Empowering with Delivery Operations, Zaihui supports the Catering Industry Transiting the Post-Pandemic.

From past practice cases, it can be seen that refined data operation has indeed brought tangible benefits to catering stores, and turnover growth can even exceed 65%.

Three years of epidemic is undoubtedly speeded up China's entire takeaway market. Many small and medium-sized businesses struggled during the worst of the epidemic in the past three years, but they all survived via delivery systems with hundreds of orders a day.

According to the "2020-2021 China Takeaway Industry Development Research Report" released by Ali New Service Research Center and China Hotel Association, in 2020, China's catering revenue declined for the first time in nearly a decade, while the online takeaway market grew by 15% year over year in the same period.

The competition in the catering market has long been a red sea, especially in the field of delivery. In recent years, with the environment of perfect digital infrastructure, interactive online traffic, and changes in consumption habits, the competition in the catering industry has developed from the food itself to the competition of traffic, service, and scene.

Different sizes of catering businesses have very different capabilities to access the takeaway business.

Looking at China's catering industry, from a long-term scope, according to the revenue calibre, the total market share of the domestic TOP10 catering chain brands only accounts for about 3.3%, and middle-tier merchants occupy most of the market share. The lack of online operation experience makes them seem to be in a hurry in the takeaway war. Under such circumstances, how to effectively use the power of professional service providers to improve the takeaway operation capability becomes particularly important.

Improving the takeaway operation ability and driving the growth of restaurant revenue, in the short term, SpoonX can alleviate the impact of the epidemic to solve the urgent need; in the long run, it can also enable mid-waist merchants to complete the construction of online & offline diversified business system, so as to break through against the trend in the post-epidemic era and improve brand strength.

Online passwords for the middle and small scope of restaurant merchants.

The domestic food delivery industry has emerged since 2012.

In the early days, the food delivery business of catering companies relied more on platform subsidies, but as the market became saturated, user growth stagnated, platform dividends faded, and the number of merchants continued to increase. Under the competition of "involution", the refined operation ability of online businesses began to become a top priority.

Top catering brands, such as McDonald's, KFC, Domino's, etc., can not only build their own takeaway team and Mini Program but also have a higher voiceover in the game with Meituan and Ele. me.

In contrast, mid-waist restaurant merchants are in a weak position in this wave of digital transformation. They are more dependent on takeaway platforms because they do not understand the consumer psychology of online consumers and the rules of the platform's continuous adjustment, as well as the price war with merchants in the business circle. They are at a state lack operating ability in the operation of takeaway stores.

However, the operating pressure of online stores is much greater than that of offline. Because online store consumers place orders directly on the platform, they do not need to go to the store and are not limited by their physical environment. In terms of consumption choices in the same business district, the number of target consumer merchants that can choose is far greater than in offline scenarios. This means that to obtain an order, catering merchants require opponents to be crueller than offline scenarios. For example, some stores have launched a city-wide delivery service, then these stores will also compete with a wider range of restaurants to generate customers.

This exposes the shortcomings of small and medium-sized catering businesses in digitization and refined operations.

In this context, professional catering Software As A Service(SaaS) platform providers came into places, such as re-benefit serving more than 10,000 catering brands.

Zaihui entered the market earlier, founder Li Xiaojie served in Dianping for 7 years, and in 2015, he started a business to set up Zaihui, focusing on providing digital solutions for mid-waist catering brands.

According to EqualOcean's understanding, since its establishment 7 years ago, Zaihui 's SaaS system and solutions have covered almost all aspects of the standardized operation of catering enterprises, with more than 20,000 service brands, covering catering, entertainment, beauty, hotels and other local life industries, familiar including Yang Guo Fu, Xiaolongkan, Subway, etc., covering more than 15,000 stores, mainly in first- and second-tier cities.

One-stop Full Stack SaaS Solution

In addition to merchants, capital also recognizes Zaihui 's business model and development potential. Since its inception, Zaihui has completed 6 rounds of financing jointly led by top US dollar funds at home and abroad, with a total financing amount of more than 300 million US dollars.

Zaihui Home Business Department was established in October 2019. According to Huang Xianfeng, a partner of Zaihui, from the current internal structure of the company, the Home Business Department undertakes all the online business of Zaihui around takeout.

Zaihui partner Huang Xianfeng

Takeaways also need refined operations

Due to the lack of professional online operation personnel, middle-waist merchants often face pain points such as online operation chaos, low store ranking, frequent changes in takeaway rules, excessive investment in marketing expenses, and complex product information. Merchants always need a professional third party to help solve their store management problems on the takeaway platform. In this way, merchants can free up more time and devote more energy to product and service experience to build their core competitiveness.

This is also a problem that Zaihui Home Division has been committed to solving since its establishment.

In September 2018, Zaihui developed a "Kirin system", which integrates and upgrades data and methodology over the years, and has big data as the foundation. Now, Zaihui can provide four major products and services for catering merchants' takeaway business: online store decoration, explosive creation, traffic management, and data recap.

Kirin system background

And from past practice cases, we can see that refined data operation has indeed brought tangible benefits to catering stores, and turnover growth can even exceed 65%.

For example, during the epidemic in the first half of this year, with the support of Zaihui, the local time-honoured "Red Lobster" in Nanjing, in just two months, the turnover of the two platforms increased by more than 80%, and the repurchase rate rose steadily.

It is reported that the Zaihui team obtained big data analytics results based on the self-developed system, which helped Red Lobster conduct store diagnosis and improves conversion efficiency by optimizing visual effects, rationally planning activities, and highlighting brand characteristics. In addition, the operating system established by Zaihui also helped Red Lobster refine the planning direction of each store, open up online multi-channel data, realize integrated management and maintenance, and greatly improve the overall online operation efficiency of the store.

With the expansion of customer volume, in order to improve the experience and service effect of catering merchants, since the epidemic, the re-Hui Home Division has carried out a lot of iterative upgrades in the internal service system.

Huang Xianfeng told EqualOcean that they split the former large operation team into three teams: operation support, customer communication, and store strategy output, so as to form close cooperation between the front end and the back end so that the division of labour is more refined, communication is more efficient, and service is more professional.

According to its disclosure, Zaihui recently built a mid-platform architecture, mid-platform will focus on different scenarios such as cuisine, city, key indicators research operation methodology, offline through training and output work standards for internal staff to provide working methods, online through the empower system to help operations store management.

Epilogue

In the future, there will only be two kinds of enterprises, one is a digital native enterprise, that is, an enterprise that operates and develops in a digital and intelligent way from the beginning; the second is an enterprise that realizes rebirth through digital transformation.

In China, catering is a relatively traditional industry, and digitization is the only way to reduce costs and increase efficiency, especially after experiencing the baptism of the epidemic, digitization is of great significance to the transformation and upgrading of the entire industry.

As the most important part of catering digitization, the takeaway has gradually become specialized and refined. According to the "China Catering Merchant Digitization Research Report", about 90% of merchants believe that catering online operations require professional technology and capabilities.

In this regard, Huang Xianfeng showed full confidence and confidence. He said: " Zaihui will continue to provide customers with more refined operation services and more refined solutions and become the external brain 'of Chinese 2 million mid-waist catering enterprises. "