How To Reduce The Cost Of Investment?
Successful investment is an effective way to quickly build a nationwide sales network, reduce market costs, seize market share and improve marketing efficiency. However, the current situation is whether advertising investment, exhibition investment, database investment or enterprise self investment promotion will end up either by buying money from enterprises or by working as media workers.
The serious asymmetry of cost investment and investment return, the huge disparity between manpower and material resources and the actual return, let many enterprises feel deeply regrettable: inviting business and attracting investment are really getting more and more hurt.
What is the reason why enterprises are trapped in the dilemma of investment? What mode is the magic weapon that is suitable for business investment?
1. investment planning: building differentiated competitive brands
In today's era of surplus products that "good product is not necessarily a best seller", how can we achieve successful product investment? Is it a big business investment invitation or a low cost innovation mode?
The identification system forms a regional advantage. After the investment strategy was established, all the work closely focused on the strategic thinking. First of all, we decided to establish 1000 chain stores in the whole country as the strategic plan for 3 years in the form of chain affiliation, and build the first brand of Chinese brands as the core value and culture of enterprises. At the same time, the core concept of enterprise oriented CI, image and product VI system was perfected by focusing on people-oriented, health care, technological innovation and social welfare.
2) competitive brand advantage. As the homogenization of products is getting more and more serious, the names of children's clothes are dazzling and consumers can not choose. In the exclusive stores, consumers are facing a series of products under the same brand. Their choices are narrower and even can not be chosen (of course, the choice of brands). Therefore, the establishment of a franchised store avoids competition with the competing products of the terminal.
3), the inevitable way of trust. In the eyes of ordinary people, it is the most powerful proof of enterprise's comprehensive strength, product quality and service integrity to buy a map and establish a store. And it can convey a message to consumers: "we are not a hammer business, what can you find us, we have a team to serve you behind you". Therefore, the construction of franchised stores can better achieve sales.
4), the best platform for sales. The sale of exclusive stores caters to the increasingly rational consumption psychology of consumers. Under the special conditions of China, the consumption of the ordinary people is very practical. As the salesmen introduce products to consumers, consumers are finally buying them in stores. Therefore, "opening shop" and "no shop" convey to consumers the sense of trust is different. From the perspective of consumer habits, Chinese people's consumption consciousness is still in a habit of consumption in fixed places (because even if there are any problems to find), so the monopoly shop is a necessary place to achieve sales.
5) investment promotion and integration: focus on the power of personalized publicity. After initial progress in investment promotion, how to further expand the impact of investment and improve the progress of investment promotion? We have effectively consolidated the internal and external resources of enterprises.
6), investment promotion team: enhance the advantages of scale management. Actual combat training, put them in the actual operation of the model market, from the enterprise concept, product knowledge mastery, market operation mode understanding, consumer communication, negotiation skills, business etiquette, words and deeds, and many other aspects of the comprehensive practical training. Experienced teams provide strong support for franchisee's operation and operation.
2. how to seize the "heart" of dealers?
1, material "profit":
The material basis is the fundamental existence of dealers, and it is profit seeking. Only with the benefit of distributors can they have the intention and motivation to purchase the products of enterprises. However, there is a degree in every aspect and how much profit the distributor can get to meet its psychological needs. We should analyze the following aspects:
(1) survey in the industry: investigate the profit margin or market operation space that the same industry can give the distributor, that is, the gross margin space for distributors to distribute products, including product spreads, rebates, incentives and freight subsidies.
(2) dealer survey: because of the different retail formats, such as the super terminals gathered in Beijing and Shanghai and the remote mountainous areas, the dealers' business philosophy is different, and the tactics of dealing with market operation are different, and the level of demand for profit is also different.
(3) a survey of similar industries: if distributors do not have a single manufacturer's product, we need to know the profits that the dealers in similar industries can bring to them. This is very important for determining the profit that the product brings to the distributor in the source of dealer profit. {page_break}
2, spiritual "love":
It mainly refers to the satisfaction degree of the dealer to the profit, which is mainly due to the satisfaction degree of the dealer to the way of cooperation, the recognition of the profit process, the respect and service attitude of the manufacturer to the distributor, etc. In the formulation of the investment policy, it is necessary to make clear the way and condition for the dealer to get benefits. That is to say, the sales products will tell him how to sell, how to develop the outlets and the channel construction, and what kind of benefits the distributor can achieve after achieving the effect. The exchange of interests is often an obstacle to the feelings of cooperation. This is the standard that dealers consider to be respected and valued before the manufacturers. Of course, the communication of business personnel has great influence.
3, cultural "name":
The Chinese have a good face, and fame and wealth have become the pursuit. Dealers like growing products and selling products. After making famous brand products, they also get fame and success, get the brand value capital of their own business, and accumulate bargaining weight for other products. If the manufacturer can bundle the publicity and distributors when designing investment products, it will be particularly welcomed by dealers.
4, the value of development "life":
Dealers are now in the crevice between manufacturers and terminals. Manufacturers are becoming less and less dependent on distributors with direct distribution of terminals, deep distribution under control and so on. The cost and operation traps of terminals are also deterring many dealers. Dealers' interests are rarely guaranteed for a long time. They worry that the struggling Market is being taken away by manufacturers, and terminal costs are invested and they are concerned about risks and rewards. If the manufacturer can make a clear commitment to the product when designing the product, and make clear how the cooperation relationship between the two sides will be changed when the market structure changes, what is the way out for the distributor? Only when these are clear, can dealers have no worries. Of course, if manufacturers are willing to tie up with distributors, benefit sharing and form a community of interests, they will be welcomed by dealers.
3. key elements of successful investment policy:
According to their own business intentions, the dealers can make a successful investment policy for dealers by investigating and sorting out the distributors' demand analysis according to their own business intentions. Investment policy, like products, must have basic characteristics and USP. It reflects the business intentions of enterprises, and the business mode and profit model of enterprises are also among them. But for distributors, they must have the following elements:
1) the elements of profit:
The operating space of dealers is the main part of product price difference from the table of product price system of merchants to manufacturers. The price system should ensure that there are reasonable profit distribution in all aspects of commodity circulation, such as distributors, distributors and two batches and retail customers.
In addition, the investment policy should be able to list all the benefits that dealers can get, with an overall gross profit margin.
Moreover, manufacturers must explain the market entry point of their products and achieve the basic level through relevant strategies, so as to give dealers confidence in the macro level.
2) the elements of love:
There is no such thing as a free lunch. If a distributor wants to get profits and get all rebates and subsidies, the investment policy must have specific concepts. Now some manufacturers are just a "promise to give huge feedback" and other empty promises, ghosts believe!
In this regard, if the manufacturer promises to meet the corresponding performance level with a humanized management method, it will be better to give feedback or promotional policy support to souvenirs, gifts, travel and other emotional communication.
The delay of cash dividends and subsidies has become the main cause of the crisis of commercial trust. Although this is not the main way to obtain the benefits of dealers, the time limit for cash delivery has often become the basis for dealers to evaluate the credibility of manufacturers. Therefore, the timeliness in this area is emphasized, that is, the sign of enterprise is the performance of enterprise brand.
3), the elements of Name:
Dealers care about the results, in fact, they are more concerned about details, and pay great attention to greater autonomy in the process of market operation, such as the promotion of policies, and so on. Investment policy clearly put forward these, also has great temptation to dealers.
4) the elements of life:
Product sales target and network scope must be clear and accurate, regional protection policy must be in place, and the development potential of sales channels must be analyzed. To occupy the resources for dealers can lay a foundation for their survival and establish a base area, and guide distributors to be sure to follow their manufacturers to build their own Kingdom and avoid unnecessary risks.
The above related policy elements can be solemnly committed to dealers, coupled with the lotus tongue of the business staff, so as to impress the dealer's "heart".
4. look for an agent like a lover.
Choosing agents is a very important market strategy task for small and medium-sized enterprises. It is the best way for small and medium-sized enterprises to market their products.
1) the advantages of choosing agents
2) reduce capital risk of enterprises
In the early stage of market development, especially for small and medium-sized enterprises to choose agents to jointly operate the market, we can make full use of agents' funds to speed up the capital turnover rate of enterprises and reduce the risk of enterprises' capital.
3), open the market quickly.
Many foreign brands often fail in the early stage of entering the Chinese market, and one of the main reasons is their unfamiliarity with the Chinese market. The agents are well acquainted with the local characteristics, consumption habits and good customer relationship. And when we choose agents to operate the market together, we can make full use of this advantage to open the market quickly.
4) let manufacturing and marketing split the division of labor.
With the change of channel pattern, more and more traditional agents are beginning to transform. Some of the best agents have been transformed into regional brand operators. For small and medium-sized enterprises, we can further divide the division of labor and choose agents to carry out regional brand operation and operate the market together without violating the overall brand strategy of the enterprises. Distributors do well in product distribution and brand promotion. Let manufacturing and marketing split the division of labor. Enterprises are responsible for producing differentiated products, high added value and core competitiveness of good products, and create a good brand carrier. Give reasonable sales policy to agents. {page_break}
5), frugal market development costs.
Choosing agents to jointly operate the market can reduce duplication of institutions, such as after-sales service agencies, use agents' sales network to reduce channel construction costs, and make use of agents' familiarity with local markets to reduce market research costs. At the same time, to some extent, business management can be said to be shareholders of an enterprise, and manufacturers and agents are a community of interests. With the further competition in the market and the change of the channel pattern, other sales costs such as entry fee, terminal construction fee, promotion fee and guide salary have also increased dramatically. Choosing agents to jointly operate the market can share the cost with agents, and save the market development costs of enterprises.
5. how to find a good agent.
There are many criteria for measuring excellent agents:
1) consistent business philosophy
The business philosophy of agents can be highly unified with manufacturers. We can fully understand and understand the company's corporate culture, product positioning, medium and long-term development strategy, regional market sales target and market operation plan, and be able to effectively implement various sales policies of manufacturers.
2) enough funds
The agent has enough funds to meet the market development needs of the manufacturer, to carry out market input, and to equip the relevant human resources, vehicles and warehouses according to the requirements of the manufacturers. Enter all kinds of channels in the regional market, carry out brand promotion, prepare sufficient supply of goods, and return money to manufacturers in accordance with the agreement reached by both parties.
3) good sales network
The sales network of agents can cover the entire regional market, and all kinds of channels are organically integrated horizontally and vertically. Having a strong wholesale channel and retail channel, the depth and width of the channel can fully meet the requirements of the manufacturers, reduce the cost of the network construction of the manufacturers, and quickly penetrate the whole market, increase the market share and the rate of distribution, and realize the deep tillage and meticulous work of the entire regional market.
4) strong distribution capability
Agents can fully mobilize the enthusiasm of various channels, formulate reasonable distribution policies, effectively manage two or three levels of distributors and guide buyers, so that each distributor will take the brand of his agent as the first brand to operate. Each terminal can be built into a five good terminal with good image, good location, good appearance, good training and good sales volume, and the maximum sales volume and turnover speed of each terminal will be achieved.
5) good customer relationship
Agents should have good customer relationship with modern chain stores, traditional stores, two or three level distributors and various commercial departments in the region. The operation of a brand is a systematic project, which needs to deal with the relationship with all sectors of society, and agents are the best carriers to deal with the relationship among departments in the region.
6) perfect after-sale service system
The quality of after-sales service has a direct impact on the vitality of the brand, and most of the enterprises now give after-sale service to agents. Therefore, a good agent should have a good sense of after-sales service, take after-sales service as a long-term strategy, and set up a professional after-sales service team to solve the problem of after-sales service in the area.
There are many criteria for measuring excellent agents, but there is only one criterion for small and medium enterprises: in a given period of time, suitable agents are good agents.
For small and medium-sized enterprises, it is not necessary to find the agents with the strongest capital, the largest sales network, the strongest distribution ability and the best relationship between customers and customers. This is very easy to appear "you love her, she does not love you" phenomenon. For example, when she gets your agency right, she will not push your product, or even reduce her competitors and prevent her from acting. Take this approach as a strategy to attack your brand. After taking the first shipment, they did not sell to the warehouse. Instead, your brand didn't pull and support was not enough. Therefore, for SMEs, the most important thing is a highly identical business philosophy. For financial strength, sales network, distribution capabilities, customer relationship, as long as in a specific period and scope, suitable contractual cooperation is good agent.
6. the relationship between the manufacturer and the agent is just like "lover relationship".
1), the same goal, love and marriage.
Enterprises and agents from acquaintance, acquaintance to love, marriage is related to manufacturers and agents lifelong events. From the very beginning, enterprises and agents should have a comprehensive understanding and understanding of both sides' "character" (Corporate Culture), "hobby" (enterprise positioning) expertise (core competitiveness of enterprises) and so on, and work out common goals.
2) mutual appreciation and encouragement.
There are no perfect things in the world. No man can live without grass. Which manufacturers and agents are also like this. There are no perfect manufacturers and agents. In the process of cooperation between manufacturers and agents, the two sides should appreciate each other and encourage each other to see the advantages of each other. For example, brand agents for new market entry should see their market potential, product competitiveness, and manufacturers' support for the market. For the agents whose sales network is not perfect, manufacturers should see their strong brand awareness and strong network building capability.
3) tolerate each other and use time to improve each other.
Manufacturers and agents as a community of interests, as a pair of strategic partners, should be like a pair of couples. For the other party's shortcomings, we should tolerate each other, put forward reasonable suggestions and give some help to the other side. For example, for agents with weak management capabilities, manufacturers can train agents to improve their management capabilities. For the new market, its brand awareness is not high, but has a strong brand awareness, strong R & D capability and super strong financial strength manufacturers. Agents should be viewed from a strategic perspective. Such manufacturers are blue chip stocks. Cooperation with such manufacturers is a long-term behavior. Agents should give manufacturers enough time to carry out brand actions.
4), empathy and understanding.
Manufacturers and agents are a community of interests, but at the same time they are separate individuals. Both sides have their own angles to deal with problems, and there is also a conflict between the two sides. At that time, you can't just stand on your own stand and look at the problem. Manufacturers can not simply ask agents to pay more money, more goods. Agents can not simply ask manufacturers to be low in price, big in support, small in risk and high in profits. We should learn to think and understand each other and find a reasonable balance.
5) short term goals of high pressure, and policy actions can only solve temporary problems.
The cooperation between manufacturers and agents is a relatively stable process. It is a long-term strategic cooperation process. Now, some strong manufacturers or agents often pursue some high-profile policies in pursuit of their own interests or quick success and instant benefits. For example, manufacturers compulsive request agents refund, in order to raise profits unilaterally raise product prices, mandatory requirements to sell some of the models which are not suitable for the region, otherwise stop supply. Or because the market sales are not ideal, but do not start from the market itself, formulate some short-term promotion policies to stimulate agents to pick up the goods. In order to win more profits in the short term, some strong agents oppress manufacturers to give more rebates, lower prices and more advertising fees. Such high-voltage short term goals and policy actions can only solve the temporary problems, which will only lead to "breaking up" between the two sides.
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