How have restaurants pivoted to selling fresh produce?

Question

Accepted Answer

Restaurants Diversify Offerings to Sell Fresh Produce Amidst Epidemic

Restaurants are actively pivoting their business models to include the direct sale of fresh and frozen produce to communities. This strategy aims to mitigate significant revenue losses incurred from dine-in closures and reduced customer traffic due to the ongoing epidemic. Chains like Yunhaiyao are not only bulk-buying groceries for residents near their outlets but have also introduced ready-to-cook ingredient kits. Similarly, the hotpot chain Haidilao has temporarily closed its mainland China outlets and is now focusing on selling fresh and frozen products directly to local communities.
Direct-to-Community Fresh and Frozen Product Sales

Several restaurant chains have begun selling fresh and frozen food items directly to consumers in their immediate vicinities. For instance, Haidilao, a prominent hotpot chain, has temporarily shuttered its mainland China dining establishments and redirected its operations towards supplying fresh and frozen goods to nearby residential areas. This move allows them to leverage existing supply chains and distribution networks to reach customers who are staying home.
Bulk Grocery Purchases and Prepared Ingredient Kits

Yunhaiyao, a restaurant chain specializing in Yunnan cuisine, has implemented a dual approach to address the changing market landscape. The company is now purchasing groceries in bulk to supply residents living close to its more than 100 outlets across China, creating a new revenue stream. Furthermore, Yunhaiyao has introduced a line of prepared ingredients, enabling customers to easily cook authentic Yunnan dishes at home with minimal preparation.
Leveraging Existing Infrastructure for New Revenue Streams

The shift towards selling fresh produce represents a strategic adaptation for restaurants facing unprecedented challenges. By utilizing their existing restaurant spaces and operational capabilities, chains like Yunhaiyao and Haidilao can continue to generate income. For example, a Yunhaiyao store manager reported daily delivery sales reaching up to 6,000 yuan, demonstrating the potential of this new business model, even as overall sales may still be significantly lower than pre-epidemic levels.

Reading history

Hide →

This history is cleared when the page is closed.

How have restaurants pivoted to selling fresh produce?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends