How Do Four "Factory Thinking" Affect Brand Success Or Failure?

Many factories have been pformed into brands, and cars have failed.

Losing is losing.

"Completely plated into the operation of the brand.

Factory thinking is a typical way of thinking for foreign trade enterprises.

Its biggest feature is that every order can be calculated first. If there is no special circumstances such as customer return, the established profit can be smoothly realized.

The formula is simple: order cost = profit.

The order amount (multiplied by unit price) is known before production. The cost is relatively fixed (even if the increase in raw materials and labor is due to the increase in the order quantity, it can be calculated), and profits are clear at a glance.

When the container goes out of the factory gate, the profit is already in the accounts of the financial personnel.

To sum up, the six key words in factory thinking are cost, order, production, quality, profit and price.

"Cost plus profit" is used to evaluate whether the order can be received, and the "production + quality" to meet the customer's requirements, so as to win the repeat customers better than the competitors' "price + quality".

Why does factory thinking affect the success or failure of a brand?

First, decide "input" by "obtaining".

This "acquisition" is often calculated on a single order, focusing on short-term gains.

Face

The most important question in the factory's internal communication is whether it can be done or not. The factors that decide whether to do it include profit, technology and delivery date.

Use this mindset to do it.

The trouble is big.

For example, when an enterprise wants to advertise, can you first figure out that advertising can bring 2 million yuan business, and then decide to spend 1 million 800 thousand yuan on advertising? No advertising agency and media dare use this calculation method, they will tell you: input is very clear, the advertising cost of output is comprehensive and input must be clear, output is determined by comprehensive factors and can not be quantified.

The idea of short term input and output is not enough for brand growth.

The growth of any brand will follow this rule: all brands have a process of patient cultivation.

When decision-makers do not have a long-term vision and lack of patience to nurture brand, they can not afford to invest in the brand and make quick profits and instant benefits. On the other hand, they will not agree with the brand thinking of the executive team, but also have an exclusive view on team members.

Two, simplify operation

The operation process of the foundry enterprise is complicated inside and simple outside.

Participating in exhibitions, recognizing customers, getting orders and delivering goods on time, this is the operation process for foundry enterprises to do foreign trade. The internal processes include proofing, production, quality inspection, packaging, logistics and so on, which are much more complicated than external operations.

Before upgrading, numerous factories simplified the internal process, focusing on orders, and internal management was miserable.

The operation process of brand is quite different from that of factory. It needs personnel management and cost control, and there are complex and changeable processes such as channel, terminal and market.

These external processes are not as easy to control as internal processes, and they will become out of control if they are careless.

If the external process is not well done, the internal process is also good and useless. Only when the channel is smooth and the product is selling well, can the brand be on the right track.

This is one of the great differences between making a brand and making a factory.

Foreign trade business is the starting business, core business and sole business of many factories. The operation and implementation process of profit pattern are relatively simple.

Many foreign trade factories are accustomed to this simplistic operation mode. Faced with complicated changes in making brands, they find it too cumbersome and too long. No one wants to sink their hearts to cultivate brands, but continue to follow the usual simplification operation -- opening up with money and relying on outsourcing.

The most serious harm of outsourcing is that the marketing agencies undertaking outsourcing businesses throw away factories and become marketing institutions own brands.

This situation is by no means an Arabian tale. The marketing organization quickly establishes its own channel through the brand and product of the factory, then registers the brand, and looks for the factory to carry on the OEM production.

At this stage of cooperation, factories will be too late.

Channels, markets and terminals are in the hands of marketing organizations. Overnight, the products of marketing organizations can replace the products of factories.

Everything has to come back again. The only way to pay for simple operations is factories.

If the marketing organization's "anti water" has hurt the channel and terminal of the original brand, then the factory will need more investment and longer time to make up for the damage.

In the final analysis, it depends on outsourcing to develop brands, and factories earn money from manufacturing.

The factory thinks that it has its own brand, but in fact, it has not realized the real pformation, but only by outsourcing its own product into the domestic market.

Three, ignore hidden costs.

Most of the cost of foreign trade factories happens on their own sites.

Even raw materials will eventually be pported to the factory. The cost of logistics is also calculated from the factory. Workers can only get remuneration for their work only if they work in factories.

The biggest cost is digestion on the site of the factory.

The boss also has a close eye to know which aspects of cost allocation are dominant.

When the factory is pformed into a brand, many costs do not happen in the factory, but happen on others' land, hiding in the process of brand development.

Compared to the dominant cost of the factory, the cost of making the brand is often invisible, and "ambush" is in the unknown area of the factory owner.

To make a factory is to sell products, arrange production according to the order, the foreign customers will definitely pay all the goods, and the corresponding cost will soon be digested by the order itself.

Brand is not the case, if you produce the product, if you can't sell it, then these costs will never be able to offset, you also have to pport costs.

When can we sell the goods completely? If the boss has no bottom, there is only one answer: God knows.

If you want to stick to it, you have to invest in marketing and terminal promotion.

The cost of "ambush" has been excavated again. Where are the areas invested and how much are they invested?

In general, the test of the factory is the control of the fixed factors, and all kinds of costs can be estimated.

The test of brand is the ability to compete with the changing factors. The test is the ability to balance the distribution of the benefits of the channel and the ability to judge the hidden cost input.

Four. "People turn around products."

The merchandiser in the factory is to track, control, dredge and coordinate the whole process by completing the order.

Many operational aspects of the plant, including production planning, material procurement, product technology development, process equipment, quality control, and so on, all take product as the core.

In general, the operation of a factory is "people around the product".

The product is well done, and there is no shortage of sales. This iron rule, which was once unimpeded in manufacturing, will fail in brand management.

Good products may not be able to sell, but products are not equal to the market.

Brand is "people around the brand", products are also around the brand, and brand around consumers.

Consumers are the core of brand operation.

The inertia of "people around the product" will make people addicted to the quality of products and ignore the real needs and feelings of consumers.

A case is that a floor factory is pformed into a brand, and the boss of the engineer believes that the higher the wear resistance is, the more consumers will like it, because it has longer service life.

He raised the number of wear-resisting revolutions of the floor to 25000 turns (the 6000 turn of the household floor is enough), and placed a tool on the sales site to let consumers do the test.

However, the appearance of the floor is ordinary and the style is single. The consumers do not arrive on schedule.

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