Seeing The Future Of Internet Direct Selling From The Success Or Failure Of VANCL And PPG

The reason for success is very simple, only two.

If you want to find the same reasons for PPG and VANCL today's success, there are only two reasons: because they are men's shirts; because of the benefits.

The more than 20 - year - old Chinese clothing industry's leading enterprise YOUNGOR's men's shirt daily average sales volume has been surpassed by the new PPG which is only two or three years old.

When VANCL announced that the average daily sales volume surpassed PPG in 08, March, more businessmen will explore the mystery. How many wonders can be created in the field of direct selling of shirts?

But we can only test the success and failure of the future and see the future development only when time goes by and everyone calms down from the heat.

Thinking after rapid growth

Based on the strong manufacturing capability, China is not short of products. If we only rely on preferential prices to fight the market for a long time, the evolution history of the domestic appliance industry and the domestic mobile phone industry can serve as a good reference example.

Therefore, from the perspective of long term business development strategy, whether it is just delineated in the field of network marketing or spread to the national shirt sales market, early recognition of this will make our development more secure.

"Low price" should not be the fundamental reason for their core competitiveness and tomorrow's success.

I believe that men's shirts suitable for sale online have become a common understanding.

Because of this consensus, dozens of PPG mode enterprises have already entered the market of men's shirts online direct selling, and even the powerful traditional clothing enterprises are unable to bear.

Although the market for Chinese men's shirts is huge, it's probably not a good reason for you to choose men's shirts as a starting point for business.

Just like men's shirts, the same is true. By comparing and analyzing the two different styles of VANCL and PPG and the two extremes of business strategy, we can draw the outline of tomorrow's winners.

The novice on the gambling table -- PPG

PPG's success is just because everywhere!

More than 80% of the orders come from the direct call center's direct return to the "PPG everywhere".

Similar to PPG, red children, Xiao Kang's family and Mcglaughlin's three directory direct selling companies also have 70%~90%'s orders placed directly through the call center.

However, these three enterprises all have the huge customer accumulation and deeper industry precipitation that PPG can not match.

Red children rely on more than 1600 employees from 16 branches nationwide to support about 600000 active customers.

The 8 million customer data accumulated and sustained in the past 15 years is the "home ownership" of Xiao Kang's family.

More than 2 million of DM and flower shops next month make Mcglaughlin a representative of "direct mail, network and store".

The same is the direct selling mode, compared with the predecessors, PPG industry precipitation has a clear gap, and the most missing is in fact the soul of direct marketing mode - customer database.

Judging from these differences, there is only one reason to hold up PPG's amazing sales volume, that is ubiquitous advertising.

But the cost of "everywhere" is huge.

If we can not accumulate enough customer database scale in a short time, if the input output ratio and the planned annual sales volume are seriously deviated from the investor's psychological bottom line, maybe PPG's figure will disappear.

This is also the biggest risk of "light company".

When the advertisement stops, the supplier quietly dissipated, what left the "light company" left?

How many phones are there in the empty warehouse and in the call center?

But this is a situation that no one likes to see.

Because PPG not only touched the business nerve of all garment industry owners, but also led to the pformation of clothing industry's direct marketing; PPG is also one of the leaders of China's B2C e-commerce to a new level.

What we are looking forward to is that PPG brings more surprises and success for all.

The novice on the gambling table -- a strong gambling mentality

At least half of PPG's advertising costs are wasted, but PPG doesn't know which part of the waste is wasted.

With the concept and application of precision marketing maturing, PPG's marketing emphasis and most of its money have been placed on relatively expensive television, newspapers, magazines and outdoor advertisements that are hard to control.

Moreover, advertisements appeal mainly to brand promotion and online shopping shirts.

PPG has popularized the idea of buying shirts online, but for growing Direct Selling Company, getting enough orders is a top priority.

Besides, playing star card and creating a new life concept to drive product sales is an old routine. It is no longer as effective as two years ago.

Today, the brand development is supported by the burning brand, and it is based on the new network direct selling mode. Such a big risk is nothing less than gambling.

Of course, friends will come up with the idea of "wealth and risk".

If we are an experienced business gambler, we have reason to give more support and trust. But from the PPG's ability to manage and control suppliers, the strategies and skills of Internet marketing, the poor shopping experience of users and the harsh handling of public relations crisis, PPG is more like a novice at the gambling table.

The Internet has made the VANCL powerful and steady.

PPG used more than two years to achieve the sales of men's shirts surpassing YOUNGOR. Then, VANCL took 5 months to surpass PPG, and I think this is only the first act of replaying the B2C e-commerce business.

"68 yuan" + "old age" B2C a beautiful case in E-commerce

The reasons for the success of VANCL in the early days of Internet marketing can be summed up as two points: "68 yuan" and "old age".

In many respects, VANCL and PPG are very similar, but there are two opposite points in the two key points of marketing strategy and order source.

More than 80% of VANCL shirts are sold directly through the Internet.

So far, VANCL's advertising and camp script src=>