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MUJI "Price Reduction" Can Also Be So Fresh And Free From Vulgarity?

2019/6/21 10:41:00 12

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Due to the high pricing of the new iPhone, Apple's financial data in the latest quarter are not as good as expected. In order to change this situation, Apple launched the biggest effort in the Chinese market to replace the old with new coupons, trying to save sales from falling. In order to stimulate consumers, the price of iphone8/8plus in Jingdong has even been reduced by more than 1000 yuan.

But there is such a brand Over the past four years, more than ten price cuts have been made. Unlike apple, however, it has never recognized its own "price cutting" behavior.

What is this all about?

"New pricing" - there are cheap reasons.

In February 2015, the official public address of Muji printed a note: Muji picked up about 100 necessities and adjusted prices in October 2014. At the beginning of this year, a number of clothing items were selected for a new round of "new pricing" activities.

Why "new pricing"?

1. lower import tariffs. Since Muji is directly chosen to produce goods in the mainland of China, there is no need for customs duties. At the same time, China has entered into preferential tariff contracts with some Southeast Asian countries, making the tariff on imports from these places lower.

2. efficient inventory management. MUJI has reduced the cumbersome process of distribution and reduced the cost of circulation through a more efficient inventory management method.

3., the scale of production has been expanded. Because of the increase in orders, factories can use lower prices to reduce production costs.

It has to be said that the tweets of the Muji have not only made the price itself fresh and refined, but also made a Call for the brand, allowing consumers to feel that this is only the profit making activities of Muji.

But in fact, which brand will dislike its own profits too much? Which brand will really be willing to give up consumers? The truth is that consumers in mainland China are increasingly unhappy with Muji's high price.

In order to reconcile this discontent, Muji had to take a "price cut" approach. But in order to be more respectable, the word "new pricing" is used.

"New pricing" -- there must be "new reasons".

In January 2016, the official seal of the Muji company issued another tweets: to make more customers more convenient, buy MUJI products with more favorable and more intimate prices, and get hints of better life through Muji proposal, Muji is trying to "price new products".

Yes, the reason this time is to set a new price for the good life of consumers. Then in 2017 and 2018, it basically followed the idea of "new pricing for a better life", but made some adjustments slightly.

The reason for the price reduction in 2017 is to let customers buy the right products at the right price when they need them; in 2018, the reason is that life is continuing and the improvement is continuing. That is to say, although the reasons for finding the "new pricing" vary from year to year, it is actually just a gimmick. For Muji, the reason for the price reduction is not important. The important thing is that the posture must be elegant.

By the time 2019, Muji had invented a new word in the "new pricing", which is called "price reexamination".

In short, since January 18, 2019, Muji has made a fresh look at the prices of those stars, hoping that better products will be delivered to consumers at a more reasonable price.

I can not help but say that the price reduction can be so elegant by Muji, it is also a marketing art.

Why do MUJI products adopt "new pricing"?

Before 2015, Muji can be said to be a triumph in the Chinese market. Even Matsui Chusan, former president of Muji, said: "134 Muji shops in 39 cities in mainland China (as of May 2015), average investment in 15.9 months.

However, after entering the 2016, new products represented by the name of "excellent products" and "NetEase" were chosen as new representatives. fashion The brand has been born, the former is the main line, the latter is the breakthrough line. That is to say, Muji has met competitors in China.

As we all know, Muji is actually a synonym for "low price and high quality" in Japan, that is, a grocery store near the supermarket. But in China, because of the idea of "worshipping foreigners and foreigners", plus the label of "Minimalism", "indifference" and "taste", Muji has been followed by a large number of middle class in a flash.

However, such a game is being abandoned gradually along with the deepening of China's reform and opening up and the change of Chinese consumers' concept. In fact, Muji has fallen from the altar to the world in the eyes of Chinese consumers.

In September 2018, the shop of Muji, a MUJI Beijing, caused a heated debate on the Internet because of its refusal to make industrial and commercial sampling. Because in the eyes of consumers, you do not cooperate with the sampling inspection of the business sector, it must be the quality of the goods is problematic, there are ghosts in mind.

Before that, Muji companies in Beijing and Shanghai had been punished four times for product quality and other problems. Therefore, in the internal and external cause of the common attack, the "lower price" of no printed goods is also reasonable.

Price fixing means life and death. Muji does not dare to admit price cuts.

According to the financial report, in the third quarter of 2018, the total sales volume of the MUJI products in China was 4.1%, and the two consecutive quarters of sales fell year-on-year.

Why does Muji do not stimulate sales directly by cutting prices? After all, the effect of price reduction on product sales is immediate.

It is because the negative effects of price cuts are also very serious. Consumers will find it difficult for enterprises to take price cuts and tide over difficulties. More importantly, the price reduction will reduce consumer loyalty and the value of the brand will be impaired.

History has proved countless times that customers who are attracted by price will often leave you at a lower price. Therefore, brands are often reluctant to stimulate consumers through direct price cuts. However, under the pressure of performance, we have to launch various "price reduction measures" in disguise.

Whether it's "old change" or coupons or "installment payment" is actually a disguised way to reduce prices. However, Muji's "new pricing" is even more advanced, which is a model for domestic brands.