The correct attitude of home appliance manufacturers in the downward channel

Turning defense into offense and fighting a business upgrade war is the best posture for home appliance manufacturers in the current downward channel. Because only by attacking can new business opportunities be found, and waiting will only see the "small piece of land" around you, and it will not be able to break the curse of traditional empiricism.

Turn defense into offense, change from passive to active. From the past unilateral low-price scale war based on market size and strength, it has been upgraded to a scale war, product war, experience war and service war based on market size and user needs. This is the most correct attitude for all home appliance manufacturers in the future.

At present, as more and more home appliance manufacturers have become accustomed to finding new driving forces and new systems for development from quantitative growth to qualitative growth in the commercial competition in the "market downward consolidation channel", a new misunderstanding, namely, transformation contradictions and challenges, has become increasingly prominent.

Among them, the core is that in the past, the operation of home appliance manufacturers was a typical "market stratification-centered" barbaric and extensive expansion, focusing on the "big and fast" development in the regional market and pursuing the largest unilateral scale; now, the operation of home appliance manufacturers is a typical "user-centered" precise and lean development, focusing on the "personalized and differentiated" needs of the same users in different regional markets, and pursuing the dual rise of quantitative change to qualitative change.

In the process of pursuing a qualitative change from quantitative change, the challenge is that home appliance companies must abandon the past low-price scale war and turn to a new value scale war. Behind the scenes, what is needed is that home appliance companies must have precise management capabilities in customized manufacturing, differentiated products, precision marketing, and direct promotion. We must change the past "sell home appliances and the transaction is completed" to "sell home appliances and the start of a new round of transactions". This is the next "hard battle" for home appliance manufacturers to transform and upgrade.

In the past 30 years of China's home appliance market operation, the commercial focus of manufacturers has been a multi-level system with urban and rural consumption capacity as the core, including megacities, large and medium-sized cities, small and medium-sized cities, as well as a series of levels such as the eastern coastal rural areas and the southwestern inland rural areas. In other words, the market operation strategy of home appliance manufacturers in the past was a typical large regional market "package system". Many home appliance companies were most typically established as provincial-level sales companies and marketing centers. With a large demographic dividend and sufficient market space, they could create a new market by releasing products and advertising.

With the rapid rise of consumers' self-awareness, especially the rapid improvement of their right to choose and their voice, both urban and rural markets will see the emergence of user groups with different needs, involving multiple levels such as high, medium and low-end. In other words, home appliance manufacturers must break out of the traditional urban-rural dual market structure and adopt a multi-system structure with high, medium and low demands centered on users. This means breaking the urban and rural markets, reconstructing the user differentiation system, and forming a horizontal pattern of first-, second- and third-tier new cities and fourth- and fifth-tier rural markets, and a vertical pattern of high, medium and low-end user demands.

Ultimately, we must base our business on a new way of playing under the "criss-cross" system, that is, reconstruct marketing and terminal promotion in a user-oriented manner, and based on the principles of differentiation and precision, change the previous "lump-sum contract system" in large areas to a "household system" in small areas, and change the previous three axes of "price war, advertising war and channel war" to the current three-pronged approach of "quality war, experience war and service war", with deductions layer by layer and coordination between the upper and lower levels.

In fact, for many home appliance manufacturers, this transformation is not abrupt. In recent years, under the impact of e-commerce and chain stores, a large number of regional home appliance stores and comprehensive home appliance stores have been able to survive and dominate the market. The core driving force is that they are closer to local users, understand demand changes better, and make more detailed promotional plans and services in real time.

For the home appliance industry, product homogeneity is an established fact and it is difficult to change in the short term. So what can really achieve differentiation must be the differentiated and personalized services hidden behind the homogeneous products. This is the important means and weapon for home appliance manufacturers to deal with the falling market in the future!

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.