"There is paradise on the top, and Suzhou and Hangzhou on the bottom". Papa Tang's hand-made toast annotates Hangzhou with the attitude of opening three stores, which not only means that its offline business territory has expanded again, but also has a deeper business layout logic.
Hangzhou, famous for its "famous county in the southeast", has always been a representative city of China's booming economy. The 2016 G20 Summit and the 2018 World Short Pool Swimming Championships were held in Hangzhou.
In the middle of 2022, on the eve of the Asian Games to be held in Hangzhou, the "class representative" of the toast industry - Daddy Candy Handmade Toast (hereinafter referred to as "Daddy Candy") decisively added three more children in Hangzhou. On June 2, Dad Sugar Hangzhou West Yintai City Store, Olympic Sports Impression City Store and Gongshu Wanda Plaza Store opened at the same time, and the scene was very popular.
The opening of three stores in Hangzhou marks that Daddy Candy is no longer satisfied with the superficial landmark occupation of the city, but has opened a new advanced commercial layout strategy. From the beginning of Hangzhou, Papa Sugar has made a deep dive into the core of China's economic city. So, why can this brand, which grew up from Wuxi, one of the four famous cities in the south of the Yangtze River, ignite Hangzhou again? Let's read the business code behind the brand of Papa Sugar.
Deep layout of Hangzhou to seize the baking trend
This time, Papa Candy was deeply distributed in Hangzhou, and many people in the industry said they were not surprised.
Hangzhou is a city full of commercial vitality since ancient times. Historically, Hangzhou benefited from the convenience of the Beijing Hangzhou Grand Canal and trading ports, as well as its own developed silk and grain industries, and was once an important commercial distribution center. Since the new century, with the drive of Ali and other high-tech enterprises, the Internet economy has become a new economic growth point in Hangzhou. Hangzhou ranked fifth in the list of China's top 100 cities in 2020, and the 2022 Asian Games will also be held in Hangzhou.
Looking back to 2021 and the first half of 2022, even though the economic and political situation at home and abroad is complex, it has not changed the general tone of Zhejiang's commercial economy. As the capital of Zhejiang Province, Hangzhou is highly visible in the field of commercial economy. Hangzhou is an important base city for the commercial layout of major brands, and Papa Sugar will certainly take Hangzhou as an important part of the commercial layout.
◎ Previously, Papa Sugar has set up 10 stores in Hangzhou
In fact, this time, the three stores in Hangzhou were opened at the same time, which was not the first time that Daddy Candy entered Hangzhou. As early as 2017, in the second year of the founding of the Papa Sugar brand, Hangzhou's first store, Hangzhou Chunjiang Licheng Store, has been set up. On the opening day, there was a long queue. Later, Papa Candy successively set up 9 stores in Hangzhou. Open a store, fire a store, the heat is still high. In addition to the three stores opened on June 2, Daddy Candy now has 13 hand-made toast stores in Hangzhou. It is reported that the previous 10 Papa's Sugar Stores were scattered in the outer business circle of Hangzhou. This time, three new stores were added, realizing the brand's layout strategy of "moving from the outside to the center".
The reason why Papa Sugar attaches so much importance to the layout of Hangzhou is that Hangzhou is one of the key baking markets in China. According to the Tianyan Survey data released on May 13, 2021, there are currently more than 800 enterprises engaged in "baking food, desserts and pastries" and other related businesses in China. Zhejiang ranks fourth with nearly 100 enterprises, accounting for 9% of the country.
In recent years, from Chinese style snacks to western style desserts, Hangzhou has been rising as an emerging baking force. From Tang Dynasty cake industry to Master Bao, Six Sages, Southern Song Dynasty Hutchison, Luxi River, Huanniu Cake House. Hangzhou baking market has already formed a "confrontation" situation between local baking brands and foreign chain brands. Each major baking brand either develops rapidly in the "duel". Or fade away quickly in the "duel". Dad Sugar is obviously the former.
◎ Papa Sugar enters Chengxi Business District, Xiangyuan Road Business District and Olympic Impression City Business District
In order to consolidate and enhance its baking position in Hangzhou, Papa Sugar attaches great importance to the market strategy of encrypted Hangzhou. Through the way of opening three stores at the same time, Papa Candy entered the popular and promising business districts in Hangzhou: Chengxi Business District, Xiangyuan Road Business District and Olympic Impression City Business District. Data shows that catering and baking are one of the core popular consumer goods in these three business circles, and a number of new baking sub brands have entered.
Based on this, Papa Sugar links Hangzhou with multiple penetration and depth. At the time of the opening of three new stores in Hangzhou, Papa Candy launched activities such as "10000 pieces of toast free" to repay the kindness of Hangzhou citizens and attract high attention from Hangzhou consumers.
The reason why Papa Sugar is favored by Hangzhou consumers is that its brand conveys "sweetness". Based on the brand concept of "using fresh hand-made toast to guard every breakfast of children every day, accompany and participate in every stage of children", Daddy Candy conveys the importance of father's accompanying children's growth in parent-child life, infuses hand-made toast with the sweetness of father's love for family and children, and creates the taste of home.
This kind of "sweetness" is also embodied in the visual design of Dad's sugar store space. Taking the three new stores opened in Hangzhou as an example, the overall store uses a large area of calm retro green, dotted with dark gold. In a transparent and open scale, it outlines the space modules with different functions: visual baking area, open retail display area and creative leisure area. Dad Candy combines the design inspiration of "kitchen", and is decorated with parent-child IP characters, presenting a delicate, sweet and warm store atmosphere.
Specialized products
Dad Sugar Differentiation Captures Consumption Mentality
Not only in Hangzhou, since the establishment of the brand in 2016, Papa Sugar has been implementing the brand vision of "committed to creating a better life", so that consumers across the country can feel the "sweet" brought by happy life.
By the end of 2021, Papa Sugar has opened 350 special hand-made toast stores in 108 cities across the country. Papa Sugar not only has tens of millions of fans because of "more delicious hand-made toast", but also has a strong desire to open stores. The reason why Daddy Candy is so popular is inseparable from the following four aspects.
Give up the "industrialization" of baking and focus on the category of hand-made toast
In recent years, with the increasing selectivity of baking products in dinner and leisure time, their production and production have gradually transformed. Many baking brands have gradually changed from the original manual production to the industrial standard baking production.
It seems that "small bread" supports the "big industry", but in fact, it is based on the premise of sacrificing the taste. Although industrialization has improved the production efficiency of products, it also means that the quality, taste, taste and other aspects cannot fully meet consumer demand.
In order to have a better product experience, Papa Candy has insisted on not building a factory assembly line since its establishment, always insisting on "making and baking now" in the store, and insisting on "fresh only for one day". Dad Sugar has given up the efficiency of industrialization, returned to the emotion of hand baking to give food, and launched a series of delicious and safe fresh hand-made toast.
To build a "front store and back factory" and become a Huangpu Military Academy in baking industry
Different from other baking brands, Papa Candy adopts the store model of "front store and back factory", emphasizing the instant baking. Through the transparent baking room, consumers can see the whole process of making toast and witness the safety and freshness.
This mode requires Dad Sugar to spend a lot of energy on the toast production process, process and the training of professional bakers. In order to ensure that the products from more than 350 stores across the country are stable and uniform in taste, Papa Sugar has established a toast college, launched a complete training and training system for bakers, and established a team of professional bakers.
Papa Sugar disassembled the skills needed for baking, fostered new people one by one, and implemented a job rotation system to help bakers understand and master the key points of each link. The opening training lasted 300 hours, and over 1750 retraining sessions were held in stores throughout the year, improving all the theoretical and practical skills of bakers. For more than six years, Papa Sugar has grown into the Whampoa Military Academy in the baking industry.
Adhere to independent research and development, and integrate production, research and learning to create industry standards
In Dad Tang's opinion, "everything can be toast", starting from technical creativity to the breakthrough of traditional ingredients matching, so that new products can stimulate more wonderful possibilities. Papa Candy hired 56 domestic and foreign professional baking R&D consultants to take the lead. Growing from the subdivided categories, Papa Candy took product creativity as a breakthrough, and developed many safe, healthy and delicious hand-made toast. More than 200 new toast products have been reserved, all of which can be "stunning".
Among them, the brand series of toast has created more than 350 stores nationwide. The super soft series of toast has added a lot of color to the sales of Dad's sugar. In addition, Papa Sugar has also broken through the limitations of the raw material end and developed a series of unique products, such as black sugar thick sesame potato toast, rattan pepper chicken toast, and high fiber whole grain toast for fitness crowd. Over the years, Papa Sugar has adhered to independent research and development, and has been awarded a number of technical patents by the State Intellectual Property Office.
Not only that, in view of the diversified needs of the market, Papa Tang also joined hands with Jiangnan University to deeply integrate production, research and learning, and jointly set up the "Healthy Baking Joint Research and Development Center" to create industry standards, together complete the "lightness" of the toast industry, and develop products more in line with the national healthy diet needs, enabling future baking.
Delicious, more reassuring, fully customized ingredients, adhere to good workmanship
Good stuff, good toast, just for better taste. Since the establishment of the brand, Papa Sugar has been soberly aware that the brand can only last long if the product is stable.
Starting with basic food materials, in 2019, Papa Candy signed a strategic cooperation agreement with Japan's century old flour enterprise "Nippn" (NIPPN) in Japan to jointly customize wheat flour for Papa Candy, maintaining the super quality of Papa Candy's hand-made toast, and making every mouthful delicious. Japanese flour, New Zealand milk source, Belgian butter... Papa Candy visited all over the world to select better raw materials and cooperate with international raw material manufacturers. The origin can be seen and the production area can be traced.
Good ingredients also need good technology. Every piece of fermented hand-made toast is freshly baked. Manual kneading for 20 minutes, repeated beating for more than 300 times, folding for more than 60 times, 8 processes, 4 hours, can produce a delicious hand baked toast with papa candy. Each slice has just good taste, sweetness and wetness. Of course, behind the handwork must be the reduction of production efficiency. It is reported that Daddy Sugar, a baker, can only produce 60 pieces of hand-made toast a day.
Toast scene
Thousands of stores will be expanded in the next two years
Today, delicious and healthy food is the focus of consumers in the new era. According to the 2022 Bakery Category Development Report, the health standards of Generation Z for baked desserts are improving, with particular attention to food raw materials, from low-fat and low sugar to zero trans fatty acids.
And Papa Sugar's hand-made toast is constantly meeting the good expectations of Generation Z consumers for toast, without flavor, preservatives and trans fatty acids.
In addition to focusing on safety, Papa Sugar is also expanding in scene building. With the extension of research and development, Papa Candy has successively launched products such as hand gifts and seasonal gift boxes. This year, while consolidating the consumption scene of baking staple food and strengthening the mentality of single product, Papa Sugar gradually tried to expand the scene of baking snack, from "family breakfast" to "full time" toast category.
It is reported that, relying on the logic of "Ten Thousand Ways to Eat Toast", Papa Candy will launch two Toast Superstores in Wuxi, where the headquarters is located, in June this year - Xidong Eight Hundred Companion Store and Huiju Store. From space design, product system to store dynamic, creative extension and interactive experience, Dad Sugar, two different Lab stores, will make consumers refreshing. Iced toast, freshly made sandwiches, toast ice cream, toast Xiaobei... Every customer who comes to the store will feel the diversified taste and shape brought by Daddy Candy's handmade toast, opening a new experience.
Papa Sugar's Toast Super Store focuses on making various scenes of toast, and does not stop in Wuxi. Later, it will be copied and presented in more cities, so that toast can penetrate into different scenes of people's lives, and upgrade the emotional connection between Dad's Sugar brand and consumers.
◎ Existing store layout of Papa Sugar
As a popular brand, Papa Candy has been expanding its territory in a double line parallel mode of "direct marketing+franchise". This new upgrade of offline store experience has accelerated the pace of Daddy Candy becoming the head brand of hand-made toast in thousands of stores. According to the brand side, Papa Sugar will add 200 stores in 2022, and plans to complete the annual increase of 500 stores by 2024.
The realization of the trend of thousands of stores depends on the careful selection of partners of the brand. Starting from three aspects of business strength, love of baking and concept recognition, Papa Candy has built one-stop services covering preliminary research, research and evaluation of store location, store marketing planning and delivery, personnel training, etc., so as to improve the operating efficiency of terminal stores and reduce the investment costs of franchise partners.
Among them, in terms of store location, based on the core consumer group of young women aged 18 to 40 and young families with children, Papa Sugar focuses on the surrounding consumption level, store area and the measurement of store profit and loss. For example, the surrounding customers should have certain requirements for the quality of life. The store area is 80-100 m2, and the future of the store is estimated by controlling the rent to sales ratio of 15%. Dad's Sugar Development Department often helps franchise partners to get good stores, and helps them negotiate locally.
From the perspective of the baking industry, China's baking market is growing rapidly, but the market concentration is still relatively decentralized, and the baking brands with more than 1000 chains in the country have not yet appeared. Data predicts that the scale of China's baking market will exceed 300 billion in 2022. At the same time, most baking brands still maintain the typical characteristics of husband and wife stores and occupy a dominant position.
Papa Sugar, a brand that started in Wuxi and focuses on hand-made toast, has achieved dislocation and breakthrough through products and channels, and continues to strengthen the brand image and influence through differentiated thinking. It is striving to become a baking leader with more than 1000 stores.
Dad sugar, the future is promising.
