Traditional Culture Encyclopedia - Traditional stories - Please! Dicos business operation model? thank you

Please! Dicos business operation model? thank you

Analysis of Dicos Management Strategy

2 1 century, the development and competition of catering industry in China has been launched at a higher level, and brand management has become the core competitiveness of catering enterprises. Therefore, when implementing brand strategy, expanding chain operation and expanding market share, catering industry should not only innovate constantly, grasp quality and characteristics, enrich brand connotation, improve brand social image and trust among consumers, but also pay attention to innovation in business concepts such as industrialization and modernization. Consolidate the brand, expand the influence, develop the franchise stores by joining the chain, and embark on the road of revitalizing the regional economy by "creating famous brands, bringing industry, prospering the local area and enriching the people".

Dicos, a western-style fast food enterprise in China, has made a successful step in brand expansion, business innovation, industrialized operation and modern management in recent years. When "Dicos" expanded its business and developed its franchise stores, considering the actual situation in China, its investment in joining was far lower than that required by other brands of western-style fast food. Today, "Dicos" has established a good brand image in the eyes of investors in various regions of China.

I. Overview of Dicos

According to the news released by China Chain Store & Franchise Association (CCFA) on April 7th, 2006, Dicos was re-elected as an excellent franchise brand in China in 2005 after 2002. By the end of 2005, Dicos had more than 500 head offices in China, ranking third among western-style fast food brands in China, which was almost equal to McDonald's, which ranked second in China.

Dicos opened its first store in Chengdu only in 1994, and was acquired by Taiwan Province Ding Xin Group in 1996. As a rising fast food brand, how did Dicos become the top three western-style fast food in China in just ten years? Through in-depth research on the development of Dicos, the author thinks that the key to the gap between Dicos' "crazy" growth and international fast food chain giants McDonald's and KFC lies in its business strategy analysis.

1, chain operation mode:

Compared with KFC and McDonald's, Dicos has adopted the same chain operation mode, allowing all investors to join in and operate together. At present, 99 of the top 100 catering enterprises in China have adopted the chain operation mode, which is 38 more than 200 1. This development trend has fundamentally changed the ownership structure of the catering industry, and the advantages of brand and standardization of chain operation have emerged, which has injected vitality into the sustained and rapid development of China's catering industry.

2. Franchise mode

The brand generation and cultivation of catering industry should focus on the basic work of supporting brand growth, and make continuous efforts in product quality, management and cultural atmosphere, so as to make its own brand the foundation of the industry and lay the foundation for the later chain operation. In view of this, relevant experts pointed out that there is a principle in the business model of franchising: "one brand, two standards, three characteristics and cultures, four innovations and five management;" One lock value, two locks. " This principle can be adhered to, inherited and maintained, and the unique brand is the soul of chain operation. Only by grasping the lifeline of sustained and effective expansion can chain operation make a difference.

Second, the brand management strategy analysis

1. Location strategy: rural areas surround cities.

The choice of region is the strategic choice of chain enterprises, which means what kind of regional market the chain enterprises enter and what kind of competitors they compete with in what region.

In fact, during the period from 1996 to 1998, Dicos confronted McDonald's and KFC in first-tier cities, and established 54 direct stores in 13 big cities in just two years. However, due to the small brand influence and high operating costs, Dicos continued to lose money. In this case, Dicos had to bite the bullet and close its branches in Beijing, Shanghai and Guangzhou.

Later, Dicos learned a lesson and adopted the strategy of "encircling the city from the countryside", marching into the second and third tier cities in China that McDonald's and KFC had no time to take care of, focusing on the northwest market. In the choice of cities, Dicos only chooses prefecture-level cities with a non-agricultural population of more than 654.38+0.5 million and a per capita annual income of more than 4,500 yuan, and county-level cities with a non-agricultural population of more than 654.38+0.0 million and a per capita annual income of more than 6,000 yuan. In the choice of business circle, Dicos not only adheres to the basic location requirement of "the most prosperous area in the city or the largest supermarket or shopping mall with the largest traffic", but also mainly chooses the main business circle, the community and the business circle around the school to choose the location of its stores with different specifications.

Dicos' location strategy avoids the reality and the confrontation with KFC and McDonald's, which makes Dicos develop rapidly in the almost blank market of western fast food. In many cities, Dicos has become the first brand of western-style fast food in cities because it is the first time to settle in. Even if KFC or McDonald's entered the market later, Dicos was in a leading position in brand influence and single-store turnover.

2. Chain strategy: franchise-oriented.

In the chain mode, compared with the cautious approach of McDonald's and KFC in franchising, Dicos adopted the strategy of "franchise chain as the main chain, supplemented by direct chain". Among them, in the way of franchise chain, Dicos mainly joined, supplemented by cooperative joining. Franchising is a cooperative mode for franchisees who are willing to devote themselves to and operate wholeheartedly; Cooperative joining is aimed at investing in franchisees, where franchisees and Dicos jointly invest, Dicos invests in equipment capital, franchisees invest in venues, decoration and other capital, Dicos is responsible for restaurant operation and bears business risks, and franchisees extract fixed profits.

It is precisely because these two ways of joining fully consider the different situations and business ideas of domestic small and medium-sized investors, coupled with the different store types and reasonable joining fees launched by Dicos according to different locations and regions, that Dicos quickly attracted a large number of franchisees.

In addition, compared with the tens of millions of yuan invested by KFC and McDonald's, the general investment of Dicos is only12 million yuan, and the operating cost is strictly limited in a suitable range, which makes the cost of each Dicos restaurant far lower than that of KFC and McDonald's, greatly enhancing its viability and competitiveness. Germany's third-ranked Dicos opened new stores 160, with more than 500 main stores. As far as the number of stores is concerned, the gap between Dicos and the second McDonald's is gradually narrowing.

3. Marketing strategy: differentiated marketing.

"Surrounding the city from the countryside" and "franchising strategy" are important strategies for Dicos to compete with McDonald's and KFC. In addition, Dicos has more personalized characteristics in product development and promotion than McDonald's and KFC, which strictly implement the "one thousand stores" foreign fast food.

In product development, although Dicos' main product is fried chicken like KFC, Dicos pays great attention to the difference with the latter in taste selection. Dicos fried chicken is fried in a pan, so the chicken pieces are golden, crisp, delicious and juicy, in sharp contrast to KFC fried chicken. In addition, among the products developed by Dicos, there are many delicious foods with oriental flavor, such as corn soup, rice burger, fresh meat hibiscus fort, curry chicken rice and so on. In recent years, Dicos has also introduced rice products such as roast chicken rice and braised beef rice.

In terms of promotion, Dicos is different from McDonald's and KFC's top-down national or regional promotion system, and adopts a combination of bottom-up and top-down promotion strategies. Dicos franchisees can put forward new promotion measures at any time according to their own situation. After discussion with Dicos, it can be implemented the next day. If McDonald's wants to promote sales, it may take half a year to make a demonstration internally. It is precisely because of this flexible and fast promotion method close to the market and consumer demand that Dicos can attract more and more repeat customers with lower cost and more effective solutions.

Dicos' differentiated marketing makes Dicos highly competitive. Dicos' investment and operating costs are lower than those of McDonald's and KFC, and franchisees have more profit space. Therefore, after opening the first franchise store, many Dicos franchisees often open the second and third franchise stores within a few years.

Third, Dicos SWOT analysis

Advantages: 1, many products of Dicos contain a lot of collagen, and a variety of essential amino acids and vitamins.

Dicos crispy fried chicken has a secret special method to make its food soft and tender, and its color is delicious and fresh.

3. The decoration in Dicos is warm, and there is no children's entertainment place, which attracts them more, so it brings great benefits to Dicos products.

Disadvantages: 1 Other similar food industries are actively expanding their market share, and the competition will be more intense.

2, the export is relatively small, and the region lacks understanding of Dicos.

3. The current operating mode of Dicos is slow to adapt and reflect the market.

Opportunity: 1. The western fast food market in China is growing, while the western brands in China still need to be strengthened.

Dicos has a superior geographical position, located between Century Lianhua Supermarket and Western Department Store.

3. Dicos has medicinal value, and has the effects of warming middle warmer, tonifying deficiency and dispelling cold.

Threat: 1, KFC and McDonald's have seriously hindered the development of Dicos.

2. Similar products in other regions will also stifle the market of Dicos.

3. The local eating habits also hindered the development of Dicos.

Fourthly, some suggestions for Dicos.

I remember eating at Dicos once. Anyway, we just bought some jelly and melon seeds from outside.

Snacks and other foods, after the meal we ordered, we girls casually took out some snacks.

Yes, as soon as we opened it and ate a little, a waiter came up and told us that we couldn't eat takeout here.

I was really angry at that time, so we just sat for a while and left.

We have just analyzed Dicos, and I think I have some suggestions on the management of Dicos.

Lou, you can have a look.

1, this hygiene must be guaranteed, and gloves must be worn when taking things for customers, as a catering industry.

This kind of hygiene is necessary,

2. Maybe some staple foods of Dicos are different from local eating habits. I think even in the catering industry, we should follow the principle of adapting to local conditions, and we can slightly change the taste and variety of products according to local habits.

3, publicity is not in place, we should do publicity through various media channels, to achieve such an effect:

1, creating a unique concept of food culture.

2. Establish a new brand image of Dicos.

3. The market share of western-style fast food industry in China.

Increase people's understanding of Dicos culture and make Dicos culture deeply rooted in people's hearts.

4. Establish a perfect information collection and processing system to timely and accurately respond to market changes.

5. I hope that Dicos products and production processes can be low-carbon and environmentally friendly.

Verb (abbreviation of verb) conclusion

In short, Dicos must pay attention to all aspects of management, and also adopt other people's suggestions in time to promote growth.

Multi-level development, the above is my analysis of Dicos by using what I have learned and my suggestions. I hope not.

Dicos is environmentally friendly and low-carbon, and can represent the leader of western-style fast food brands in China.