i dark horse: Sun Jian, such as hotels Readme 'Eight Cheats' Source: i horse ?? Oral / Home Inns CEO Sun Jian ?? finishing / Deng Chao (Entrepreneur magazine reporter) [REVIEW] 'professional career' and Sun Jian, such as home grown about ten years concentrated essence?. China's largest economy hotel chain in support logic behind what? As home in 2002, I entered in 2004, he was not an original entrepreneur, I call myself 'professional business person.' Career managers and the biggest difference is the heart can be put to, can not as business people like to do things your own home business. This is also the managers and entrepreneurs the biggest difference. For eight years, I have this talent around. Although he did not start, but I also have their own understanding of entrepreneurship.
Entrepreneurship must first have faith - that the thing can be made, it must be made to stick to this belief. Another important factor is to have a passion, because faith may not have been confirmed, in this process will not confirm doubts and negative, so that passion is an ability of self-ridicule. Not just business, every organization to do, do great, must also have dreams and beliefs. I did retail before, we know it was a very bitter trade. After ten o'clock at night every day I do not want to enter the store closed, in order replenishment, all "shakugan no shana cosplay " kinds of things are on the ground, a mess. But I think every day, 7:00 tomorrow morning is wonderful, everything is neatly placed, I greet my guests, and can create the next peak sales - this is what you can stick to a very important place . Conviction and passion is important, but there are a prerequisite is to have a normal logic. Although many persistent pursuit of the moment can not be authenticated, but it always has a logic behind the support. I remember Jack Welch (former General Electric CEO) came to China, entrepreneurs asked if he could teach them some can make your company immediately become a world-class enterprise approach? He said, I'm sorry, really not at all . The method is no set number, the management behind the logic, but it is possible ages of the concept fits. Today, I put as home grown this decade concentrated to eight points to share with you. Product First, to the real needs of customers to locate products. Products can be basically divided into two categories: one is not there before; the other is to optimize existing products. Many times we do products actually refers to the latter, such as Ctrip, which is essentially a travel agency, but it is the collection of such entities, this is the optimization of existing products. China now has 300,000 accommodation places, such as home was established in 2002 will have more than 200,000. The industry market capacity is large, but overall not make money.
The real needs of customers in what? Take a look at China's township enterprises, private enterprises, large corporate sector managers less business travelers, their reimbursement criteria is how much it -150 million. 10 years, and we do research: what customers need most is most people still say first health, safety second, third hot water, towels?. To meet the core needs of these things must ensure that those surfaces can forget the things we should not create value cut. But our regular hotel because by the assessment star, the underlying formulation is fixed, have the doorman, to have shampoo hall, this is because China is the reception with the original hotel, rather than on commercial property. So we made a small lobby and no doorman, 100 room 28 employees, and traditional is 108 employees. Competition from similar products are often around the average for the industry from top to bottom, this time if you can come up with some of the things the customer wants, and that for him is good value for money, it is to enhance customer satisfaction higher than others. In this regard, we expect to provide free Internet access, which is our advantage in the first three years, and later due to high demand, last year we started to do a full wireless coverage and bandwidth upgrade 10 trillion, 20 trillion. Mode for the business model, it is actually understanding of society, it is to grasp the whole structure of social resources, social resources that is characteristic of the positioning mode. Home decade between 1800 opened the hotel, we did not build the enclosure floor, but by way of rent, such a model is derived from the grasp of social resources. China's enterprises in the past three decades, there is a very big change is that they have moved outside to the expansion, before the place is vacant. Today, we have the concept of commercial real estate, ten years ago I do not know.
Ten years ago in Shanghai Xujiahui rent one square meter more than one money, and now four or five dollars. It is based on such an opportunity, and I together with our owners rented buildings in China more than 1800, it is based on the use of resources, we can achieve the rapid development of the asset-light model. Accor following a budget hotel, after 2002 to enter the Chinese copy the European model, enclosure, made out of exactly the same standard, but in the six years before doing a 30. Future business is socialized enterprises, cooperative enterprises, must have resource sharing logic. As for what you want to find cooperation cosplay costumes for sale opportunities and breakthroughs, it is a specific thing, but from the idea, thinking it must be open. We do this business leased house is the people, people Why not rent you rent out? I rented 15, 20 years, he need not worry. This cooperation will make your model more competitive. With the product strategy and model, how to further develop a strategy? I think it should be in the industrial development objectives and positioning system. I was born to do retail, (Sequoia Capital) Shen Peng looking over them when I also wonder, but in fact they already know it's not a hotel, but a product, is a large-scale product; even at 20 shop less than when they think it is a product, to find a man to do it 1000. It is subversive, then 28 hotels, each hotel run very well. Now called the chain, then the core chain success is what? I think Wal-Mart, its success is the use of a central supply chain models, suppliers, freight overall negotiation with Headquarters, is an overall distribution of social fragmentation suppliers. I just want people who live in different places to enjoy the same services.
This approach to the industry as the target system must set up, I say you have to have a membership, members can discount, 8.8 fold, 9.2 fold - a intensive way; then there must be a central call center, central reservation centers, today developed into a predetermined network / phone. I had this thing for membership discounts, the following is inconsistent, but we braved the pressure to be on, and why? Let the guests have the habit to think this is a central place where guests feel that we are a group of people. This concept slowly began, and today there are more than 1,300 people above, these people account for 54% of a given room, that is to say 54% of home business is people from the fixed, and this is the core of customers. For management, every morning I opened the phone had 1800 hotel operating results yesterday - this is chain of convenience. Of course, this requires IT support, chains not move an inch. Scale capital operation to locate scale. I mentioned in 2006 we decided to finance the amount. Indeed, the development of enterprises need financial support, specifically with capital operation to locate scale. Specifically, at the end of 2004, when 28 stores such as home, to our bell listed in the United States that day was 82, and from 82 to more than 1,800 today, only it took six years. However, I would like to remind that in the entrepreneurial process, do not simply look at the money, but also to other values and money together created, it can make you in the financing process, not only have the money, you get more business the development of more support and help things.
Sinking now as a development direction of home actually I would like to share fourth point is to urbanization orientation sink. 2006 finish to take the money in the capital markets in the future, it will certainly be decided on the amount; not on the amount of money used, the money used there is no use, there is no development. At that time we had glimpses of Shanghai, Beijing where rent expensive series of problems, and so want to line may be in one direction, but not the point. When the reform and opening up 30 years have created a lot of achievements, but China must be more to really strong urbanization, to 700 million farmers into 200 million, the other 500 million to become public. How to do it? I have followed the development of the future to go down. Now people talk about 'sink strategy', but in 2007, when many people are still worried. Sometimes I think business has its replicability. With the development of the town, later with the momentum of China's economic development effort by the southeast coast, to the overall development of the Midwest, it is not it also have the opportunity before? So should as soon as possible as quickly as possible in this process to capture them value of the property, to a certain extent this is our direction. Make business decisions not fully protect you given money, good benefits is a kind of anticipated judgment and execution come together to form your final decision. We are a hotel industry, in fact, is a real estate industry, 15, 20 years of rent increases very fast, but we have it locked. Housing prices in Shanghai is 199 yuan before, in 2005, 2006, when the 230 yuan, 300 yuan today - Rates must be going up, but we signed the rent is 15, 20 years, so you can earn which has been difference.
Franchise chain mentioned, one might first think to join, but you want to do core chain, behind the brand, so our approach is to promote the brand and win-win positioning franchisee. We have 52% of the stores are franchise, we all know to do the franchise in this society is very difficult - not the same as another point of view, was not the same standards. To get someone to join and do the brand, in order to get the brand out to earn money, but we believe that priority brand is the future trend of development. Today, many high-end hotels to sell mattresses, bedspreads, Why? Because it's brand image has been more than just a hotel, it has its own brand extension. There are many boutique hotels, theme hotels, some brands are also doing, it is easy to focus on our customers. Why engage in joining difficult? Because do brands need responsibility. We just set up their own internal system for three years, then began to do the franchise. We want to do is how to provide better protection from his point of view, the other side there is the return on investment - one of the largest franchise owners that they have opened a 15, flowing billion the previous year. With more and more share of royalties, it is the last part of our brand, which is my passenger, my team, my standards. In the world are like this, the world's top five hotel management companies are hundreds of billions, it is actually the OEM, but behind its professional support. Multiple pay more attention to the future development of our diversified, which requires the sharing of resources together.
My dream is to become a global Accor, today I like home, motel, and Yi, the future may be more brand. I am now in the recruitment of one or two experts, is to deeply understand what consumers want, but at the same time need to be a businessman, to build the entire value chain. Home now has 70,000 employees, covering more than 260 cities in China, so I can reposition this company is China's largest floor property services, leisure and tourism, pension tourism, property management actually can provide. Hainan Recently, I run faster than many now housing prices there to die, you can work with me, I have a guest can call them on vacation, I'll give you info provided that the owners bought the house, I cleaned, rent, rent out our equally. We have 18 hotels in Sanya, Hainan Island add up to more than 30, then the rest of the excellent staff, I can give them vacation reward: to Sanya to rest for three days, this is the resource advantages. When you build a good future, there are a lot of imagination. We also have a desire to do a Chinese service industry skills school, formerly known as school-enterprise cooperation, we call school level one - the class is, as home courses, freshman to my internship here, sophomore into our future managers training, eliminating the need for run-in phase with the community in the future, we can enter our future cadre training system into the university after. Human resources coming in the service sector which is cause for great concern. Have a wide range of thinking. You can have a lot of imagination coming future, but one thing is a consistent, and this is the value of cultural enterprises. The nature of the capital market is a commitment and cash problems, integrity is very important, this is your accumulation. Brand is the accumulation of credit is accumulated. So that we can really aggregated together, standing on a platform to fight together for one direction only values and beliefs. Therefore, to become a successful business, the basic point is that there must be values, have culture, but is strong. Corporate culture is actually a cliche, the question is how the propaganda into action. We talk about respect for employees, down is to ensure the implementation of his quarters clean, their weekly menus must be released.
These are his basic living conditions, this is your advocate, advocate we should do, he will do after he think this is certainly worth, he will be sure your values. Live Q: dark horse campers: I do restaurant chain, now we have five stores. We now turn sets the rate (a flat usage) high, but the feel of the store is difficult to manage, let alone to manage franchisees and franchising. What I want to hear your suggestions on our food chain? Sun Jian: Food is very difficult. Chain has two characteristics: first, mass consumption, the consumption of a lot; the second is sure to core as simple as possible. You look at Wal-Mart also sell jeans, underwear, they can basically, standardization, but rarely sell fashion - how standardized fashion? If catering talk about standardization, can engage in the central kitchen, but in fact I do not recommend the central kitchen lunch will cause big problems later on to do, because a lot of people may not eat. Do you still turn Taiwan more proof positioning and dishes also. So the only thing to do is to standardize only standardized service standards, processes, increase efficiency and improve the customer experience in this environment among degree. Dark horse campers: You just mentioned the concept of leisure, we are doing the dam tourism resources, we found death note for sale that many more people need to experience the wild. Grasp how such a situation? Sun Jian: your dreams start with a small point.
One is the concept of tourism, a concept stay. First, you can be the concept of a European youth hostel, not about how to live, but how about talking about sharing, because it is a backpacker, what can not, but must have a chat area. You have to do is to do the basic work of the service, it is just that - based hotel stay. You do not like us, you can actually draw some standardization of our stuff, but you can use more locally appropriate, a strategy more suited to the layout of the dam this culture. There you can change, but the point is that you have to grab the place safe and clean, the key issue is to give him an activity, you can go to share the place.