Hema began to expand and has opened stores to join

E-commerce newspaper Pro

2024-06-19 09:47Published on the official account of Guangdong E-commerce News

Hema NB outlet store to test the water to join

Three months since the retirement of Freshippo's founder, Hou Yi, Hema seems to be gradually returning to its steady development track.

Recently, the 110th branch of Hema NB Outlet Store was grandly opened in Chongmingbao Town, Shanghai, which marks the official landing of the first franchise store of Hema NB Outlet and the official launch of its expansion plan for model output.

Hema NB Baozhen Store Source: Shanghai Chongming public account

It is understood that the current store types of Hema NB include offline stores and self-pickup stores that place online orders and pick up goods on the next day.

According to the official information of the Hema NB Mini Program, the Hema NB pickup store has been opened to join.

Intending franchisees can choose three ways to join. The first is independent cooperation, that is, renting a store by itself to open a Hema NB pick-up store; The second is cross-industry cooperation, which refers to adding Hema NB projects to existing stores to achieve business increment; The third type is group cooperation, which is mainly for freelancers who do not have the funds and time and want to work part-time.

In addition, the recruitment information of a Hema NB pickup store shows that the threshold for a franchise store to independently open a Hema NB pickup store is not high, and only 60,000 yuan of self-raised funds are required, including a deposit of 30,000 yuan, a platform usage fee of 10,000 yuan, an estimated decoration fee of 10,000 yuan and equipment fees.

Hema NB pick-up store recruitment information

Different from the positioning of Hema Fresh Outlet, Hema NB, as a hard discount store brand under Freshippo, has always been favored by consumers for its concept of "low prices every day, explosive models" and "ultimate cost performance".

Founder Hou Yi mentioned in his circle of friends at the beginning of the year that in 2024, Hema NB Outlet will fully enter the national market, covering Jiangsu, Zhejiang, Beijing and Shanghai, and plans to open 500 stores. He firmly believes that with the huge market potential in China, the dream of opening 10,000 Hema NB outlets is not out of reach.

In addition to deep cultivation in the domestic market, Hema is also actively exploring overseas markets and seeking new growth points.

Earlier this month, Hema announced that its first batch of self-branded products had been launched on the shelves of the U.S.-Chinese supermarket chain Dahua Supermarket and the North American Chinese shopping site Yamibuy.com.

In the future, Hema plans to further expand to overseas markets such as Singapore, Australia, Southeast Asia, Japan and South Korea, where Chinese gather, and cooperate with local e-commerce platforms and supermarket chains.

On the eve of Freshippo's overseas expansion, its official website has begun to invite life service providers to settle on the platform to further increase the local life service field. This move not only reflects Freshippo's thoughtful and long-term planning for overseas markets, but also seeks a new breakthrough in the competitive pressure of the domestic market.

Source: Hema official WeChat

It is worth noting that in the list of "2023 China Top 100 Chain Stores" released by the China Chain Store & Franchise Association (CCFA), Hema Xiansheng ranked 8th for the second consecutive year, which once again proves Freshippo's leading position and continuous and steady development trend in the retail industry.

With its deep cultivation in the domestic market and the expansion of overseas markets, the value of Hema is undoubtedly worthy of re-evaluation by the market.

The road to trial and error and correction in Hema

In fact, as a brand that once led the new retail trend, Hema has always been eager to prove its worth.

However, in the process of rapid expansion and diversification, Hema has also taken some detours.

With the intensification of market competition, Hema decided to adopt a discount strategy to cope with low-price competition. However, this decision has had unintended consequences.

Starting from October 2023, Hema has significantly reduced its product line in just five months, from the original 5000+ products with a wide range of products to only 2000+ left, and the price has generally dropped by 20%, mainly in inventory sales. Although the original intention was to provide more cost-effective products, the reduction in the total number of SKUs in stores has caused consumer dissatisfaction.

In addition, decisions such as the abolition of the membership system, the charging of online packaging bags, and the increase of the free shipping threshold several times have further damaged the reputation of Hema for a long time. Consumers' brand positioning of Hema has become blurred, and doubts about the decline in quality and service have come and gone.

At the same time, Hema is constantly exploring new business formats, such as Hema X Membership Store, Hema Neighborhood, Hema Station, Hema MINI, Hema Outlet, etc., although these attempts have enriched the product line, but also caused consumers to confuse the brand image of Hema and affected brand loyalty.

However, trial and error is a must for every business to grow. What matters is how to learn from the failures and make the necessary adjustments.

After the new coach took office, Hema began to return to its original intention and re-emphasize member services.

On April 24, Hema officially announced the resumption of the renewal card service for Gold/Diamond X members, and added new benefits on the basis of retaining the original rights. For example, Gold X members (258 yuan/year) have added birthday coupons and 1% discount services for shopping, and expanded the membership service area to Hefei. Diamond X members (658 yuan/year) can enjoy more privileges such as birthday gifts, experience monthly cards, etc. In addition, all Hema X Club VIPs will also be automatically upgraded to Gold X members.

In terms of shipping costs for online orders, Hema has also been optimized. After piloting in Beijing, Nanjing and Changsha, Hema decided to adjust the free shipping threshold to 49 yuan, which is consistent with Hema fresh stores in most cities to provide consumers with a more convenient and economical shopping experience.

Source: Hema Intelligence Agency

This series of initiatives has received positive feedback from consumers, with many users saying that "the familiar Hema is finally back".

In the current retail consumption environment, it is important to maintain the fundamentals and carry out refined operations. By adjusting its strategy and returning to membership services, Hema is gradually regaining the trust and love of consumers.

In fact, looking back on the history of Hema in the past 7 years, whether it is revenue, number of exhibition stores, ecological chain construction, or innovative attempts in the field of new retail, Hema has achieved remarkable results.

Although there was no shortage of trial and error and challenges along the way, it was these experiences that made Hema more mature and stable, and laid a solid foundation for its future development.

What is the future of Hema ?

It is undeniable that in the turbulence of the retail industry, Hema has always stood at the forefront of the tide, leading the trend of new retail with its unique business model and innovative business philosophy.

So, how can Hema make a comeback and continue to maintain its leading position in the market?

First and foremost, Hema needs to continue to adhere to its core values of "consumer-centricity". The essence of new retail is to better meet the needs of consumers and improve the consumer experience.

Hema should continue to deepen the consumer market, through big data analysis and other means, to gain a deep understanding of consumers' shopping habits, preferences and needs, and provide them with more personalized and accurate services.

With the increasingly fierce competition in the retail industry, the differentiation strategy of price, category and service has become the key to the victory of major warehouse supermarkets.

Hema needs to further strengthen its differentiation positioning, which is the key to differentiating itself from its competitors and enhancing its competitiveness in the market. At the same time, Hema should also strengthen the integration of online and offline to create a seamless shopping experience, so that consumers can enjoy more convenient and efficient shopping services.

In addition, product differentiation is an important strategy for Hema to increase the added value of its products and attract users. Hema should continue to focus on the introduction of high-quality fresh food and specialty products to create a diversified shopping scene. At the same time, strengthen the self-built brand and direct procurement model to ensure the quality and freshness of goods, and provide consumers with more high-quality and cost-effective products.

In addition, service differentiation is also an important means for Hema to meet the diverse needs of users and improve user satisfaction and loyalty. Hema should actively explore new business models and formats. With the continuous development of science and technology, new business models and formats are emerging one after another.

Hema should keep up with the trend of the times and actively explore new business models and formats, such as unmanned supermarkets and intelligent distribution, to meet the increasingly diverse needs of consumers.

At the same time, Hema should continue to enhance its brand influence and competitiveness. Brand influence and competitiveness are the key factors for the sustainable development of enterprises. Hema should continue to strengthen brand building and enhance brand awareness and reputation.

In addition, Hema can also strengthen cross-border cooperation and cooperate with enterprises in more fields to jointly build an ecosystem and achieve resource sharing, mutual benefit and win-win results.

Of course, Hema should also strengthen supply chain management to ensure the quality and stability of supply of goods. In addition, Hema should also strengthen the cultivation and introduction of talents, build a high-quality and professional team, and provide a strong talent guarantee for the development of the enterprise.

Finally, Hema should focus on social responsibility and sustainable development. Sustainable development and social responsibility are necessary conditions for the long-term development of enterprises.

Under the wind of the times, the story of Hema continues.

Author | E-commerce Jun

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