FMCG Eight Talks Consumption Lo Mei Food In 2023, lo mei companies can be called "hot search regulars", and most of the hot search topics are "**expensive", "unaffordable" and "food safety", and these keywords have also become the key to the future development of lo mei brands. When the lo-mei brand launched a low-price ** in the "Double 11", the voice of the expected reduction of lo-mei ** came out, and as the raw materials of the lo-mei brand gradually returned to normal and the cost was controlled, the industry gave a prediction that the lo-mei ** would be lowered in the future. However, the lo-mei brand is not only facing the problem of consumer complaints, when the impact of the "rat head" incident transmits the stock price performance of the company, even if the final survey results have nothing to do with the "duck neck", the lo-mei brands have also been taught a lesson - food safety and product quality control will be a crucial part of the future development.
Costs fall back with ** adjustments
In 2023, the topic of "young people can't afford to eat duck neck" will appear on the hot search every once in a while, and netizens will complain about the "duck neck assassin" and "I don't dare to buy duck goods without any strength". In fact, behind the phenomenon of "lo-mei is getting more and more expensive" that netizens complained about, it is that the raw materials of the lo-mei industry have remained high this year.
According to the company's financial report, in the first half of this year, Juewei Food was affected by the cost of raw materials, and its operating costs increased by 18 percent year-on-year18%；Huang Shanghuang said in the financial report that in the first half of 2023, the company's main raw materials such as duck palms, duck wings, duck necks and other related duck by-product raw materials market were substantial, and the fluctuations of the main raw materials affected the company's gross profit margin and profitabilityZhou Heiya also mentioned that raw materials are at an all-time high.
That changed in the second half of the year. According to the third-quarter financial report data, Huangshanghuang's comprehensive gross profit margin in the third quarter of 2023 increased by 387 percentage points, production costs have been gradually reduced;Juewei Food's gross sales margin and net sales margin began to recover in the third quarter.
The decline in corporate costs is reflected in terminal sales. This year's double "Double 11", lo-mei companies have launched various forms of discounts and marketing activities, such as Zhou Heiya's as low as 99 yuan to achieve "freedom to satisfy cravings", the second half-price and other activities and two pieces of delicious food 9% off and other activities. During the "Double 11" period, lo-mei brands joined the low-price melee, which made the industry believe that under the condition that the cost is controlled, the lo-mei market is expected to be lowered in the future.
The relevant person in charge of Juewei Food said that the company's product policy is affected by many factors such as fluctuations in raw materials and the economic environment. In view of different situations, the company will flexibly adjust the terminal ** policy in combination with the market conditions in various regions.
The relevant person in charge of Zhou Heiya told the Beijing Business Daily reporter that the company will continue to pay attention to the changes in raw materials, and this year, Zhou Heiya is passing 99 yuan new product, 399 yuan with the heart of the activity and the full ** with the layout to attract new and enhance repurchase, on the takeaway platform, Zhou Heiya products are divided into small, medium and large boxes according to the quantity, and the pricing of single products is mainly concentrated in the range of more than 10 to 40 yuan.
According to Zhu Danpeng, an analyst in China's food industry, the first poultry is affected by the number of live pigs, which should be lower and lower, which has a good effect on the decline in the cost of duck products. On the whole, it is expected that the profit level of lo-mei enterprises should gradually rebound next year.
Seek new growth
In 2023, the lo-mei brand is not only facing the highest number of complaints by consumers, although the "rat head" incident is a "flying disaster", but the impact on the lo-mei brand cannot be underestimated, when the stock prices of several leading listed companies are affected by this incident, the lo-mei brands also realize that quality and safety are no trivial matter, and increasing product quality control will be the top priority for future development.
On June 5, the stock price of Juewei Food fell at the opening, and as of **, it fell by 306%, "Juewei Duck Neck Stock Price**" even ranked first on Weibo's hot search;Huang Shanghuang and Zhou Heiya also collectively "lay down the gun", as of June 6**, down 137% and 095%。
Although the final investigation results showed that it had nothing to do with the duck neck, it also pushed the food safety of the lo-mei industry to the forefront for a while. This has also made lo-mei brands, which are accelerating their store expansion, once again realize that food safety is no trivial matter, and increase investment in food safety and product quality control through different ways.
Juewei Food told the Beijing Business Daily reporter that Juewei Food has nothing to do with the incident reported by Jiangxi Industrial Vocational and Technical College on June 3, and the company has always put food safety and food hygiene in the first place, adhering to the principle of law-abiding management, honesty and trustworthiness, strictly controlling food quality and safety, selecting raw materials, and effectively safeguarding the legitimate interests of consumers.
In addition to doing a good job in food safety and quality control, how to find a new growth curve in the face of changes in the market competition pattern is another thing that lo-mei brands need to consider.
Expanding new categories and entering the prefabricated dishes has become the choice of many brands. On December 12, Juewei Food mentioned its brand "Jueqia Lo Mei" on the investor interactive platform, positioning it as a one-stop solution for food and catering brandsRecently, Huang Shanghuang launched a series of rice bowls in some areas, and also established cooperation with Wallace to tear up duck with sauce.
Juewei Food said that the company is currently adhering to the strategic policy of "deeply cultivating the main business of duck neck and building a food ecology", focusing on investing in industrial tracks closely related to its core strategy, such as lo-mei, special flavor condiments, and light catering, and exploring the layout of new growth curves in the future.
Wu Daiqi, CEO of Shenzhen Siqisheng Company, said that the layout of the prefabricated food track should be easy for lo-mei enterprises, but for chain brand enterprises, the channels of prefabricated dishes are very different. In addition to selling pre-made dishes through their own existing channels, lo-mei companies also need to develop other catering channels, so they also need to invest some money to develop new channels. However, for lo-mei companies, no matter what, they need to find new growth points, and it is necessary to make some such attempts.
Zhu Danpeng believes that at a time when the consumer side is constantly forcing the industry to innovate and upgrade, lo-mei companies are accelerating the speed of innovation, seeking new growth, and getting close to the new generation. When the industry is carrying out self-revolution, the consumer side will also respond, and on the whole, there is still room for development and expansion of the lo-mei industry in the future.
Beijing Business Daily reporter |Guo Xiujuan, Zhang Han.
Zhou Heiya official website.
Edit|Aspen.