Click to read the original text for details. Cheapness is not the start of an easy marketing path, but the beginning of a marketing nightmare. Because you feel that if it's cheaper, the difficulty is less. The problem is precisely that: the first step is easier, but the subsequent steps are harder. A series of marketing problems come with cheapness. These problems are unsolvable because of cheapness. Unsolvable problems are nightmares. The nightmare begins with cheapness. Because it's cheap, you have no marketing budget. Because you have no marketing budget, you cannot activate the market. Because you cannot activate the market, even if it's cheap, no one cares. Sales are activated, not cheapened. Sometimes, more expensive items can sell themselves; the cheaper the item, the more you need to activate the market. Because it's cheap, you can only sell to those who seek bargains. Those who seek bargains are always seeking bargains. Today you are cheap, they come; tomorrow someone else is cheap, they leave. Because it's cheap, you are always changing consumers. Changing consumers also costs money. Because it's cheap, you have no budget left. Because it's cheap, the manufacturer has to reduce costs. As long as costs are reduced, quality cannot be guaranteed. As long as quality is not guaranteed, those who bought cheap goods feel cheated. Those who buy cheap are not psychologically prepared to be cheated. Those who seek bargains are actually prepared to take advantage. You hope to sell cheaper, but consumers may not necessarily buy cheap. Stores don't make money selling名牌 (brand-name) products, so they hope to sell some cheap goods at high prices. Your cheapness is combined by the channel's product mix. In the channel's product mix, the unchanged are brand-name goods, and the frequently changed are cheap complementary products. For cheap products, you are the constantly replaced 'combination product'. Because it's cheap, the product fails. When the product fails, you have to start over and launch a new product. 'Doing it again' is the most expensive cost in life. When relaunching a new product, you might realize that the failure was because it was too cheap. However, your conclusion is more likely: it's still because it wasn't cheap enough. Just like a thief who fails and gets beaten, does he reflect on 'shouldn't steal' or 'stealing skills are not high enough'? Most likely the latter. Why is the channel particularly sensitive to price? Because the channel must do product mix. I have brand-name products, so I must find products to combine with them. No brand awareness, gross margin—these are the two factors when the channel chooses non-brand products. Whether you will sell well or sell long-term, the channel doesn't care, because there are too many combination products delivered to the door. The first reason the channel rejects new products is: too expensive. The second reason the channel rejects new products is: insufficient policy support. Moreover, the channel rejects layer by layer. Cheapness is the beginning of all disasters. 'Cheap sells well' is just an illusion. Because of this illusion, you jump into a pit. You can't climb out of this pit, and the easiest thing is to jump from one pit to a deeper pit. Jumping into pits is always easier than climbing out. Better not jump into the first pit, otherwise it will be one pit after another. The real marketing logic is 'backward reasoning'. Those who truly care about quality are consumers, so good products must first meet consumers. Don't treat the channel as the spokesperson for consumers. Consumers have no spokesperson; the channel is only the spokesperson for profit. What consumers are interested in must be good products, and good products must have high costs. High costs mean high prices. Products with high prices must first meet consumers to gain initial recognition. Once consumers recognize it, the channel will be 'forced' to recognize it. Once consumers recognize the product, channel distributors have to accept the price. This process is called: Build recognition backwards, sell forwards. This is the core secret of marketing! Source: Teacher Liu's New Marketing