Why do many restaurants with good business suddenly close their doors? The boss told the truth in tears, very sad!
Many entrepreneurs choose to start a catering business because the entry threshold is low, and the profit of the store is also very profitable. For example, in Chongqing, a small noodle restaurant in many corners can make more than 100,000 yuan a year, and if it is a little more famous, it is not a problem to make a million yuan that year! However, with the rise of Internet catering, platforms such as Meituan, Nuomi, and Dianping have also had a great impact on the traditional catering industry. Some stores seem to be doing well with daily traffic, but they will suddenly close. For example, a hot pot restaurant outside my community has been open for 7-8 years. It is one of the two hot pot restaurants with the best business in this neighborhood. It suddenly closed a few days ago, and the merchant who took over the store directly sold fruit!
A few days ago, I met the owner of the former hot pot restaurant, chatted with him, and asked him why he suddenly closed? The boss is very helpless to say the following reasons.
Rent. The house price was relatively low when I renewed the lease twice in front of the store. I signed a contract with the owner for 4-5 years. Because of the long-term contract signed, the rent is relatively not too high. The store is in an excellent location at the entrance of the community. The traffic is very guaranteed, so the revenue is decent. However, due to the sharp rise in house prices last year, the landlord instantly felt that the rent was low, and asked for a rent increase several times, and the increase was as high as 30%.
The shock of takeout. Due to the prosperity of the Internet, takeout has become the best choice for many young people to save troubles. As long as you are willing to spend money, you can choose the food in the city. The location can not stop the competition from other similar businesses in the city, even if it is a perfect place at the gate of the community. The geographical location and passenger flow have also declined significantly compared to the past. Although it seems that the business of many other stores is not bad, the overall number has declined, the operating cost has remained high, and the profit has become lower and lower. points will lose.
Labor costs. Catering is a diligent operation, which requires a lot of human input. Employees work long hours every day and work hard. Due to the low technical requirements, the wages of personnel are generally not high. However, due to the rise in housing prices in the past two years, labor costs are also gradually increasing. Increase.
Competition from nearby peers intensifies. After a large number of residents in the community settled in, many catering peers settled in the vicinity, and the passenger flow was divided into part. Many times it seemed that the passenger flow was good, but most of the time, the guests mainly sat outside the door, and most of the tables inside were All are free.
In general: it is the impact of the Internet and the competition of the surrounding peers, which has led to a decrease in passenger flow, but the rent and labor costs have continued to increase. It seems that the passenger flow is good, but many times it is a superficial phenomenon, and the actual guests are much less than it seems. Too many, resulting in final business difficulties and had to close.