Summary of the Key Points
Night markets today are no longer just places for “low-cost vending and cheap snacks.” Consumers feel that the prices at street stalls are comparable to those in shopping malls (with an 87% increase in 5 years), yet vendors complain about not making enough money—most of the earnings are eaten up by rent, operating costs, and hidden expenses. The once-beloved “low-cost entrepreneurship myth” is fading away, and vending has become a business with high investment, high risk, and low returns.
1. Consumers’ View of Night Markets: From “Filling the Stomach” to “Unaffordable Snacks”
When visiting night markets nowadays, three major changes are noticeable:
1. A variety of foods like a “snack联合国” (a gathering of different types of snacks): In the past, there were only fried noodles and grilled cold noodles; now, you can find Northeastern pot-braised pork, Thai chicken feet, Indian falafel, and more on the same street—without even having to go to a restaurant to try local dishes.
2. Vending vehicles have evolved dramatically: From tricycles to vans and even semi-trailers (like the “semi-trailer barbecue” in Yangzhou). While these modified vehicles are eye-catching, many are illegal.
3. Prices have become prohibitive: A vegetarian spicy hot pot costs 106 yuan, and lemon tea costs 15 yuan, which is more expensive than products from brands like HiChai. The average transaction value has increased by 87% in 5 years, far outpacing income growth. Netizens joke, “If you couldn’t afford street food before, now you can’t afford it at all.”
2. The Truth Behind Vendors’ Complaints about Losses: Rent is the Biggest Burden
Many people think that vending doesn’t require paying rent, but in fact, the rent in formal night markets is comparable to that in physical stores:
- The management fee for the Xiaziao Night Market in Guangzhou ranges from 2,300 to 3,500 yuan per month, while stalls in university areas cost 5,000 to 6,000 yuan per month.
- At the Taihao Ling Temple Fair in Henan, a 9-square-meter prime stall was sold for 270,000 yuan in 30 days (equivalent to 9,000 yuan per day).
- Some night markets require the purchase of standardized food trucks and exhaust equipment, plus additional fees for sanitation and garbage disposal, leaving vendors with hundreds of yuan in debt every day. Vendors say, “Apart from the decoration costs, it’s no different from opening a regular store.”
3. Hidden Costs That Crush Vendors: Rising Food Prices, High Losses, and Unpredictable Weather
In addition to rent, there are other invisible expenses:
1. Rising food prices: This year, eggs are 1.5 yuan more expensive per pound than last year, with some areas reaching nearly 6 yuan per pound.
2. High food loss rates: In hot weather, the loss rate of fresh ingredients can be as high as 30% (3 pounds of vegetables go bad out of 10 pounds).
3. Weather disasters: A sudden storm can wipe out days’ worth of profits. For example, Awen only operated her stall for 19 days in June, and her income barely covered her costs.
4. Exhausting work: Young vendors like Lin, born in the 2000s, work 16 hours a day (from 3:30 PM to 12:00 AM), finding it difficult to even introduce new products.
4. Fierce Competition: Newcomers Can’t Survive More Than 4 Months, and Revenue Doesn’t Increase
There are more and more night market stalls, leading to intense competition:
- Entire streets are filled with vendors of the same type (for example, spicy mix stalls in Xiaziao Night Market).
- The survival rate for newcomers is low; over 60% of vendors earn only 300 to 500 yuan per day, with an average business cycle of less than 4 months.
- Customer traffic is unstable: There are fewer customers during school holidays and weekdays. For instance, Awen had to “take a break” during the summer, while Lin’s weekend earnings were twice her daily average, but she barely broke even from Monday to Friday.
5. The Myth of Low-Cost Entrepreneurship Has Crumbled: It’s All in the Past
In the past, vending meant “pushing a cart and making money”; now it’s about “high investment and gambling on luck”:
- You need to pay high rent, buy equipment, and deal with high losses.
- Even with rising prices, consumers are less willing to spend, and competition is fierce, making it hard to increase revenue.
- Even those who can endure long hours of work (like Awen and Lin) often find themselves stuck in a dilemma, unable to find a way forward.
In short, today’s night markets are no longer easy places for ordinary people to make a quick profit.