Subtraction Marketing: Building Products And Services From Periphery To Core

Why do many two or three star hotels only have 40% to 50% occupancy rate, while the same price Home Inn occupancy rate is over 95%?

Why do the four major airlines lose a lot of money after the annual subsidy of billions of dollars per year? And a Chunqiu airlines without policy subsidies has been surging and gaining profits every year?

Why is China's car bigger and bigger but no one is buying it, and Mercedes Benz Smart is lined up to buy it?

There is only one reason, which is the product and the

Subtraction area

Subarea reduction means that enterprises must choose a good battlefield and position in the process of promoting product marketing.

When choosing strategies and positions, we must grasp the principle of giving up. We must neither be too greedy nor ambitious. We must choose the areas that are most suitable for us.

Representative case: SUPOR life Museum.

For SUPOR, facing the direct confrontation of ASD in the urban channel, in the two or three line area and the market, it is also faced with the impact of a large number of miscellaneous brands, and the market attack is in a stalemate.

At this point, how to open up new strategies and positions has become a strategic choice for SUPOR.

The SUPOR life hall project came into being, which is a classic case of subregional marketing.

The life hall model is dominated by SUPOR company. Franchising chain mode is used to authorize franchisees to use SUPOR brand and sell a full range of products. Its core competitive advantage is brand, product, service and operation management mode.

Since its establishment in 2005, the project has launched a new round of storm in the two or three line market in cookware and appliance industry.

As of the end of 2009, SUPOR life museum store has covered 29 provincial administrative districts, with more than 600 stores.

Moreover, the life hall has gradually become the strategic bearer of SUPOR.

Although Gome and Suning have advantages over the long term in the first tier cities, they encounter many problems in the two or three tier cities, such as whether the headquarters's orders are in place, whether they are in harmony with the local regions, and whether the distribution of upstream enterprises is omissions.

In addition, according to the survey, compared with the first tier cities, the kitchen products provided by the two or three tier city terminals can only provide 1/5, and the demand for consumers is far from enough.

SUPOR life Museum from pressure cooker to rice cooker to lampblack machine, consumers can choose cookware, kitchen appliances and more than 800 products, which solved these problems.

Reducing channels

If the subtraction area is to make more articles at the market level and level, the channel reduction is to select the most suitable channel positioning and combination in many channels.

The particularity of the Chinese market has determined that it is impossible for enterprises to launch a full line attack on all channels, but only to find the most suitable channel structure and mode.

Representative case double deer refrigerator.

Double deer, the first to enter the refrigerator industry in 1979, the Shanghai refrigerator factory has gone through enough glory. In 1992, the Shanghai stock exchange was listed as the first listed company in the refrigerator industry.

However, due to the system and many reasons, the main industry refrigerator has started to decline completely because of blind diversification. By 1997, it has basically disappeared completely.

In 2002, two deer were successfully revived, and more than 200 refrigerators were sold annually, entering the top ten in the refrigerator industry, becoming the first brand in the rural fridge market in China.

Create the "two level" refrigerator rural channel mode and the "tens of millions of projects" and "benefit agriculture and poverty alleviation project", create the blue ocean of the refrigerator industry, and lead the Chinese refrigerator industry to another wave of development climax.

From the perspective of double deer, the key to success lies in the flat channel mode and the distribution of thousands of agents and tens of thousands of terminals in the country under this mode.

The core of the double deer reduction channel is to build a two level channel mode from the beginning. From agents to terminal providers, there is no channel chain in the middle, thus achieving a real short, flat and fast.

Regardless of which area and city the agent is, whether it is the agent of the provincial capital or the agent of the prefecture level city or the agent of the county-level city and the county town, for the two deer, the mission of these agents is to put the terminal providers in one step to the town.

At the same time, in order to match the management of the two level channel mode, the two deer adopt highly flat marketing organization, respond quickly to the channel and terminal, and improve the channel efficiency.

At the same time, the sales staff and after-sale personnel of the two deer are combined to ensure quick response and step by step.

Moreover, the two deer also attach great importance to the terminal investment. In order to facilitate the front-line salesmen to expand the terminal and timely feedback information, in the main market, the two deer also provide notebook computers, wireless network cards and cameras to each salesperson, so that they can regularly and timely feedback the information and negotiations they know to the dealers and superiors.

In this way, dealers only need to run a trip to finalize the terms of distribution, so that everything can be easily settled.

Reduction group

Traditional marketing is based on the search and satisfaction of the target group, that is, the so-called subdivision of target groups.

In the new economic era, due to the decentralization, mobility and individualized publicity of the crowd, a certain number of target groups are relatively difficult, and aggregation is more difficult.

Under such a change, the current consumers try their best to build their own characteristics by consumption, and on the other hand, they inevitably converge with other consumers who pursue the same consumption symbol.

Consumers who share the same lifestyle and consume the same symbols form a group of individuals who express their individuality, which can influence people's behavior more than modern institutions and other official cultural authorities.

Such a group is called "tribe", which is a consumption organization that pcends traditional groups.

The formation of this tribe is quite different from that of the traditional target group.

Most of the traditional target groups are formed by geography, blood, race and so on, and the present tribe is the result of people's voluntary choice.

First of all, the members must recognize the tribe before he joins them; secondly, since the tribe is voluntarily chosen, members of the tribe will abide by the various rules of the tribe after joining the tribe and try their best to consume the goods or services that the tribe recognizes or can represent tribal status.

The reduction group is actually the tribal marketing of the target population of the enterprise.

In theory, everyone knows about the target population segmentation, but in reality, many enterprises are eager to wipe out all the crowd.

In fact, the more often the hope is, the worse the actual marketing effect is.

Look at the iPhone4 that is now booming. As you know, the more you focus on the high-end, the more people you buy. Look at the current EMBA education, the more you raise the price, the more people you read.

Under such strategic guidance, price has become the most effective lever to distinguish between crowd and group, and it has also built a self consuming and stronger consumer tribe, not just a circle or crowd.