Reborn with a Cell Phone 2007
Chapter 283: The sinking market in April and May
Starting from April, Ji Shumiao and Zhou Hui began to travel around the country separately.
More and more old domestic brands that have been hidden are reappearing in the public eye. Customers who place their first order out of sentimentality often repurchase again, discovering that many things can actually be very cheap after removing the brand premium, and their three thousand salary is actually enough.
With a steady stream of sales channels, manufacturers that start to make profits have money to upgrade packaging and product production lines, and downstream raw material suppliers and packaging manufacturers also have more income. The popularity of a product benefits the entire industry chain.
Both producers and consumers benefit, but there is always someone who is unhappy.
Whenever a brand comes out, there are rumors about it online: it causes cancer, it’s so unhygienic that there are dead flies…
When one problem is solved, another one pops up. The speed at which foreign capital is suppressing the market is far slower than the speed at which domestic brands are rising.
The influencers under Miaomiaowu are also working to guide public opinion:
"I heard about MSG's cancer-causing effect when I was a child, but I'm not a child anymore! When it comes to healthier chicken stock, the first ingredient in its list is MSG, and it has even more preservatives than MSG."
"I'm at the gate of the Hongyan Cola Factory now. It looks shabby from the outside. Let's go in and take a look at what's going on inside..."
“Thinking is the only weapon of ordinary people. What ordinary people can do is to remain sensitive, maintain hatred, not empathize with the strong, not worship rules, and not fear authority…”
"Look at who said those things. They are the ones who don't want our national brands to rise..."
……
This is why Ji Shumiao wants to start doing these things after building a mature traffic platform and traffic matrix.
What the people can hear is the loudest cry.
In May, Ji Shumiao and Zhou Hui met in their hometown's provincial capital.
"Come on, I'll take you to see my Imperial Hospital." Ji Shumiao waved his small fan and pointed directly to the Hospital of Integrated Traditional Chinese and Western Medicine.
Ji Shumiao took Zhou Hui to visit the hospital, the Medical Research Institute, and the Medical Device Research Institute. All of these were conducting research and development in the areas of anti-cancer and anti-viral research in accordance with Ji Shumiao's deployment. They had already achieved some initial results, and everything was moving in a good direction.
The provincial capital is at a high altitude, with clear skies and nice weather every day.
Ji Shumiao and Zhou Hui took some time to go to the Chinese medicine planting base in the mountains and climbed up the mountain step by step.
Ji Shumiao slipped and was steadily caught by Yin Xiao behind him and pushed up.
Ji Shumiao smiled gratefully: "Female power, Power!"
Zhou Hui couldn't bear to watch: "It's not hot, and you still hold that broken fan of yours all day long."
Once you climb up, you don't have any hands free to grab the trees next to you, so it's no wonder you don't fall.
"I won't fall again." Ji Shumiao raised his chin proudly.
With Hidden Wolf and Hidden Owl behind her, there was no way they could let her fall.
Zhou Hui realized that he had said nothing more and just climbed up with his head covered.
"Wait for me!" Ji Shumiao hurriedly chased after him.
Hidden Wolf asked in a low voice: "Do you feel..."
Hidden Owl: “I think…”
Climbing to the top of the mountain, I feel relaxed and refreshed.
Ji Shumiao opened his arms and stretched his body, taking a deep breath. He didn't know if it was because there were medicinal herbs growing all around him, but he felt refreshed after taking a breath - or it could be an illusion.
Today's blue sky and white clouds are very beautiful. White clouds are floating under the blue sky, like fluffy and soft.
Ji Shumiao whispered, "It's so beautiful. I hope the sky will always be this beautiful."
Zhou Hui coldly poured cold water on him: "That's impossible. The weather forecast says it will rain in the afternoon."
Ji Shumiao rolled his eyes and didn't want to talk to him.
On the way back, Ji Shumiao got caught in the rain, so he went back to the hotel, changed his clothes, and went to the airport.
They are going back to Beijing tonight, where there are still many office documents waiting for them to process.
Not all old domestic brands need to be saved. For example, domestic daily chemical brands such as Libai and Ace have stood out from the heavy siege of foreign capital, successfully fought back against foreign capital, and are now growing stronger and stronger.
In the 1980s and 1990s, when overseas brands flooded into China, their approach to grabbing the market was very rough. They promoted their own brand awareness through a large amount of advertising, and then frantically seized supermarket channels in rural areas.
If there are already strong domestic brands in the field that overseas giants want to enter, then they can either engage in a price war with them until they are crushed to death; or, like Hongyan Cola, carry out mergers or acquisitions, introduce their own brands into the existing domestic channels, and continuously erode the channels and markets of the original domestic brands until the domestic brands are marginalized.
The domestic brands that have survived and are still active today have all adopted a strategy - avoid the limelight and seek other opportunities for survival.
Instead of engaging in price wars with foreign capital in cities, the company has expanded its business to third-, fourth-, fifth- and sixth-tier cities and even rural areas, temporarily abandoning high-end products and looking for capable individual distributors to sell popular daily necessities in the lower-tier markets, thus spreading its products to every corner of the lower-tier markets.
After accumulating a certain amount of funds and strength in the sinking market, it will slowly start to return. On the one hand, it will increase advertising investment, and on the other hand, it will begin to lay out higher-end product lines and more segmented product lines.
This is the strategy of "surrounding the cities from the countryside".
Foreign giants cannot take care of every category, so some brands only focus on a small category, put a lot of effort into it, and then expand into other categories after accumulating a certain amount of strength and capital.
What these domestic brands, which have already accumulated a certain amount of strength, are doing is creating more high-end brands and slowly squeezing the high-end market of overseas giants.
Ji Shumiao was not surprised that these brands extended olive branches to Shenglang and sought cooperation.
With the popularization of 4G and WiFi, Shimian APP began to dominate the top of major application stores for a long time and gradually became a national software.
Ji Shumiao is very welcoming to this type of domestic brands that want to enter the Shimian Mall, and has provided great traffic support in the early stages.
I don’t know if it’s because of the popularity of the Shimian Mall in this era, but Ali Mama was listed in the United States two years earlier.
As soon as he learned that Ali Mama was going public, Ji Shumiao immediately convened a meeting with the senior management of Tonghuali, Miaomiaowu and the marketing department to prepare to take over the more than 20 low-end merchants driven out by Taobao.
Ali Mama created the world's largest IPO, but what it received was not praise but overwhelming infamy - China's richest man was built on the foundation of selling counterfeit goods.
Therefore, Alibaba made a strategic adjustment, allocating more resources to "Tianmao", which sells authentic and branded goods, and began to "crack down on counterfeiting", driving more than 20 low-end merchants out of Taobao.
But China's sinking market is huge, and these more than 20 merchants have a complete supply chain, mature teams and established customers.
Ji Shumiao required that these merchants be taken over in an organized manner in the shortest possible time and that the company establish its own supply chain. Express logistics also needed to be upgraded, and shared warehousing should be established through cooperation with merchants across the country so that products could be delivered to customers faster in the future.
Ji Shumiao was very busy throughout May.
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