Marketing lifeline: Super conversion rate strategy!

Adults can only accept the conclusions they draw. This is also why there are so many pitfalls, and in the end you still have to step into them again yourself. During the communication process, you cannot give advice or conclusions based on your experience. To guide the other person to speak out, this requires both technical guidance and resonance of the mind flow.

01 What is business: Occupy a position of your own

There is nothing in your cognition that is more important than what is on the shelf. Because only when our cognition is empty, we have the opportunity to seize a position, business = position. The so-called business opportunities: objectively exist in the subjective cognition of consumers. You need to look at the market from the outside, define the business from the outside, shape the value of the product from the outside, and even disseminate information from the outside. The process of insight, discovery, and occupying a position is the process of doing business.

When consumers have category awareness but no brand awareness, the biggest gap is obviously to occupy the category gap and let the brand endorse the category (brand = category). If you give up the opportunity to be the first to enter the endorsement category during this period and instead compete with so-called competitors, you are essentially making a big mistake - you win the battlefield but lose the battle, and miss the momentum.

02 Category is the foundation

Thinking from the perspective of categories is the first step in doing business. Categories are the mother, the overall market and the foundation of business. Only a rich category matrix can give birth to strong brand vitality. Therefore, the category behind the product is the driving force behind the business. It is said that it is good to lean against a big tree for shade, and it is said that a pig standing in the wind can fly. Big trees and hot spots are actually new product categories and new opportunities.

• Operational decisions are more important than management decisions; you cannot rely solely on management efficiency to solve operational problems. The first decision-making efficiency for entrepreneurs is to gain insight and discover opportunities to create new business categories. That is: there is basic awareness of the category in the market, but it has not yet been occupied by a strong brand in the minds of consumers.

03 The opportunity is to actively differentiate and take the lead

Differentiation brings opportunities - opportunities to create new product categories. Those who are one step ahead are martyrs, and those who are half a step ahead are role models. So how do you judge whether you have taken one step or half a step? In fact, it is about thinking about differentiation and new categories.

• Discovering and selecting category opportunities is the primary business decision for entrepreneurs
• Category differentiation brings new market space, and differentiation is the driving force of business development
• Waging a war in a competitive cognitive environment is obviously unwise and requires more resources.
• New media generates new content, new content brings in new audiences, and new audiences generate new brand opportunities.

04 Product strength is the selling point

The essence of differentiated competition is to form differentiated cognition on the consumer side, guide facts through cognition, and strengthen cognition with the help of facts. On the one hand, there is the factual differentiation support at the product level, and on the other hand, there is the differentiated cognitive segmentation of consumers. The method is to focus on categories, create super appearance, and launch super popular products, thereby forming a strong perception in the minds of potential customers. Otherwise, the more products there are, the less focused the cognition will be, and the less money will be made.

As mentioned in "Selected Works of Mao Zedong": Concentrating military forces is the first and foremost thing. The reason why concentrating military forces is necessary is to change the situation between the enemy and us. To win victory in strategic defense, it is basically based on concentrating military forces - for enterprises, the phrase "concentrating military forces" means eliminating cutting-edge products.

05 15 requirements, granularity

Maslow divided needs into five levels: physiological, safety, social, self-esteem, and self-realization. For example: Volvo security cars and Qihoo 360 security browser, both of which have occupied the word "security", are big businesses. Maslow's need theory provides us with a convenient way to understand needs. After Maslow proposed the five-layer model, he added another layer, called cognition and aesthetics. Above self-esteem and below self-practice.

15 granularities of demand, Steve Jobs said: Don’t try to ask consumers what they want, but feel what they want.

• Greed, anger, ignorance, arrogance, doubt
• resentment, hatred, annoyance, anger, annoyance
• Want, greed, fear, love,

Sometimes needs are implicit and non-superficial, while emotions, feelings, and attitudes are explicit and superficial. That is: greed, anger, ignorance, arrogance, doubt; resentment, hatred, annoyance, rage, and annoyance. Behind every emotion and every unhappiness there is an unmet need - fear leads to anxiety, and anxiety evokes behavior.

• The five dimensions of pain points: resentment, hatred, annoyance, anger, and frustration
• The five roots of emotions: greed, anger, ignorance, arrogance, and doubt
• Five manifestations of needs: want to know, want to be cheap, fear trouble, love face, want proof

06 Brand is essentially a business

Let’s look at the brands we are familiar with, such as: Coca-Cola, Starbucks, and Nike; for example, today’s new consumer brands, Ramen Says, Santonban, and Zhong Xuegao. Behind every brand, there is a business.

• Coca-Cola represents cola
• Starbucks represents coffee
• Nike represents sports shoes
• Ramen represents instant noodles
• Santonban represents instant coffee
• Zhong Xue Gao represents Chinese ice cream

Behind every brand, there is a business. The essence of a brand is a business; or in other words, the essence of a brand is to discover and create a business. Therefore, for a brand manager, how to understand business is a logic that transcends the brand.

07 Pricing: Seek the situation

Whatever position you occupy, you can naturally charge a corresponding price. On the contrary, if you are not in that position, you cannot set that price. It is not that you cannot set it, but that consumers do not accept or recognize it because you do not have that potential energy. Price is potential energy - a good warrior seeks it from potential, not from others, so he can blame others and take advantage of potential.

In fact, consumers are more concerned about the benefits of purchasing products than the costs. Including four aspects: use value, functional value, image value, and social value, the logic of pricing has never been cost, but rather creating advantage recognition and price anchoring. If we use Bai Xiao T's logic: high technology (use value), high appearance (image value), high quality (functional value), and high social currency (social value).

08 Repetition fights forgetting

In his book Thinking, Fast and Slow, Kahneman points out that humans are biological beings and must remain alert in their living environment. Repetition will induce a sense of comfort and familiarity in cognitive relaxation. When a piece of information appears repeatedly without bringing bad results, it will become a safety signal. Over time, what is safe is good, and what is familiar is easy to like - this is the concentrated exposure effect and repetition effect in psychology.

• Continuous repetition is the continuous creation of familiarity
• Repeatedly, you become familiar with it; familiar with it, you like it; like it, you buy it.
• The more you repeat, the more familiar you become; the more familiar you become, the more you like it; the more you like it, the more you buy it.

In fact, those successful brands, whether in traditional media or new media, whether in pictures and texts or short videos, have a deep and simple understanding of the importance of repetition, from not accepting gifts this year, to drinking Wong Lo Kat for fear of getting angry; from anti-dandruff, Head & Shoulders, to Heng Yuan Xiang, Yang Yang Yang, they never get tired of repeating it over and over again, even to the point of being vulgar - even if it is vulgar, it is really effective.

09 Deliver unique value and give consumers clear reasons to buy

The first is the insight into demand. Only with the insight into demand can there be insight into competition. Finally, it is the technology of words. Advertising slogans serve the products and assist in sales, but the core is to convey the question of why people should buy from your company. Without insight, advertising is just wild creativity. Creativity cannot be copied, and advertisers are not artists but craftsmen. They start with demand and end with reasons for purchase.

• The information should be simple, high purity and single
• Either focus on functions and benefits; or clarify competition
• Structural language, colloquial expressions, differentiated reasons for purchase

In addition, advertising is first a question of cost, secondly a question of communication efficiency, and thirdly a question of repetition. Why is it a cost issue? The reason is simple: investment costs money, whether it is the exchange of resources or the purchase and sale of real money.

The full page is different from half page, the front page is different from non-front page, 15 seconds is different from 5 seconds. For example: for a 15-second ad, if you divide it into 3-second units, it can be played 5 times for 15 seconds, and if you divide it into 5-second units, it can be played 3 times. This is a matter of efficiency. Finally, it is a question of repetition. Without repetition, there would be no memory and cognition. Forgetting is human nature.

10 Selling Point Formula

In early markets, where almost all purchasing decisions are made by technology enthusiasts and visionaries, the primary value areas are technology and product - Crossing the Chasm.

Selecting ( ) has ( ) functions and satisfies ( ) interests, so. When a new brand is first launched, with limited funds, it first needs to break through at a single point, without having to come up with a lot of selling points or features. Focus your efforts on making breakthroughs in product strength and find differentiation points (single points) in product strength (function-benefit). We do subtraction from craftsmanship, ingredients, components to functions, and make the profit points as sharp as possible - only one hole is needed to make profits.

In terms of publicity, we insist on releasing quantity first, spreading the content first, and concentrating on one media platform. Quantity comes first, then quality. Without quantity, there is no quality. At this stage, the forces are divided (multiple platforms), and the originally limited resources are spread out into a thin cookie. If you prepare for the left, the right will be weak; if you prepare for the right, the left will be weak; if you prepare for everything, everything will be weak.

• Yuanqi Forest: It uses ingredients (water, erythritol, carbon dioxide, etc.), and has the functions of (low sugar, 0 fat, 0 calories), which satisfies the interests of users (who want to drink beverages but are afraid of getting fat), so it tastes good and does not worry about getting fat.
• Xiaoxiandun: It uses (95℃ constant temperature stewing) technology, and has the function of (maximizing nutrient retention), satisfying the interests of users (who want to eat bird's nest but are not convenient to process it). Therefore, if you want fresh stewed bird's nest, look for Xiaoxiandun.
• San Dun Ban: It has chosen to (self-build the entire chain from "roasting-extraction-freeze drying"), has the function of (dissolving in any liquid at any temperature), and meets the users' interests of (quality + convenience). Therefore, if you want premium instant coffee, choose San Dun Ban.
• Jane Eyre: Only (raw milk, sugar, lactic acid bacteria) are used as ingredients, it has the function of (healthy, no additives) and meets the (health, safety) interests of users. Therefore, this is Jane Eyre, raw milk, sugar, lactic acid bacteria, nothing else.
• Ramen says: We use (semi-fresh noodles, customized seasoning packages) as ingredients, which have the functions of (healthy, convenient, and delicious), and meet the interests of users (both healthy and convenient), so Ramen says, it is a ramen restaurant at home.

11 User Perspective

We have never understood consumers so well as we do today. In the past, consumers’ self-portraits were based on region, occupation, age, and income. Today, there are labels for consumers’ self-portraits that you can’t imagine: small town youth, sophisticated moms, otakus, technology geeks, ingredient parties - wherever they go, they will leave traces.

Multi-dimensional consumer labels mean that new brands have more dimensions to describe and reach potential consumers. For a brand, the long-tail effect of 1 million fans means 10 million sales. Content, traffic, fans, and monetization. From 2015 to 2021, in the six years, every change in traffic has brought about a new brand iteration. Content + traffic has become the only way for new consumer brands to achieve the transition from 0 to 1.

• Content is traffic; traffic is fans; fans are sales
• 1 million fans means 10 million sales

5A: From the perspective of consumer behavior, describe the strength of the behavioral relationship between consumers and brands.

• A1:aware: understand (the exposed population)
• A2: Appeal: Attract (shallow interaction group)
• A3:ask: inquiry (deep interaction group)
• A4: act: action (purchase)
• A5: advocate: support (fan user)

Brands expose, reach, interact, convert, settle and activate target consumers by initiating actions (pictures, texts, short videos, advertisements, news, etc.). In this process, the users' behaviors are triggered from the exposed group, the shallowly interactive group, the deeply interactive group to the purchasing group and the fan users.

• Always, focus on the interactive relationship between users and brands and understand brand actions. Reaching the right people in multiple dimensions and multiple times will trigger consumer behavior and bring the brand closer to target consumers, from understanding, attraction, to inquiry, action, and repeat purchase.

12 From 0 to 10 million: Product promotion, functional selling points should be highlighted

You can understand this stage as: products should be placed before brands. When a brand is unknown, consumers evaluate the brand based on its products; when a brand is well-known, consumers evaluate the products based on its brand. Because the specific feelings brought by the product's functions and experience are the basis of word of mouth.

• Especially for new consumer brands, the first step to opening the door to consumer awareness is to rely on the golden key of product strength; even if old brands launch new products, the product must be the main focus.

For example: Swisse launched blood orange essence. In the first phase of Xiaohongshu, it focused on the benefits of blood orange and why blood orange can supplement collagen, helping consumers understand the benefits of blood orange. It even named the product directly after its function: Blood Orange Collagen Liquid (instead of Blood Orange Essence). The product nickname is "Collagen Liquid", which lowers the consumer's cognitive threshold and what you see is what you get. It helps consumers understand the benefits of blood orange by promoting its effects and principles.

13 From 10 million to 100 million: Enlarging keywords and penetrating scenarios

After completing the product function-based promotion from 0 to 1, how to achieve amplification from 1 to 10. The key is to complete the population portrait through the data population in the first phase. Through crowd portraits, we can identify key words and then target the crowds around these key words.

• Based on A4-A5 population
• Expanding the A2-A3 population through crowd profiling
• The method is to reset the core keywords

Take Xiaoxiandun as an example: in 2018, it mainly focused on weight loss and skin care; in 2019, it enhanced the extension of pregnancy care and the concept of frozen age, and at the same time increased the proportion of skin care products from 28% to 45%. This means that the combination of skin care and functionality is effective.

Focusing on the product function, Xiaoxiandun used weight loss and skin care as the core keywords in 2018, and in 2019 it expanded the keywords to pregnancy care and anti-aging. From 2018 to the present, Xiaoxiandun has posted a total of 422 reporting notes on Xiaohongshu. In the past year alone, Qiangua Data found 2,202 notes about Xiaoxiandun, including 231 business notes.

• 2 notes from top KOLs (1 million followers+)
• 31 notes from mid-level KOLs (200,000 to 1,000,000 followers)
• 375 notes from mid-level KOLs (1-20w followers)
• 13 notes from amateurs (1k-1w followers)

14 From 100 million to 1 billion: cross-border combination, large-scale encirclement

10 million to 100 million is 10 times, and 100 million to 1 billion is also ten times. For the same 10 times, the brand’s actions are different in magnitude. If you still stay in the grass planting method of the previous stage at this stage, even if you plant more grass, you will not be able to grow it into a big tree.

Faced with an increase in scale, we must now establish our determination to fight a big battle. In the process of business development, there will always be a difficult decision (the darkest moment). Once this decision is made, the company will bid farewell to mediocrity. Most companies do not lack the opportunity, but lack the courage, causing them to miss the critical window period in the minds of consumers. This opportunity cannot be missed. Once this window of opportunity is missed, it will be of no avail even if you try to capture the city with ten or a hundred times the number of troops.

From the perspective of the user pool, the core of increasing from 100 million to 1 billion is to use brand pull to increase the user base from A2-3 to O-A1, thereby increasing the brand's basic traffic. From brand people, to competitor people, to category people, to cross-category people, and scene people. This is done through cross-border marketing, brand collaboration, seizing new traffic dividends, creating momentum, public relations, and advertising. Multi-dimensional and multi-scenario, achieving multi-reach to the crowd and the general population.

• Cross-border marketing (cooperating with Didi Taxi to fight smog and deliver bird's nest);
• Launched co-branded products (Zhong Xuegao collaborated with bird's nest ice cream);
• Guochao cultural IP crossover model (customized version of Dream of Red Mansions);
• International awards/first place in various categories (landing on the Nasdaq big screen, becoming one of China's new craftsmen 100);
• 3.8 Queen's Day, invest in targeted advertising;
• Public welfare marketing (empty bottle recycling)

15 Absurdity

For a startup, the idea of ​​creating a bigger, more complete, better company that can outpace the competition is like throwing an egg against a rock. Startups should maximize single factors, focus only on the most critical single factors, and concentrate their superior forces to make breakthroughs.

• Munger said: Once a company can achieve something almost ridiculous in an important aspect, it has a winning system. In fact, those good businesses can live in people’s hearts, but it is not easy to live in people’s hearts. Users will hardly remember ordinary or mediocre products and services. What can make users remember and be moved are those almost ridiculous qualities or services. Focusing resources on a single point or a single element results in word of mouth as the peak experience.

This is because the extreme absurdity created by a single element is most likely to trigger strong memories and goodwill among users, and is also most likely to establish popularity among users and open up relevant mental connections. Once this traffic returns, the brand will inevitably benefit.

The key to a company’s success lies in “maximizing a single factor.” That is, the company should focus on a core element of the first curve, invest heavily in resources, identify the breakthrough point through a 10-fold change in a single element, and then invest all resources to maximize the single element and break through the threshold. This requires the founder's judgment and execution.

• Xiaomi has achieved an almost ridiculous price-performance ratio and gained a good reputation
• Apple mobile phone has taken the experience to the extreme and created the smart phone
• Pangdonglai has taken service to the extreme and built a moat
• Mixue Ice City has made its prices almost ridiculous and achieved scale

16 Find the Breakthrough Point

Mao Zedong decided to launch the Liaoshen Campaign, but where to start? Disagreements and disputes arose between Mao Zedong and Lin Biao. Mao Zedong later lamented: "The battle of Jinfang is a big problem." The Liaoshen Campaign was centered in Jinzhou, and the turning point of Jinzhou was in Tashan. Tashan was the breaking point from the battlefield to the war zone and the battle situation. That's why there was an urgent call from 4A to attack Jinzhou.

Menglianggu is a mountainous area. Even well-equipped mechanized troops could hardly move an inch in the mountainous area and had no combat advantages. General Su Yu commanded the East China Field Army and wiped out the Kuomintang's most elite troops in three days and three nights and reorganized the 74th Division. Menglianggu was the breakthrough point.

Any product must have one and only one core function, rather than many dispensable functions, those functions that cannot be said to be good but cannot be found to be bad. The more you talk about them, the more mediocre the product becomes. Mediocrity actually means not finding the real point. If you can't find that point, there's no way to break the situation or open up the situation.

To break the impasse, we must coordinate with the general direction, points, lines, surfaces and solids, and establish a big picture of the single product system. Former Apple CEO Sculley mentioned the terms (zoom in) abstraction and (zoom out) focus, which means looking at the direction and trend of the entire industry from a high level, and the latter means focusing on a single point to break the situation.

You can not only see the situation of the battle, but also be able to immerse yourself in the game, start the game, and break the deadlock. There are few people in the world who can perfectly combine these two. Fortunately, we are an organization, and the chairman's talent and the general manager's strategy can complement each other.

17 Three Origins of the Market

The origin market, origin population, and origin channel are a process of mutual emergence. Through the origin population, we can clarify the origin channels, and then find the origin market in the process of continuous superposition of the origin population and the origin channels.

Market is sometimes a general concept. To be precise: market = channel + people. In the process from 0 to 1, the first thing to understand the market is the origin group. That is: a clear portrait of the origin group. The so-called portrait of the origin group is not just about age, gender, income, and education level, but more about the behavior, preferences, and catalyst habits of the origin group.

In other words: the significance of the origin crowd is

• Understand how real consumers buy (demand, cognition)
• Understand why real consumers buy (value, selling points)
• Understand where real consumers buy (channels, media)
• Understand how real consumers use it (scenario, repurchase)

By understanding the real consumers, we can gradually understand how consumers buy, why they buy, where they buy, and how they use them, and then gradually improve and establish a clear initial understanding of the market. Once this initial understanding is established, the subsequent origin channels will gradually become clear. Even vice versa, the product publicity, media, promotion, graphics, and KOL placement will also be targeted.

The logic of people, goods, and places is to go from the origin crowd (people) to the origin channel (place), and then to achieve the matching of people, goods, and places to find the origin market. Then establish and create a model market and gradually build a base. From 4P to three origins, to model market, and then to base construction.

Origin market = origin population + origin channel. The origin market is not an independent concept, but grows out of the continuous superposition of origin people and origin channels. That is: clarify the origin channels through the origin population; amplify the origin population through the origin channels. As the origin population and the origin channels are continuously superimposed, the origin market gradually becomes clear.

After the origin market is clear, the most exemplary market is selected as the strategic target market based on sales data and users. The significance of the strategic target market lies in: it is growable, quantifiable, and replicable, and it prepares data, strategies, and models for later entry into the mainstream market.

In addition, when there is no clear portrait of the original population, premature brand emotional promotion will attract non-original population. At this time, it is often difficult to sustain life after a wave of sales. We still need to go back to the original group of people and find the tone of the brand through the portrait of the original group of people. Brand tone is not the personal preference of the brand manager, but the discovery, exploration and sublimation of the emotions and feelings of the original group of people.

18 Coverage Possibility

Coverage possibility: Through what channels, media, advertising, and public relations can potential customers be reached. This is a question of the communication aspect behind the consumer’s self-portrait. When we talk about precise coverage, it means precision based on quantity. There is no quality without quantity. If you want quality, you must first ensure quantity. The same applies to coverage.

For example: In 2018, Xiaoxiandun mainly focused on weight loss and skin care; in 2019, it enhanced the extension of pregnancy care and anti-aging concepts, and at the same time increased the proportion of skin care products from 28% to 45%. This means that the combination of skin care and functionality is effective.

After April 2019, the scenarios for Xiaoxiandun's advertising began to change. The proportion of "weight loss" scenarios decreased to 11%, and the proportion of "skin care" scenarios was the highest, accounting for more than 45% of the total. The proportion of "pregnancy care" and "freezing age" scenarios increased significantly, and the proportion of "health preservation" scenarios was still at the bottom.

After 2020, awareness will be enhanced through super-head + KOL investment. Celebrities such as Zhang Yuqi, Zhang Ziyi, and Jing Tian, ​​who are labeled as "noble ladies" and "exquisite", have recommended Xiaoxiandun, which not only brings high exposure to the brand, but also subtly establishes the credibility of Xiaoxiandun among potential consumers.

We used "weight loss", "skin care", "anti-aging", "health preservation" and "pregnancy care" as keywords for penetration, and gradually came up with the core keywords: skin care as the main focus, health preservation as the foundation, pregnancy care and anti-aging as the grass-planting strategy for population penetration. This can be done through cross-border marketing, brand collaboration, seizing new traffic dividends, creating momentum, public relations, and advertising. Multi-dimensional and multi-scenario, achieving multi-reach and coverage of the population and the general population.

19 Dare to be the last in the world and find a benchmark

Discover first, then invent. Objectively speaking, anything you can think of has already been thought of or even accomplished by someone in this world. The world has never been and will never be able to achieve the so-called "flat state". The successful businessmen compete on who can be the first to find the information gap.

Only when you are in an industry where others are doing well will you have the opportunity to do better. The core of business decision-making is all in after selection, rather than the choice after all in. Don’t forget the basic probability for anything. The probability of an event happening is equal to = basic probability * the probability of the event itself. Category is the foundation and ceiling of a business. In a declining industry, you cannot escape - the basic foundation of the category largely determines the probability of success or failure.

For example: In Yuanqi Forest’s products, you can almost find the shadow of its products in another business society. Whether it is burning tea, sugar-free sparkling water, milk tea, or electrolyte water, the success that has been verified in a market after daring to be the best in the world is often more likely to succeed, or has a greater probability of success.

Sugar-free tea has long had a very high penetration rate among Japanese consumers; Yuanqi Forest Beihai Ranch Yogurt corresponds to the American Greek yogurt brand CHOBANI. CHOBANI’s sales exceeded 1 billion US dollars in 5 years; Alien Energy Drink competes with Monster, and Monster challenges Red Bull’s absolute leading position and has become the most dazzling company in the US food and beverage industry since the 21st century.

• In 2017, the light functional tea drink "Rancha" was launched to compete with the tea drinks of Japan's Ito En and Suntory.
• In 2018, the sugar-free sparkling water "Yuanqi Forest" was launched, Perrier + San Pellegrino + O-Cola
• In 2019, the "milk tea" with "0 sucrose", "0 preservatives" and "low fat" is positioned to compete with Japanese "milk tea"
• 2020 pushes energy drink "Alien Electrolyte Water" to compete with Monster

20 Misaligned Competition

• Faced with the strength of the first movers, if the latecomers compete with the first movers in the same factor dimension, it will be tantamount to hitting a stone with an egg. In the history of business, there are almost no cases of leaders being challenged head-on and winning. The core of misaligned competition is to find your own ecological niche in the industry, choose elements that are different from those of the first movers, and then achieve a breakthrough in the new track.

After the melamine incident, "safety" became synonymous with overseas milk powder. If domestic milk powder still competes with foreign milk powder on the dimension of "safety", it will never be able to gain an advantage. This is not a problem of product quality, but the sequelae of "mental trauma" to consumers, which cannot be cured by a single brand. Among many domestic milk powders, Feihe took a different approach and broke the deadlock by using the obvious common sense of "more suitable for the physique of Chinese babies".

Faced with the strong position of Yili, Mengniu and Bright in ambient temperature milk, Jane Eyre chose low-temperature milk (yogurt) as its entry point and found a breakthrough by focusing on new channels. The traditional way of selling yogurt is basically to rely on KA supermarkets and traditional small stores. With the help of new channels and staggered competition, it has seized the cognitive gap and become the leading brand in the subdivided category.

21 Price Vacancy

• Emerging companies often challenge industry giants through low-end disruption, entering the low-end market where the giants have not entered. Because of the small scale, low profit margins and unclear demand of the low-end market, it is difficult for industry giants to have sufficient reasons to enter, resulting in the rapid rise of emerging companies in the low-end market, achieving breakthroughs, and then migrating from the low-end market to the mainstream market, ultimately completing the subversion of industry giants. The Innovator's Dilemma

Mixue Bingcheng insisted on the low price + "surrounding the city from the countryside" strategy, which not only broke the deadlock but also created a new situation of 20,000 stores. From the perspective of the industry's price range, Mixue Bingcheng has locked in a low price, but from the perspective of specific consumption, it is hard to say that for those who have always drunk beverages, now drinking milk tea because of Mixue Bingcheng is not a consumer upgrade.

Low-end disruption is not the only way, especially at the current time of consumption upgrading, many new consumer brands have achieved industry breakthroughs by positioning themselves at high prices, and even brought dividends to the entire category, such as the new consumer brand: Zhong Xue Gao.

If Haagen-Dazs can be sold for 38, why can’t Zhong Xue Gao be sold for 66? The key lies in understanding the behavior behind consumption. Selling something cheaply has been our experience over the past 30 years, and selling something expensively is our future mission.

• French sociologist Jean Baudrillard once said: People never consume things themselves (use value), they always use things as symbols to highlight themselves. By finding a high-priced niche, Zhong Xue Gao achieved a breakthrough in the ice cream market.

22 Flanking Battle

• In a market where your opponent has deployed a large number of troops, if you launch an offensive, you must have three or five times the troops (resources) to have a chance of achieving a tie. The resources of any organization are relative. Strength and weakness are two sides of the same coin. The stronger an organization is, the weaker it is. Yin is within Yang, not opposite to Yang. The key to breaking through the flank attack is to avoid the strong and attack the weak.

The flank warfare can be summarized in one sentence: surround the city from the countryside. "Rural areas" are the opponent's weak and empty areas, while "cities" are the opponent's strong and real areas. If strong opponents deploy heavy troops in the first and second tier cities, I will go to the third and fourth tier cities. If strong opponents try to encircle them offline, I will break through online. If strong opponents are in supermarkets, I will find another way, namely convenience stores.

For example: Winona entered the large health product market and used a flanking attack to enter the market from the niche market, forming a staggered competition with the existing cosmetics giants. Positioning efficacy and single-point focus: focusing on efficacy-grade cosmetics, positioning the first brand of efficacy-grade cosmetics, making cosmetics according to the standards of making medicines, with medical support and authoritative endorsement, going 1km deep from 1cm, going deep and penetrating; one selling point, gathering advantageous resources, promoting and distributing online, laying out channels offline, starting with the narrow and then the wide, from point to surface, breaking the game at the start and playing a good hand.

23 All efforts come from one source, and all benefits come from one product

Product strength: No matter whether appearance comes first or what you put in your mouth can’t deceive people, without product strength it will be short-lived: the underlying principle is demand insight, technology is driven by innovation, packaging is label reach, functions are fast, good and economical, and features are the root of the product.

• What is the essence? Insight into needs, product functionalization, and category branding
• What are the stages? Hot products bring series, series are extended, and brands occupy the mind
• What is the technique? Single product side wings, focus magnification, gold corners and silver edges

When selling hit products, the brand takes up the space: the brand is the form of the product and the product is the content of the brand. At the beginning of a category, there is a blank mind and cognitive window. The most efficient way is to be the first to enter and occupy the category, rather than occupy a niche track/feature. Making brand = category, and then becoming the consumer’s first choice, reaping the natural dividends from the category, this is the first efficiency of business decisions.

Make hot-selling products and run at 10 times the speed: the key to winning lies in "maximizing single products". Serialization is the second move, which is the second move to cover the price range of product categories - first occupy the golden corner (hot-selling products) and then pull the silver edge (product line). Hot-selling products are the golden corner of the enterprise and the starting point for the enterprise to enter the game.

What companies need to do is to focus enough resources to open up the smallest incision in the market through explosive products - all efforts will be concentrated on one hole and profits will come from one product. Breaking through the sales "threshold" in one fell swoop will drive hot sales, generate spontaneous sales momentum, and thus drive other factors to form a positive cycle. In sales, you can see a steep upward line at 10 times the speed.

• Yuanqi Forest, a popular product with sugar-free sparkling water
• Successfully seized the blank space in the mind and quickly occupied consumer cognition

1. Single product wings, creating hot items (Yuanqi Forest, Burning Tea)

In a new category, avoid competition and focus resources through a single product strategy. First online, then offline, use online data and then combine it with offline to select sample markets for testing. Including: product taste, packaging, online KOL/KOC recommendation discourse system, offline channel selection and terminal display, promotion methods, and recommendation words.

2. Focus and magnification, series extension (aliens, milk tea)

Once a single product is running and sales have stabilized from the initial level to a certain level, it is necessary to launch the second-stage rocket. That is: after completing the adaptation of the original channels, original markets, and original populations in the model market, gradually expand to the second and third battlefields based on the channel characteristics of the model market and the extraction characteristics of online KOLs and KOCs.

In this process, through the stratification of users' sales data, we find the original users with high potential, high consumption and high repurchase rate, and make good data storage to prepare for the subsequent customer conversion and referral.

3. Reach out to the right people repeatedly

From single products to series of products, the essence is to increase the category space and expand the category boundaries. In this process, we should do a good job in category value management and user operations. Activation and repurchase of origin users. Constantly return to the starting point to generate repeat purchases from old users, spread word of mouth, and then amplify from one ripple to another.

Public relations focuses on creating category value, and offline, secondary and multiple touch points with users are achieved through the original channels. In addition, in the vacant price space, prepare defensive brands (depending on the company's foundation) to effectively prevent low-end price competition.

Author: New Consumer Brand Research Society

Source: New Consumer Brand Research Institute