If Ms. Dong's Gree mobile phone wants to succeed, she still has to overcome these obstacles

Suddenly, it is hard to say whether it is hype or willful behavior, but the wealthy "Auntie Dong" of Gree has turned her wish to make mobile phones into reality, and even brought out a prototype for everyone to "admire". Why is the word "admire" used? Because a mobile phone that was planned two years ago and tested two months ago and can be put on the market at any time has been exposed for the first time, and not in a formal occasion. How is this different from a "zombie"?

Although, with Shenzhen's OEM capabilities, as long as there is money, it is not difficult to put Gree mobile phones on the counter in minutes, but we still have to ask, is it really that easy to make a mobile phone? Then why are Hisense, Hisense, Changhong, TCL, which used to compete in the same industry as Gree, no longer the leaders in the mobile phone industry? Having money is not a bad thing, but it is not a panacea. In addition to producing a good product, there are many other things to consider, which are also the hurdles that Gree mobile phones must overcome.

Mobile phone products cannot become the leader by just buying solutions

Gree is the leader in the air-conditioning industry, which is an indisputable fact. Last year's sales revenue of 140 billion and profit of 16 billion are not exaggerated. This level of profit can be ranked among the top even in the mobile phone industry. In this regard, we still have to give a thumbs up to Aunt Dong's management ability.

However, different industries have different worlds. We checked Gree’s official website and found that most of the products are air-conditioning products related to temperature control. In addition, its TOSOT household appliance brand also has some rice cookers, dryers and other household appliances, which are basically aimed at meeting daily basic living needs. With such a foundation, they dare to enter the mobile phone manufacturing industry. Isn’t it too rash?

Gree Air Conditioner has become the industry leader by relying on its outstanding quality assurance, strong innovation capabilities and more than a decade of hard work. If a "killer weapon" that can kill all opponents can be produced solely by Longqi's design and Zowee's OEM production, then Xiaomi's success would be too easy, and it would also highlight the low IQ of companies like Nokia and Motorola. Is this really the case?

Here are some data for your reference. Samsung Electronics, which currently has the highest market share in the mobile phone market, has a global R&D team of 63,628 people. Its investment in R&D accounts for 6.4% of its total fiscal revenue, about $13.4 billion (about RMB 82.3 billion). Apple's R&D expenditure in 2013 was $4.5 billion, and Sony's was $5.7 billion. If you want to subvert the industry just by purchasing solutions, isn't "Auntie Dong" a bit out of touch? "Don't change your phone for three years", the replacement rate of smartphones now reaches 8-12 months. Unless you are selling to a target group like old farmers, to put it bluntly, who are you going to sell to if users don't change their phones? Are you going to starve?

Secondly, judging from the information revealed so far, the performance of Gree's new product should not be too high. According to the information revealed, the phone uses a Qualcomm processor and an OFILM camera. The front camera is 5 megapixels and the rear camera is 13 megapixels. According to these parameters, the camera performance will be at least several levels weaker than its industry rivals. Look at the current camera-focused mobile phones, which one does not use Sony IMX series camera components? As for Qualcomm processors, you probably won't get the 8 series. Now the supply to "Big, Small, Green and Blue" and other manufacturers is insufficient, and the most they can get is the Snapdragon 400 series. It's too high to even get the 600 series. In a word, in the eyes of ordinary users, this is a copycat phone, and it's an authentic product!

Therefore, we in China believe that the first hurdle for Gree to overcome in making mobile phones is product development, and it must start with technological research and development.

Air conditioning channel is not a mobile phone channel

4PS refers to the four dimensions of product, channel, promotion and price. Many people would say that even if Gree's mobile phone products are bad, Gree has so many channels, plus there are so many idiots in China, so it can always sell some of them. This statement does make sense. Of course, I am not evaluating the number of idiots. I am talking about the definition of "some" that can be sold. Is it 1,000 units, 10,000 units, or 100,000 units? Is it one year, two years, or ten years?

In addition, although Gree has tens of thousands of terminal retail stores across the country, it can distribute all its products in a short time, which is Gree's advantage. But we have to raise another point: would you buy meat at a beverage retail stall? Similarly, would you buy a mobile phone in a home appliance store? Although they are both appliances and bring convenience to users' lives, there is still a qualitative difference between the two. At least I feel very awkward. And there are also such cases. Haier, Hisense, and Changhong are examples of this.

But there are also successful ones, such as comprehensive hypermarkets like Gome and Suning. However, you have to understand that their success is not due to the business model of the hypermarkets, but because the mobile phones they sell are standard products of mature brands that have a strong degree of recognition in the minds of consumers. In industry terms, the terminal pulling power is sufficient. For users, it is just a change of place. However, for a copycat phone, I believe it is impossible to have such a strong pulling power.

Therefore, we believe that the first hurdle that Gree must overcome in making mobile phones is the product hurdle, so it should start with research and development.

Promotion and pricing should start with products

Let's talk about promotion first. This time, Gree's moves are very internet-oriented. First, spy photos of the new phone were exposed in an unofficial venue, then media interviews were accepted to ferment the incident, and then details such as the outer packaging were exposed to increase the popularity. The next step is probably the launch time and price prediction. This is a typical Internet mobile phone promotion method. Perhaps you have also seen some shadows of e-commerce brands such as Xiaomi and Dashen. Yes, this is the advantage of Aunt Dong. She has a strong learning spirit, which is also the embodiment of the Shenzhen manufacturing spirit.

However, there is a core problem here, that is, Xiaomi and Dashen's products are like this because they have high hardware configuration, high-quality screens, and many water armies, so the products are naturally highly concerned, but what about Gree's mobile phones? Under the cover of the original industry's glorious wreath, with the help of people's inertial thinking, it still has a certain appeal, but when you unveil the day, people find that it is such a low-end product, just like the groom unveiled the red veil on the wedding night and found that the bride turned out to be a round face, flat nose, full of freckles, and the chest and waist circumference are the same size, will you vomit?

Therefore, I think that if you want your early promotion efforts not to be in vain, a good product is the foundation of your confidence. The first hurdle that Gree must overcome in making mobile phones is still this "product hurdle". Let's start with research and development.

Let's talk about the price. Aunt Dong mentioned that the core of Gree mobile phones is to be affordable, so there is hope that you don't have to change your phone for three years. However, according to the information currently revealed, the price of Gree mobile phones will not be too high, estimated to be around 1,000 yuan, which is also the price range that domestic mobile phone companies are competing most fiercely. Whether it is Xiaomi's Redmi series, Honor's 4X series, or Dashen's F2 series, including Meizu's NOTE and Lenovo's Lemon series, they are all eyeing this range. What are Gree's opportunities?

If the hardware configuration is really based on what Aunt Dong revealed in advance, I think it is more reasonable to set the price at around 699. If it is more, it is really not worth the price! But in the long run, if you set the price of your first product so low, it will set a tone for the brand. You are going to the low-price market, which will make it very difficult to promote high-end products in the future. I wonder if Aunt Dong and the think tank around her have seen this crisis?

The attitudes of friendly competitors are varied

Although the above are just some views of our Chinese faction, the views of these friendly competitors who have personally experienced the actual industry operations have a certain reference value and credibility.

Li Wang, executive vice president of Coolpad, who is in charge of Dashen business, commented that "Auntie Dong is very courageous" for Gree to make mobile phones. He believes that it is illogical to achieve commercial success by telling stories in this world. Zhu Fanghao, president of Coolpad Dashen e-commerce, also said that if Gree mobile phones still use low-configuration solutions to fool users, they will inevitably fail miserably.

Yu Chengdong, the head of Huawei's consumer business group, who is always outspoken, commented, "I think this industry is too chaotic and only a few manufacturers will survive in the end." The implication is that you should go back to where it's cool. The mobile phone industry is not just about money, but more importantly, the technical background.

At the end of the day, someone will definitely say, what do you know? Aunt Dong made the phone to lay out the entrance to the smart home, don’t talk nonsense if you don’t understand! My dear brother, please calm down. There is a booth in front, turn left, turn left, and turn left again. Go and sign to get 50 cents! Everyone knows that the entrance to the control platform of the smart home is on the mobile phone, but if you make a product that can’t be any worse, will anyone buy it? Are there so many idiots in China? The entrance is occupied by giants such as Xiaomi, Tencent, 360, Alibaba, and Baidu. Your smart home empire can only be a pipe dream. I am not exaggerating!

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.