How to develop a new market, most regional managers have a clear plan, with their own 'Eight Steps' or 'Nine Yin Manual'. But how to develop a market that has been ruined, many regional managers are at a loss. Every relatively mature company will face such problems, some regions have become half-cooked, and even have many historical issues. Facing such a market, the difficulty of re-entering is far greater than entering a new market, requiring 5-10 times the effort.

Recently, the author trained a beverage brand, and the brand's regional manager L was newly assigned to Yulin. The local market had already changed distributors several times, and the market was getting worse. Many customers still had expired products of the brand, and the brand's reputation in the area was very poor. After some effort, L also found several interested customers. After multiple conversations, they formulated product launch and promotion plans with the customers, and the customers were very interested. At the final decision point, the customer said, 'Your product is good, but let me first go to the market and look around.' And then there was no result. Even one customer who had signed a contract with the company delayed the initial payment after checking the market.

For similar markets, the crux is actually two words: 'confidence'. Distributors are not lacking confidence in the regional manager, but have completely lost confidence in the brand. To revive a ruined market, we need to focus on confidence.

Another regional manager C of the same brand did well in this regard. C was responsible for the Dongguan and Shenzhen markets, where the company had entered and exited multiple times. Taking Dongguan as an example, due to multiple strategic adjustments, the company had entered and exited the local market nine times, leaving a pile of problems and arousing great 'public anger'. How to clean up this mess, find new distributors, and develop the market? C did a lot of visits in the Dongguan market to understand the situation. After careful consideration, he decided to start from a town in the northern part of Dongguan where the damage was lighter. Previously, the company mainly did traditional wholesale channels in Dongguan. Here, he found a distributor who did supermarket channels. The old products were temporarily abandoned, and even the company name was not mentioned. A new product was promoted as a brand, distributed through the supermarket systems the distributor controlled, and sales were opened through vivid displays, promotions, and other measures. Then gradually expanded to other districts and towns, other channels, and finally re-established a foothold in Dongguan. Now it is doing well.

Through existing cases, we analyze how to operate a ruined market:

  1. Visit the market to understand the root cause of the problem and avoid similar things from happening again. Investigate whether it is a company problem, salesperson problem, or distributor problem, and solve what can be solved to show the company's sincerity.

  2. Understand the extent of damage in the region and strategically retreat from severely affected areas. Focus energy and resources on markets with potential, and let time dilute the memory.

  3. Find local areas with lighter damage, and find distributors through policy incentives. Invest more resources in local areas to create a model. Pay attention to the development rhythm and gradually cover the entire regional market. For example, the beverage brand entered and exited Dongguan nine times, and finally started small in a northern town, gradually opening up the market.

  4. Consider distributors from similar industries or even outside the industry. For example, the beverage brand could find leisure food distributors to operate the market.

  5. Start with segmented channels, new channels, or channels not severely affected. For example, the beverage brand avoided the severely affected traditional wholesale channels in Dongguan and found a supermarket channel distributor to open the market.

  6. Start with new products. For example, the beverage brand promoted a new product XXXX in the Dongguan market, even avoiding mentioning the company brand, promoting the brand by product name, which to some extent reduced the negative impact of the market.

  7. Company leaders should show attention. For example, invite distributors to the company and have leaders meet them. When receiving high-level attention or promises, distributors are more confident and push the market forward.

In summary, it still comes back to the keyword 'confidence'. For a ruined market, confidence often cannot be built overnight; it needs to be regained bit by bit. To sum up, it is to go from small to large (region), from detailed to comprehensive (channel), from new to old (product), and even from outside to inside (distributor selection, if not in the industry, can find outside), from high to low (company leaders attach importance to a certain regional market), gradually open up the market and build confidence among customers at all levels in the channel.

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