Rebirth in Hong Kong: From Dessert Shop to Industrial Empire

Chapter 70: Gradual Encroachment (Daily 10,000 words completed! Please vote with your monthly tickets and recommendations to continue reading!)
The meeting ended, and everyone left to carry out their orders.

Chen Bingwen stopped Ling Peiyi and said, "Director Ling, the convenience store is a crucial battle in the channel expansion, and we cannot afford to lose it."

You personally oversee the pilot program and make adjustments as needed when problems arise.

Furthermore, with the bottling line's capacity now available, we have the spare capacity to consider expanding our product line.

Ling Peiyi was taken aback for a moment, then asked, "Mr. Chen, are you referring to new product development?"

“That’s right.” Chen Bingwen walked to the window and looked at the busy scene in the factory area. “Sweet soup is our foundation, but the market needs more diverse choices.”

I plan to expand our product line and begin developing functional beverages.

Although the demand for sweet soups exceeded supply, everything seemed to be thriving.

But deep in Chen Bingwen's heart, there was always an indescribable sense of vigilance.

The success of bottled sugar water is certainly the result of the team's hard work and appropriate strategy, but behind this success lies a huge hidden worry: the product line is too singular!

No matter how exquisite the packaging or how improved the process, the core of sweet soup is still sweet soup.

People on Hong Kong Island love to drink sweet soup; it's a deeply ingrained dietary habit with a strong market foundation.

But precisely because of this, its ceiling is also clearly visible.

Countless companies that were once incredibly successful and dominated by a single product have ultimately collapsed due to their overly simplistic product structure and the impact of changing market demands or competitors.

The beverage market is constantly changing, and consumer preferences are as unpredictable as the weather in June.

Today they line up for mango pomelo sago, but tomorrow they might be drawn to another novel drink.

Chen's can't put all its eggs in one basket: "sweet soup".

What alarmed him even more was the potential competition.

The resounding success of the Victoria Park Lunar New Year Fair, the hot sales of bottled sweet soups, and the rapid expansion of franchise stores have inevitably attracted the attention of other food and beverage giants in Hong Kong.

They are currently holding back, perhaps to observe the situation, or perhaps to conserve their strength.

Once they understand Chen Ji's business model, and leverage its strong capital, mature distribution channels, and powerful R&D capabilities to launch similar or even better products to encircle and suppress it, how will Chen Ji respond?

Relying solely on the existing sweet soup product line provides too little defensive depth and too little resilience to risk!
"We must plan ahead and begin building a second growth curve once the foundation is solid!"

Functional drinks became his chosen entry point.

This market was almost non-existent on Hong Kong Island in 1978, but the demand it could provide was a rigid demand that existed widely among a large group of people such as drivers, workers, students, and white-collar workers.

It is not limited by traditional dining settings, can be consumed anytime and anywhere, and has huge potential for increased consumption frequency.

More importantly, it complements Chen Ji's existing dessert products in terms of target audience and consumption scenarios, rather than competing with them.

Sugar water satisfies the "sweetness enjoyment" and "traditional habits," while functional drinks satisfy the "instant energy" and "efficiency needs."

The two can coexist without conflict, and can even mutually influence each other.

Sweet soups are the foundation of Chen Ji's business, its cash cow; we must continuously strengthen and optimize them, ensuring quality and supply to safeguard our core business.

Functional beverages are the engine of the future, a strategic direction for widening the moat and raising the ceiling. Research and development must be started as soon as possible to seize the market opportunity!
Chen Bingwen clearly defined two battle lines in his mind.

He knew that in business competition, complacency was the biggest risk.

Only by continuously expanding boundaries and building a diversified product matrix can we remain invincible in a rapidly changing market.

The success of bottled sugar water is not the end, but the starting point for Chenji to move towards a wider world.

The development of functional beverages is a crucial step in this process.

"Energy drinks?" Ling Peiyi was very puzzled by this term, which was still extremely unfamiliar in 1978.

"It can be understood as a beverage that can quickly replenish physical strength and refresh the mind."

Chen Bingwen explained that he recalled the booming success of products like Dongpeng Special Drink and Red Bull in his previous life. "The target audience is drivers, workers, students, and white-collar workers who work overtime all night—anyone who needs to quickly restore their energy and combat fatigue."

Can you imagine the market for a cold, refreshing drink that can instantly revitalize a taxi driver who's drowsy while driving at night, a construction worker who needs to catch up on work after lunch break, or a student studying late into the night?

Ling Peiyi quickly grasped the potential, but frowned slightly and questioned, "This concept is novel, but the technical difficulty is probably not small."

How can I quickly replenish my energy and refresh my mind?
How can we ensure that the taste is acceptable to the general public?

How can we ensure safety?

A series of questions came out of Ling Peiyi's mouth one after another.

“This is exactly the direction we need Professor Zhou’s team to tackle.” Chen Bingwen smiled slightly. “Let’s go to the R&D center and have a chat with Professor Zhou.”

Research and development center laboratory.

Professor Zhou was discussing data with two doctoral students around a newly arrived piece of equipment.

"Professor Zhou, sorry to bother you." Chen Bingwen and Ling Peiyi walked in.

"Mr. Chen! Director Ling! Welcome, welcome!" Professor Zhou put down his beaker and greeted them warmly, "Please have a seat."

Are there any new requirements for the bottling line?

"The bottling line is running smoothly," Chen Bingwen said with a smile. "I'm here today to discuss a brand new product direction with you: functional beverages."

He described the target audience and application scenarios in detail, and put forward the core requirements: "We need a beverage that can make people feel refreshed and less tired in a short time after drinking it, with a refreshing and easy-to-drink taste that suits the general public's palate. Most importantly, it must be safe and reliable."

After listening, Professor Zhou pondered and said, "Quickly replenishing physical strength and relieving fatigue involves the intersection of exercise physiology, nutrition, and food engineering."

Currently, there is a sports drink called Gatorade in the United States, which is mainly used to replenish water and electrolytes for athletes and prevent dehydration.

However, the refreshing effect you described, Mr. Chen, is more about regulating energy metabolism and nerve excitation.

It's somewhat like a sports drink, but with a stronger emphasis on its energizing effect.

After saying that, he walked to the whiteboard, picked up a pen and wrote as he spoke: "I have a few possible implementation paths in mind."

Energy replenishment, electrolyte balance, central nervous system stimulants, vitamins and amino acids, etc.

As Chen Bingwen listened to Professor Zhou's clear and logical analysis, he nodded in approval.

He truly deserves to be called an expert in food research.

Professor Zhou's line of thought closely matched his memory of the core ingredients of functional beverages.

"Professor Zhou's analysis is very thorough," Chen Bingwen praised. "My idea is that we should prioritize a safe, effective, and good-tasting approach."

Caffeine has a strong effect, but it may cause discomfort to sensitive individuals and is likely to attract regulatory attention. It is advisable to avoid it or use it in very low amounts initially.

The focus is on a proper sugar ratio, sufficient taurine, multivitamins, and essential electrolytes.

Professor Zhou's eyes lit up: "Mr. Chen, the combination you suggested is very reasonable!"
It boasts high safety, a solid theoretical foundation, and is easy to blend!

He immediately perked up and started writing and drawing on the whiteboard, connecting the key points mentioned by Chen Bingwen.

"Mr. Chen, your thinking is very clear!" Professor Zhou exclaimed. "Taurine does have a theoretical basis in regulating cell osmotic pressure, protecting the myocardium, and relieving fatigue, and it is also highly safe."

Multivitamins are essential for energy metabolism and nervous system function.

Electrolyte balance is fundamental to maintaining body fluid osmotic pressure and neuromuscular function. Theoretically, the combination of these three factors can fully achieve your desired effect of quickly replenishing energy and boosting mental alertness!

He paused, his brow furrowing slightly: "The difficulty lies in the flavor and stability."

Taurine itself has a slightly fishy smell similar to sulfur, which is especially noticeable at high concentrations.

Simply put, it tends to have a rusty smell, so you have to find a way to cover it up or neutralize it.

Furthermore, the solubility, compatibility, and long-term storage stability of these ingredients all require careful formulation and verification.

Just like making soup, putting ingredients together might cause flavor mixing or sediment buildup; you have to try different combinations repeatedly.

Chen Bingwen nodded, knowing full well that the devil in the food industry often lies in the details.

The refreshing taste of Red Bull and Dongpeng Special Drink is the result of countless formula adjustments and process optimizations.

"Flavor is key," Chen Bingwen emphasized. "No matter how strong the function is, if the taste is poor, consumers will not buy it."

We must place equal importance on taste and effectiveness.

Safety is the bottom line; it must never be compromised.

“Understood!” Professor Zhou said seriously. “Our team will immediately begin building the basic formula and adjusting the initial flavor.”

In Mong Kok, on a back street of Nathan Road, there is a small shop with a sign that reads "Fook Kee Store".

Li Guoming, the leader of the grid management team in Mong Kok District, is standing with two of his grid members at the entrance of a slightly narrow shop.

The shop owner, Uncle Fu, an old man with gray hair, wearing a faded undershirt and smoking a pipe, was looking at them with suspicion, as well as at the several boxes of bottled sugar water with the "Chen Ji" logo on their cart.

"Uncle Fu, hello! We are from Chen Ji Foods." Li Guoming smiled broadly and handed over a business card printed with "Grid Team". "This is our bottled sweet soup, Mango Pomelo Sago, Coconut Sago, and Tangerine Peel Red Bean Soup. The taste is really authentic! You must have heard of the King of Sweet Soup at the Victoria Park Lunar New Year Fair in Hong Kong Island, right?"

Uncle Fu took the business card, squinted at it, glanced at the sweet soup on the cart, and slowly exhaled a smoke ring: "Chen's? The King of Sweet Soup? I've heard of it."

However, I sell cooking oil, salt, soy sauce, vinegar, cigarettes, and soft drinks here. Sugar water?
Will it sell?
Besides, my shop is small and can't hold too many things.

"Uncle Fu, don't worry!" Li Guoming was prepared and immediately explained, "We're not asking you to stock up on goods!"
It's free product placement!

"Free?" Uncle Fu paused, a hint of wariness flashing in his eyes. "There's no such thing as a free lunch."

"Young men, what are you up to?"

"Uncle Fu, you've misunderstood." Li Guoming quickly waved his hand and said sincerely, "It really is free distribution!"

We'll put the goods here for you to sell first. For every bottle you sell, you'll make a profit!
If you can't sell them, or if you think they're hard to sell, just give us a call anytime, and we'll take them away untouched, without you having to pay a single penny!

We'll take the risks!

As he spoke, he gestured for Ah Qiang to open a case of mango pomelo sago and handed him a chilled bottle, saying, "Uncle Fu, please have a taste first!"

Iced, it's refreshing and thirst-quenching! Whether it tastes good or not, you decide!

Uncle Fu took the bottle with some skepticism, and to his slight surprise, he opened the cap with very little effort.

He brought the bottle closer and took a sniff; a rich mango aroma wafted up.

I took a small sip, and the cool, sweet, and smooth texture with fruit pulp instantly spread throughout my mouth.

"Hmm?" Uncle Fu's eyes lit up slightly. "The taste is really good! It's more flavorful than soda!"

“Right!” Li Guoming pressed on, “Uncle Fu, how about this?”
We'll leave a dozen here with you first, four bottles of each of the three flavors.

It can be placed in this small space next to your checkout counter, it won't take up much room!
The listed price is the same as our suggested retail price.

For every bottle you sell, you earn the price difference!

We'll come back in three days. You'll pay us for whatever bottles we've sold, and the rest will be your profit!

If you can't sell them, or if you no longer want to sell them, just give us a call, and we'll come and take them away immediately, no questions asked!

"You get paid per bottle sold? And you can get a refund if you can't sell them?" Uncle Fu was completely tempted; this was practically a sure-fire way to make money!
His biggest fear in his small shop is having too much inventory and slow cash flow.

Chen's method is like giving him a free opportunity to make money, without having to take any risks!
He thought to himself: Since I don't have to spend any money, I might as well give it a try. What if it sells well?
"Okay! Okay! Let's give it a try!" Uncle Fu finally smiled and pointed to an empty space next to the freezer. "Just put it there! I'll put it there in a bit!"

"Thank you for your support, Uncle Fu!" Li Guoming was overjoyed and immediately signaled to Aqiang and Aping to move the goods, arrange them, and put on price tags.

Ah Ping worked quickly and efficiently, enthusiastically introducing the characteristics and selling points of each flavor to Uncle Fu as she arranged the items.

"Uncle Fu, mango pomelo sago is the girls' favorite, it's fragrant, sweet and has fruit pieces! Coconut milk sago pudding is thirst-quenching and filling, the workers love it! Red bean soup is comforting for the elderly!"

Uncle Fu looked at the newly renovated corner of the shelf and nodded in satisfaction.

Li Guoming took out a register and recorded in detail the types, quantities, locations, and Fu Bo's contact information for the goods being distributed.

"Uncle Fu, please call us anytime if you have any questions. We'll come to visit again in three days."

Wishing you booming business!

After leaving Fu Kee Store, Li Guoming's team rushed to the next store without stopping.

"Ming-ge, Uncle Fu's all sorted out!" A-Qiang said excitedly, pushing the cart. "The next one is Changlong Department Store at the end of the street. The owner seems to have a bit of a temper."

"What's there to be afraid of!" Li Guoming wiped his sweat and said confidently, "Let's stick to the plan! We'll try it first and then talk!"

Remember, our secret weapon is zero risk!
Once he tastes it and understands that this business is a sure-fire way to make money, I'm not afraid he won't agree!

Similar scenes were simultaneously playing out in the North District of Sham Shui Po and the Temple Street area of ​​Yau Ma Tei.

The ten grid teams, like ten elite commando units, precisely targeted their respective convenience stores according to the grids and lists meticulously drawn up by Li Ming.

Free product placement? Payment upon sale? Money-back guarantee if unsold?

"Really? Is there really such a good thing?"

"Chen's Dessert? The one from the Victoria Park Lunar New Year Fair? My grandson queued up there in Victoria Park!"

"It tastes really good! It's so refreshing, much better than drinking soda!"

"Okay! Let's try putting a few bottles in!"

Questioning, hesitation, novelty-seeking, surprise, acceptance—a mix of reactions.

However, thanks to the core selling point of "zero risk" and the excellent quality of the bottled sugar water itself, coupled with the professional and enthusiastic service of the grid team, most convenience store owners chose to give it a try after their initial hesitation.

In just three days, the first three pilot areas and 120 target convenience stores achieved a 95% success rate in distributing the products!

Bottled sugar water bearing the eye-catching "Chen Ji" logo is displayed next to the freezer or on the cashier counter in more than 114 convenience stores!
"Mr. Chen, the initial feedback is very good!" Li Ming excitedly reported to Chen Bingwen, "Many shop owners have reported that people bought things on the first day, especially during the off-get off work and off-school hours!"
The hot-tempered owner on Temple Street called this morning to ask if he could restock his mango pomelo sago dessert, saying he sold out last night!

"Good! Keep up the pace!" Chen Bingwen nodded in satisfaction.

This kind of on-the-ground promotion model was an invincible sales tactic for beverage giants in the past, and now he has applied it to Hong Kong Island ahead of time, with immediate results.

Zero-risk product placement acts like a precisely targeted lure, instantly dismantling the strongest psychological defenses of convenience store owners.

In just three days, 114 convenience stores were taken over, and the red logo of Chan Kee Dessert spread like wildfire, penetrating the most basic and extensive capillaries of Hong Kong Island.

　I can't let the new book wait, thank you all for your support!
　　
　
(End of this chapter)