Home » News » It turns out that this is why the price of Mixue Ice Cream can be cheap

It turns out that this is why the price of Mixue Ice Cream can be cheap

Jakarta

Ultimately it is an ice cream shop Mixue is currently under discussion due to its rapid expansion. In Indonesia, you can find many Mixue outlets in different places.

However, what attracts many people’s attention is the relatively low price of Mixue products. Just by spending IDR 8,000, shoppers can already enjoy a large portion of ice cream cone.

It has been recorded that the highest price for ice cream from a Chinese company is only IDR 16,000. Meanwhile, for milk tea, prices range from Rp. Rp 10,000. 22,000, depending on the variant and toppings.

But the question now is: why are the prices of Mixue products quite low? What’s the secret?

In the notes detik com, Mixue was first founded by Zhang Hongchaio in 1997. As Mixue’s business started to grow, Zhang opened a franchise in 2007. At that time, dozens of stores quickly opened in Henan Province, where the headquarters is located.

in 2008, Mixue Bingcheng was officially established as a company, and the number of franchised stores exceeded 180. Then, in 2010, Mixue Bingcheng chose to cooperate with Zhengzhou Baodao Trading Co., Ltd. to expand the franchise to all over the country.

Two years later, Mixue Bingcheng started building a central factory to control the supply chain and achieve self-sufficiency. Then, in 2014, the company set up a logistics center in Jiaozuo City, Henan Province to deliver free materials to all branches.

With its own warehouse and logistics center, Mixue Bingcheng’s transit cycle has been shortened, and inventory and storage costs have been reduced. This makes it the first beverage brand in China to have free logistics delivery.

Thus Mixue BingCheng has its own distribution line and its own raw material production factory. For this reason, the costs of the raw materials used by the company are approximately 20% lower than other beverage and ice cream chains, which makes it more competitive.

At the same time, Mixue Bingcheng also provides franchisees with interest-free loans of up to tens of millions every year to solve their financial problems as new Mixue shops/stalls open.

At this point Mixue Bingcheng has managed to build its own inner circle of business. From raw materials to logistics and franchised stores, everything was controlled by the company, allowing it to expand rapidly and have relatively cheap product prices.

(fdl/fdl)

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