Zhang Aixue doesn't quite understand what Xu Yiyang means by saturated occupation.
Xu Yiyang saw his doubts and said to Zhang Aixue: "A first-tier city like Zhonghai has hundreds of primary schools and hundreds of high schools, and the urban area is thousands of square kilometers. It is not practical to choose two points in the urban area. The maximum distance may be more than fifty kilometers. In such a city, how can one or two training institutions cover it? One or two hundred training institutions are about the same. The goal I have set for the Jiayang Education Zhonghai region is to use five to eight years. Time to open a hundred branches!”
Saying that, Xu Yiyang added: "We have limited funds now, and we don't understand Zhonghai's market, so we will start a trial first to see if our Jiayang Education model can still work in Zhonghai. If the test is passed, we will naturally increase the dose. When the time comes, we will immediately raise funds. In the second step, we will open eight out of ten stores. In the third step, we will open eight out of ten stores. When Jiayang Education has thirty stores in Zhonghai When the time comes, New Oriental may not be our opponent.”
In the past life, training institutions such as New Oriental, EF Education First, and Wall Street English had extremely dense coverage in first-tier cities.
When Xu Yiyang was doing training, he always aimed at New Oriental, so he knew New Oriental very well.
He once studied the official website of New Oriental and found that New Oriental has more than 100 branches in Yanjing alone.
Most of these branches are in office buildings, and they are all equipped with at least one entire floor. Some branches occupy multiple floors in a building.
The reason why New Oriental wants to open more than 100 branches in one city is to saturate the market.
Because there are too many students from first-tier cities participating in extracurricular training.
Almost none of New Oriental's more than 100 branches in Yanjing is losing money. Not only is it not losing money, but every one of them is making a profit.
The site cost of a branch is only two to three million a year, but the number of students covered by a branch is at least thousands, and the annual cost for each person is thousands or even tens of thousands. The annual tuition income of a branch is only a few thousand. Starting from tens of millions.
The reason why it can reach such a high level is that the high-end courses of these training institutions are particularly expensive.
Wall Street English sells English-learning packages on the street to white-collar workers in the workplace, and the prices can reach tens of thousands of yuan.
Their most common package, Xu Yiyang, has been researched, and it is generally around 55,000 yuan. It is said that you can learn 11 or 12 levels of English.
It doesn’t matter if you can’t come up with so much money. They can help you apply for a consumer loan and repay it in installments.
For example, for a tuition fee of more than 50,000 yuan, a down payment of 5,000 yuan, a loan of 50,000 yuan, and then more than 2,000 yuan per month for three years.
Don’t think that only fools buy this kind of package, in fact, there are many people out there.
It can be seen that the training market in first-tier cities has huge potential and is simply an endless gold mine.
So, be sure to dig more mines to achieve full coverage.
At this time, Li Nan couldn't help but ask: "Mr. Xu, is it too risky to open so many stores?"
Xu Yiyang smiled slightly and said: "The smaller the return rate, the smaller the risk. If you invest 100,000 yuan to open a store, you will face the risk of losing 100,000 yuan. Looking for a job that costs 800 yuan a month , the biggest risk is just not being able to get a salary of 800 yuan. For the sake of development, not to mention the risk of millions, even the risk of tens of millions or hundreds of millions is still worth taking."
People who are content with a small amount of money or who are not ambitious enough are not suitable for starting a business. Even if they start a business, it will be difficult to succeed because it is too easy to be satisfied.
Look at Lao Gan Ma, she has never been satisfied with the status quo.
She was young and widowed, raising her two sons to open a small restaurant by herself, which made her life a problem.
For ordinary people, they would be satisfied if they could eat and drink enough, but she smelled business opportunities in the chili sauce.
Ordinary people would be satisfied if their chili sauce sold well locally and made the middle class wealthy, but she sold her chili sauce all over the world.
Very similar to her is Ms. Zang, the founder of Wan Chai Pier. After being abandoned by her husband, she left her hometown with her two daughters to sell dumplings in Hong Kong. Through continuous efforts, she also became a very famous brand in the Chinese world.
When Yu Minhong first wanted to set up an English training school, there were at least tens of thousands of people across the country who entered the English training industry like him. Why was he the only one who made it to the end? It's not necessarily that he is better than all his competitors, but that he is less satisfied than all other competitors.
One hundred thousand people start from the same starting point. Some people go to the roadside to eat, drink and have fun when they have one hundred thousand assets. Some people don’t want to go any further when they have one million assets. There are also people who get into the road after reaching tens of millions of assets. In the casinos nearby, people lose all their money, and some people even have billions in assets and are still carrying the burden.
The one who truly makes it to the end is not necessarily the one with the strongest ability, but the one who is never satisfied with the status quo.
On the road to entrepreneurship, many people have the opportunity and conditions to succeed, but the reason why they do not have success is the ambition to not be satisfied with the status quo and pursue better things.
Xu Yiyang later reflected on his entrepreneurial stage in his previous life, and the biggest mistake he made was lack of ambition.
When he started his business with tens of millions of real estate, tens of millions of cash, and a net worth of over 100 million, he was actually a little satisfied and a little slack. He had already begun to think about enjoying the harvest, and wanted to bring his parents to Yanjing and enjoy the middle class together. class life.
At that time, Xu Yiyang had already lost his ambition. Later, his mother's sudden death gave him a huge blow, making him lose his fighting spirit even more.
Later, when I suddenly woke up and wanted to catch up, I fell to the ground and was transported back to 1999.
So in this life, Xu Yiyang decided to set his ambitions to infinity.
In the final analysis, it is to never be satisfied with the status quo and always strive to be better.
He wanted to see what level he could achieve in his new life.
In this way, God's painstaking efforts will not be in vain.
Thinking of this, Xu Yiyang said to Zhang Aixue and Li Nan: "Once a model is proven to be successful, don't hesitate to copy it in batches quickly. If you open a fried chicken restaurant today and find that you can make money, then you can start it tomorrow." You need to start opening branches, and the best way is to quickly fission, one branch becomes ten, and ten branches become one hundred. Only in this way can you become the next KFC or McDonald's. Otherwise, you will always have only one fried chicken restaurant. .”
Li Nan nodded slightly, thoughtfully.
Zhang Aixue felt enlightened.
Although he taught Xu Yiyang for three years, Xu Yiyang taught him too many things after leaving school.
Xu Yiyang's words also made him understand that Xu Yiyang's perspective on things, thinking and doing things was indeed much bigger than his own.
As far as training courses are concerned, when most people are very satisfied with just a few dozen students and a few thousand yuan of extra income every month, Xu Yiyang started with hundreds of people.
When others felt that hundreds of people were already too busy and overwhelmed, Xu Yiyang directly expanded the number to thousands, and began to introduce other teachers to help share the burden.
When Jiayang Education had thousands of students in Yingzhou, others were already scratching their heads with envy, but he spent more than half a year to open branches in 17 cities across the province, and every branch All the shops were purchased by themselves.
Now, when Xu Yiyang can earn millions a month from seventeen branches across the province, he actually wants to open a hundred branches in Zhonghai. If this continues, there will be thousands of branches across the country.
It sounds like the assets of thousands of stores are too heavy and the cost is too high, but as Xu Yiyang said, if you can make money by taking each one apart, then what is there to worry about even if there are 100,000 stores put together? It’s nothing more than making more money.
Thinking of this, he hurriedly asked: "Then we can also open new branches in Qilu and other cities with large populations? Quancheng, Qingdao, Yisheng and so on."
"Yes." Xu Yiyang nodded and said: "The first step is to plant a flag in each city now, and the second step is to plant enough flags in every city. For cities with an urban population of more than one million, for The education and training industry has a strong carrying capacity. If your current management team has the ability to do things independently, then let them start expanding in medium and large cities in the province."
Saying that, Xu Yiyang added: "However, we will make slight adjustments to our capital allocation in the future. From now on, 70% of the net profits of the seventeen branches of Qilu Jiayang Education will be used to support business expansion, and the remaining 30% of the net profits will be used to support business expansion." Used for provincial expansion.”
Zhang Aixue nodded repeatedly and said, "I will make arrangements in this regard after I return this time."
Xu Yiyang said: "Mr. Zhang, your focus must be on China Overseas Shipping in the future, so during this period, you must train a talent who can be responsible for the normal operations of all branches in Qilu Province."
After saying that, Xu Yiyang added: "If you have reliable people under your command, go and train them in this field in advance; if not, recruit them as soon as possible."
Zhang Aixue said: "Okay, after choosing the address this time, let Li Nan keep an eye on the progress of the decoration here. I will go back to handle the business there and choose a suitable person to take over. When Zhonghai decoration is almost finished, enrollment will begin." When the time comes, I’ll come over.”
"Okay." Xu Yiyang said: "Let's do it this way. In addition, if we start the IELTS and TOEFL training business in Zhonghai, we will have to build a new teaching team. Teacher Zhang, you have to spare your energy to focus on acting. "
Zhang Aixue said: "I have researched New Oriental before. They are really good at overseas training, and they are very authoritative in the north. They have basically formed an inertial thinking in the overseas training market. They want to take IELTS and TOEFL. , just look for New Oriental.”
Xu Yiyang said: "After all, I started early, and I started off with this business."
With that said, Xu Yiyang added: "In this regard, Mr. Zhang, please continue to study New Oriental and learn about their teacher allocation and teaching arrangements. We will follow the footsteps of our predecessors, imitate first, and then catch up."
(End of chapter)