Good Electricity Providers Should Learn To Price War.

< p > here world < a target= "_blank" href= "http://www.91se91.com/" > dress < /a > a target= "_blank" href= "_blank".

< p > for e-commerce platform, price war is a marketing means of low cost and increased flow.

Price war is a marketing way of free purchasing traffic, which attracts large quantities of traffic free of charge through price war. The enterprise eventually saves the marketing cost and gives profits to consumers.

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< p > August 11th night, Gome President Wang Junzhou sent internal mail to Li Juntao, Mou Guixian and other Gome executives. The content shows: Gome's strategic objectives in the second half of the year are: first, the Gome line business surpasses Suning; Gome online must surpass suning.com; two, the price of Gome Online and offline must be lower than that of Jingdong.

Another emails came from GOME online chairman Mou Guixian, who sent general mobilization orders to all employees of Gome online: the strategy of Gome in the second half of the year is that all business systems of online businesses and offline stores must ensure that prices are lower than Jingdong. The price of commodities is tight enough to stare at Jingdong's price adjustment at any time. If a price of a commodity is found to be higher than Jingdong for three times in a row, the responsible person will be dismissed directly.

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< p > this kind of "a href=" http://www.91se91.com/news/index_s.asp "> /a" internal mail outflow "has long been seen and not discussed.

If it is mentioned in the mail, Gome can really make the price lower than Jingdong, which is a great joy for consumers.

A price war will ultimately benefit consumers.

In view of the price war, an article appeared on a platform today, and the media spread widely. The article mentioned that "price war" is called cutting meat inside the electricity supplier industry. Not only is it cutting meat of competitors, but also cutting its own meat... The so-called "eight hundred of the wounded, self harm one thousand" is the best way to fight the battle, and there is no technical content.

In view of this, veterans do not agree with each other on the "price war". I want to talk about my point of view.

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< p > < strong > 1. Why does the electronic commerce platform need to have a price war? < /strong > < /p >

< p > before the electricity supplier has yet to start, the domestic goods have entered the buyer's market with oversupply.

Electricity providers are using price advantage to drive consumers from offline to online.

It can be said that an important reason for pushing the comprehensive e-commerce platform represented by Taobao to destroy the traditional retail channels is the price gap.

The advantage of e-commerce platform in price war is: 1., drive consumers with price.

Unlike brand electric providers, whether vertical e-commerce platform or comprehensive e-commerce platform, they are very difficult to achieve brand premium, just like brand electric business, by raising the value of products. One of the best driving ways to accumulate customers' education consumers is price, so that consumers can develop the consumption mentality of buying XX products on XX website.

The platform itself is a retailer. If the same product has no price advantage, what will the customers buy online? 2., the price war will play a role in the world.

Electronic commerce platform plays a very important role in the price war. Is it necessary to play the role of the e-commerce industry? Does Jingdong rely on long-term price war to get rid of the traditional 3C retail channels and catch up with Suning Gome? Let alone make a sale of various double 11, 99 promotion and 38 girls' festivals every year, so that businesses can lower prices and declare war on traditional channels. Is the essence not a price war? < /p >

< p > < strong > two, will price war really hurt the enemy eight hundred and self harm one thousand? < /strong > < /p >

< p > in a mature and fully competitive market economy, price war is an important skill for an enterprise to survive. He is not unique to the Internet. It is only the Internet that magnifies the meaning of price war.

For similar standardized products such as 3C, high price products, customers are more sensitive to price, and price war is an important way for this kind of e-commerce platform to survive on the Internet.

The so-called price war "killing eight hundred, self damaging one thousand" is a fallacy. Price war, as an important marketing strategy of the electronic commerce platform, does not have any problems in itself. The question is whether you will fight or not. The market is yours.

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< p > an important reason for the difficulties of traditional enterprises in pforming electricity providers is that traditional enterprises have overemphasized profits in the initial stage, ignoring the market share and scale.

When they are still hesitant, these emerging e-commerce platforms have used price wars to beat opponents down one by one.

For e-commerce platform, price war is not about whether to fight or not, but how to fight.

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< p > strong > three, will price war really affect profits? < /strong > /p >

< p > price war will result in a sharp decline in corporate profits. This is also an important reason why many enterprises and experts do not agree with the price war.

Is the price war really against profit? The old soldier does not think how big the profit will be. In theory, the price war brings about a rise in the sales base and profits will increase correspondingly.

Especially for the electronic business platform, price war is a marketing means to increase traffic at low cost.

Price war is a marketing way of free purchasing traffic, which attracts large quantities of traffic free of charge through price war. The enterprise eventually saves the marketing cost and gives profits to consumers.

To put it in a nasty way, even meat cutting is the meat of suppliers.

Why businesses on the platform are willing to cut meat, because: first, sales volume is changed, sales are small profits but quick turnover.

Two, if we make good use of traffic and do well in the related sales of long tail products, profits will not only decline, but the conversion rate of traffic can be improved.

Three. To participate in the large-scale activities of the platform, in addition to obtaining substantial sales, it is more important to get a brand exposure opportunity.

So it is profitable for both platforms and businesses.

The real price war electronic business platform will never affect profits, only if it will not play will affect the profit.

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< p > < strong > four, how should we fight the price war? < /strong > < /p >

< p > 1., we must have integrity in price war.

Nowadays, many consumers do not buy the price war, not the price war is not attractive, but the lack of collective integrity of the electronic business platform. The first way to raise the price and discount the trick is so common that consumers are frustrated.

The story of the wolf has been heard, deceiving people two times is OK, then think of cheating third times no one is willing to believe.

Gome online wants to achieve results through price war, and how to rebuild the psychological expectations of consumers, so that consumers can accept the authenticity of their low price.

For example, you have to show your historical price curve and prove that you didn't lift it first and then drop it (though there is also the possibility of cheating). It seems that only Taobao has done it now.

For example, do you dare to explode the price of competitors directly on your own merchandise page? Can you make less marketing gimmicks to send billions of billions of red packets to deceive people? Consumers are not fools. Giving red packets is not as good as making a discount on actual products.

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< p > 2. price war is a protracted war.

For an electronic business platform with a passive position behind it, the price war must be continuously fought. It is meaningless to play once, just like throwing a stone into the sea, and there is no way to lift layers of ripples.

In the past two years, Suning and Jingdong's price war was booming, but after the price war, the price of Jingdong was still more substantial than that of Jingdong.

Therefore, price war is a long-term strategy to catch up with competitors. To fight price war, we must prepare well for a long time below competitors, at least the price should not be higher than that of our competitors.

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< p > 3. price war should be targeted.

In order to fight price war, we must pinpoint our goal and aim at the hot selling products of our competitors for a long time.

The 28 rule is also applicable to the price war, and the product of the former 20%~30% is hard hit. When the price difference between the two is higher than 50 yuan, it can actually move some of the consumers.

Of course, the greater the price difference, the higher the attractiveness. The electronic business platform should at least learn to calculate the best proportion to adjust the price range.

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< p > 4. price war should be a combination of boxing.

Price war is a marketing strategy on the surface. Actually, it is a systematic marketing method. It tests team coordination and operational level.

For example, whether the related sales have been done well, whether the long tail traffic path is reasonable, whether the website service experience is able to keep up with, whether your logistics experience, your installation experience, and your after sales service are enough to make people scream.

Like Suning guomi's electronic business platform, its good advantage is to experience, install and sell after-sale services in stores. Unfortunately, the two giants will only play the price war speculation instead of playing a supporting role in the service level.

For example, do you dare to promise faster logistics than your competitors? Do you dare to promise to install free? Do you dare to be more competitive than your competitors after sale? < /p >

< p > 5. price war can not be divorced from commodity value.

No matter how the price war is fought, commodities should not be divorced from their commodity value. Otherwise, price war will not only fail to increase sales, but will play a negative role.

What we can often see is that when Jingdong and Tmall are fighting price wars (on the day of big promotion days), the prices of some appliances on Taobao will be much lower than normal prices, or even half the price.

When we see such a low price product, most consumers may question the quality of the product, but affect the credibility of the platform.

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< p > finally sum up: price war is not omnipotent, but in the early stage of "a href=" http://www.91se91.com/news/index_c.asp "electricity supplier < /a > platform rise, in order to expand market share and enhance influence, price war is absolutely necessary. A truly successful enterprise ultimately depends on the operation of real skills.

What hurt you is not the price war itself, but your product, operation, and other system supporting services. The price war is just a representation, which reflects a company's control ability for operation cost.

It may be that the price of products has dropped, but the cost of operation in other areas is also decreasing.

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