4 details determine whether private domain can make money

This article uses the private domain path formula as an introduction, and combines the author's observations and the problems mentioned by classmates as a perspective to summarize four common mistakes in the private domain. It intends to give some warnings to those who are doing private domains, and provide it for reading by those who are doing private domains.

In the process of specific implementation in the private domain, everyone’s execution steps, methods, and gameplay are actually not much different.

For example, user path design, community conversion, membership card customer retention, etc.

Why can some people make money by doing well in private domains? Why some people just can't do it?

I think one very important point is details.

Details determine success or failure.

Why do you say that?

In the private domain, there is a general GMV calculation formula: number of users * retention rate * conversion * number of repeat purchases * average order value.

This formula contains 5 key indicators. Assume that in each link, you have a 10% difference with your peers due to various details, and ultimately your GMV is only 59% of that of your peers.

(Calculation formula: 0.9*0.9*0.9*0.9*0.9=0.59)

If there is a 20% difference in each link, then your GMV will only be 32% of that of your peers.

Therefore, I broke down the private domain path, combined what I saw and the questions students often asked, and summarized 4 common detail mistakes in the private domain.

1. Not like a human

What is the first thing to do when doing private domain?

Build a persona.

Through your personality, users can know that you are a flesh-and-blood, emotional person.

Build a relationship with you, generate trust, and then further develop a favorable impression of the brand behind it.

But the reality is that although many brands think they are doing a good job of posting on WeChat Moments to build their image, the reality is... each post on WeChat Moments praises their products from different angles, and they post more than a dozen in a row, flooding the screen with messages like crazy, hoping to get users to make quick decisions and place orders.

Please, when users see such a circle of friends, their first thought is that this is a robot that sends advertisements all day long. Block it!

Also, after seeing your bad circle of friends, some people will think that your circle of friends is so low, then whether your brand is also low, thus having a negative impact.

How to create a persona? It is divided into two parts: one is how to set up a character, and the other is how to post on WeChat Moments.

1. Set up the character

Character setting refers to the setting of a character.

When users think of this person, they will think of the brand behind him.

It represents the communication and dialogue between the brand and the users, so it must possess the temperament and character of the brand.

(1) In line with the brand tone

What is the brand tone is the same as the personality tone.

The brand is literary and artistic, so it is definitely not acceptable for the characters to do Shamatte behaviors such as smoking, drinking, perming their hair, and fighting every day.

(2) In line with user circles

The brand’s personality should have the same characteristics as its target users.

The target users of the brand are mothers, so setting the brand up as a straight-talking programmer is definitely not an option.

(3) Comply with professional knowledge

When users are faced with unfamiliar areas, they are more likely to believe the opinions of experts.

The purpose of doing private domain business is to sell goods, and to sell goods better you need to build an expert persona.

For example, if you are selling maternal and infant products, your user group is mothers. Then, the character can be an expert in maternal and child care, providing professional parenting knowledge.

(4) Conform to a positive image

What kind of people do people like to make friends with? Be natural, not pretentious, be sunny, positive, real, and down-to-earth, and your personality should be the same.

The following is a personality self-examination form. You can fill in the blanks according to your own brand.

2. How to post to Moments

As an entrance to high-frequency content, Moments is one of the important ways to build a personal image.

By looking through the content in your Moments, users can understand what kind of person you are, what products your brand sells, and whether it is trustworthy.

The content of Moments is divided into three dimensions:

(1) Through interactive content and professional knowledge, let users feel that you are an approachable and trustworthy expert.

△Interactive content, professional content

(2) Through content about learning, work, leisure and entertainment, and attitude towards life, let users feel that you are a trustworthy "living person".

△Work hard, leisure and entertainment

(3) Through product selling points, user reputation, honor authority, and limited-time events, let users feel that your product is worth ordering.

△Product selling points, user reputation

It is not recommended to post too much product-related content, and the overall ratio is recommended to be controlled at 2:1:1.

There should also be limits on the number of posts and time allowed.

There are multiple categories and content topics to produce, so you can post more, 3-5 pieces per day. For example: Decathlon, maternal and child products, etc.

There are fewer categories and not that many topics, so 2-3 articles per day are enough.

The release time needs to be determined based on user characteristics. If your target users are elderly people, then sending it at 11 or 12 o'clock in the middle of the night will not work because they will be asleep by then.

Common peak periods in Moments:

2. No one

The prerequisite for doing private domain business is to have a group of users who recognize you, and you can tap into the lifetime value of these users.

But the reality is that many brands do not even have the most basic "people" when doing private domain business. Therefore, no matter how fantastic the subsequent operations are or how good the routines are, it will be in vain.

The lack of "people" is divided into two points: one is the small number of users, and the other is the poor quality of users.

The first thing to do is to solve the problem of small number of users.

Many start-up brands have only a few hundred friends on WeChat, and they think about increasing traffic by spreading the word from 1 to 5, 5 to 25, and 25 to 125.

Mathematical formulas are good and look wonderful, but the reality is cruel.

Others would think of starting with their friends around them, developing them into KOLs, and then bringing about fission through them, which also goes back to the mathematical formula.

To operate in the private domain, you need a stable source of traffic.

Whether it is through package cards, AI calls, text messages to attract customers from e-commerce platforms, or through shopping guides in offline stores, materials in various channels...

As for attracting traffic through content from online platforms such as Zhihu and Xiaohongshu, it is possible to do it if you already have a certain fan base on the platform or have strong content output capabilities, but the problem is that this ability is very scarce.

Even if you have users, you still need to make sure whether your users are your target users.

Although some companies have a large amount of traffic, this traffic is extremely inaccurate and of very poor quality. There is no demand for the products they sell, so no matter how many operational actions you take, no one will pay attention to you.

Only accurate traffic can be considered real traffic.

If this is not possible, then I do not recommend doing private domain business. You should first solve the brand's initial customer acquisition problem.

3. No distinction between people

This is something I often see: although some brands are very big, they still do not label and stratify their users, and treat all users equally.

For example, your product's normal repurchase cycle is one month, and user A has just bought it three days ago. At this time, you have a discount event and push this event to him. Then he will most likely not place an order, and may even have a bad experience - I just bought it a few days ago, and it's already discounted. This is too bad.

For example, when it comes to issuing coupons, user A is your high-value user with high repurchase frequency and average order value, and he recognizes the brand very much. At this time, you should issue him large coupons with high thresholds to increase his average order value.

For user B who has been spending with you in the past but has not made any purchases recently, send large coupons with no threshold to retain him.

If the two are swapped, for user A, he will consume whether you issue a no-threshold coupon or not, and if you issue it, you will reduce the brand's profits.

For user B, he hasn't made any purchases in such a long time, and you still send him a coupon with such a high threshold. I would never pay attention to you.

So how do we stratify users?

The first step is to label users. The more labels we have, the more comprehensive our understanding of users will be, and the more three-dimensional and clear the user portraits will be, so that we can carry out stratification.

User tags can be divided into four categories:

(1) Static tags

Basic social information of users, such as region, age, height, weight, occupation, birthday, marital status, family situation...

(2) Consumption label

For example, spending power, consumption frequency, consumption preferences (for example, in the clothing industry, what style users prefer), price sensitivity, products purchased (color, size, price), discounts participated in, promotional activities participated in...

(3) Behavior tags

Various interactive data generated between users and the platform, such as: source channels, whether to follow the official account, fission activities participated in, articles read, and a series of actions generated by users in the mini program mall, such as clicks, favorites, adding to shopping carts, receiving coupons, submitting orders, etc.

(4) Hierarchical labels

The hierarchical label is the hierarchical level of the user.

There are two common methods for stratifying users:

(1) Key business nodes

For example, if you are an e-commerce brand, you can divide users into new users, first-time purchasing users, N-time repeat purchasing users, and super users (VIP users) based on their private domain paths.

For example, if you are doing high-order sales and need to achieve one-to-one conversions, you can start from the user's consumption decision path.

Divided into: strangers (no interaction), potential users (have chatted a few words, liked the post in the circle of friends, but have unclear needs), potential users (have been introduced to the product, quoted the price, and have clear user needs), ordering users, repeat purchase users, and super users (VIP users).

(2) Based on RFM user value model

The RFM model is a commonly used model in user segmentation. It divides users according to their contribution to the brand within a period of time (such as 30 days, 90 days).

• R is the most recent consumption time. The more recent the consumption time, the deeper his memory and recognition of the brand.
• F is the user's consumption frequency within a period of time. The higher the consumption frequency of the user, the higher the brand loyalty and the stronger the stickiness.
• M is the amount of consumption by the user within a period of time. Not every user brings equal profits to the company. Refer to the 80/20 rule.

After combining the three dimensions of R, F, and M, users can be divided into eight levels.

4. No matter who you are

Not caring about people means not caring about the users’ real thoughts and not starting from the users’ perspective. This is also a common problem of most brands.

Take the flash mob as a simple example.

When selecting products, from the perspective of the enterprise, products that are about to expire or cannot be sold will be used to clear inventory and used as flash sale products within the group.

But please, users are not fools. What era is it now? If you sell inferior products, they will naturally not buy them.

Even if a user buys the product by chance, if the experience is not good after use, the trust in the brand will drop sharply.

Once the reputation is ruined, there will be no second purchase.

If you start from the user's perspective, you will think about providing real benefits to users and choose products that are low-priced, high-value and in urgent need, then users will naturally pay for them.

For example, posting on Moments.

From a business perspective, you would want to post more sales content and dominate users' circle of friends.

But from the user's perspective, you will wonder whether posting like this will disturb the user and cause disgust; how to post to provide value to the user, post valuable dry goods, or post fragments of life...

How can we start from the user's perspective? Here are 3 small methods:

(1) User survey

It is important to understand users, know what they want and what common characteristics they have.

There are three common survey methods on the market:

1) User Interview Method

Whether it is by phone or face-to-face, through long-term communication, it is easy to obtain the user's true thoughts. At the same time, divergent questions can find potential and previously overlooked details.

2) Questionnaire survey method

The survey covers a wide range and can obtain data from a large number of users, but its disadvantages are also obvious. The option design of the questionnaire can easily influence the user's answers. Therefore, generally, user interviews are conducted first for qualitative analysis, and then questionnaire surveys are conducted for quantitative analysis.

3) Scenario Substitution Method

The disadvantage of entering into the user's real situation is that it is time-consuming and energy-consuming. For example, if you are in the maternal and infant product business, then you need to truly experience the life of mothers, do the same things as them, and eat the same meals as them.

(2) Empathy

Before taking any operational action, think about it from another perspective: if I were a user and I received a message from a brand and took an operational action, what would I think, what would I do, and would I approve of it?

This requires operators to have empathy and look at things objectively and rationally.

(3) Data feedback

Analysis is conducted based on user behavior, consumption data, and platform data.

For example, every time you post a circle of friends, the number of likes and comments will be recorded. After a week, we found that there were contents from two angles that received particularly high number of likes and comments from users. This proves that this type of content is well-liked by users, so we can optimize it and post more often next time.

For example, if you have several products with particularly high sales, it means that they are well-liked by users. Next time you can extract the common features and focus on developing such products.

V. Conclusion

1. The general GMV calculation formula for private domains is: number of users * retention rate * conversion * number of repeat purchases * average order value. Assuming that each link differs from its peers by 10%, the final GMV will only be 59% of that of its peers.
2. Four common details in the private domain: not acting like a human, not having anyone, not distinguishing between people, and not caring about people.
3. To create a personal image, it is necessary to conform to the brand tone, user circle, professional recognition, and positive image.
4. Only accurate traffic can be considered real traffic. If this is not possible, then I do not recommend doing private domain business. You should first solve the brand's initial customer acquisition problem.
5. User tag system: static tags, behavioral tags, consumption tags, and hierarchical tags.
6. There are two methods for user stratification: based on key business nodes and based on the RFM user value model.
7. Three methods from the user's perspective: user surveys, empathy, and data feedback.

Well, the article ends here, thank you for reading this.

Author: Thirty

Source: Tomato Operation