Haidilao's night market has three major benefits for brand assets

Haidilao has also started to open night markets. All major food brands are looking for new consumption scenarios and developing new groups of people. This is an important way of thinking for brand growth to meet consumer needs in different scenarios. The author of this article talks about the value of this method from three aspects. Let's read it together.

Fennel fried dough sticks for 8 yuan, freshly fried crispy pork for 16 yuan, brain flower for 18 yuan... Recently, this familiar menu has appeared in snack streets in many cities. People unexpectedly discovered that the star of the menu is Haidilao, which was once hard to get a seat in shopping malls.

That’s right, Haidilao has also started setting up stalls to sell hotpot in snack streets across the country.

Haidilao once became popular for its "meticulous" service and quickly became the "number one hotpot restaurant". But why did Haidilao, which has always been "high-end", choose to "lower its status" and set up a street stall?

TOP believes that Haidilao’s decision to set up a stall at the night market was not a rash decision, but another new attempt made after weighing the brand image and expanding new consumption scenarios.

1. Brand voice is amplified, and awareness and discussion are comprehensively improved online and offline

To be honest, the popularity of brands nowadays is inseparable from the Internet as an "amplifier". Once a new topic is released, it is like ripples that quickly appear when a stone is thrown into the water, attracting many people to stop and watch and discuss.

Haidilao's success in attracting attention this time started with users taking the initiative to share photos and videos of its night market stalls on social media platforms.

From the video posted by netizens, we can see that the area and layout of the Haidilao stall are similar to ordinary stalls. There are two four-square hot pot slots on the stall, and there are only two or three staff members. The menu is simple but they are all ordinary dishes of Haidilao, and the sign with red background and white letters stands out in the crowd.

On Weibo, there are more than ten topics related to #亥佬夜市置盘#, most of which have been read by millions of people. Many netizens have called on Haidilao officials to open night markets in their own cities in the comment section, and many netizens are also concerned about whether the prices, taste and quality are consistent with those in stores.

The picture is taken from the Weibo topic list

According to media statistics, Haidilao currently has night market stalls in Qingdao, Shanghai, Shanxi, Zhengzhou and other places across the country, with business hours from 4:30 pm to 10 pm.

As a result, online local communication on social media such as Xiaohongshu and Weibo further attracted many local customers who were interested in this topic and went to the scene to find out more, and joined the queues offline or watched quietly.

On the one hand, the advantage of online marketing is that it can achieve wide reach and efficient communication based on data and user interests. On the other hand, the advantage of offline marketing lies in on-site product experience and scene interaction, which deepens the audience's impression and loyalty to the brand.

The popularity of Haidilao's night market stall effectively combined online topic discussions, fan community advantages and offline fan traffic and proactive visits. The two combined to create brand voice.

2. Brand scenario extension and multiple gold touchpoints increase consumer favorability

As a "big boss" in the hotpot industry, Haidilao is highly favored by consumers for both its services and products.

From the enthusiastic waiters at the elevator entrance of the shopping mall to the free snacks, free manicures, birthday wishes on light boards and other thoughtful services provided to customers during meals, Haidilao, which is "stationed" in the shopping mall, is dedicated to practicing the brand purpose of "service first, customer first". However, in the context of the large number of supermarkets and restaurants, the fixed decoration style and unified service attitude will give consumers a sense of service that is taken for granted, fixed and formal.

However, as a place for consumers to relax and have fun, the night market gives people a relaxed and pleasant atmosphere. Haidilao's stall in the snack street is integrated with the friendly atmosphere of the night market: in the long queue of people, consumers can watch the staff's every move up close, such as putting food into the pot, picking it up, and adding ingredients... At the same time, there are not only free soup bases and professional preparations, but also visible guarantees of the quality of the dishes and sanitary conditions. With high-quality service and delicious hot pot, Haidilao in the night market is closer to the lives of the public, which enhances consumers' favorability towards the brand.

In addition, stalls in different regions are also arranged differently according to local needs: it is understood that Haidilao in Qingdao is a small stall model, located in the "Licun Leke City Night Market", and its products include freshly fried crispy pork, steamed brains, and steamed blood curd; the Haidilao stall in Shanghai is located in the night market on Nanjing East Road, specializing in Bobo chicken skewers, a combination of meat and vegetables, and special snacks such as braised food; the stall in Shanxi chooses to set up a midnight snack cart outdoors, specializing in crayfish, beer, and hot pot, and presents a food stall with camping tables and chairs.

In response to this, a relevant person in charge of Haidilao recently responded to the media that the outdoor seating format that has emerged recently is a personalized innovative pilot project conducted by the store based on the consumption preferences of local customers. It provides citizens who visit night markets and bazaars with a new experience of casual food check-in. In the future, Haidilao will continue to pay attention to customer feedback and continuously optimize the experience.

With a night market with a more lively feel, more visible quality assurance and a more friendly atmosphere, Haidilao's move has undoubtedly effectively changed its previous condescending image.

3. Brand transformation improved, and night economy directly drove sales growth

As a brand giant in the catering industry, Haidilao operates many stores. However, with the influx of a large number of entrepreneurs and the increasing market competition, store rents are also quietly increasing, and store operating costs are getting higher and higher.

Unlike tea shops where customers can buy and go, a beverage shop can be opened in a large store. The traditional catering industry often has high operating costs due to attracting customers, cookware, rent, etc.

Taking Cha Baidao, which is at the forefront of the tea beverage industry's expansion speed, as an example, in terms of the single-store model, Cha Baidao focuses on an efficient small store model. While saving store costs to the greatest extent, it uses takeaway channels to further improve single-store efficiency. During the historical period, the building area of ​​most Cha Baidao stores ranged from 30 to 100 square meters. As of March 31, 2023, 44.9% and 40.5% of Cha Baidao's stores were in the range of 30~49 square meters and 50~100 square meters, respectively.

In addition, according to relevant data from Qichacha, 1.2313 million new restaurants were added nationwide from January 1 to May 22, 2023. The scene of a sharp increase in new stores and the struggle of old stores has stimulated the catering track.

Data from Qichacha

For Haidilao, choosing to set up stalls at night markets is nothing more than a strategy to reduce cost investment and expand sales conversion: compared with traditional catering stores, the rent and miscellaneous fees of night market stalls are relatively low, and they are more flexible and convenient. At the same time, as a unique consumption scene, the night market economy has its irreplaceable charm and value, and it received policy support from the State Council and local governments in 2019.

In the past, Haidilao has also made efforts to expand its sales channels by leveraging its advantages in fast food and take-out. Relying on good service and quality, it has achieved results in self-heating hot pot, special bases, and APP. Its online channels cover multiple platforms including the member mall, Tmall Mall, JD.com, and Douyin.

It can be said that Haidilao's entry into the night market is not only a branding move, but also an exploration of the economic potential of the night market. By leveraging the popularity of the night market to expand sales channels, increase sales conversion and reduce cost investment, it can even successfully occupy a place in the snack street.

IV. Conclusion

Of course, Haidilao is not the first brand to enter the night market. Previously, KFC, Quanjude, McDonald's and others have set up stalls in night markets in some activities.

Night markets are not only a consumption scene, but also a consumption mentality. In night markets, people tend to be more open and cheerful, better integrated into the city, and more intuitively communicate with catering service providers face to face.

Traditionally, Haidilao has always attracted middle- and high-end consumers with its high-quality service and unique flavors. Haidilao's attempt is also telling brands that finding new consumption scenarios and developing new groups of people, and meeting consumption needs in different scenarios are important ways of thinking for brand growth.

Author: Top Jun

Source: WeChat official account: TopMarketing (ID: TMarketing)