"Greed is one of human nature's traits. People are all self-interested, so most of them love taking advantage of small opportunities.
"For example, why do elderly men and women like going out to buy groceries early in the morning? Because supermarkets have discounted promotional goods in the morning, such as eggs and rice. If they go too late, everything will be sold out.
"Customers think they've gotten a bargain, buying the same items for slightly less than usual. The merchants clear out their inventory while attracting customers, indirectly triggering a herd mentality and achieving a win-win outcome.
"Coming back to the event I'm planning this time, on the surface, our Internet café will indeed be the one taking the loss. Whether it's 'recharge this amount and get the same amount free' or discounted Internet fees, there'll definitely be some loss of profit.
"But you have to look at things from multiple angles. First, there's the recharge rebate.
"The first benefit is that it lets us quickly bring in cash. With money, we can do more things.
"The second benefit is that it deeply binds our customer base and increases their sunk costs. Uh, 'sunk costs'—in simple terms, that means costs you've already paid and can't get back. For example, if I recharge a lot of money at this Internet café, then if I want to go to another one, wouldn't all that money have been wasted? It'd be a waste. So I'd feel it wasn't worth it. To use up that money, I'd keep spending at this Internet café. That's roughly what it means.
"Giving up a small amount of profit to increase customer loyalty is a business deal that guarantees profit in the long run.
"Next is the membership card. It complements the recharge system above.
"If you want cheaper Internet access and bigger discounts, you need to spend enough first. But that takes too long. What should we do?"
Wu Xiuhua blurted out, "Recharge, of course."
After talking so much, Chen Hao's mouth was a little dry. He poured himself a glass of water and took two sips, glancing at his father. Seeing the frown that had originally creased Chen Xingguo's brow relax somewhat, he figured his father had been listening. He struck while the iron was hot and continued, "Exactly, recharge! Then, step by step, we deepen the connection between us through membership levels. The more you spend here, the more money I save you. It's a win-win!
"Actually, all things considered, we're still the ones making money. How many people who get a card can use up all the balance? Because of real-life circumstances, work, school, and other factors, some people won't have time or be able to go online, resulting in dead cards. If they simply stop using them, that money isn't refunded, which effectively becomes our income.
"Besides, over the past two days, I've built a membership system. Customers can pay directly with their membership cards, which is convenient and fast, and it eliminates the traditional method of keeping accounts by hand. Oh, right, Mom, you won't have to call to check the accounts anymore. I'll teach you how to check them online later. It's very simple! After collecting money in the shop, just compare it with the online records and you're done."
"Hmph, isn't that just spending tomorrow's food today? Back in our day, you'd be arrested for that!"
"Dad, times have changed. Who cares about that now? Besides, the country only recently started supporting loans for buying houses. There's nothing shameful about making money!" Chen Hao said indifferently.
After saying that, Chen Hao took several sheets of paper from his bag and handed them to his father. "School starts soon, so we might not have enough time. These are contingency plans I made for various situations that might arise at the Internet café. Everything's here. You can take a look. When the time comes, just follow them step by step. If there are any problems, call me anytime~"
Chen Xingguo didn't take them. He simply stood up and walked away,
leaving Chen Hao stunned. What was going on?
Oh, fortunately, the old man had only gone to look for his glasses.
Wu Xiuhua understood the thought he had put in over the past two days, but she was somewhat curious. "Where did you come up with all this? Why didn't I see you working on it before?"
"Uh, this." Chen Hao's eyes shifted as he casually spouted a lie. "All the Internet cafés over in Ice City are like this. They're extremely popular and packed every day. I just borrowed their model~ Besides, wasn't this a bet~"
Chen Xingguo put on his glasses and sat down again, studying the contents on the paper seriously.
The first item was expansion. If there were too many members, they would need to keep buying computers to increase the Internet café's capacity.
Below that were all kinds of details, from the number of computers and their specifications to the layout and structure.
He looked up and asked, "You're not against opening a branch?"
"We're not opening a branch. The costs would be too high. What I oppose is using our own capital to expand rapidly. Using consumers' money to generate more money and expanding in an orderly fashion—that's the proper way!
"I think our house still has some space. The warehouse is still empty, and I've converted it into a waiting area for now. We can put more computers there later. If business turns out to be bad, we can sell them. Either way, we'll still make money."
The second item was hiring staff. Relying on Pang Ban alone was no longer enough; they needed to hire another network administrator.
There were details as well, such as preferably hiring a young, pretty girl as the network administrator, with a college graduate being even better, and so on.
"Then the labor costs will be high. Even 1,000 yuan might not be enough."
"The wool comes from the sheep's back. It's all to attract customers and increase user loyalty."
Actually, everyone who came to use the Internet at a café, without exception, was a handsome and suave lecher—just like the esteemed readers.
The third item.
After a long while,
Chen Hao had already explained what he didn't understand. Chen Hao had not only thought of what he hadn't considered but had also worked out every detail.
Am I really getting old? Am I unable to keep up with the times?
Looking at his spirited son before him, Chen Xingguo, nearing fifty, felt both proud and sad. His emotions were tangled as he gently placed the sheets of paper on the coffee table. He remained silent, stood up, and walked toward the bedroom.
Chen Hao watched his father leave. He didn't know if it was an illusion, but in his eyes, his father's tall and imposing back seemed a little shorter today.
Before the bedroom door closed, a sentence drifted out. "Kid, you win!"
Uh, Chen Hao raised his hand, wanting to say something. He opened his mouth, but didn't know what to say.
"Don't mind that old thing. He's probably secretly celebrating in there. Anyway, I believe my son will achieve great things in the future. Do you need help tomorrow?"
"No need. Everything's arranged. Big Bird will come over to help tomorrow."
"Good. Hurry up and teach your mother how to check the accounts~"
"Mm, okay!"
Tuesday, February 26, 2002. Cloudy turning sunny. Auspicious for all activities.
At six in the morning, Chen Hao woke up and couldn't fall asleep again. After tossing around in bed a couple of times, he simply got up.
After all, this was the first major undertaking since he had crossed over. He was confident of success, but there was still a trace of nervousness in his heart.
Although the old man had admitted defeat ahead of time, he still held himself to his original goal. Could he exceed 50,000 yuan?
Hah, I can't even keep my composure over something this small. Won't I get heart disease in the future? What a loser.
Chen Hao washed his face with cold water to wake himself up, then quietly left the house.
The time to prove himself had arrived. Bring it on.
When he reached the Internet café, Pang Ban was already fully prepared. The waiting area was spotless, and the tables and chairs were arranged in neat rows.
After the two finished breakfast, they sat behind the counter, poking their heads out like two groundhogs.
"Old Ban, when do you think the first person will come?" Chen Hao rubbed his hands, feeling a little excited.
Pang Ban glanced at Chen Hao. "You should be asking when the seventeenth person will come."
"???"
"There were sixteen people who stayed overnight last night." Pang Ban stopped there and didn't explain further.
"They all got memberships?"
After receiving an affirmative answer, Chen Hao was stunned. Good grief, experienced Internet addicts really are that bold.
Then he thought about it and realized it made sense. Usually, the people who stayed overnight were veteran Internet addicts. Recharging was definitely a good deal for them, and they would almost certainly never pass up the chance to take advantage of a bargain.
Before you continue