This is one of the towns under Jiangcheng County. Although Liuhe Town is only 10 kilometers away from the city center of Jiangcheng County, the economic environment is relatively poor because the industry is underdeveloped and the infrastructure is not convenient.
Liuhe Town has a large population and is also a major labor export town in Jiangcheng County.
However, although the environment in Liuhe Town is relatively poor, the income of residents in the town is pretty good compared to several other towns.
Therefore, there are already large and small home appliance repair shops and home appliance sales shops on the streets of Liuhe Town.
Of course some of them sell VCDs.
The home appliance sales shop opened by Li Hongtao is one of them.
Li Hongtao mainly sells some cheap copycat TVs, cheap VCDs, some radios, etc.
Although the business is not good, it is not bad either. In short, it is just barely enough, and it is better than Li Hongtao going out to work.
The best-selling product is actually radio, followed by VCD.
In fact, there are many customers who come to ask about the price of VCD, but only a handful of them are really willing to buy it.
This illustrates a problem.
Users are actually very eager to own a VCD, but because the price of VCD is too expensive, some of which are beyond the income of local people, so everyone just comes to see if it is expensive and makes up their mind to buy not much.
Li Hongtao's top agents are Aido and Wan Yan's VCDs.
The reason why we represent these two brands is because these two brands have general agents in Jiangzhou and sub-agents in Jiangcheng County, and the prices are cheaper than other brands.
But even so, the product is not very easy to sell.
Being able to sell two or three units a week is very good.
On this day, Li Hongtao met Lingtian VCD salesman.
In the past, Li Hongtao also met other VCD sellers, but these sellers were rejected by Li Hongtao.
The reason is that Li Hongtao has to spend money to purchase goods from these merchants.
Because vcd is relatively expensive, its sales volume is not very good.
If you spend money to purchase goods yourself, if you can't sell them, wouldn't the product fall into your own hands?
Li Hongtao is not a fool.
He would never do such a thing.
And electronic products are not other industrial machinery products.
You say that if you buy a ladder and you can't sell it in a year, the ladder will still be there, its appearance will not change, and its function will not change. Others will come back to you after leaving for a day.
But if you can't sell VCDs in three to five months or half a year, you'll be in trouble.
Because vcd is constantly being upgraded, after half a year or a year, your product may completely fall behind.
Moreover, if electronic products are not used for a long time, they are likely to break.
Therefore, Li Hongtao would never do anything that he was not sure about.
But the conditions offered by Lingtian Technology were simply impossible for Li Hongtao to refuse.
The first one is sales profit, Lingtian vcd’s profit is relatively high.
The profit of Lingtian VCD retailers is about 20%, while the profits of retailers who sell Aido and Wanyan VCD products as agents are only about 10%.
In comparison, selling Lingtian VCD is definitely more attractive.
The second one is, of course, not to bear any costs. Whether you are buying Aido VCDs or Wanyan VCDs, you will incur costs when purchasing them at retail.
When purchasing Lingtian's VCDs, it does not cost anything to complete at retail locations.
It doesn't matter if the product doesn't sell, it's just a display.
Of course, the most important thing is that the price of Lingtian VCD is hundreds of dollars cheaper than Aido VCD and Wanyan VCD.
These few hundred yuan are not a small amount of money for consumers in rural towns.
Sometimes when consumers in rural towns buy VCDs, they don't even look at your brand, and their requirements are very simple, as long as they have basic response functions.
The only indicator they look at is the sales price.
From this point of view, Li Hongtao’s analysis of Lingtian VCD is definitely profitable.
Therefore, Li Hongtao quickly signed a contract with Lingtian Technology.
Both parties agreed to make settlements once a month.
After the contract was signed, Li Hongtao's wife was still a little worried.
"Lao Li, Aido and Wanyan are all big brands. Although they are more expensive, they are reliable!"
"Although this Lingtian vcd is a technology brand supported by Jiangzhou City, it is still a small brand in the end. Will you be deceived?"
After all, Li Hongtao has been in business for more than 10 years and has seen everything.
He stretched out, lay on the bed and said, "As long as I don't pay out, I won't be cheated!"
"Lingtian Technology's VCDs are sold in our store. If they are sold, we will have about 20% profit. If they are not sold, we have no advance payment. It doesn't matter if we don't even take the VCD back."
"If you don't take money, you won't be cheated! I know this for sure!"
Li Hongtao's wife seemed to think this way. Since she didn't pay for it, what did the scammer see in her?
Thinking of this, my wife nodded and said: "This is the truth, but I always feel that Lingtian Technology and others are stupid. All the risks are borne by them, and all the profits are made by us. How can there be such a good thing in the world?"
Li Hongtao felt a little sleepy. He patted his wife on the shoulder and said: "Okay, okay, don't think so much, just go to sleep first. As long as you don't spend money, it doesn't matter!"
Li Hongtao thought about what his wife said over and over again, and evaluated whether there were any risks with Tomorrow Technology.
After much thought, he felt that he was definitely not at risk.
You don’t have to pay for the first one, and you don’t need to advance for the second one. If you are still at risk in this situation, you are really out of luck.
During this period, the five townships under Jiangcheng County, as well as a total of 12 agents of various sizes in the county, all adopted the same method as Li Hongtao to cooperate with Lingtian Technology under the lobbying of Lingtian Technology's sales staff.
Lingtian Technology places its own VCDs on the shelves of these agents.
The amount of money will be settled according to the number of units sold here, and the agent does not need any advance payment at all.
Most of the more than 10 sellers in Jiangcheng County have long-term cooperation with Duo VCD or Wanyan VCD.
Yang Ling's move was to draw out the firepower and launch an all-round nuclear competition in Jiangcheng County, where the two VCD manufacturers competed.
Yang Ling did take a huge risk by doing this.
If even one VCD cannot be sold, then all the goods will fall into Yang Ling's hands.
The cost of this shipment includes not only labor and material costs, but also equipment costs.
But with Yang Ling's control over the development of the times, he knew very well that low-priced VCDs would definitely win the market.
Moreover, Yang Ling chose to start his efforts in Jiangcheng County instead of Jiangzhou City.
The most important reason is that the consumption levels in the two places are completely different.
The economic conditions in Jiangcheng County are worse, and consumers are more price sensitive.
Products with cheaper prices will be more favored by consumers, while brands are less popular.
No matter how well-known your brand is and how good it is, if your price is outside the consumer's consumption range, it will definitely not sell.
Jiangcheng County is currently able to accept the price range of VCD, which is within 1,500 yuan.
You can't buy a fully functional Wanyan or Aiduo VCD for 1,500 yuan.
But Lingtian Technology can make the price less than 1,500 yuan, or even 1,200 yuan per unit.
But in Jiangzhou City, consumers are more sensitive to brands.
If the prices of well-known brands such as Lingtian VCD and Aiduo are not much different, then consumers will definitely choose Aiduo and Wanyan.
Some consumers don't even take a look at your Lingtian vcd, and think that Lingtian vcd is a copycat product.
Therefore, Yang Ling chose to spread its products from Jiangcheng County and adopted the strategy of surrounding the cities from the countryside.
The country's basic base lies in rural areas, and a large number of opportunities lie in rural areas.
the following few days.
Li Hongtao was completely dumbfounded.
In the past, we only sold one or two VCDs a week, but now we actually sell two in a day! More than 10 units are sold in a week.
This kind of sales volume really stunned Li Hongtao.
However, this also shows from the side that Li Hongtao's judgment is correct.
It’s not that the vast rural market has no motivation to consume VCDs, but the price of VCDs is simply too expensive.
Not everyone can afford a VCD that costs 1,780 or even more than 2,000 yuan.
But if the price of VCD can be reduced to around 1100 yuan or 1200 yuan.
Then consumers who are hesitant to buy are likely to make up their mind to buy.
After all, buy early and enjoy early.
At the same time, there are more than 10 other stores in Jiangcheng County, which are quite good.
The better ones sell four or five units every day, while some not so good ones only sell one or two units every day.
But this kind of business is much better than selling Aido VCD or Wanyan VCD before.
On this day, Xu Wenshan and his younger brother drove their Jetta to Li Hongtao's shop.
As usual, Xu Wenshan hugged more than 10 VCDs in the trunk.
As the general agent of Jiangcheng County, in addition to selling VCDs in department stores, a very important profit point for Xu Wenshan is supplying goods to these lower-level agencies.
"How is Lao Li's sales during this period? I have 10 new products here. The price remains unchanged. I will give you ten units first. What do you think?"
In fact, the sales volume of agent sales points in townships is not very good. If they can sell 17 or 18 units a month, it is considered good.
Seeing Xu Wenshan bring more than ten VCDs, Li Hongtao looked a little embarrassed.
Because during this period, not a single Aido VCD was sold, but Lingtian Technology sold a lot of VCDs.
That’s not to say that Aido VCDs are useless at all. These machines can still be placed on the counter and used as comparison models.
After looking around at the counter, many consumers took a look at the price, appearance and functions of Aido vcd, and then looked at the price, appearance and functions of Lingtian vcd, and decisively bought Lingtian vcd.
So these Aido VCDs that I dropped into my hands still have a certain value.
But its value only goes so far.
To ask Li Hongtao to buy another 10 more units from Xu Wenshan and to make an advance payment of 10,000 to 20,000 yuan himself, Li Hongtao is not a fool and must not do such a thing.
So when Xu Wenshan and his younger brother were about to carry the VCD, Li Hongtao hurried over and held Xu Wenshan's hand.
Li Hongtao quickly said: "Mr. Xu, Mr. Xu, don't move the VCD down yet."
Li Hongtao's reaction made Xu Wenshan feel something was wrong as soon as he met him.
Especially after the business in the department store was not good, Xu Wenshan focused most of his energy on his identity of always being you.
Xu Wenshan's face was very ugly, and he said angrily: "Mr. Li, what do you mean?"
"This batch of VCDs is a new product. It has made great progress in both appearance and function. Others have taken the products, why don't you take them?"
In this era, the general distributor has a very strong say, especially for big brand VCDs like Aido. The dealers below are afraid of not getting the goods, so they try their best to build a good relationship with the general agent.
This is similar to how some dealers selling Apple phones 10 or 20 years later still don't know if they can get them, and they have to find ways to build a good relationship with the regional managers.
Li Hongtao laughed awkwardly and said, "Mr. Xu, I'm really sorry, Mr. Xu! Our sales of VCDs are really not good during this period. I haven't sold out all my old goods, so you asked me to buy new ones. Now
My financial pressure is very high!”
Xu Wenshan frowned and felt very unhappy.
He looked at Li Hongtao's store and said with some confusion: "Old Li, are you an agent for other brands?"
Although Li Hongtao doesn't want to sell Aiduo VCD products now, he is still a little afraid of Xu Wenshan because of the long-term cooperative relationship and demand.
Li Hongtao quickly waved his hand and said: "No, no, absolutely not. How could I be an agent for other brands of VCDs?"
Xu Wenshan initially thought that Li Hongtao's business was not doing well during this period, so he was not prepared to embarrass Li Hongtao.
Just when Xu Wenshan was about to leave, suddenly he saw many Lingtian VCDs placed on the shelves of Li Hongtao's store.
Xu Wenshan's expression suddenly changed.
He had no idea that a first-level agent would actually be selling VCDs from Lingtian Technology.
This time the trouble is big.
Just when Xu Wenshan was about to ask what happened.
Several customers came outside.
One of the middle-aged men said to Li Hongtao very excitedly: "Boss Li! Boss Li! Look who I brought to you today!"
"My neighbor saw that my Lingtian VCD was very useful yesterday. He also wanted to buy one. I am introducing business to you! You have to give me a discount this time!"
At this moment, Xu Wenshan was completely frozen.
Li Hongtao was also quite embarrassed.
But welcoming guests is the first priority.
Li Hongtao could only smile awkwardly at Xu Wenshan, then walked out and said: "The discount must be discounted! You have also seen the quality of the product, and I will never let you down!"
After hearing this, Xu Wenshan was so angry that he was shaking all over.
[The author has something to say]
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