Chapter 80 Building offline stores
The end of the press conference also represents the official launch of the new product. This product now has two different sales channels.
The first channel is naturally the online sales channel.
It is a pity that the development of domestic e-commerce is still in its infancy. Although there are some e-commerce websites, most of them are basically half-dead.
Another sales channel is offline sales to completely distribute the goods through offline dealers.
But what’s surprising is that none of the offline dealers are willing to take over this new product.
Even though the current company's profit for these first-level dealers is as high as nearly 700 yuan, these dealers are unwilling to take over this batch of goods.
"Boss, most of these offline dealers are not willing to purchase products on a large scale from our company, and are only willing to temporarily purchase a small part of the products for sale!"
Obviously, these offline dealers have some doubts about this product released by Hongjun Technology.
The main reason why most dealers dare not accept this batch of goods is the high product pricing.
The price of about 5,000 yuan is a rare price for some top international brands.
However, a domestic brand has set its products at such a high price, which really makes the current offline dealers have no courage to pick up this batch of goods.
Even after learning about the pricing of this product, many dealers immediately watched the press conference. Although they were shocked by the innovation of this product, from the perspective of businessmen, these dealers
I do understand that this product is difficult to sell offline.
Innovation is indeed the highlight of this product, but in the current domestic market, price is the biggest flaw of this product.
Major dealers have been in contact with the market all year round and have a clear understanding of the current offline market situation.
The higher the price, the harder it is to sell products in offline shopping malls.
Especially in those non-first- and second-tier cities, it sometimes takes second- and third-tier dealers several months or even a year to sell some of the products worth more than 4,000 yuan.
Some lower-level merchants who are unlucky may have their products completely rotten in their hands, resulting in a loss of income.
It is precisely because of this that current offline dealers are unwilling to purchase large quantities of products from Hongjun Technology Company on a large scale.
After all, the sales volume of this product is an unknown number in the eyes of everyone, and most businessmen are unwilling to take a risk in order to ensure their own profits.
"It seems that the company still needs to do a lot of things for its future development!"
After learning about the current opinions and performance of this product through offline channels, Xu Cong also understood that the current company still needs to do a lot of things in order to develop.
From a product perspective, companies now need to make more hardware accessories for their products that can meet product development.
For example, routers and other auxiliary products.
And to produce these products, we must also ensure that these products can meet the consumption concepts of current domestic users.
In addition to developing the product's hardware and software ecosystem, the company still needs to make certain changes for future sales channels.
The first one is to expand the corresponding sales channels.
In the era of 2G and 3G networks, operator channels are an indispensable development channel.
Even the reason why many domestic brands can have sufficient product sales and occupy a place in the domestic market is that operators serve as very important helpers.
The four major domestic smartphone giants in the early days, including China Kulian, basically relied on operators to start their business.
Nowadays, operators basically purchase communication equipment at the level of one million or even tens of millions a year.
By being able to connect with operators, you can not only get a part of the profits, but also use the help of operators to build a reputation for your products.
However, it is also difficult to catch up with operators. At the same time, because the products produced by the company are currently priced too high, it is difficult to really catch the eyes of operators.
After all, current operators have a clear view of the overall domestic product consumption environment, so it is a bit unrealistic to choose Hehongjun Technology now.
Nowadays, the phone bill for most domestic users is basically about ten yuan, and the price of some expensive packages will never reach three digits.
After operators purchased a large number of contract machines, they bundled and sold these machines in the form of package contracts.
If HPone is now sold as a contract machine, the cost of the package is estimated to basically rise to 200 or more.
Otherwise, operators will not be able to truly obtain enough profits and benefits.
Judging from the current domestic consumption environment, there are very few users who can accept such a high-cost package.
In addition to in-depth cooperation with operators, the company can also rely on its own influence to sell products externally.
Self-operated store!
Spending your own money to establish offline channels is what Hongjun Technology can do.
In the future development of smartphones, it is necessary for a company to establish offline stores and offline after-sales channels.
After all, in the next ten or even twenty years, offline channels will still be the main shipping channel for communication equipment.
Even in economically developed European and American regions, offline channels and operator channels are still the main sales methods of development.
According to Xu Cong's plan, within the next year, the company will build offline direct stores in first-tier cities in China.
As for the future second and third tiers and even areas with weak economic development, they are not included in the company's offline channel store construction plan in recent years.
The current time period is not a time period for the rapid development of smartphones.
When the 3G network era arrives, smartphones will take a leap forward in the entire field of communication equipment.
It is precisely because of the arrival of the 3G network era that smartphones have truly replaced feature phones and become the dominant or even dominant player in the field of communication equipment.
At the same time, the current product pricing is too expensive, and it may not be possible to sell the product in second- and third-tier cities.
And entering the front line first can build momentum for the company's future offline development.
Not only to create buzz for the product, but also to create buzz for the high-end image of the brand.
In Xu Cong's plan, the company will establish a dedicated self-operated flagship store in first-tier cities, and the location of the store will be in the city's most prosperous business district.
In addition, when it comes to store construction, it is necessary to build the flagship store into a high-end atmosphere, and if possible, even operate the company's self-operated store into a landmark building in the local first-tier cities.
"Go and ask Zhou Cheng to come in!"
Xu Cong told the assistant on the side to go and ask someone to come in.
Regarding the construction and expansion of offline stores, this matter still needs to be left to specialized people and teams.
Zhou Cheng is a newly recruited talent of the company who once worked in Nokia China Region.
Xu Cong once read the other party's personal resume in detail and found that the other party had been responsible for offline channel work at Nokia for two years.
When Nokia first developed in China, it also wanted to borrow its offline channel model in Europe and establish independent stores in China to sell its products.
It's a pity that Nokia's products are considered high-end products in the current market. After establishing independent offline store channels, it cannot earn more profits by selling products.
On the contrary, due to the high store rental and hiring costs, Nokia did not see much profit growth in the three years it expanded its offline stores. Instead, it suffered some profit losses.
After all, Nokia's original ambitions were very great. It not only focused on first-tier cities, but even opened stores in some second-tier and third-tier cities.
When it's crazy, there can even be more than 200 stores in China.
It's a pity that offline stores were built very quickly, and the burden they brought gradually made Nokia feel the pressure.
Because of this, after two years of trying, Nokia finally chose to give up the idea of building offline stores. Instead, it began to look for offline channel vendors and sell goods through cooperation with offline channel vendors.
Stores that had been opened were closed one after another. As the person in charge of this project, Zhou Cheng also ended up not getting any promotion in the years he worked at Nokia because of the strength of the project.
After seeing no hope, Zhou accepted the invitation from Hongjun Technology and finally left Nokia out of vision for the future.
"Offline projects? Boss, with all due respect, the development of current offline projects is likely to be a waste of time..."
After Zhou Cheng learned about the task assigned to him by his boss this time, he hesitated for a moment and finally expressed his thoughts.
Having had a failure experience, he clearly understands that the current Hongjun Technology is not suitable for rapid expansion.
The current price positioning of Wanxiang Technology's products is almost the same as that of Nokia's products. Judging from the current consumption power of domestic consumers for products, expanding offline channels is like a moth flying into a flame.
"This time the company opened an offline directly-operated flagship store and did not intend to make profits with the help of the directly-operated flagship store!"
“The purpose of opening a direct offline flagship store this time is to establish the company’s brand image and at the same time expand the influence of the company’s products so that more domestic users can clearly understand that the products we produce are top-notch technology flagship products!
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"Secondly, don't worry, we won't open many stores this time. We will only open them in first-tier cities. Each first-tier city can open up to two stores. The number of stores calculated will definitely not exceed thirty..."<
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Xu Cong also told the current Zhou Cheng one by one about his plans and intentions. After all, the next matter will be fully handed over to him.
In addition to plans and plans, Xu Cong also has higher requirements for the location and construction scale of his self-operated stores this time.
Chapter completed!