Suzhou city center, west of Pingjiang Ancient City, is the city's earliest commercial district.
The time is April 15th.
Saturday.
Simon arrived in China yesterday afternoon and came here this morning. The exact location is at a commercial center at the intersection of Linton Road and Guanqian Street. It was invested and built by Westeros System-related capital. Jinshu's movie theater in Suzhou is also here. In a business center.
What we want to see here is the Jinshu audio and video rental chain store that opened in early April.
Chen Qing accompanied him as usual, and even took the initiative to call out Ren Jingxi and Mo Wuling, who happened to be in Suzhou. Because of Simon's arrival, Saturday was supposed to be the busiest time for business, so the store chose to close temporarily.
"The first batch was completely for the sake of facade, so we chose this very popular location, with a total of 300 square meters of space on two floors, and the annual rent is 200,000. Oh, it is actually our own property and will not be lost to outsiders. No. When it comes to content procurement, we only talk about decoration, equipment, etc., and there is also special management software. There is no need to import Blockbuster's, which is too expensive. We developed it ourselves on the basis of movie theater ticketing and audio and video retail software. In short, The average investment per store is about 1.2 million, and the subsequent annual operating costs are expected to be between 300,000 and 400,000, most of which are rent. Well, this does not include subsequent content purchases."
Simon listened to Chen Qing's introduction and took down a box of "To Our Dying Youth" VCD discs from the shelf. It was packaged in a square plastic box. When he opened it, there were two discs inside. They were different from those printed on the market. Very simple style, just the name and a row of barcodes.
Chen Qing introduced again from the side: "This is a disc we pressed ourselves. The biggest feature is the barcode. Whether users are renting or returning, they only need to scan the code at the counter to complete the process. Moreover, this can also prevent users from dropping the disc. .”
Simon smiled and nodded: "Very considerate."
Chen Qing then curled her lips: "The scanning equipment that works with the management software is also specially customized, which is very expensive. Anyway, if the first batch of six stores fails to succeed, Jinshu will lose a lot."
"The biggest problem in China's film and television industry is that users lack commercial recognition of copyright, so most people take it for granted to watch pirated copies." Simon shook his head slightly and said, "So, whether it is Jinshu's audio and video retail chain, or At present, rental stores, you should understand that changing certain values of users is more important than the simple profit and loss of this part of the business."
"Yeah, that's why we do it."
Chen Qing nodded in agreement, and the other two girls accompanying her also agreed. However, seeing how Chen Qing's deputy boss said everything was right, they couldn't help but pout.
Simon put the VCD box of "To Youth" back on the shelf, continued to move forward, glanced at the neat and dense discs around him, and asked: "How many movies are there here?"
"Not just movies, but also TV series and some popular variety shows. There are more than 800 in total. Counting the parts in the warehouse at the back that replenish the vacancies on the shelves at any time, each store is equipped with about 50,000 sets of discs. Subsequent adjustments will be made based on specific circumstances."
Chen Qing said, without waiting for her boss's response, she continued: "This is the largest number of copyrights we can obtain in a short period of time. Moreover, we have done research and found that those pirated disc stores on the market may be able to break through the censorship There are restrictions on having more diverse content, but basically, a store can only have a few hundred types of discs at most, and here we also have a lot of types, and at the same time we have a big advantage, which is TV series."
Simon understood the situation in China and did not think it was too little. Instead, he said: "It's already a lot. There are more than 800 film and television dramas. What about the expenses?"
As he walked to the stairs leading to the second floor, Jiang Shanwu led the way. Chen Qing stepped onto the steps side by side with her boss and said: "The signed agreements are different, and if we want more varieties, there are so many old brands in the country." After so many years of accumulation, it is no problem for the state-owned studio to put together thousands of films and TV series, but it is meaningless. Many films have never been released in any form since they were made. Therefore, these more than 800 films were carefully selected by the team. . First of all, there are various classic old movies, such as "Tunnel War" and "Mine Warfare", which are familiar to everyone, or "Tales from Heaven" and "Havoc in Heaven" from Shanghai Film Studio, and many of them are packaged at once. The average buyout can be obtained for a few thousand yuan, but because the quantity is so large, it still costs more than three million. Moreover, this is not the most expensive. The key is the hot new movies and imported movies in recent years. We signed The share agreement is basically 37%, and we get 70%. In general, all the bits and pieces are added up, and the total investment in the first batch of six stores is about 12 million. China Film felt that it could not make money, so this time I didn’t dare to follow.”
In this era, the U.S. dollar is valuable, and so is the RMB.
A total investment of 12 million was invested to open a video rental chain in six major cities in China. Thinking about it, it is a loss-making business. After all, this money is enough to buy several courtyard houses in BJ City at the moment. In the future, one courtyard will be worth hundreds of millions, a return of dozens of times. .
Of course, things can't be calculated that way.
After all, Simon has continued to invest in China's real estate industry, including directly buying various ready-made properties such as courtyard houses in central cities, one code at a time.
The second floor of the store is basically full of big boxes of TV series and variety shows. While browsing, Simon remembered something: "Isn't it a membership system? If it is divided, how will it be divided?"
Simon had an advance look at the finalized leasing plan.
After market research, the Jinshu team came to the conclusion that if a daily fee-based leasing strategy was adopted, the genuine chain would definitely not be able to compete with those small shops that filled the streets, and finally decided on a membership system.
All you need to do is apply for a card, and then you can watch as much as you want, as long as you can spare enough time.
The specific plan is divided into two packages.
The basic package is 8 yuan per month, and there is a discount for a one-time subscription for the whole year. It only costs 80 yuan, which is considered as a free two months, and a deposit of 20 yuan is required. The restriction, however, is that you can only rent one set of discs at a time, and only for movies. After all, large boxed TV series are very expensive and a box often contains dozens of discs, which cannot be enjoyed with the basic package.
Then there is the second level, the upgraded package, which is 18 yuan per month. The discount is still given for two months throughout the year, with a deposit of 100 yuan, and you can rent three sets of discs at a time. This time, TV series are included, but TV series are limited to one set at a time.
Cheap or expensive
Simon probably remembers that even in a pirated rental store, the daily price seems to be fifty cents a day, and the more expensive ones cost one yuan a day. So I watched this movie again. Based on the basic 8 yuan package, 50 cents per day is equivalent to renting a set of discs for 16 days, or watching 16 movies a day.
However, the fact is, it's like a buffet, and most people can't watch 16 movies in a month.
Next to a shelf on the second floor.
Chen Qing watched her boss take out a box of VCDs of the TV series "Legend of Sword and Fairy" to flip through. When she heard this question, she said: "Movies are calculated at 5 cents, and TV series and variety shows are divided at 2.5 yuan at a time."
Simon thought for a moment, nodded slightly, and then said: "One more thing, these discs must be updated. When the new ones arrive, have you considered what to do with the old ones?"
"Yes," Chen Qing said: "According to the records of our management system, we will conduct an inventory every month. Some movies that few people rent, or movies that have passed the popular stage and have too many copies stored, will be cleared at a low price. Sales, including TV series. After all, our discs are genuine, the quality is much better than pirated copies, and they are very valuable for collection. As for the price, such as movies, the pricing will probably be different depending on the content or quality. For the time being, three to About five yuan.”
A genuine movie disc costs 35 yuan, which is already cheaper than some pirated copies.
However, Simon certainly knows that even if it is a genuine copy, regardless of the copyright cost, just the disc or packaging itself, the price will only reach the top of one dollar. After renting it many times, you can still sell it for another three to five yuan, which is still a profit.
After all, it was the weekend, and he didn't want to delay the business here for too long. Simon walked around briefly, quickly went downstairs, and left directly through the back door.
After getting in the car, the destination was the manor that was completed last year by Dushu Lake in the east of the city. When the car started, Simon continued to ask Chen Qing beside him: "How is the performance?"
"From the current point of view, it is very good," Chen Qing said: "Just talking about this store in Suzhou, it opened on April 1, and it has accumulated more than 6,000 members in half a month. It is definitely not over 10,000 in a whole month. Question, according to the ratio of the two levels of membership, the average payment per member is about 13 yuan. Calculated based on 10,000 members, the monthly account is 130,000. However, this is mainly due to our early marketing. In the future, if we can stabilize There are about 10,000 members, and after excluding various expenses, we can make a net profit of about 4 to 50 million per year."
An annual net profit of four to five million yuan may seem like a lot at first glance. However, with six stores, the total net profit is calculated as 2.5 million yuan a year. It would take about five years to recover the initial investment of 12 million yuan.
Five years from now
People today may think that in the future, DVD may just replace VCD, or even better, Blu-ray will replace DVD. However, Simon knows that in five years, the era of Internet video will arrive, and DVD and the like will be available after 2010 at most. Completely eliminated by Internet videos.
Therefore, the current business, purely commercial, is basically a waste of time.
Of course, as I said before, the key to this matter is not to make money, but to subtly cultivate the public's genuine consumption concept.
Chatting casually, the convoy arrived at the island in the middle of the lake between Jinji Lake and Dushu Lake in the western suburbs.
Ren Jingxi and Mo Wuling, who had not spoken much at the rental store, were a little confused at first. If someone didn't have a serious work schedule today, why not go to the movie theater to watch the peach blossoms? After all, it was the last time. .
When the convoy entered the 20-hectare classical garden here, looking at the surrounding pavilions and stone paths, smoked willows, peach bamboos, flying beams and painted buildings, it looked like a carefully painted Jiangnan landscape scroll... For a moment, I just felt like it was open again. vision.
Extravagant guy.
Especially after getting off the bus and walking through a long corridor built on the bank of an artificial lake, listening to Chen Qing talking to someone in front of me, I was even more shocked to realize that this area covers an area of 20 hectares.
The Maoer Hutong mansion in the capital, with its three courtyards combined, covers an area of just over 6,000 square meters, less than one hectare, which is already very large in their eyes. But here, it is a full 20 hectares, which is 200,000 square meters. A simple calculation shows that the length and width are about one mile.
Aren't you afraid of breaking your leg if you run away
Complaining a little in their hearts, they walked through the corridor, and after twists and turns, finally entered a courtyard. The two girls were attracted by the two rows of cheongsam girls waiting at the entrance of the courtyard, and they forgot to look around.
Slander again.
What a debauchery, you damn guy.
Regardless of what Ren Jingxi and Ren Jingxi were thinking, Chen Qing took her boss directly to a three-story retro library in the courtyard. It was the tallest building in the garden. Everyone went to the third floor and stood at the window to look out. , the surrounding patchwork garden scenery can be seen at a glance, and the views from the windows seem to be carefully designed, facing south, with the surrounding gardens in front and on the left and right, and further away, the open Dushu Lake, looking around Go, it immediately makes people feel a little relieved.
Mo Wuling really found that he couldn't control himself, so he unknowingly walked next to Simon, admiring the surrounding scenery, and quietly breathed in the fresh air under the warm spring sun. Well, of course, it was inevitable to smell the scent of someone next to him, and he couldn't help but look at it. The man looked over and said with a tone of praise that he unconsciously wanted to please him: "It's so beautiful here."
Simon held on to the window railing and said, "You can come here often if you like."
Ren Jingxi on the other side was also impressed in his heart. However, after hearing someone say this and looking at Mo Wuling next to him who looked like a nymphomaniac that he didn't even know he was looking at, he couldn't help but make trouble: "This place is so big and empty. It's impossible to live there at night." It can be a little intimidating coming in.”
Simon glanced at Ren Jingxi with a smile and said, "If you feel free, you can ask Xiaoqing to arrange some more people to accompany you."
Ren Jingxi was immediately speechless.
Thinking about the two rows of beauties in cheongsam he had just welcomed, he really didn't know how many beautiful women the golden house had hidden in his possession.
Still laughing!
Even though he had never been unruly, Ren Jingxi would inevitably have the urge to pounce on him and bite him.
Yu Tingyu, who had hidden his love for Simon here, brought in tea with two maids. Everyone sat down at the tea table by the window, watching the girl next to them pouring tea for themselves, smelling Xinran's daughter's fragrance, Simon He couldn't help but put his arms around Yu Tingyu's slender waist and praised, "Tingyu seems to be beautiful again."
Yu Tingyu was hugged by the man and listened to his praise. Her face turned slightly red and she imitated the Western question-and-answer pattern: "Thank you, boss."
Ren Jingxi, who was next to him, cursed again: You can't hug a pretty person like this. This is called a pig's hand.
Simon seemed to finally feel the small fire in Ren Jingxi's eyes, glanced over again, and directly hugged Yu Tingyu, who had put down the teapot, into his lap.
My own woman, what's wrong with hugging me
Ren Jingxi was speechless.
On the other hand, Mo Wuling was a little envious. He fantasized a little about how he and Yu Tingyu would feel if they switched places. Probably, they would be like each other, like a well-behaved kitten.
Chen Qing had been watching the excitement calmly. She waited for the other two waitresses to pour them tea and exit the room, then she said with a smile: "Boss, there is a small theater in the garden. You can go there later and let us listen." The rain dances for you.”
Simon kissed the girl's fair and rosy neck in his arms, pushed her up, and said with a smile: "Take some time."
Yu Tingyu stood up, not daring to pester anyone. She adjusted her cheongsam a little and said softly: "Boss, lunch is already being prepared. Is there anything else you need in particular?"
"No," Simon shook his head: "I'll eat whatever you do."
Yu Tingyu hummed, knowing that it was not his turn to sit down here due to his status, he nodded to Chen Qing, and retreated obediently, leaving space for the four people here.