Chapter 1617 Deepening the Brand
"What do you think of the future of Jingdong and Dabao?" Hu Dashan drank a glass of beer, then puffed out his stomach and loosened his belt.
People tend to gain weight when they reach middle age, and Hu Dashan is no exception, especially when drinking and drinking all the time, he can't even think about losing weight.
Fortunately, Hu Dashan pays great attention to health care. Now his blood pressure is a little higher, one of the three high blood pressures, and he has no other major health problems. This is directly related to his love of swimming.
After all, compared to other big bosses, he can't control what he likes to eat and he doesn't like to exercise. Hu Dashan has a relatively good amount of exercise.
"Why do you think of asking this question?" Yang Dongxu couldn't help asking.
“Just seeing the development of these two companies reminds me of when Millennium Supermarket was first established.
At that time, we also chose one of two routes, one was a high-quality route similar to Jingdong, and the other was similar to a Taobao shop that didn't care about anything, just buy more cheap products to attract customers first, and then we were done.
After Millennium Supermarket became famous, the payout model gradually moved closer to JD.com.
Therefore, the subsequent development routes of these two companies are actually somewhat similar to Millennium Supermarket.
In the past two years, the development of Millennium Supermarket has been brilliant on the surface, but in fact it has encountered a bottleneck. Although we continue to open branches and even open branches in neighboring countries, our performance is growing every year.
But the feeling that Millennium Supermarket gives me is that it is obviously very profitable, but there is always a feeling of being tied up against the ceiling and unable to do anything. Do you understand? "
"Making money is just because the volume has increased, but the upper limit has no longer grown, right? Although the brands of supermarket products are constantly changing, the essence of the products is that.
The management of the supermarket, the equipment of the supermarket, and even the layout of the supermarket are exactly the same. I always feel that there is still a realm above, but I just can’t improve it. Yang Dongxu said with a smile.
Hu Dashan was stunned for a moment, and then gave him a thumbs up with a look of admiration, "It's no wonder that the big boss summed it up so well."
After liking it, he looked at Yang Dongxu with hope in his eyes. Since the big boss knew about these problems, he obviously had a solution.
To be honest, this problem has been bothering him for a long time. He has figured out what the problem is, but he can't figure out how to solve it.
Because not only in China, but also in the entire world, the operating model of supermarkets seems to be like this and has become irreversible.
It can be said that the existing things such as Millennium Supermarket have achieved the ultimate level. More and more companies have become multinational companies, but they are still confused about the future of the company.
"We can first refer to Yintai's business model to improve the brand." Yang Dongxu said.
Hu Danshan pondered for a moment and frowned slightly, "I have thought about this method and even conducted a few pilots, but the effect is not very good. Instead of getting better, business has gotten worse."
"How did you make the changes based on Yintai?"
"Improving product quality while raising prices gives buyers a very high-end and respectable feeling. For example, the mall is divided into two floors, with a boutique area upstairs and a general area downstairs," Hu Dashan said.
"Then what?"
"Then the business was pretty good when it was first launched, but not long after, even the sales of goods in the general area downstairs started to go bad."
"Do you know the reason?" Yang Dongxu asked.
"We investigated, just because of face issues." Hu Dashan took a bite of meat skewers and said with a bit of laughter: "Everyone knows that it is very respectable to buy things in the boutique area upstairs.
But the price of this face is that you need to spend more money, but not everyone is so rich.
In this way, when you enter Millennium Supermarket and only visit the general area downstairs and not the boutique area upstairs, even if other people don't care about you at all, you will feel very awkward and shameless.
But you went to the boutique area upstairs and bought a few things for the sake of dignity, but your pocket did not allow you to do so. So I might as well not even enter the first floor of the supermarket, so as not to be upset and go directly to other supermarkets to buy things. "
Many times things are so strange. A person can be willing to eat instant noodles and buy luxury goods for the sake of face, or he can avoid the luxury goods and not want to get close to them because of face.
"So the changes you need to make now are to make consumers feel decent when they shop at Millennium Supermarket, and at the same time, their pockets support them in doing so."
"This is a bit difficult." Hu Dashan frowned.
"It's because it's difficult that I do it, because difficulty is the best industry barrier. If you succeed, you can enjoy the results for a long time, and others can only look at you and drool."
Yang Dongxu opened his mouth and saw that Hu Dashan still frowned and continued.
"Using money to support face is indeed the fastest and most effective way, and it has been tried and true in the luxury goods industry. But we run a supermarket, and you can't turn eggs into luxury goods, right?
Therefore, the price can change, but it cannot change too much. You need to start from the software side, for example, to further enhance the brand value of Millennium Supermarket.
It makes people hear that this person has just visited Millennium Supermarket, or that shopping at Millennium Supermarket is a very honorable thing.
Just like if someone wants to go out to play, go to the movies, or travel to a place where the budget allows but does not have a reliable hotel, the first thing that comes to mind is to go to Hurricane Plaza.
At the same time, you can also go into some details. For example, the pork sold by Millennium is all Jiankang pork that has fully passed the epidemic prevention standards and can be eaten with confidence. The beef sold is real beef, definitely not synthetic beef, etc. "
"The pork we sell has passed the epidemic prevention standards. If it doesn't pass, I dare not put it on the shelves. As for the fake beef, it is even more impossible. Our quality control is the most stringent in the entire industry. How can we pass inferior products as good ones?"
"The times have changed. It is no longer the era of good wine being afraid of the deep alley. Now it is also afraid of the deep alley. Do you remember how the brand of Millennium Supermarket came up?"
"The previous toxic milk powder incident, coupled with our independent quality inspection system, made many consumers more confident in the products on our shelves.
This is also the fundamental reason why we can still sit firmly on the Diaoyutai when the retail market is so competitive and Carrefour and Walmart are so aggressive."
Hu Dashan said immediately without hesitation. As the CEO, he is still very clear about his biggest reliance and core, and he has always insisted on this core without wavering. This is the fundamental reason for the survival of Millennium Supermarket.
"You are very clear about this, why don't you continue to use it?" Yang Dongxu asked with a smile.
"What do you mean?"
"How long has it been since Millennium Supermarket advertised that its high-quality products will be independently self-inspected and absolutely meet national standards without discounts?
You have been insisting on this, but except for those who have experienced the toxic milk powder incident before. Consumers now only know that Millennium Supermarket's products are of good quality, but they have no impression of how good they are.
So what you need to do now is to deepen consumers' impressions in this regard. For example, synthetic beef is not only in supermarkets, but even some Western restaurants sell inferior products as good ones.
You need to let consumers understand that they may spend the same money to buy fake beef in other places, but the beef in Millennium Supermarket must be real. This concept must be established in the minds of consumers."
"This is a bit offensive." Hu Dashan rubbed his chin.
If you want consumers to have a deep impression, you need to make a comparison.
And those who sell fake beef are the best negative examples. They must be paraded through the streets to highlight the authenticity of Millennium Supermarket's beef. This is indeed an offensive job.
And it will offend many people. After all, synthetic beef has now formed an industrial chain. If you open a western restaurant in a city and use synthetic beef to save costs, you can easily find a supplier. This shows how huge this industry chain is.
Of course, if a fight really comes, Hu Dashan is not afraid of the other party. After all, he is on the side of justice.
He is righteous, and he has absolute power to protect justice. This is basically invincible and can be touched at will.
If you really can't stand it, isn't there a great god standing behind you?
"It's not good to offend directly. Although these sneaky things seem annoying, we are not a law enforcement agency, so there is no reason for us to interfere.
So we can be roundabout. For example, when someone buys beef from our store, they find that our beef is more expensive. The waiter at the counter can explain to the customer why our beef is so expensive.
What is the difference between real beef, synthetic beef, and fake beef, and how to identify them to prevent being cheated, this should be okay, right?
When consumers know how to distinguish real and fake beef, when they see it at our meat counter, it's real, and when they see it at other counters, it's fake, won't there be a comparison that deepens their impression?"
"This is good, this is good, I just proved that my beef is real, but I didn't name your beef as fake." Hu Dashan happily slapped the table, which instantly attracted the unhappy eyes of the guests at other tables on both sides.
He quickly clasped his fists and bowed to apologize, forgetting the occasion in his excitement.
"I'm just giving you an example. You can grasp and deepen the rest yourself."
"One example is enough. I was confused before, but now I have a goal to work hard for." Hu Dashan raised his glass and clinked it with Yang Dongxu.
Then he smiled and asked half-jokingly, "You also think quality is important, so between Jingdong and Taobao, do you prefer Jingdong?"
"No, no, no, in terms of prospects and profitability, I'll support Taobao in the next 5 to 10 years. If it's just about reputation and foundation, I'll support Jingdong. But these two are not the current version answers. Not the final answer."
"Version answer?" Hu Dashan was stunned for a moment and didn't understand the meaning of this word for a while.
"I'll tell you when the time comes. Now, make a quality comparison first, and it will be enough for you to be busy for a few years to deepen and enhance the brand image."
Quality control is something that must be done after occupying the market share, otherwise how did Alibaba's Tmall come about?
But sometimes it has to be said that if you don't look at quality and only fight a price war, it will definitely be a magic weapon to conquer Chinese consumers.
For example, Taobao has been getting worse and worse, which has a lot to do with Pinduoduo, which only cares about price instead of quality.
Of course, Taobao was able to grab so much market share so quickly and push Ma Fengyun to the throne of the richest man by using the price war.
It’s cheaper to buy things on Taobao, so why go to physical stores to buy them?
Taobao was made successful by relaxing quality control and only focusing on price, and then Taobao was overwhelmed by the price butcher Pinduoduo. Things in the world are so wonderful.