Mining Potential Business Opportunities In The Two Or Three Tier Market

All along, Beijing, Shanghai, Guangzhou and other first tier cities are enterprises, advertising companies and media attention. However, with the maturity of these markets, fierce competition and gradual saturation of some product consumption, the growth of the first tier cities is weak. The two or three line areas such as provincial capitals, municipalities directly under the central government and prefecture level cities have become the next growth market.

Whether it is the tilt of national policies or a business perspective to make cakes bigger, the pfer of market to the two or three line is imperative.

The developed two or three tier regional economic strength is pressing.

According to the 2009 Chinese market and media research (CMMS) data of the new generation market monitoring agency, the monthly average household income is 5285.5 yuan for the first tier cities, 3553.5 yuan for the two or three line cities, 971.25 yuan for the county seat, and 786.95 yuan for the rural areas.

(city data came from consumers in about 30 cities in 70000 cities. The county and rural data came from 6 provinces, 18 counties, 72 administrative villages, 6000 samples of consumers.

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If we look at the 2008 area

The consumption freedom of the two or three tier market is higher.

Compared to the first tier cities, the advantage of the two or three tier market is obvious.

First, the two or three line cities have a slow pace of life, a small life circle, people have more leisure time (consumption time); second, the media environment is relatively simple and tranquil, and there is no complex market, so enterprises can influence more consumers through less media mix and budget dissemination. Third, consumers in the two or three tier cities are "streaming", so they yearn for the life of the first tier cities, and the fashion and popularity of many first-line markets are easily accepted by the two or three line market.

The level of family income from different urban levels can clearly see the strength level of families in the two or three tier cities, and the average income gap between the 1700 tier cities is not small. However, consumers in the first tier cities have to face the pressure of high housing prices and high cost of living. Consumers in the tier cities have relatively limited freedom of consumption, while consumers in the two or three tier market have enough room for consumption. If we look down from the two or three line, the county and rural markets are still in the initial stage, and the market will still need time to warm up ahead, but the downward trend of marketing is already an inevitable trend.

Two or three tier market: multiple

According to the data of CMMS2009, in the three items of average monthly food expenses, household daily necessities, entertainment and tourism expenses, the figures corresponding to the first tier cities are 1076.7 yuan, 288 yuan and 212.2 yuan respectively, and the corresponding figures in the two or three line cities are 801.2 yuan, 216.5 yuan and 160.3 yuan respectively.

In terms of household average daily expenses, the difference between the cost of living in the first tier cities and the two or three line cities is not obvious. For the time being, we should ignore the ambiguity of the average value, and the families that are almost close to the first tier cities need to spend a lot, which is largely a reflection of a nearly waiting release for the quality of life's consumption demand and consumption potential.

If we look at the penetration of different categories of products in the two or three line market, the penetration rate of durable consumer goods in the two or three line market has been relatively high. TV, refrigerators and washing machines are obviously three major parts of consumers in two or three tier cities. These markets will be the market for upgrading in the future.

Mobile phones, small appliances, digital IT products still have a large blank market space.

Opportunity Assessment in the two or three tier market

From the perspective of market development strategy, enterprises need to think about how to seize the two or three line market. Among them, there is a market dimension, namely, the new market and the old market, for example, the first-line market is already the old market for many saturated products, but many products are new markets in the rural market. The other is the product dimension, that is, whether the new products or upgrading of the old products are compared with the market. Through these two coordinates, the four basic marketing strategies can be identified in the two or three line market.

First, for large consumer durables such as refrigerator and color TV, the two or three line market can be dealt with by some new product concepts; second, for IT digital products, small household appliances and other products, it is possible to directly sink the channel into the two or three line market without the need for product innovation; third, some new products in the first tier market may not have the opportunity to exist on the two or three line, for example, many households in Shandong are equipped with solar water heaters, which may be restricted by environmental conditions in the first tier cities, and the new energy products are more popular on the two or three line. For example, the income of the consumers at the county level is not high, but they prefer to buy a power saving environment-friendly refrigerator because they can save a large amount of electricity charges in the long run.

Fourth, it is entirely for the two or three line market to innovate products. From home appliances to the countryside, we can see that many enterprises do not put the good product types directly into the rural market in the big cities, but instead develop specialized products that are more suitable for the consumption and use characteristics of rural families to fight the rural market according to local conditions. This effect is better. Therefore, there is also an independent fashion operation and product innovation space in the two or three line market.

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Generally speaking, the pfer of market to the two or three line is an inevitable trend. This trend is not only to promote the promotion of domestic demand policy, but also to push the input of the national 4 trillion infrastructure and so on, and it also comes from the higher demand and desire of consumers in the two or three line market.

For example, in our research, a Sichuan double flow consumer was not satisfied with the double flow commercial facilities, and the whole family drove to Chengdu to spend the weekend. A young Shandong Jiaozhou youth (22 years old) sighed for another pizza hut, because now Jiaozhou has only one KFC and Mcdonald, and the three is missing one. A rural more than 40 year old orchard planting uncle has been paying attention to the three main points of organic, low sugar and reducing food in the daily family diet.

Enterprises in depth understanding of the two or three line market consumer demand, homeopathic, will be able to achieve a new round of success in the new market space.