How do the offline LED dealers earn a lot of money?
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Three directions of the product line planning <br> <br> first, the product line according to plan distribution brands competitive strategy. Star products: Focus on the popularity of the brand, through high quality, high price and high profit positioning, to achieve sales accounted for 10% of the total, profits accounted for 20%. The product must have the core technology and unique features of the product, the main difference is the selling point. Its function is to enhance the image level of the entire product series, establish a brand image, and cause consumers to pay attention to and affect the whole series of products. And to meet the high-end customers' purchase needs, since customers who purchase high-priced products are not sensitive to price, they can appropriately increase the selling price and obtain higher than average gross profit.
Profitable products: Focus on unique core selling points, achieve reasonable profit margins through reasonable price positioning, achieve sales volume of 50% of the total, and profit accounts for 50%. Profit products are in the best-selling transaction price range of the overall market, and have the mainstream functional configuration. With the appearance or selling point that continues with the star model, the main price/performance ratio.
Strategic products: Focus on the leading features, through mid-range price positioning, to achieve medium and high profits, sales accounted for about 20% of the total, profits accounted for 25%. In the market best-selling price range, there are more additional functions than the best-selling models, and the cost has not increased significantly, making the gross profit level higher than the average.
Defensive products: focus on competitors, through low-to-medium positioning, limit sales, sales accounted for 10% of the total, and profits accounted for 5%. The main selling point (feature) or appearance style of the competitor's main selling model is the same or similar. In the price, we strongly suppress the opponent and form a homogeneous low price. However, we strongly depreciate the product in the terminal sales promotion. We do not recommend the customer to buy, and shake the customer's purchasing confidence in this type of model.
Experience the product: Focus on the source of the customer and attract attention. Low quality and low price, limited sales, sales accounted for 10% of the total, profit accounted for 0%, blocking the low price strategy of competitive brands. The products are launched in the market in the form of shocking prices and special prices, attracting consumers' attention through the low price. The experience model should be significantly different from the host type in terms of appearance or performance configuration, limiting the amount of supply at the terminal sales point and limiting sales.
Through the division of roles in the product, cross-combining marketing can achieve comprehensive sales results, the best sales is the customer experience. Obviously, the price of star products is high and the brand premium rate is high. The main function is to establish the brand image of the products. The promotion should be less, and the retailers should create high gross profit. The profit and strategic products should win by quantity and win more promotions. Resource impulse, defense and experience products to measure gross profit; products are mainly tactical products, competing for competing products, low-margin or no-gross products, mainly used for celebrations or holiday bursts of goods, attracting more popularity.
Second, plan product lines based on local market segments. A product needs to target a market segment.
Subdivide by function. For example, household appliances, storage water heaters have computer version, mechanical version, gas water heaters have constant temperature, strong row, washing machine has roller, fully automatic, semi-automatic. The second and third-level terminal markets are mostly based on relatively advanced functional models, and most of the urban markets are mainly models with affordable and simple functions.
Segment by channel. In terms of the format of the home appliance industry, the terminal has KA chain, specialty stores, husband and wife stores, building materials stores, plumbing, gifts, engineering group purchases, real estate support and so on. The characteristics of home appliance retail terminals are the scale of running, with simple functions as the mainstay; building materials terminals generally face medium and high consumer groups, with advanced functional models.
Third, the length and width of the product line are planned. The length of the product line is mainly based on competitors. Based on market characteristics, the growth brand should adopt a strategy of high-end high-level and low-end low. The high-end is slightly higher to enhance the image, and the lower-end is lower to achieve price blocking. . New brands that have just entered the market must develop high-to-medium-low-line product lines. After market sales feedback, they will be designed according to the characteristics of competitors and the market, appropriately compress the product lines, and make their own product series with comparative advantages. . For example, in the kitchen and bathroom industry, the main types of competitors faced by the urban market and the county market are different. In order to facilitate different market strategies and competitive strategies according to different types of markets and competitors, we can do two for two different markets. The product line is planned, so that two fists are formed in two product lines, and the boxing is powerful.
The product line width planning should be designed according to the brand competition positioning at different stages, and the products in different price segments should be invested accordingly. The product line width for each price segment should be proportional to the sales share of the price segment. That is, the product line width of the main sales price range should be increased, and the ratio of the number of models provided to the total number of models of the product line should be equal to or slightly larger than the proportion of sales in the price segment, fully guaranteeing the competitiveness of the product line of the price segment. And the high-end and low-end price range, which account for a small proportion of sales, the product line width must be moderately tightened, reducing the cost investment, and also giving the main sales price range products the terminal sales point display space.
Three directions, business planning <br> <br> first category, focus specialization strategy: to do business category. In fact, focusing on a good category can make the dealers earn a lot of money, and choose a bad category, but let the dealers lose money, but the dealers will be hurt and hurt, and the category will be hurt. The choice is a very important issue for dealers. The greedy dealers are often unfamiliar with the industry and have limited energy. As a result, the special brands that have been operating very well have been messed up. Nowadays, with the increasingly fierce competition in the terminal, there are actually many product category benefits that are declining, even poor. Dealers should take the principle of capital turnover and cash withdrawal, consider the return on investment, and give up the product categories that are not good enough and not strong enough. Don't be greedy and demand more, try to choose a product line that is less and more refined. The kind of scene that blooms everywhere is just self-deception. Only by doing valuable product categories will there be a reward for making money, and it is not advisable to blindly seek more and more greed. For example, the appliance industry is specialized in water heater category integrators, which is a direction, from electric water heaters, air energy water heaters, gas water heaters, rapid hot water heaters, wall-hung boilers, central hot water systems, all categories to form a supplier of domestic hot water supply solutions.
There are many ways to focus, including market focus, product focus, and customer focus. The market focus is to select a relatively small market segment, especially the high-end market for intensive farming, and transform the mass market into a niche market. For example, Gu Dianming of Zhengzhou Gas Appliance World is focusing on high-end gas fireplaces and becoming the leader of Henan gas appliance industry; the product focus is to select one or two star products, not to win by quantity and variety, but to make one product To the extreme, to survive in the fierce market competition.
The focus of customers is to grasp big and small, not to treat all customers equally, but to treat them differently, to hold some big customers firmly, improve service quality, and improve customer satisfaction until customers are dependent.
Second, based on the fulcrum, the implementation of cross-border multi-category profit. At present, cross-border diversification is mainly manifested in two ways:
1. After establishing the status of the leader of the category, expand and expand the product categories of its own distribution: from a single appliance franchise development to building materials, lighting product line marketing and so on. However, in order to achieve diversification of operations, dealers must conduct cross-industry and cross-category products based on their own strengths and capabilities. The precondition for the diversification of dealers is: First, they must become the boss of a certain market segment, so that they are qualified to diversify. For example, if you are a local refrigerator in the urban market, you can increase the high-growth categories such as water purification. Secondly, there must be a logical relationship between the various businesses to support each other and help each other, rather than being completely independent and irrelevant. For example, in recent years, the successful diversification of home appliance dealers has been extended from home appliances to home and building materials, from white electricity to kitchen appliances, from kitchen appliances to building materials cabinets and LED lighting. The extension of the home appliance bathroom, from the plumbing pipe fittings to the water heaters, can support each other.
2. Cross-border management: You must have a fulcrum first, and there will be an opportunity to superimpose a myriad of 0s. Marketing is borderless. As long as you are strong enough, you can operate. But what exactly should cross-border do? First, think about why cross-border, what is the purpose; whether it can help you build a sustainable competitive advantage; whether you can open up the distance from your competitors. Secondly, after the target selection is clear, it is necessary to clearly understand the path of implementation, and by what way, whether it is a merger, acquisition, or formation of a new company team, these must be clear. The last thing is to do it. For example, in recent years, large appliance dealers began to cross-border bathroom, cabinets, security categories.
Third, differentiated competition and achieve sustainable development. From the popular product category to the niche category, such as traditional home appliance dealers, in recent years, they have transformed into new categories of water purifiers and air-energy water heaters. Household appliances such as refrigerators and washing machines have begun to be saturated in the urban market. The market competition is also a red sea, with price wars as the mainstay. However, clean water and air can still be developed in the blue ocean market. Although the target market is not large, drinking water safety is the general trend, and the energy-saving advantages of air-energy water heaters are gradually recognized by consumers. These two markets are gold mines for distributors that cover county towns and township networks. They have already operated the household appliances category and have entered the saturated maturity of products. At this time, new growth categories are grafted in, except for short-term profit. In addition, in the long run, it is also a new direction of performance growth.
The “post-85s†that grew up in the Internet era have become the main just-needed consumer groups. Their consumption habits, cognitive channels, and shopping methods have presented new challenges to dealers' existing product marketing models. The Internet makes information more symmetrical, but the demand for good products is constant. The only change is that they are more selective about the choice of good products, the demand for services is stronger, the functions of products are more demanding, and the appeal of emotions is more direct. Therefore, in this era of product marketing miracle, whether the dealer can provide a product portfolio that makes users scream, determines whether the dealer can make big money. 