Cheap wrong? cheap, in the mainstream media, public opinion has always been unhealthy as the industry target of the criticism, but in the discussion for the industry-sponsored publication, most of the respondents think it is a rational normal. Text / world network operators reporter Qi Yu layman watch, experts have to think doorway. Low-cost online channels common phenomenon is a bad thing? Price war was open about it? How to circumvent it? Intense competition again, there are electricity providers can sell relatively higher prices, which is how it was? 'World network operators · Manager' on these topics and many industry experts who discussed, will now be presented to their original point of view. As expected the difference is that most of the respondents did not show resentment against cheap, but think this is a normal phenomenon. Low:
There is reasonable NALA Operations Director Fu Qiang: online and offline follow-standard products because of unreasonable pricing parity, must be online cheap, there are still looking at a lot of line styles, line purchase behavior. It reflects the non-standard product price is around the value of the goods itself unfolded. Non-standard product does not exist price anchor, all customers are based on their own past experience to determine the current price is reasonable. From the perspective of the value chain, the line brand value chain agents, advertisers, retailers account for a high proportion of profits, not to maintain high prices, the model on a dead end. But a new brand line, it can directly sell goods to consumers, to follow the line brand of pricing, in itself unreasonable. So often online brand will become cheaper pricing. I think this is progress retail environment, under the previous line pricing itself unfair to consumers, so this is kind of progress cheaper. He Gang, vice president of the former Ereli: "dragon ball z wigs " Low-cost online is limited by several factors generally I support the net sales channels of low-cost features. The following reasons: 1. The value is limited by the low-cost online. From the perspective of display, the net sales by major commodity information transmitted images, text and other pages carriers, consumers shopping risks than physical, it is malpractice. From the service perspective, net sales as good as the entity can be more convenient, more direct, more personalized service delivery, including value-added services, limited benefit consumers. The nature of the goods to the consumer is to create value, from a single product purchase point of view, if the consumer greater risk, service discounts, so the same goods, and the reason you sell the equivalent of what is expensive? 2. Low-line limited by the competitive environment.
Line under the trading environment, the relationship between businesses and consumers is basically stable, consumer information is asymmetric, users often purchase goods only determine the question, which provides space and opportunity for a premium, so the line is easier to sell something Some Degui. The line, because the low barriers to entry, competition sufficient information fully, so do consumer decision-making becomes the dominant choice of. Scene often is this: Fast decide what to buy, then choose where to spend more time to buy a bargain. This time is often an important basis for low-cost choice. Simply put, consumers did not have to choose the line, convenient comparison, online too easy, prepare themselves useless, have to look at competing products, this environment for a large number of goods sold is no chance of a premium. 3. Low-cost online is limited by your consumer habits. Retail insurgents were killed coming through low-cost, no matter Jingdong or Taobao's core values is to help consumers save money, the same network card with the product cheaper this is a common sense consumption, and high consumption of the equivalent resistance undoubtedly larger, contrarian, abnormal probability of success in sales management life? You might as well sell it honestly a little cheaper. The business model has led to differences online cheap. Supply chain structure of commodity circulation as e-commerce has changed greatly, this change essentially towards shorter, more efficient, more accurate direction advance the goals of these changes include reducing costs, providing a de facto price reduction space.
Amazon China Technical Project Manager LU Kai: retailers have to choose low-cost me some ideas from the retailer's point of view is. Customers like cheap, but what price it be cheap? A bottle of Coke, sold for $ 3 at 7-11, Carrefour sold 2.4 yuan, whether that is a convenience store to sell three yuan is expensive, while Carrefour sold 2.4 yuan is too cheap? The truth is not so simple. First, in terms of positioning the retailer. "tales of vesperia cosplay " Customers face 7-11, their needs tend to buy real-time, small quantities, is not so sensitive to the price of a single piece; and Carrefour are discount markets, customers and less time, large purchases, the price of a single piece more sensitive. Therefore, the price is higher than Carrefour 7-11 this phenomenon, it is reasonable. Secondly, in terms of its main competitors. 7-11 and its competitors (such as good morals, Quik and individual street shops), where about 3 yuan is a universal price, while Carrefour and its competitors (such as Wal-Mart, Auchan) where, about 2.4 yuan is also a popular price. So, in this type of a large supply of coke, and consumers can easily remember the price of the product, 7-11 and Carrefour and their competitors, the small difference in price, customers will not only because of the price and there are obvious bias. Contact to us hard to force e-commerce. E-commerce, the price is very transparent, as long as the product line overlap, that the two appliance business is a competitor, described as 'the enemy over the world';
In addition, e-commerce, customer choice cost is very low, a Web site can Jianpanshangqiao Change the camp, not to mention a bunch of comparison sites in fueling the. Therefore, the electricity suppliers to do the high prices, will lead to a lot of churn. Wang dilute up Benchmarking Logistics Director: cheap brands have chosen from the brand's point of view, in general, a different category, brand recognition and distribution structure has a direct impact on cosplay costumes for sale the sales price system. The more standard products, the more likely parity; more non-standard product, the less likely parity. Information asymmetry is the fundamental source of retail superprofits. Brand awareness, the more limited but stable channel's gross profit, discount sales offend brands of small power. At the same time, high margin brands, but also to combat all kinds of power and cost disrupt the price system behavior, such as stock. Direct high percentage of system, price controls easy; on the contrary, it is difficult. Jane Jiang, vice president of SK Telecom Ventures Investment: apparel category truth is now complaining of general apparel categories. Clothing category by following relatively large influenced by several factors: First, reduce the experience. Say can not be tried, could not match the test; the second is to improve the risk. Let's say we may have a waste of effort to try not to be returned. So the same brand, usually go online to sell cheaper. Clothing category for which relatively big, stable quality, a relatively high degree of standardization of goods, it is relatively easy to do online and offline hereinafter price, this time users seeking primarily convenience. Uniqlo example, many of the basic models we are familiar with, online and offline buying experience gap is not, sometimes the pursuit of convenience to buy online. Low-cost policies to deal with farmers net COO Shi Jianming: Choose size or a brand Harvard scholars had various business elements for the competitiveness of enterprises aging effects, price discovery is the fastest growing element of the failure, the brand is a long-term can be sustained resources. From manufacturers to consumers value chain among consumers who are able to grasp grasps pricing. On FMCG, the P \u0026 G shampoo can attract consumers to buy, so the negotiations and Carrefour, the retail prices are set by P \u0026 G to be; on the contrary, as a roasted supplier, because he does not have to attract consumers the ability to buy, so he can not set the retail price, can only be sold to Carrefour, the Carrefour pricing. All aspects of the value chain are likely to affect consumers, such as Tetra Pak, their packaged as consumer choice and trust standards, Tetra Pak could also become a factor in brand support terminal expensive. For no brand operating capability, only sellers of distribution companies, the lower margin is inevitable. Therefore, dealers either select the size, improve cash flow efficiency, reduce costs, or to choose to implement brand management. NALA Fu Qiang, director of operations: the power of the old customers of non-standard goods in the commodity function, packaging design, concept creation, online display on the more tricky the more goods can create high premium. But the commodity cycle will be relatively short. Sales to loyal customers better price, the old customers of price sensitivity is not high, the more new customers, the higher the sensitivity. At present, many channels, brands began to create their own brands, although not as gross margin line, but three to five times the margin is very common.
And sales are very good. Wang, general manager of lean logistics of benchmark: to find the G-spot psychological fact, prices reflect neither costs nor does it reflect the quality, almost purely quantitative indicators of a psychological G points. So, whether selling expensive goods, see if you can find one and to strengthen the G-spot, the second is for the G spot set an absolute gross profit highest point, which is the maximum 'price × quantity' of. Jane Jiang, vice president of SK Telecom Ventures Investment: If you want to enhance the price band is to enhance the online price band, the first to enhance the user experience of the value of the goods and cognition, and minimize concerns about the risk of the user. The truth is that at the market level how to 'coax' the user, the product and how the level of service allows users to find value for money and generate repeat purchases. There are many operational means and methods. Finally, it should be noted that users in the purchase of a commodity, usually a price band is preset at heart, we can do is try to make their goods in the upper half of the price band, exceeding the user can accept the price band on difficult to sell up. Of course, the foundation was finally able to form long-term accumulation of reputation, service and spiritual culture brand pricing power operation, this is the foundation. All tips are designed to maximize the present value, future value increases or rely on customer service and well-functioning markets. Yao Feng Ding Haipeng CEO of e-commerce: Online High There are exceptions under parity online and offline, is more suitable for standard products goods.
In addition, sales of factors have to be considered, if the line higher price, but not as good as online sales, then whether it should generate total sales to compare it? I took a class of goods defined as 'high standard' of goods. You can determine the product brand, style, color, attributes by one or several elements (barcode, number, name, etc.), exactly the same price, in (offline or online) multiple channels and multiple regions there are the same goods . This type of merchandise easily parity on the network, so under normal circumstances, only a lower price online. But there are exceptions: the scarcity of commodities (such as Nike, Adidas limited edition merchandise). Due to geographical restrictions, the line is buying market, so prices can be higher online. High standard commodity focus more on 3C digital, cosmetics and sporting goods category, so price competition these categories are often quite tragic (far more intense level), not only is the online and offline equally tragic. Non-standard products. The wireless point line under such well-known brands of non-standard products labeled, it is certainly a higher premium line, labeled as the same unknown brand, premium online easier. Amazon China Technical Project Manager LU Kai: low-cost low-cost approach, I mean, really cheap, cheap lose money, in my opinion, nor is it can not be done, but it should only do little. If the low-cost promotional higher sales in the proportion of the whole, this is a very dangerous signal, means that the overall net profit margin erosion. Ideal for low-cost marketing, should be a means to attract passenger traffic.
After a few low-cost products with the introduction of the traffic to the client diverted to other products, so that customers understand the prices of other products are also very competitive, and promote the overall sales growth, this is a single product with a low-cost promotional sense lies. But with one or two single-product, low-cost amount of walking blindly, I am not optimistic. The Chinese market is never a lack stir feces stick, pull blindly rely on cheap sales, sooner or later collapse. But cheap is not no limit low. I think there are two low-cost measures: competitors' prices and their own costs. Rate is transparent for everyone, consumers are easy to compare. Rate higher than the competitor will be discarded customers, which is seeking death; page price is lower than the competition, which is stupid, do not make money, business or charity ah? Rate and competitors to remain basically the same. Own costs, including procurement costs, operating costs and amortization costs. This should be considered a single product to a lot of trouble, but it can be grasped from the overall situation. Price must be higher than the cost, otherwise it will lose money. And I believe that all is not to make money for the purpose of commercial activities, are crap. To conclude, that is, under the premise of not losing money, prices and competitors will be able to stay the same, which is the basic principle of product pricing. Also to consider: If your price is not competitive, to attract customers to rely on what to buy? First, rich category. I believe many of my friends to Taobao, not all is staring together cost cheap to go, but we believe that Taobao will certainly be something we want, even if this thing again rare, weird again.
I few days ago by a friend, on Taobao to buy a hard drive, in fact, price is not the cheapest, but the store provides a definition movies plus 50 yuan filled service. Taobao this image in the minds of users, depending on a variety of merchandise seller countless reached. 'Consequently there', which is a very loud slogans, is a very attractive slogan for consumers. Second, the experience is excellent. Experience here refers to the client from the beginning into the site in the browser, to view the Product details, orders, warehouse delivery, distribution, pre-sales and after-sales customer service, this set of processes overall experience. It is true that it takes a lot of manpower, material, and not being able to reach the overnight. But once done, is the real customer experience. For example, Jingdong in Beijing, Shanghai, basically a single afternoon delivery the next morning; another example Amazon's customer service hotline, customer operations after use on the page, take the initiative to call to the customer, eliminating the customer wait time and phone charges; and then such as Taobao shopkeeper elaborate pictures taken, these are excellent customer experience. Easy to plot electrical founder Bowen Green: price war from lack of innovation for the price war, not whether or not to bypass the problem, but a problem of brand positioning. Brand positioning well, can in his own and strike. In 2010, the mainstream price segment Soymilk is 299 yuan, the United States and Supor in this price segment of the nine positive blitzed. In 2011, nine positive and not positive against, but give up 299 yuan the following models, founding more than 399 yuan a card models, the introduction of a more psychological benefits users caught plants cows series, this strategy is equal dug pit the United States and Supor to bury this strategy forced the dissolution of the United States boutique division, director of e-commerce Supor leave. This strategy, nine Yang stood her category first position, not lean battles with competitors. Again puppy appliances, has always insisted on high-end vacuum cleaner positioning, almost never participate together cost-effective, but not every day discounts in the shop, but in the service up and down the foot work.
As put in the parcel a dollar coin envelopes, beautifully printed customer communication letter, the dog compared to real pet, even if products do not require customers, and have a good collection and not thrown away. '10 years on you, but for 10 years, to me, it is a lifetime,' his best sensational conflict. And he promised 'a bad free replacement machine' in the aftermarket. The real cause of the price war is lack of innovation of enterprises, the value of the brand positioning or not, or do not adhere to the pursuit of short-term interests, rather than the pursuit of long-term development of enterprises due. Price war is not forced by the market, created by the entrepreneur mindset.