Summary of Key Points
Zhen Ding Ji, once a popular local fast-food brand in Shanghai (referred to as the "local KFC"), was so famous in the 1990s that customers would queue for an hour just to buy a chicken. However, it has recently closed its doors one after another, triggering a wave of nostalgia among older Shanghainese people. The decline of this brand is the result of a combination of factors such as changes in the market environment, lack of product innovation, and shifts in consumer habits.
Detailed Analysis
1. Market Competition: From Unique Offerings to Overwhelming Choices
In the 1990s, Shanghai had far fewer fast-food options than it does today. Zhen Ding Ji's combination of braised chicken with rice porridge and chicken soup noodles met the local taste preferences for freshness, tenderness, and mildness, and it offered a standardized fast-food experience that was both quick and affordable, leaving it with almost no direct competitors. But now? There are international fast-food chains like KFC and McDonald's constantly introducing new dishes; Chinese fast-food brands such as Lao Xiang Ji and Lao Niang Jiu are competing for market share; plus, there are numerous internet-famous restaurants (specializing in spicy chicken or Sichuan-style chicken) and "niche foods" available on delivery platforms. Zhen Ding Ji's unique advantages have long since disappeared, leaving customers with too many choices and making it less of a must-visit option.
2. Products: Stagnant for Decades, Losing New Customers
Zhen Ding Ji's menu has remained almost unchanged for decades, featuring mainly braised chicken, rice porridge, and chicken soup noodles, with only a few additional dishes like chicken liver or gizzards. While old customers may fondly remember these dishes, younger consumers seek something new—trends like Thai lemon chicken or healthy light meals (low-calorie chicken breast options), as well as combinations with milk tea or snacks, which Zhen Ding Ji does not offer. The lack of innovation prevents new customers from joining in, and existing customers gradually drift away (for example, as they age or become more health-conscious and prefer less greasy foods).
3. Consumer Habits: From Queuing to Avoiding Going Out
In the 1990s, people were willing to queue for an hour for Zhen Ding Ji because it was rare and dining out was a common activity. Today, however, consumers prefer other options:
- Delivery is preferred: Many people avoid going out and opt for delivery. However, Zhen Ding Ji's delivery service may not be as impressive (for instance, the braised chicken might cool down by the time it arrives, or the packaging might not be ideal), and its delivery range may be limited compared to dedicated delivery brands like "Jiao Na Ge Ji".
- Changing dining preferences: Family meals at Zhen Ding Ji used to be a small luxury; now, younger people prefer restaurants with good atmospheres and Instagram-worthy decor. Most of Zhen Ding Ji's stores have a traditional look and lack the appeal that attracts younger customers.
- Health consciousness: People are more concerned about eating less oil and salt. Although braised chicken is mild, it contains a certain amount of fat, which some consider unhealthy, leading them to seek lighter options.
4. Cost-Performance: Prices Have Rose, but Value Has Not
Zhen Ding Ji's prices have increased over the years, with a braised chicken costing hundreds of yuan instead of just a few dozen. Consumers expect value for their money. For the same amount, they can buy a Lao Xiang Ji meal with meat, vegetables, and soup or a McDonald's burger, while Zhen Ding Ji only offers a small portion of chicken with rice porridge, which is less cost-effective.
5. Brand Marketing: Failing to Keep Up with the Digital Age
Zhen Ding Ji has hardly engaged in online marketing; you rarely see promotional videos about it on platforms like TikTok or REDnote, and it doesn't collaborate with internet influencers for live sales. Brands like "Mixue Bingcheng" have become nationally famous through viral songs, while "Chayan Yuese" attracts young customers through social media. Zhen Ding Ji relies solely on word-of-mouth from its old customers, which is insufficient in today's digital age. Young people may not even be aware that Zhen Ding Ji is still in business, let alone try it.
Conclusion
The decline of Zhen Ding Ji is essentially due to a failure to adapt to the changing times. The market and consumer habits have evolved, but the brand's products, marketing strategies, and operations have remained static. Although it holds significant memories for many Shanghainese people, memories alone are not enough to sustain a business. Many old brands have successfully reinvented themselves through innovation (for example, Dabai Tu milk candy becoming popular with milk tea). Hopefully, if Zhen Ding Ji wants to make a comeback, it can seize the opportunity to do the same.