 it dropped to 8.8%. By 2020, it has dropped to 1%. Faced with huge performance pressure, Haidilao has begun to implement a diversification strategy, but it is still unknown whether this diversification can make Haidilao regain its glory.

Edit| He Xiaotao Wang Xiaobo Du Hengfeng

Proofreading| Sun Zhicheng

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