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Introduction:
Some say that traditional enterprises rely on three tools to achieve performance: advertising, gifts with purchase, and low prices.
However, in the current mobile internet era, despite the flourishing of various startups, traditional enterprises seem to have no choice but to use these traditional tools (using the above three to summarize all traditional marketing methods). It can be said that the mobile internet has not brought much improvement to our sales methods.
What should we do? Reasons Behind the Traditional Marketing Three Tools Clearly, traditional selling first relies on advertising, leveraging the human cognitive trait that "perception is greater than fact," and also exploiting the characteristics of communication in the pre-mobile internet era: one-way, closed, top-down, and non-real-time. The best way for such communication is advertising: I speak, you listen; I perform, you watch; I boast, you accept. Since you passively accept, you come to believe it as fact. Moreover, consumers are not product experts or industry experts, making it difficult for them to understand the intrinsic value of products. Thus, you easily become a consumer of the company's products. Especially for brands that advertise on CCTV, it is easy to associate them with: big brand, wealthy, unlikely to cheat, has a place to complain if the product is bad, industry leader, etc., leading to confident purchases. Gifts with purchase also exploit consumer psychology: the desire to get a bargain. Note that it's about getting a bargain, not just cheapness. The gift seems to be obtained for free, but in fact, the cost of the gift is already included in the price of the main product. There is a pricing method in marketing called skimming pricing, where the price is initially set high and then gradually reduced, making you feel you are constantly getting a bargain. This exploits that psychology. In fact, the desire for bargains also arises from information asymmetry. Low prices: when consumers cannot distinguish the quality or utility of similar products, price becomes the only comparable factor. Thus, low price has been the most consistently effective marketing tool in the traditional era. Whether it was Changhong in the past or Galanz later, both were price cutters who forced competitors to retreat and successfully rose to prominence. Summarizing the above traditional marketing three tools, we find a common feature: under information asymmetry, potential users pay money, either confused or even willingly, becoming consumers of the enterprise. Are Traditional Marketing Concepts No Longer Valid? First, let's analyze: Has the marketing concept changed due to the mobile internet? First, the demand theory: Is the demand theory wrong? Consumer needs may change, such as consumption upgrading, requiring mainstream products to shift. However, it is still the products and services provided by enterprises that meet consumer needs. For example, Coca-Cola's century-old carbonated products face challenges from non-carbonated drinks, but consumers still need products to meet their upgraded needs, not something else. So, enterprises just need to develop products that meet their upgraded needs. Second, have consumers transformed into fans? Consumer encyclopedia: "Consumers, scientifically defined as a link in the food chain, representing organisms that cannot produce and must consume other organisms to survive... he or she purchases goods..." Fan encyclopedia: "Originally 'fans' were called star chasers. But this term has long been abandoned by fashion. Now many young people love this new term; it has become a synonym for fashion. Fans are supporters." From this, fans may just be supporters, but not necessarily consumers, while consumers are definitely buyers or potential buyers. So, in the new economy era, this concept has not been overturned. Are all products blockbusters? Probably not; under a blockbuster, there may be many other similar products. Moreover, the Taobao brands that exploded a few years ago have now basically disappeared from rankings. Has the channel changed? The channel has indeed changed. The place where consumers first purchase has changed, such as online. However, it is widely believed that Taobao simply moved the original offline wholesale market to the internet. As for the original circulation and distribution, everyone is now desperately doing B2B, which essentially puts part of the distribution function online and upgrades it overall. Has offline marketing changed? It seems that current ground promotion is just the original offline promotion. ... Overall, there are some changes, even many, such as product development truly being different from before, consumers' cognitive methods being different, and old promotional methods basically not working online... But it seems that the essence of marketing has basically not changed. If the Essence Hasn't Changed, How to Do New Marketing? If the essence is indeed basically unchanged, then discussing how to do new marketing is very meaningful! We still need to meet needs, get close to consumers, prioritize products, and have channels... It's just that the specific methods may have all changed! Because the ways, methods, and tools of information communication have changed! So, how can we achieve changes in specific marketing work according to the changes in information communication? 1. Product Development and Creation. I personally believe that consumers must be brought in, listening to their opinions and even co-developing. As a former Coca-Cola product manager, I know well that the original product development method, even with research, was basically based on the company's subjective judgment. Why is Xiaomi successful? I think it's primarily because Xiaomi's products emerged because a large number of fans incorporated their needs at the beginning of product development! 2. Brand Communication: Brand building can no longer rely on one-way advertising; interaction and experience will be important means of brand building. 3. Pricing Strategy: Since it's about interaction and experience, not just selling basic product functions, and with the changing times and consumption upgrading, pricing should incorporate emotional, cultural, social, and other elements. You can even adopt different prices for the same product. Of course, specifically, you must dare to declare war on low prices! We have already seen that many products are more expensive online than in physical stores! 4. Channel Building: With the rise of e-commerce, traditional channels have indeed undergone tremendous changes. Especially the dealer group that has been growing wildly, first hit by the "disintermediation" of e-commerce, is now waiting for enterprises to save them. At the same time, B2B e-commerce companies are constantly connecting enterprises with terminals through mobile internet. In this regard, enterprises can boldly try. It can also be said that this path must be taken in the future. 5. Promotion: Originally, a channel promotion could last a month or even half a year, and consumer promotions might even require cutting out promotional information, filling it in, and mailing it back, or were "lazy" or cumbersome. As channel members and consumers collectively go online, communication becomes direct, even face-to-face. Promotions can only become more diverse and constantly presented! Using old tricks, promotions without novelty, or insincerity may all be taboos in the mobile internet era!
- ... Of course, there are many other changes and new methods, such as social e-commerce, various fission marketing, event and opportunity marketing, big data marketing, cross-border, cross-industry alliances, community marketing, etc. These need to be continuously explored and innovated in the marketing process. In fact, if you look broadly, mastering the essence of marketing should not stump you, right? -END- The best learning platform for FMCG distributors in China Focusing on providing professional, practical, and applicable tutorials for enterprises and distributors Committed to helping Chinese FMCG distributors grow rapidly The most professional and practical knowledge base in the FMCG industry Reply with the red number below to get corresponding content Reply with number 1 to view the complete knowledge base | 001 Excellent Article Selection | 002 Dealer Market Operations | 003 Terminal Visit Management | 004 Sales Supervisor Skills | 005 Sales Improvement Tips | 006 Channel Expansion | 007 Managing Distributors | 008 Dealer Development | 009 Dealer Internal Operations Management | 010 Team Management | 011 Efficient Distribution Techniques | 012 Sales Manager's Eighteen Skills | 013 KA Operation Methods and Strategies | 014 First Lesson for New Salespeople | 015 Internet, Brand | 016 Dealer B2B Transformation | [Long press QR code to follow]