Chapter 632: Promotion: Part I (Asking for Tickets)

Volume 1 Little Lotus Shows Sharp Corners Chapter 632 Promotion ・ I (Ask for Tickets)

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At this time, all kinds of VCD brands have flooded the world, the market for traditional video recorders has further shrunk, and all manufacturers are losing money, while some big brands, after dealing with the final tail goods, have stopped producing traditional video recorders, because they have also gotten VBSP; As for the small companies, they have declared bankruptcy one by one, because even if they sell at a loss, few people are willing to buy them now. It's like mobile phones are about to become ubiquitous, and who's going to buy pagers anymore?

And when these large companies are still negotiating with each other to unify ~ a retail price to ensure their own profits, they did not expect that Fengyu Electronics made a crazy decision in their opinion!

Wind and rainvbsp; VCD is the original price of Fengyu Electronics, which is also formulated by Fengyu Electronics. Other VCD manufacturers also obtained patent authorization from Fengyu Electronics, but when other brands of VCDs were sold at reduced prices, VCDs of Fengyu Electronics still maintained a price of more than 3,000 RMB.

At that time, Sony and other companies were still watching jokes, do you think Fengyu Electronics is a big brand? Is your brand value as high as our Sony? Trying to use the added value of the brand to increase profits is doomed to failure.

And the facts have proved this, and the sales volume of wind and rain VCD has been declining. When Norio Ohga learned the news, he was so happy that he died.

What is the wind and rain brand, Aihua brand or AIA, do you think that VCD is produced by you first, and it can be sold at the highest price? Do you regret it now? Your high price is doomed to your failure.

But now, Wind and Rain VCD suddenly announced that it was going to reduce the price of a big promotion, and the intensity was so great! The retail price of each VCD has been reduced from more than 3,000 yuan to 1,999 yuan! This is a few hundred dollars cheaper than the selling price of more than 2,000 yuan from other companies. `

At the same time, Aihua brand VCD and AIA brand VCD all announced price reductions and promotions. The promotion strength is exactly the same as the wind and rain brand!

At this moment, other brands are dumbfounded, and consumers will definitely not buy their VCDs anymore. After all, those three brands are the oldest qualified brands in VCD!

This year, the RMB suddenly depreciated, leading to a sharp drop in the exchange rate against various foreign currencies. Last year, the exchange rate of the RMB against the US dollar was hovering around 58:1. Now it has become 82:1, that is, a royalty of fifty dollars, which is equivalent to more than four hundred RMB!

The price gap between Fengyu brand VCD and other brands of VCD is exactly about 50 US dollars, which makes other companies itch their teeth.

Wind and rain electronics' move is too TM loss, your price reduction, if we follow the price reduction, then our actual selling price is only about two hundred dollars, and the cost of more than one hundred dollars is removed. What else do we make? Haven't the big heads been earned by Wind and Rain Electronics?

The most hateful thing is that if Fengyu Electronics had reduced the price when they authorized them patents, then they would not have been so passive, but they saw that the sales were good and they had expanded their scale.

But the profit per unit was reduced by fifty dollars all of a sudden, which was a great loss for them. It wouldn't have been great if it hadn't been scaled up, but it had been scaled up. 'Profits have also dropped by a big margin, how can people still play with this?'

The reason why Feng Yu has to wait is that he has not reduced the price, even if those brands expand their scale. It's good to drag them down.

What is the cost of this VCD, Feng Yu knows very well. Before, the cost of Fengyu Electronics was more than 1,000 RMB, but with the expansion of the scale, more skilled workers, and higher equipment efficiency, the cost has been reduced to more than 600 yuan. In other words, Feng Yu's profit is still Yaoyao ahead of other companies, because the cost of other companies is more than 1,000 RMB.

The scale of those companies has just expanded, the proficiency of workers is not good, and some core technologies, Fengyu Electronics have not sold to them, so their costs cannot be reduced temporarily.

Originally, these were nothing, the cost of more than 1,000 yuan, they sold more than 2,000 yuan, and there was still a profit. But after removing the costs of tariffs, transportation, sales, etc., their profits are not high, at least in the Chinese market, their profit for one unit is only about fifty dollars.

Feng Yu reduced the price so much that those foreign brands couldn't operate at all. Now there are two ways, the first is to produce in the interior of China, exempt some tariffs and transportation costs, but to invest in the construction of new factories, this cost is not small. The second way is to withdraw from the Chinese market and consolidate their base camp.

Most of the foreign brands have chosen to withdraw from the Chinese market, and some AIA has factories in overseas areas, and they have also begun to slowly withdraw. But now, aren't they directly giving up part of the market in Asia, part of the market in Europe, and most of the market in the Americas?

How can this work? The market has just opened, and it seems that it is about to be harvest season, and now they give way, isn't it all in vain in front of them?

So they decided to only withdraw from the Chinese market, and continue to compete in other markets. In those markets, their factories are bigger than those of AIA, are they afraid of competition?

The most important thing is that they can't quit, and once they do, they will completely lose the opportunity to share in the VCD industry and even the future profits of the DVD industry.

What to do, they also lowered the price to the same standard as the wind and rain VCD. Anyway, even so, they still have profits, just a little less. But if they quit, they won't make any profit at all!

……

Price reduction promotion is the simplest and most direct means to seize the market, Feng Yu has seen many brands use this method in his previous life, and he quickly seized the market. And when the market is theirs, they will raise the price again to make a profit.

As soon as Feng Yu's killer move came out, the market share of Fengyu VCD in Huaxia rose to 50% again, and continued to rise, and the sales volume was getting higher day by day.

And foreign sales have also begun to rise rapidly, and the initiative is back in Feng Yu's hands.

Jiang Wanmeng and they suddenly appeared, it seems that after the price reduction, their profits have not decreased, and their sales have increased. And in the past few months, the sales volume of VCD discs has also been far from his imagination, and the profits of Fengyu Electronics have not decreased!

Coupled with the cost of patent licensing, the profits of Fengyu Electronics have actually increased a lot.

At this time, Feng Yu once again launched the second phase of the promotion, buying VCDs, giving away more movies and music CDs, not just giving away a New Year's Day party CD.

Buy one get two free, the promotion is very strong.

Most people buy VCD back for what they do, all for watching movies, listening to songs or singing, and buying VCD players, the consumption of CDs is not a small amount, just like buying a car to refuel is a reason, always feel as if it didn't cost much every time, but at the end of the month, it is not a small amount.

The cost of a CD-ROM is only ten yuan, including copyright fees, transportation costs, etc. But it was the concession of these 20 yuan that made the sales of Fengyu brand VCD increase again.

"Mr. Feng, our sales are growing rapidly again, your promotion method is too cost-effective!" Jiang Wanmeng said excitedly.

"This is nothing, continue to launch follow-up activities, anyone who buys our products, can participate in the lottery, the grand prize is the full cashback of the purchase amount, the second prize is half of the cashback, and the third prize is the bladeless fan...... The grand prize is a movie disc or a music CD, and everyone can win the prize! ”

Feng Yu brought out some of the promotional methods of his previous life, and those big brands did not know the real methods of promotion at all, so they were doomed to failure!

ps: The fourth update, make up for the one that was owed yesterday. There are two more in front, don't miss it. At the beginning of the month, the monthly pass doubled activity, everyone voted a little more for the fourth, and when the fourth returned home on the weekend, you would be able to see if the fourth child was not giving enough!

In addition, those in the group who cursed me for being single, I also cursed your girlfriend Aunt Tiantian!! Is it easy for me to have a blind date, do you say I'm easy~~