Rebirth 1990: The beginning is sweet and cool Bai Yueguang

This news immediately ignited the enthusiasm of consumers. Compared with the discount in Huaning City, the 20% price reduction offered by Hualong City is obviously more attractive.

More importantly, even if you find out in the future that you overpaid, you can still get a corresponding refund, which undoubtedly gives consumers great confidence.

After hearing this good news, people who had just bought electrical appliances the day before came with their receipts to apply for a refund of the difference.

Who would have thought that you could get a portion of the money you paid for the goods you purchased back?

Such a good thing has never happened before.

Hualong City honored these refunds on the spot, allowing onlookers to see tangible benefits.

As more and more people witnessed this scene, those customers who were still waiting and watching no longer hesitated and joined the rush to buy.

Even if the price today is slightly higher, you may be able to get the difference tomorrow, but if you miss this opportunity, you may never be able to enjoy such favorable conditions again.

Under the influence of this powerful promotional strategy, the scene that previously occurred in Hualong City is now happening in Huaning City: a large number of customers quickly left Huaning City and went to Hualong City for shopping.

Many people have already selected their favorite products in Huaning City and placed orders immediately after returning to Hualong City. Hualong City also promises to deliver the goods to their door within 24 hours and will give additional compensation if the time limit is exceeded, which further enhances customer confidence.

As a result, sales increased dramatically, even more than twice the performance on the first day of opening. Faced with this situation, Qiao Xueying, a merchant in Huaning City, was very anxious.

Although profits have shrunk significantly, at least there is still money to be made and we have no choice but to accept reality.

Du Renliang hurriedly adjusted his strategy to prepare for the upcoming sales boom.

However, Hualong Electric caught him off guard by reducing prices across the board by 20%.

I originally thought that my promotional plan was flawless, but now it seems that I am no match for it.

What to do? If you want to fight back, you have to be more aggressive.

Another 30% drop?

However, the net profit of the electrical appliance industry is only about 30%, so doing this is simply a loss-making operation.

Just when Du Renliang was in distress, a thought suddenly flashed through his mind.

A sly smile appeared at the corner of his mouth.

Hualong promised that if it found a lower price on the market, it would compensate the customer for the difference.

In other words, every time Huaning lowers its prices, Hualong must follow suit.

After realizing this, Du Renliang suddenly became excited.

This is simply digging your own grave!

“Sell it!”

“Sell as many as you can!”

On that day, Hualong Electric's sales volume hit a new high again, but Huaning held an emergency meeting.

Throughout the whole day, Hualong's performance continued to be hot, but Huaning remained silent, and the mall was as deserted as an ice cellar.

As the new marketing director, Du Renliang's performance disappointed everyone. Even Du Yangqiu called to inquire about the so-called powerful plan.

Facing his father's questioning gaze, Du Renliang said confidently: "In fact, I am setting up a trap that will leave Hualong with no way out."

"My goal is to get them to sell more appliances, preferably to clear out all the inventory."

Hearing this, everyone present was stunned.

What is this strategy?

Du Renliang looked around and explained with a smile: "You may not know Hualong's promotion policy this time. They guarantee to give customers cash back according to the lowest market price.

Therefore, we just need to keep lowering the price, and Hualong will have to keep up with our pace. In this way, they will be the only ones who suffer in the end. "

“What would happen if we cut commodity prices by 40%?”

A 40% reduction?

This is crazy!

In this case, we would lose 10% for every appliance we sold. Based on previous sales, a store would lose tens of thousands of dollars a day. We have eight stores, so that means a loss of more than or yuan.

Moreover, such a drastic price cut will surely attract customers to the store, and the losses will only be greater.

However, some quick-witted people began to understand Du Renliang's intention: "Director Du, do you mean that once we lower the price, Hualong will also have to follow our new price and make up the difference to consumers?"

"That's right." Du Renliang replied, "If they don't fulfill their promise, their reputation will be ruined and they will lose the market. But if they follow suit, it means they will lose money on every unit they sell. Small Hualong simply can't afford the loss and will eventually go bankrupt."

"Master Du, that's a brilliant move!"

"Hualong miscalculated this time. They probably thought we didn't have the courage to do this and wanted to use it to attract customers, but they didn't expect that they were digging their own grave." Everyone praised.

However, Du Yangqiu frowned, thinking of a deeper problem.

"Hualong has only been open for two days, and has not accumulated many customers. They proposed to give cash back to old customers. But if we follow up, what about the large number of customers who purchased before? Our customer base is much larger than Hualong..."

Du Yangqiu sighed: "This is not Hualong's mistake, but they saw this clearly and did this. This is forcing us to make a decision."

Indeed, if Hualong were to compensate all old customers, how could Huaning afford to compensate the huge number of customers it has accumulated over the years?

However, if no compensation is given, the company will be criticized for neglecting old customers and affecting its reputation.

From another perspective, even if Hualong cuts its prices by 20%, they still have a 10% profit margin, which allows them to achieve rapid expansion with small profits but quick turnover. To counter this strategy, it seems that they can only continue to cut prices.

This is really a difficult problem!

"Dad, I have a solution." Du Renliang said, "For old customers, we can give partial cash back: 10% for purchases made a year ago, 20% for purchases made between six months and a year, 30% for purchases made between ten days and six months, and 40% for purchases made within the last ten days."

"Think about it, how many people can keep their shopping receipts? In fact, not many people can really apply for cash back. Doing so can not only win the trust of old customers, but also promote repeat purchases.

After all, as an established company, we are more trusted by customers than the newly established Hualong. In addition, we have 84 profitable stores across the country, which is enough to offset the short-term losses of several stores in the Shanghai area. "

Hearing this, Du Yangqiu's eyes lit up. His son's analysis was very accurate, and he nodded in approval, "Good idea! Let's do it this way. The specific execution is up to you."

At the same time, Qiao Xuying was calculating the performance of the past two days.

The five stores sold a total of 37.62 million yuan. Although the stores were crowded today, many customers came to make up the difference, so the actual sales volume was only a little over a million more than yesterday.

Although such sales figures are already amazing, she cannot be happy because after deducting the difference refunded to customers, the net profit is only 3.7 million, and this figure may be even lower.

Due to the surge in sales within two days, the delivery pressure was enormous.

The promised 24-hour door-to-door delivery and overtime compensation policy make it possible even with a large number of employees on hand.