How does NetEase Yanxuan do brand marketing? 10 methodologies

I met Kang Le, the brand director of NetEase Yanxuan , at the end of 2016. At that time, NetEase Yanxuan had just emerged in the red ocean of e-commerce .

Two years later, NetEase Yanxuan quickly rose to become the hottest star in the NetEase system, pushing NetEase's stock price to new highs one after another; NetEase once again returned to the center of the Chinese Internet stage and became a clear stream.

NetEase Yanxuan is also considered to be a representative e-commerce company in the consumption upgrade track. As a participant and witness, I am very happy.

Today, we present this wonderful course, hoping it will be of some help to those who did not have the opportunity to attend the class in person.

I have summarized NetEase Yanxuan's brand marketing methodology into 10 sentences. Even if you don't have time to attend the class, I hope it can give you some inspiration and thinking in outline form:

1. Starting from the user is the origin of all business logic, and consumption upgrading must focus on the "new middle-class" users.

The core users of consumption upgrading are young people around 30 years old, mainly first-tier white-collar workers, who are highly educated and have higher incomes but are not yet "middle class" in the traditional sense, the so-called "new middle class group."

What are the characteristics of this group of new middle-class users? With the improvement of knowledge, education, personal experience and economic ability, people pursue products that are better looking and more practical.

Whether you are selling coffee, flowers, fresh fruits, or daily household goods, the logic is the same: you must grasp the characteristics of this group:

Work is busy and life is demanding but there is no time to take care of it.

Higher income, more sensitive to quality than price.

Most of them are highly educated and believe that minimalist aesthetics represent quality.

2. Consumption upgrading refers specifically to the upgrading of shopping experience, concepts and consumption habits.

Upgrade of shopping experience - Pinduoduo's users used to crowd into markets and farmers' markets, but now they can buy goods using their mobile phones and the Internet . This is an upgrade.

Upgrading of concepts and consumption habits - most of the new middle-class users, or white-collar users in first-tier cities, used to pay great attention to logos and brands, and used to pay 10% of the price for a product plus a logo, but now they pay 2% of the price for 3% of the product. This is also a form of consumption upgrade.

NetEase Yanxuan takes the route of selective e-commerce, or brand e-commerce, and therefore believes that cost-effectiveness and high quality are the tickets for this round of consumption upgrade.

3. In the context of consumption upgrading, is brand no longer important? In fact, brand premium is no longer important, brand location is no longer important, and brand is more important.

Brand becomes more important, as it will bring about the demand for conceptual identification and the demand for efficient consumption.

With the great abundance of material goods, users have a need to identify with concepts

With a huge variety of choices, users have a demand for efficient consumption

New middle-class users want products that look better, are easier to use, and less hassle, and they can buy them with their eyes closed.

4. In the era of consumption upgrading, the logic of selecting e-commerce/brands is to shift from channel- centric to user-centric.

Let's look at two formulas first:

GMV = Traffic x Conversion Rate

GMV = user reach x popularity conversion rate x purchase conversion rate

These two formulas may seem similar, but they are actually very different—the difference between channel-centric and user-centric.

For example, Alibaba is a company that started with traffic, and now it is also discussing users and super users .

Everyone talks about being user-centric, but few actually do it.

5. Market positioning method: core users -> core values ​​-> business model .

There is no way for a brand to be friends with all users.

The method of market positioning is to first find the core users, then find the core value that can be provided to the core users, and then move on to the business model.

Instead of comparing your shortcomings to your opponent’s, find the inherent flaws in your advantages.

For example, NetEase Yanxuan positions itself relative to Taobao .

If you use Taobao's shortcomings to position yourself, it is very likely that what you will create is just a good-looking Taobao, and a good-looking Taobao is still Taobao.

If we use the inherent defects of Taobao's advantages to position it, what are Taobao's advantages? universal.

What are the inherent flaws of the omnipotent Taobao? It is complex and requires users to spend a lot of time searching.

Therefore, the core value that NetEase Yanxuan provides to new middle-class users (core users) around 30 years old is peace of mind - it provides a small number of streamlined and screened SKUs (SPU is rich, but SKUs are few), and provides users with simple, environmentally friendly, comfortable and natural products.

6. Brand strategy should come from user insights.

In an era of material scarcity, luxury and abundance represent a good life; in an era of material abundance, restraint and simplicity represent a good life.

So NetEase Yanxuan is:

Restrained, not ostentatious;

Peaceful, not extravagant;

Simple and elegant, not unrestrained;

7. Marketing planning strictly follows 12 words: environment, channel, fact, self-help, favorable and unobstructed.

Objective perspective: environment and channels

The planner's perspective - facts and me

User perspective: profit and hassle-free

8. Environment and channels are the basic environment for users to access your plan.

Environment refers to the atmosphere in which users will see your plan?

Channel refers to where users will see your plan?

9. Facts and going to me are the most common mistakes made by planners.

The fact is that planners cannot invent user insights, they can only discover them.

Going to me means that planners should focus on what users want rather than what I want to tell users.

10. Profit and freedom are the basic feelings that users should have when they come into contact with your design.

Profit means whether the user himself will profit from your plan?

No hindrance means whether your plan disturbs the user's current task.

The author of this article is @yingchuanglab Compiled and published by (Qinggua Media), please indicate the author information and source when reprinting!

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