Summary of Key Points
Wenheyou’s super store in Shenzhen, which covered an area of 20,000 square meters, quietly closed down in January 2025, and its closure was only discovered by the public when the sign was removed in July 2026. Together with the previous closure of its Guangzhou branch, Wenheyou’s two attempts to expand outside of Changsha have both failed, leaving only its main store in Changsha—although it no longer enjoys its former glory. The company’s dream of opening 20 stores in 20 high-tier cities within five years has completely crumbled. This article analyzes the core reasons for its failure: cultural misalignment, mismatch with target customer groups, and over-reliance on external traffic. It also points out common issues faced by similar immersive retro-themed complexes and proposes a more streamlined approach that focuses on local authenticity.
Why Didn’t Guangzhou and Shenzhen Accept Wenheyou? Three Major Mistakes
1. Cultural Misalignment: The Nostalgia of Changsha Didn’t Resonate with Residents of Guangzhou and Shenzhen
Wenheyou’s success in Changsha relied on the “memory of old Changsha”—collecting tens of thousands of vintage items and recreating the streets and alleys of the 1980s, which resonated with locals’ nostalgia and attracted tourists. However, in Guangzhou and Shenzhen, the company tried to incorporate local cultures (such as morning tea in Guangzhou and fishing village themes in Shenzhen) while still serving Hunan cuisine. The result was a mix that failed to appeal to either group of customers. The Shenzhen store was criticized for lacking a distinct local flavor, and the Guangzhou store’s combination of Hunan and local dishes didn’t win over locals.
2. Mismatch with Customer Groups: Treating Cultural Tourism Projects as Ordinary Restaurants
In Changsha, 80% of Wenheyou’s customers were tourists who came for the experience; in Guangzhou and Shenzhen, however, locals prioritize cost-effectiveness and taste when dining out. When the Shenzhen store opened, there were long queues of 60,000 people, but most just took photos and left without making repeat purchases. Even later attempts at changing themes (such as oysters, barbecue, or mystery games) failed to attract locals. After all, who would regularly visit a “retro” venue for regular meals?
3. Over-reliance on External Traffic: Insufficient Self-sustainability
The initial success of the Shenzhen store was due to the popularity of the nearby Tea Yan Yue Se pop-up shop (whose prices were inflated by scalpers). Once that shop closed, customer traffic dropped significantly. Later attempts to attract customers through partnerships with local brands like Ben Luo Bu Hunan Cuisine also failed; the brand itself later shut down, indicating that Wenheyou lacked its own sustainable customer base.
Why Did Changsha Succeed? By Combining Cultural Tourism with Local Authenticity
Wenheyou’s success in Changsha was a result of several factors:
- Deep Engagement with Local Culture: The company spent years collecting vintage items and creating authentic local experiences (such as the Old Changsha Fried Snack Bar and Lobster Restaurant), which resonated with locals. This created a strong emotional connection.
- Timing: Changsha’s Rise as a Tourist Destination: In recent years, Changsha has become a popular tourist destination, attracting millions of visitors each year. Wenheyou became a must-visit spot, supporting its business through customer traffic.
- Scale Effect: The 20,000-square-meter super store itself was an attraction, and partnerships with local internet-famous brands like Tea Yan Yue Se created a self-sustaining tourist loop.
Why Do Immersive Retro Projects Often Fail? Common Issues
Problems faced by similar projects, including Wenheyou’s, are widespread:
1. Fatigue from Repetitive Themes: The use of the same tired elements (old brick walls, neon signs, vintage理发 shops) in different cities leads to consumer boredom.
2. High Fixed Costs: The high costs associated with large-scale stores (rental, decoration, operations) make it difficult to adapt to declining traffic, especially if the business model doesn’t change.
3. Lack of Authenticity: These projects often fail to capture the unique cultural essence of the cities they represent; they merely mimic superficial aspects without delving into their deeper cultural heritage.
The Way Forward: Streamlining and Focusing on Localism
Wenheyou is already making adjustments:
- Streamlined Approach: The company has rebranded as “Wenhe Li Dashi Chang” (a smaller, more flexible food venue), reducing its footprint from 20,000 square meters to 1,000 square meters and focusing on managing food markets in shopping malls, which is less costly and more suitable for daily consumption.
- Returning to Changsha’s Strengths: The company is focusing on telling the story of Changsha’s culture more effectively, collaborating with local brands and creating more authentic Hunan cuisine offerings.
In conclusion, nostalgia is a valid theme, but turning it into a standardized product isn’t enough. Only projects that are deeply rooted in their local context, offer high-quality products, and are appropriately scaled can thrive. After all, a city’s culture is built over time and through genuine effort, not by rushed renovations.
Final Thought
Wenheyou’s dream has ended, but it’s not because nostalgia alone isn’t effective; rather, it’s because a one-size-fits-all expansion strategy doesn’t work. Telling the story of Changsha authentically is far more valuable than opening hundreds of identical stores.