American Ranch

Chapter 194 I Can’t Eat Steak For Several Years
"Tesco Supermarket took the initiative to contact us, wanting to be the exclusive agent of our ranch's products, and the agency fee given was 1310 million US dollars for two years."

Chen Mo looked at Brett, got up and opened the refrigerator in the living room, took out a bottle of mineral water, and handed it to Brett with both hands... Damn, I'm about to kneel.

Merchants have always contacted supermarkets on their own initiative and paid shelf fees.When have you ever seen a supermarket take the initiative to contact a merchant and ask for an agency fee...

Bright is capable, Chen Mo has always admitted.It's just that he is a bit like James Cameron, capable, paranoid, and a perfectionist... He can make money and spend it even more.

No matter how much money he has, this guy can figure out how to spend it.

"When did it happen?" Chen Mo asked.

"At the beginning of the month. The other party has been here several times, and we have been talking..."

"Exclusive agency, impossible. We have a contract with Ellison Logistics."

Seeing that Chen Mo's expression softened a lot, Brett quickly took the mineral water and said cautiously: "I know this, it's just the exclusive agency right of the supermarket, including fruit, beef, mutton..."

The agency fee belongs to the cost incurred after signing the loan agreement, that is, the cost of obtaining the franchise.

The products of River Valley Ranch are sold to the other party, and the other party has exclusive rights, including pricing power.

River Valley Ranch is responsible for products, product quality.The other party is responsible for sales...

River Valley Ranch is already well-known in the San Francisco Bay Area and Metropolitan Los Angeles through the operation of Albertsons Stores.For fresh goat milk from the River Valley Ranch, the wholesale price of the ranch is 70 US dollars per barrel, and the price in the supermarket is 137.5 US dollars.

Now it is saturated production, more than 1.5 pounds per day...

Fresh milk has a shelf life of more than ten days, but it can only be sold in the supermarket for 5 days. This is the stipulation in the contract with the Albertson store... If it is not sold out, it will be returned to the ranch. The fresh milk returned to the ranch every day Hundreds of barrels.

The fresh milk is still within the shelf life, and if the Albertson store is willing to hold a special sale, it will be easily sold out.But in order to maintain product prices, and their own profits, special promotions are out of the question.This is the famous 'pour the milk'...

The fresh milk is returned to the ranch, and it is impossible to sell it again, so I drink it myself and use it to feed cows and sheep.

Tesco Supermarket, similar to Albertsons Store in terms of positioning, is a supermarket that focuses on high-quality life, and the two supermarkets are in competition.But in terms of customer engagement, the Albertsons store has a higher customer engagement...

"The purchase price given by Tesco Supermarket is 110% of the current purchase price of Albertson's store. Moreover, the demand for fresh goat milk is 3000 barrels per day and will not be returned. The demand for fresh milk is 1000 barrels per day, which is also not Will return. But the demand for mutton, not too much."

The final pricing of commodities is not only related to the profitability of their supermarkets, but also has a great impact on the ranch.

Ultimately overpricing and underpricing, neither.

After sitting at home for a while, the two went to the office, and Bright took out the preliminary contract drawn up by Tesco Supermarket.

"Cooperate with Tesco supermarket, what about the liquidated damages for Albertson's store?"

"Paid for by Tesco."

Chen Mo rubbed his chin, it is very difficult to have both sides in the business field.

Tesco is a British company, a grocer, and their main business is in Europe... At the same time, they are also an e-commerce store. Although the physical store is a high-quality store, it also pays attention to small profits but quick turnover.The business in the United States is not too big...

The benefits of cooperating with Tesco Supermarket are also obvious. They have fixed purchases, and how much you have is what they want.The signed contract is for two years...and there is a franchise fee.

But the cooperation between River Valley Ranch and Albertson Store is quite happy, and they promote the products of River Valley Ranch almost every week.

Albertsons' merchandise displays are themed, and it also offers recipe cards and seasonal merchandise displays.

In the flagship stores in the San Francisco Bay Area and Los Angeles, the products of River Valley Ranch are placed in a very eye-catching position in almost every exhibition.

"This...is too favorable. According to this contract, two years...that is, a contract worth nearly 2 million US dollars." Tesco Supermarket is also a giant, but Chen Mo doubts whether it can accept this contract.After all, their business is mainly in Europe, and the main product of River Valley Ranch is fresh milk, and the shelf life is only ten days.

Chen Mo seldom participates in the management and sales of Hegu Ranch, and always feels that there is something tricky about it.

Chen Mo checked the contract carefully and found a note that part of the fresh milk required by Tesco Supermarket is organic milk certified by the US Department of Agriculture...

Every year, at least 60 barrels of organic fresh milk need to be provided to Tesco supermarkets.

Liquidated damages are also as high as 1 million US dollars.

The signing fee is US$1310 million, and the liquidated damages are as high as US$1 million, which is understandable.

"We are just a ranch, a producer, and we are responsible for the products and quality. As for how to sell, that is the business of the agent. The Albertson store only sells our products in the San Francisco Bay Area and the Los Angeles area, and has no intention of further expanding sales channels …I don’t think it’s too much to switch agencies.”

"It's a big deal to change the agent. Besides, the contract we signed with the Albertson store is only for one year. Besides, how to sell is not just a matter of the agent..." Chen Mo rubbed his chin: "The Albertson store is in the process of product promotion. The above is very good, it is directly high-end and high-grade. But if it is handed over to Tesco Supermarket, can it do a good job in the product status of our ranch?"

Brett opened his mouth...

After a long while, he said, "With TBL, people all over the world now know that our ranch is a high-end and high-end ranch, and there is no need for Albertsons store to promote it."

The output of Brett cattle, Tomahawk steak has been sold for $400 per pound, and the supply is in short supply.

River Valley Ranch. Bright beef Tomahawk steak has been featured in gourmet magazines many times...

Wagyu Tomahawk Steak, French Laundry, Dawgson Restaurant, Long Island Park Restaurant in New York and other Michelin restaurants are all available. There are no special requirements for diners. This is a delicacy that can be eaten with money. As much as more than 200 US dollars.

River Valley Ranch. Bright Beef Tomahawk Steak, this is not only the name of the product, but also the name of a dish in the restaurants that sell it. So far, there are only three restaurants that sell it, the French Laundry in Napa Valley, Tangxia Yipin in Los Angeles, Flo Dawgson's Restaurant in Rida...

The production of Bright cattle is limited, and the current production cannot fully supply any restaurant.Like the Dougson restaurant, ordinary customers who want to eat this dish have to make an appointment in advance, pay a deposit, and wait in line.Even the black card customers and gold card customers of the TBL alliance have to wait in line.Some people even applied for the TBL black card and gold card in order to taste the Tomahawk Steak of Bright Beef again...

"River Valley Ranch. The Brett Beef Tomahawk steak has been featured in the World Gourmet Magazine, and the Michelin magazine called it 'a delicacy that should be tasted at least once in a lifetime'. In the Dodgson restaurant, a complete Brett Beef battle uniform steak, The current price is 3500 US dollars, hurry up. For the diners who paid the deposit to make an appointment, Dodgson said that there are already more than 600 people in line. And TBL black card and gold card customers enjoy priority...these more than 600 are customers, In terms of Black Card and Gold Card customers’ love for Bright Beef, and the output of Bright Beef... It is unlikely that ordinary customers will be able to taste Bright Beef Tomahawk steak in a few years.”

If it is not TBL's black card and gold card customers, how many years will ordinary customers who make normal appointments have to wait in line?

This Nima, it is said that I have not been able to eat steak for several years...

(End of this chapter)