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Haidilao: Taking Chinese Hotpot to the Next Level

Twenty-three years after opening its first restaurant, China’s Haidilao hot pot chain is hotter than ever before. With its special business model and service creativity, people happily wait in line for two hours before getting served. At Haidilao, even the lonely eaters never eat alone – they get a teddy bear to dine with them.

Manya Koetse

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Twenty-three years after opening its first restaurant, China’s Haidilao hot pot chain is hotter than ever. With its special business model and service creativity, people happily wait in line for two hours to get a table. At Haidilao, even the lonely eaters never eat alone – they get a teddy bear to dine with them.

It has been over two decades since Zhang Yong, the owner of Haidilao (海底捞), set up his first hot pot restaurant in Jianyang, Sichuan, with a mere investment of 10,000 yuan (±1470$). Now, 23 years later, it has become the dominant hot pot chain in the country. The restaurant is popular across China, where it has an annual turnover of approximately 450 million dollars.

In Beijing alone, the chain has 36 locations. From Shanghai to Shenzhen, Haidilao has 176 outlets in 53 Chinese cities. The chain allegedly opens 20 new restaurants every year. By now, Haidilao has over 15,000 people working for them and has also gone international, with more restaurants opening up in Singapore, the USA, and Seoul.

How did a restaurant serving such a traditional and ubiquitous Chinese dish become such a success? Hot pot restaurants, where fresh meat and vegetables are dipped in simmering broth, are extremely common across China. But Zhang Yong chose to market Haidilao and its authentic Sichuan hot pot with an innovative strategy: high-service, high-tech, and high-quality.

High-Service Hot Pot: “Brainwashing” Staff

Except for the tasty hotpot, anyone who has ever visited Haidilao will surely remember one thing: here, you can get a free manicure while you wait. The restaurant has become so popular that waiting in line for one or two hours to get a table is no exception. But with an entertainment area that provides customers with board games, free snacks, drinks, manicures, massages, and even shoe polish services, queuing has become part of the Haidilao experience.

The ‘entertainment area’ is just of the many ways in which Haidilao accommodates to its customers’ desires. There is ample staff for every table. Customers with longer hair get free hairbands to tie their hair back while eating. Customers with glasses are provided with eyeglass cleaning tissue. There are special aprons to avoid stained clothing, and even handbags get their own protection. At the Haidilao toilets, staff will hand out hand towels and provide customers with any toiletry items they may need.

Anyone working at Haidilao is thoroughly trained. On question-and-answer platform Zhihu.com, former Haidilao servers shared their experiences of working at the restaurant. They explain that all Haidilao workers have to follow a compulsory training after they are accepted to come work at the restaurant.

The training is provided by people who have worked at the chain for at least 3 to 5 years, who teach new workers about corporate culture and Haidilao food. The staff learns how to welcome guests, how to make small talk to set a good atmosphere, and learn about the restaurant rules (always smile, never quarrel with customers, etc).

According to some former workers, working at Haidilao is a bittersweet experience. Since the staff works, lives, and eats together, their whole lives basically revolve around their work, except for the 4 days off they have per month.

Although there are some who applaud the company for setting the work ethic and for its relatively luxurious common dorms and good canteen, there are also those who say that Haidilao “brainwashes” its staff by creating its own community with “ridiculous rules” (staff cannot use customer’s toilets, all workers have to turn in their mobile phones before their shifts, working very long hours, etc).

Haidilao’s staff management and training have become a popular topic for marketers and scholars in China. Over recent years, many Chinese academic books and articles have been published that focus on Haidilao’s business model innovation, its service creativity, and customer satisfaction.

High-Tech Hot Pot: Ordering through iPad

Although Haidilao is not as digital as ‘newcomer’ Wodi Huoguo, it does fully incorporate China’s digital developments into its restaurants.

All tables are equipped with a charge station for mobile phones (iPhone, Android), and a personal tablet for customers to go through the menu to order the hot pot and all ingredients and drinks. Items ordered through the tablet arrive at the table within minutes. The restaurant also provides free Wi-fi in all areas. Needless to say, they accept WeChat and Alipay as payment methods.

Haidilao also provides online reservation and ordering services. Customers can order the Haidilao hotpot to their home – they’ll even bring the pot itself. Afterward, they will come to pick up the dirty dishes.

The Haidilao Wechat app has several features. One especially fun one is its online gaming area, where gamers can compete and win discounts on their next hot pot bill.

High-Quality Hot Pot: Outstanding

No matter how good the service is, eventually it all comes down to taste and quality in order to make customers come back. The Haidilao chain has strict rules on quality control, and carefully selects its suppliers. This is something that is especially important to Chinese customers, since China has seen ample food scandals over the last decade.

Haidilao offers new variations on standard hot pot recipes, adding new recipes and dishes every year.

Haidilao also offers a condiment bar with over 20 dipping sauces, from sesame dip to spicy oil, as well as side dishes such as cucumbers, peanuts, and fresh fruit.

The restaurant consistently gets good reviews, also from the expat community. In the restaurant awards by magazines such as Time Out and Beijinger, Haidilao has often won prices throughout the year, including those for “Best Hot Pot,” “Outstanding Service,” or “Outstanding Chinese Restaurant of the Year.”

You Never Eat Alone

On Weibo, Haidilao is also praised by many netizens, although some say that “the service is so good that it actually becomes embarrassing.” (“I just needed a band-aid but the servant personally came and helped me put it on.”)

Recently, netizens find Haidilao’s latest service addition especially funny; whoever eats alone at Haidilao is now provided with a teddy bear to accompany them at the table. “I am happy with this new friend Haidilao picked out for me,” one netizen posted.

Many netizens post pictures of their Teddy friend on Weibo.

There are also those who post pictures of guests at other tables, saying: “So it really is true that people at Haidilao dine with teddy bears!”

One Haidilao story especially attracted attention when this WeChat conversation surfaced online. “I went to eat at Haidilao by myself (..) and I asked the waiter if it was true that I would get a teddybear to eat together with me. They said their restaurant didn’t have teddies and I said never mind. After a while they came up with this one [picture of a cat], and they asked me: ‘Is a cat ok too?‘”

For more about dining at Haidilao, check out our recent video blog here:

By Manya Koetse

Notice: What’s on Weibo is an independent blog and is in no way affiliated with Haidilao.

©2017 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com.

Manya Koetse is the editor-in-chief of www.whatsonweibo.com. She is a writer and consultant (Sinologist, MPhil) on social trends in China, with a focus on social media and digital developments, popular culture, and gender issues. Contact at manya@whatsonweibo.com, or follow on Twitter.

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China Arts & Entertainment

Two Hour Time Limit for KTV: China’s Latest Covid-19 Measures Draw Online Criticism

China’s latest COVID-19 infection prevention and control measures are drawing criticism from social media users.

Manya Koetse

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No more never-ending nights filled with singing and drinking at the karaoke bar for now, as new pandemic containment measures put a time limit as to how long people can stay inside entertainment locations and wangba (internet cafes).

On June 22nd, China’s Ministry of Culture and Tourism (文旅部) issued an adjusted version to earlier published guidelines on Covid-19-related prevention and control measures for theaters, internet cafes, and other indoor entertainment venues.

Some of the added regulations have become big news on Chinese social media today.

According to the latest guidelines, it will not be allowed for Chinese consumers to stay at various entertainment locations and wangba for more than two hours.

Singing and dancing entertainment venues, such as KTV bars, can only operate at no greater than 50% maximum occupancy. This also means that private karaoke rooms will be much emptier, as they will also only be able to operate at 50% capacity.

On Weibo, the news drew wide attention today, with the hashtag “KTV, Internet Cafe Time Limit of Two Hours” (#KTV网吧消费时间不得超2小时#) receiving over 220 million views at the time of writing. One news post reporting on the latest measures published on the People’s Daily Weibo account received over 7000 comments and 108,000 likes.

One popular comment, receiving over 9000 likes, criticized the current anti-coronavirus measures for entertainment locations, suggesting that dining venues – that have reopened across the country – actually pose a much greater risk than karaoke rooms due to the groups of people gathering in one space without a mask and the “saliva [drops] flying around.”

The comment, that was posted by popular comic blogger Xuexi, further argues that cinemas – that have suffered greatly from nationwide closures – are much safer, as people could wear masks inside and the maximum amount of seats could be minimized by 50%. Karaoke rooms are even safer, Xuexi writes, as the private rooms are only shared by friends or colleagues – people who don’t wear face masks around each other anyway.

Many people agree with the criticism, arguing that the latest guidelines do not make sense at all and that two hours is not nearly enough for singing songs at the karaoke bar or for playing online games at the internet cafe. Some wonder why (regular) bars are not closed instead, or why there is no two-hour time limit for their work at the office.

Most comments are about China’s cinemas, with Weibo users wondering why a karaoke bar, where people open their mouths to sing and talk, would be allowed to open, while the cinemas, where people sit quietly and watch the screen, remain closed.

Others also suggest that a two-hour limit would actually increase the number of individuals visiting one place in one night, saying that this would only increase the risks of spreading the virus.

“Where’s the scientific evidence?”, some wonder: “What’s the difference between staying there for two hours or one day?”

“As a wangba owner, this really fills me with sorrow,” one commenter writes: “Nobody cares about the financial losses we suffered over the past six months. Our landlord can’t reduce our rent. During the epidemic we fully conformed to the disease prevention measures, we haven’t opened our doors at all, and now there’s this policy. We don’t know what to do anymore.”

Among the more serious worries and fears, there are also some who are concerned about more trivial things: “There’s just no way we can eat all our food at the KTV place within a two-hour time frame!”

By Manya Koetse

*” 餐饮其实才更严重,一群人聚在一起,而且不戴口罩,唾沫横飞的。开了空调一样也是密闭空间。电影院完全可以要求必须戴口罩,而且座位可以只出售一半。KTV其实更安全,都是同事朋友的,本身在一起都不戴口罩了,在包间也无所谓。最危险的餐饮反而都不在意了”

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©2020 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com.

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China Food & Drinks

Post-Covid19 Outbreak Reopening: Haidilao Hotpot Dinners Just Got Pricier

“My wages have gone down, Haidilao’s prices have gone up,” – netizens criticize Haidilao’s price surge after its reopening.

Manya Koetse

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China’s number one hotpot chain has quietly raised its prices after its post-coronacrisis reopening, much to the dissatisfaction of hotpot-loving netizens: “While my wages have gone down, Haidilao’s rates have gone up.”

Huddling around the simmering hotpot was perhaps one of the last things on people’s minds during the coronavirus outbreak, but now that malls and restaurants are gradually getting back to business in China, the hotpot has been put back on the table – although not exactly the same as before.

Since closing its doors in late January, Haidilao, China’s most popular hotpot chain, is one of the restaurants reopening after the coronavirus outbreak. By mid March, it had reopened 85 locations in 15 cities across China, Caixin Global reports. Earlier this week, the chain also opened its doors again in Beijing.

Different from the pre-COVID-19 days, Haidilao restaurants now have fewer seats and there is an increased distance between dining tables.

Each table now can have no more than three guests and all tables have a distance of minimally one meter in between them. Customers also need to use hand sanitizer and have their body temperature checked before entering the restaurant.

Due to the restaurant’s limited tables and increased labor costs, its menu prices have gone up. Haidilao’s quiet price increase became a trending topic on Weibo this week under the hashtag “Haidilao’s Prices Rise Approximately 6% After Reopening” (#海底捞复工后涨价约6%#). One news post about the topic received around 224,000 likes and over 12,000 comments.

“It wasn’t cheap [to eat here] to begin with,” some commenters complain: “Now it’s even more expensive.” The restaurant’s exact price surge differs per region.

Haidilao, which opened its first restaurant over 25 years ago, is the dominant hotpot chain in mainland China. By late 2019, the chain had 768 locations in China.

The restaurant is known for its Sichuan hotpot with an innovative strategy: high-service, high-tech, and high-quality. The restaurant is so popular that customers often wait in line for one or two hours in order to get a table.

Despite people’s general appreciation of Haidilao, most netizens argue that the chain’s price surge is a bad move, mentioning that due to the coronavirus crisis, “many people have lost their jobs,” and that it is unfortunate that “food prices are rising, while we don’t get our wages.”

“My wages have gone down, Haidilao’s prices have gone up. I just wanna cry,” some commenters say.

Many Weibo users mention that Haidilao is a big company that already had relatively high prices, saying a price increase in these times is unfair to customers.

“I could tolerate it if my wages would also go up,” some write.

An online poll held by news outlet Sina asked Weibo users if they could accept Haidilao’s 6% price increase. Among the 122,000 respondents, 16,000 answered they were okay with it, while an absolute majority of 77,000 said they could not accept the surge.*

“They have the right to raise their prices, we have the freedom to stop eating there,” some write: “I won’t go there anymore.”

For more COVID-19 related articles, please click here.

By Manya Koetse (@manyapan)
Follow @whatsonweibo

*(other replies to choose from included “it has nothing to do with me” or “other answer”),

Spotted a mistake or want to add something? Please let us know in comments below or email us. First-time commenters, please be patient – we will have to manually approve your comment before it appears.

©2020 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com.

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