"i'm going to have a handmade coffee."
When the `sou da-chang' in the hot show "all good" was lying on the ground crying out this sentence, the audience unanimously commented on the behaviour of the old man, according to the character of the play. But it is the very old man who, before the age of 60, rarely had a chance to drink coffee, crying and crying for coffee, who reflects the current change in the chinese coffee market and the integration of coffee consumption into the daily lives of a growing number of people。
In the past two years, the coffee market in china has been very popular. New players come in fiercely, capital piles in, giants fight for a cup of coffee. All of this has erupted in a short period of time, not only spreading the scent of coffee, but also changing consumer attitudes towards coffee. Having tasted a cup of coffee with a hand, it has moved slowly from a café to a home, and people are concerned with coffee consumption, extending to changes in the way it is cooked, the development of equipment, and even the pursuit of the soybeans。
At the same time, it is a matter of concern to the outside world that china has broken the 400 million mark after 80 and 90 years, with the rise of this group of young people as mainstream consumers, creating new demands for consumption itself and a historic change in china’s consumption structure。
Cbn data published the china coffee industry insight 2018 report, which showed that, of the coffee consumers of the treasure cat, over 60 per cent were new users of the platform that first purchased coffee online in 2017. At the same time, the number of internet buyers is younger, and the proportion of users under 29 is higher than that of older users。
Drum, who is aware of all this, has been in china for more than a decade, and the always slow-paced coffee machine giant has been stifling, and has accelerated its pace in the last two years — the establishment of the great china zone, the super brand day with skycats, and the launch of a new product at skycats
Behind the frequency of movement also means that delong opens the "second half" in china. In an interview with a journalist for daily economic news, zong yonping, director and general manager of telong’s electro-china district, said that china’s market had great potential and that, in the future, dron would increase investment in the chinese market and increase coffee penetration, thereby increasing the number of new consumers。
"the new world"
Thirty minutes from venice, italy, there is a town called treviso. In 1902, a workshop called "deron" was set up and began its growth. Over the centuries, former workshops have now become a worldwide group of household appliances operating in more than 80 countries and territories。
Today, when market coverage reaches a certain level, it is important to select key market depths in stock markets to tap new growth points. It is clear that dron sent this hope to the chinese market。
In 2005, dron began entering china as a small power producer. After entering china, the delon coffee machine did not change its course in the markets of europe and the united states — the master of italian classics, professional crafts — and the price of the product was over $5,000 to locate the high-end consumer population. This method has also worked well in china. More than a decade after china, the drum café has become the leader of the market。
Even so, dron does not seem satisfied. The reason for this is that they believe that the market for coffee machines in china is huge and worth sustained excavation. In zong yingping's view, china is a “gay market” for coffee machines。
“in terms of the current population base of china, the household base and the number of new middle-income groups, the penetration rate of coffee machines in china is almost negligible.” zong yanping believes that china is an emerging market for dron and that there is a great opportunity to dig and expand。
On another level, the chinese market was not previously a prominent market within the dron group. “as far as the global importance of the chinese market is concerned, its share of coffee machine sales in the group is at least 10 per cent, but it is now only a single-digit percentage.” zhongping says。
Zong yanping, for example, told journalists about the current gap between china and the u. S. And european markets. “the czech population is only about 10 million people, while the business of the german fully automated coffee machine in the czech republic is larger than the market for the entire chinese fully automated coffee machine, which is the current situation.” zong yingping expressed the hope that within the next two to three years, chinese market operations would account for at least the double-digit share of the group as a whole。
It was because of the importance attached to the future development of the chinese market that, in 2018, the dron group decided to separate the chinese market from the former asia-pacific market and to establish a large and china-wide region alone。
Zong yingping said: “if only in terms of current business, china is actually lower than many european countries. But these countries are now far less important in the group than china.”
Despite the enormous market space, the difficulty of opening up the chinese market is also evident. In zongping's view, coffee consumption is divided mainly into social and beverage consumption. The coffee market in europe and the united states has now moved from social to beverage-type consumption, while, despite the hotness of the coffee market in china over the past two years, it is still in its early stages — the social consumption phase。
Usually, the transition from social to beverage consumption takes about 15 to 20 years, but, by zongyongping’s judgement, china may complete the transition in 5 to 8 years。
This was judged by the strong performance of the coffee market in china over the past two years. According to the international coffee organization in london, chinese coffee consumption is growing at an alarming rate of 15 per cent per year, compared with the global average of 2 per cent. Data from the national credit securities study show that our coffee consumption is growing at an annual rate of around 15 per cent, and it is expected that the chinese coffee market will be sold on a scale of 300 billion yuan by 2020。
In addition, the whole coffee market is getting hotter with a new brand of internet-based coffee, such as richmond and coffee, and with the power of traditional coffee giants such as starbucks, which also makes coffee more and more acceptable to consumers. Previous data show that, as of the end of 2018, rhesian coffee had completed 2,073 shop layouts in 22 major cities across the country in the north and deep, with 1,254,000 consumer clients and 8,968 million cups sold. By 2022, starbucks also plans to expand the number of shops throughout the country to 6,000, with 230 municipalities。
Run with skycat
How to find more coffee machine consumers from an underdeveloped coffee market is something that all coffee machine companies that want to dig gold in the chinese market need to spend time thinking about. Even dron, already a leading market leader, is no exception. In the course of the interview, journalists noted that zong yingping had repeatedly referred to “the skycat” in the context of the development of delong in china in recent years。
In fact, according to zong yanping, as early as march 2013, dron had entered the skycat, one of the first international brands to enter the skycat. Earlier, delong worked with the treasure shop. But before that, drum was mainly using skycats as an emerging platform for sales, and there was no "all in skycats."。
Of course, skycats have been waiting for the chinese coffee market to mature so that the mini-cafés can get a small outbreak. The change occurred in 2018. With the fire throughout the coffee market, cats organized the first coffee machine class day in january 2018, which brought together 26 coffee machine brands, selling 400 per cent on the same day as the first day, and selling 7,000 coffee machines。
Five months later, during the 618th period, the skycat consumer electronics industry discovered that the sale of semi-automatic coffee machines in the 1,000-point segment had increased rapidly, with market shares almost equal to those of fully automated coffee machines. At the same time, a very important keyword, “small”, was added to the consumer search machine, and the search rate rose at a three-month high rate. This suggests a new influx of young consumers who have a new demand for coffee machines。
At the same time, skycat decided to push the coffee machine brand into super brand day and extend the olive branch to top1. When the invitation was received, zong yumbai met at the italian headquarters. After 10 minutes of consultations with headquarters, he got the answer: "do it!"
Moreover, drum headquarters did not set any specific operational objectives for zong yonping, but rather attempted to invest in chinese teams as a group and exercise new staff。
Why did a hundred-year-old, low-key business suddenly decide to become active online? Zong yingping believed that it was the result of the water flow after many years of collaboration between dron and skycat. At the same time, he indicated that the increasing focus on online platforms in the last two years was largely due to the growing shift in coffee machine consumers over the past two years. According to the big data platform decision dog in july 2017, the coffee-line market had increased by 12. 8 per cent over the same year for almost 12 months, with the overall market showing an upward trend。
On 19 december 2018, the teronx skycat super brand opened in shanghai, china. Until then, no single coffee machine brand had spoken through skycat super brand day。
On the occasion of the skycat super brand, the delong online launch of the theme “behind the dragon, slow by mind” featured the first one shot bardron coffee flash, created in new heaven and space in shanghai, and invited the human iconic board to serve as a one-day director。
On-line, drum filmed a brand concept video for dong that explores the culture of italian coffee, which was dropped on skycats and fans playing call on the eve of the event, attracting over 100,000 fans to learn to make italian coffee。
It is worth mentioning that according to the data given by skycat, the new consumer group prefers a semi-autonomous coffee machine at a price of about $1,000, and dron has launched a semi-automatic coffee machine of about $1,000. Although the price is “attributive”, the quality and appearance requirements of this coffee machine have not decreased. The imported italian water pumps, the selection of professional filters and handles, the application of accurate electronic temperature control techniques ... Are also characterized by a sense of justice, a complete metal panel, a silver fuselage and a bias towards retro-manufacturing. All of this is aimed at better meeting the needs of young consumer groups。
Super brand days with skycats have had a more profound impact on dron。
“first, last year our skycat superbrand day reached its second highest sales level in the year, just after the double 11; and second, as a high-end, small, popular brand, drum's ranking in the small domestic electricity industry rose significantly, to almost 30 places in the top of the industry.” zong yingping says。
However, zong yonping believes that these increases in sales were only significant and that the most important aspect of that cooperation was to allow wider access to future consumers. In fact, 76 per cent of the drum's performance contribution during skycat super brand days came from new fans。
Zong yonping said, “through skycat super brand day, not only coffee lovers, but also more consumers who had not had much contact with coffee machines before began to understand dron. Among these, we can study whether they will be our target consumer in the future.”
In addition, journalists have learned that since deepening collaboration with skycat last year, drum has stepped up its search for new retail sales, which has also affected its internal structure: when new project groups are established, departments are highly integrated and closely connected; when client financial analysis is done, it is no longer primarily channel-based, but rather consumption-based。
Targeting young consumers
With the establishment of the greater china region, zongyongping is increasingly linked to the headquarters of the italian group. Of course, the pressure on him has increased considerably. Zongping is well aware that the strength of the telong lies in the quality of the product and that there is a gap with other competitors in the industry in terms of marketing. And in the current context of a proliferation of brands and products of the same type, it is clear that delon wants to go any further and that more people need to know or be exposed to the brand of dron。
In the course of the interview, journalists noted that zong yingping had repeatedly referred to the group of “new consumers”. This group continues to be given special importance because of last year's collaboration with skycat super brand day。
“from the results of our super brand days in 2018, the proportion of young consumers is growing, and we hope to reach the younger generation through skycats.” zong yingping said。
However, the “new consumers” group of dron's concern may be slightly older than the younger consumer groups such as “95+” and “00+” currently in the internet industry. According to zong yonping, the future consumer population, as currently mapped out by dron, is mainly consumers aged between 28 and 35 years, through data analysis provided by skycats and positioning based on the telong brand。
In order to gain the hearts of these consumers, zong yungping believes that increased investment in products will be the main way for the drum to follow。
The drum café is always one of the first brands that all coffee lovers have chosen to buy. The quality of its products is its largest selling point, so that dron, which has always followed a small high-end route, has also shown a slight “high cold” in terms of product prices。
As more and more young consumers enter the field, a number of entry-level, “carrying” brands begin to emerge. Dillon has also changed, with the launch last year of the semi-automatic coffee machine ecp series, which will be launched this year. The new dinamica series, which is about to be placed globally in sync, has been supplemented with a multi-purpose menu for chinese consumers, which allows for the simultaneous production of italian- and american-style coffee to meet post-90 demand for multi-favorite。
Moreover, drum chose skycat to launch a new series of the most recent major coffeemaker, magnifica, in china. The new product only began production in april, and in order to be released in time for skycat 618, telong plans to send 100 air and 500 sea carriers from romania, where it is produced, to give chinese consumers a taste。
In interviews with journalists, coffee lover xiao liu also stated that telong used to be a more commercial type of machine and that brand image had always been professional. In the past two years, however, a number of delon coffee machines have become smaller and householdized, and their products have become more aesthetic for young people。
In zong yonping’s view, chinese consumers are beginning to recognize the telong brand through skycat super brand day, while, in turn, telong is learning about chinese consumers’ perceptions and needs through skycat super brand day。
It goes without saying that “carrying” is increasingly an important criterion for the selection of commodities for current young consumers. However, zongyongping also indicated that some functional improvements and changes in the design of the products themselves were needed in the face of the needs of young people, but that, when the appearance and quality conflicted, the dreon insisted first on product quality。
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