Tuesday, 20 October 2020

Opening Shop in a Pandemic


Cinnabon's pecan and caramel, chocolate, and peanut butter
 

Today I went to preview a shop opening in City Gate, Tung Chung for Seattle bakery brand Cinnabon. For those who studied in North America, they have warm fuzzy feelings for this product, the gooey frosting covering the cinnamon roll. It's so calorific, but so comforting.

This is the second shop -- the first one opened at Olympian City earlier this year in February just at the start of the pandemic, which was really good for sales because most people were working from home. I heard there were really long lines, but people were patient to get their Cinnabons, with the option of getting at least one fresh out of the oven.

For this second outlet there's a small area for people to sit down and eat, and there's even USB charging stations for people to have a decent coffee break or work a bit at the store. This time around there's some savoury items like panini cheese roll with ham, turkey and pickles, but honestly, people are there for the sweet cinnamon rolls.

Stephen Yang says finding shop space is hard
I asked the owner, Stephen Yang Tsuen-men when he was going to open on Hong Kong island. Olympic City is already a trek, and Tung Chung was even further, but it was a good way to capture the large residential community living there, the close proximity to the airport and those living in the outlying islands like Mui Wo.

Yang said landlords on Hong Kong island were still not lowering their rents. I was flabbergasted to hear this. He seemed to think they were still holding out which seems ridiculous in this climate considering the pandemic is going to be around for another year at least. 

I felt he should open a shop in Wan Chai or Causeway Bay, but he could not find a good space. He said for Causeway Bay there was Hysan (too far upstairs), and Times Square was dead (which is true). World Trade Center would have been good, Yang said, except The Excelsior hotel next door is gone, rendering the area very quiet.

Wan Chai would be good, but again where? So it wasn't that easy, and finding a cooperative landlord is hard too. He believes his product does best in a shopping mall where there is lots of pedestrian traffic.

Yang has to demonstrate to his Citygate landlord that Cinnabon attracted customers to the mall, and come Saturday when it officially opens, it should do the trick, though the location is a bit hard to find, as the mall has many nooks and crannies.

Who can resist trying a Cinnabon or two?
His other big challenge is getting the local market to try Cinnabons. If they have not studied overseas as a student (he says Canadians are the biggest Cinnabon fans here), then they don't know what cinnamon rolls are and assume it's very sweet. When I pointed out that at HK$38 it wasn't a big investment to try, he countered, but having a pineapple bun is much cheaper. While this is comparing apples to oranges, he is probably thinking the way they are.

A big part of his job besides hauling the raw materials of flour, sugar and cinnamon to the two outlets is educating potential customers about the product and the brand. He is enthusiastic and has the energy, but he's wondering if he's banging his head on a brick wall. 

Nevertheless, he hopes with more media exposure and influencers seen trying the product, that will inspire people to try it out. I told him perhaps it will take some time, but he seems anxious for it to take off.

He was also disappointed that the company is also offering "minibons", much smaller cinnabons that would have been perfect for birthday parties and corporate meetings, but large gatherings are not allowed now. 

Cinnabons just rolled up and ready to be baked
Nevertheless I reminded him that right now a lot of restaurants and shops are barely surviving the pandemic and he's opening a second shop. He's doing very well considering the circumstances.

Hopefully he will be able to open on Hong Kong island soon... many people there are customers who are willing to buy Cinnabons, but not trek across the harbour to get them...

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