1987: Sleepless Tonight

Big brands will advertise.

This is true whether it is domestic or foreign.

It can even be said that big foreign brands are more willing to spend money on advertising. Although there is a saying among foreigners that they are afraid of deep alleys even if they don’t have the fragrance of wine, there must be similar sayings. .

As a catering brand with good momentum now and even stronger momentum in the future, KFC will also spend a lot of money on advertising.

Most of this part of the advertising costs is borne by itself, but in the process of cooperation, partners will also be asked to bear part of the advertising costs.

As for the logic, it is very simple. KFC has invested money in advertising. The more money it invests, the wider the coverage, the more customers will know about the brand, and the number of customers who enter KFC stores will also increase.

In this case, not only the direct-operated stores, but also the cooperative and franchised stores will see an increase in revenue, so relevant advertising fees will be charged to the cooperative and franchised parties.

It's just that for this fee, Lu Hao made a relatively large discount in the specific terms. According to the previous situation, KFC and the franchise partner agreed that the advertising fee that the franchise partner needs to pay is about 5%, and he directly reduced to 3%.

Although it is only a 2% reduction, it is already 40% lower than in the previous life, and the turnover of any KFC store is very amazing, especially now, when there are not many KFC branches. Opening a store in the right location is equivalent to digging a gold mine.

In a steady stream, gold will emerge.

Taking the turnover of KFC's first store in China as an example, the turnover was more than 1 yuan a day, which is more than 8 million yuan a month.

Advertising expenses are calculated based on the proportion of turnover. A 3% proportion is 6 yuan, and a 5% proportion is 10 yuan. If you reduce the proportion by 2%, you can save 4 yuan in advertising expenses a month.

One month, 4 households worth [-] yuan!

With the expansion of KFC and the development of society, this cost will continue to rise.

It is not easy to reduce costs by 2%.

"Yes, if a brand wants to be known and loved by customers, it must work hard on publicity, and it must work hard. In the future development of KFC, it will also invest a large proportion of funds in advertising, and As a franchising partner, advertising can definitely bring additional customer traffic, so it also needs to bear part of the advertising costs." Lu Hao nodded very seriously.

He looked serious, "The advertising fee of 3% of the turnover should be paid by the franchisee. This was true when KFC cooperated with me. It will also be the same when cooperating with other partners in the future."

"I suggest that KFC can write this into the routine negotiations with partners in the future."

He deliberately stood in the position of considering KFC and asked KFC to charge a certain percentage of advertising costs. It seemed that he was thinking about KFC. In fact, he was looking for a cover for himself so that he could cover up the 3% advertising costs and prevent KFC from increasing advertising. The cost ratio made Kevin and others paralyzed and defaulted to the ratio of 3% of advertising costs that they wrote down.

KFC is really willing to spend money on advertising expenses.

Although it has not invested much money at this time, as it is optimistic about the market and needs expansion, KFC's investment in advertising will continue to increase, including various public service advertisements, major TV stations, prime time, and various KFC advertisements can be seen in major newspapers and in major crowded places.

In the year of KFC’s 20th anniversary in China, KFC spent 2000 million yuan on public service advertisements. In 2007, the house price in Jiangcheng was only 4000 yuan per square meter, and the per capita salary was more than 1000 yuan. But KFC’s annual The cost of public service advertising alone reached 2000 million, and all advertising expenditures throughout the year were nearly [-] million!

Foreigners appear to be very upright and rarely cheat on foreigners, but this is actually due to the low domestic productivity and poor living standards, coupled with some media and individuals’ selective reporting of foreign countries, which has led to most people having a negative attitude toward foreigners. Wrong perception: foreigners must be honest and upright, and they must act in accordance with rules and regulations when doing business.

But in fact, this perception is completely wrong.

If foreigners were really so silly and innocent, there wouldn't be so many incidents. Many incidents are caused by foreigners.

The launching of wars, the separation of countries and nations, including the looting of other countries' wealth, suppressing the development of other countries through diplomacy and military strength, etc.

If you really want to be honest and upright, how can you do these things?

Therefore, Lu Hao was very scheming when it came to cooperating with foreigners. Every step he took would dig several holes in advance, waiting for Kevin and others to dig into them.

"Boss Lu has considered it very carefully. He even considered the cost of advertising for KFC." Kevin sighed and said, "They say businessmen in China have no integrity and like to cheat and pass off inferior goods. Come here." Before Bian, many people gave me advice, saying that businessmen in China are not honest and must be careful when cooperating."

"Slander! This is obviously slander! If anyone says these things to you, Mr. Kevin, then you have to stay away from such a person, or this person has serious discrimination, which will affect the relevant people's view of the Chinese region and the Chinese nation. The judgment is either that he did not conduct an investigation and only relied on fantasies in his mind, or that he was slandered by politicians in a few words, and has serious prejudice and contempt for the Chinese nation." Lu Hao said immediately.

"These politicians, the rentier class, are hiding in their offices. What they want is to send a farmer's child thousands of miles away to deal with another farmer's son whom he has never met. After the matter is over, the politicians have reached their own level. For political purposes, the rich made a lot of money by selling arms, while the poor lost their children, and all these children got were medals on the coffins."

"Mr. Kevin, you must be careful about what these people say."

"Our country belongs to the Confucian cultural circle, and it is also the birthplace of the Confucian cultural circle. In the Confucian cultural circle, the most important things are forgiveness, loyalty, filial piety, brotherhood, courage, benevolence, righteousness, etiquette, wisdom, and trustworthiness."

Kevin looked confused, and several other foreigners didn't understand either. However, he was not impatient. Instead, he was very curious and looked at Lu Hao seriously.

Although they despise some of this ancient civilization's living habits and conditions, they are very interested in its ancient culture.

"You may not understand these, but in fact it can be simply understood as three views. In Confucian culture, these words are used to teach people what kind of three views they should have." Lu Hao said, "The letter among them is integrity. , you need to be honest and trustworthy when dealing with others, including doing business.”