Rebirth 1999: Opening the Age of Black Technology
Chapter 119: Strong alliance
Chen Xiao briefly introduced the relevant situation of Lingyue. It is a regular company, has production lines, and most importantly, has patents related to MP3, especially MP3 decoder.
"We are responsible for the quality assurance. According to the national quality assurance requirements, we will be responsible for maintenance within one year. Our factory is located in Jiangzhou."
Tao Junhui was instantly moved!
The reason is that Lingyue actually has a patent for MP3 point and a patent for MP3 decoding chip.
This proves that Lingyue Company is not a leather bag company, but has a certain strength.
In addition, Tao Junhui watched Lingyue MP3, the feel, quality and appearance, and sound quality are all very good.
"What about the price?" Tao Junhui was very concerned about this thing.
Chen Xiao did not say clearly: "According to the current profit of small household appliances, Guomei will have a profit of about 15% for each unit sold."
"It depends on our cooperation method. If Guomei mats are purchased, we will make some profits. If Guomei provides a platform and does not advance funds, then we will currently give 50 yuan in profit compensation for the sale of one unit."
The profit of a DVD is only a few dozen yuan, and an MP3 has such a huge profit. It seems that the cost of domestic MP3 is indeed lower than that of foreign ones.
Moreover, compared with TVs and other major appliances, MP3s are fast-moving consumer goods. As long as the price comes down, many people will buy them.
Tao Junhui asked Chen Xiao to wait a moment, and he immediately reported the relevant situation to the company.
Finally, under Huang Guangyu's advice, Tao Junhui cooperated with Chen Xiao on behalf of the company.
Tao Junhui asked, "I just spoke on the phone with my boss. I can now bring the company to discuss cooperation issues with you."
Huang Guangyu was very courageous. When he learned that MP3 was actually made in China, he immediately explained to Tao Junhui the follow-up cooperation matters on the phone.
Huang Guangyu is betting, he believes that domestic MP3 can give Guomei a strong profit and greater popularity.
Tao Junhui said: "We don't say 15% profit or 50 yuan per unit. Lingyue directly gives us a wholesale price, we purchase at the wholesale price, and we set the retail price here to make more money. Earning less is our business."
"But what I want to make clear is that Lingyue can only cooperate with Guomei, not with other department stores. We must ensure that we are the only sales channel for products."
Tao Junhui is a proposal, which is actually very beneficial to Lingyue.
Because Lingyue no longer has to worry about the sales side, it also reduces the pressure on inventory and costs.
But Chen Xiao does not agree with this suggestion, for one reason.
Chen Xiao can't grasp the price at the sales end. It is up to the store to sell high and sell low. This will make Chen Xiao very passive.
If the price of Lingyue MP3 is relatively affordable, then let's not talk about it, which proves the premium ability of the product.
If the store is for its own interests, such as engaging in activities to gain popularity, sacrificing the price of MP3, or even selling the price lower than the cost price.
Then this will greatly damage brands like Lingyue.
MP3 competition will be very big in the future.
Next year, the high-end brand Apple will launch the iPod, and the next year and the next year, various low-end brands will enter the MP3 market.
If Lingyue wants to survive and earn enough profits, it must guarantee the value of the brand.
Therefore, the price of Lingyue MP3 can only be dominated by Chen Xiao.
Chen Xiao said: "We can guarantee that Guomei Electric is our only offline sales channel, but the sales price must be set by us, and you can only sell at our price."
"The profit we can give is 10% of the sales price, and it will not be less than 50 yuan."
"Whether Guomei purchases in advance is up to you to decide."
Tao Junhui was a little surprised by Chen Xiao's proposal.
He saw that Chen Xiao was young, but he didn't think that he had a lot of ideas.
Give 10% of the sales price, and it will not be less than 50 yuan, which is very beneficial for Guomei.
It's certainly not bad to buy ahead of time without paying for it.
However, Tao Junhui said with some curiosity: "Why do you bite the price so much? In my opinion, you only need to calculate your own costs and give a selling price. As for how much we sell, it is our business, and you will not lose money. ah."
Chen Xiao's remarks made Tao Junhui begin to show the issue of branding for the first time.
Chen Xiao said, "Why is a Changhong color TV of the same size several thousand dollars cheaper than Sony's, but still can't sell Sony?"
"The quality of the product is the premise, but the brand is also very important, and the low price is second."
Tao Junhui laughed: "Brother Chen's insights are very unique!"
In fact, the relationship between price, quality and brand effect has always plagued Xia Guo products.
If you have the core technology of a product, it must be high-end.
It's easy to get from the high end to the low end, but it's incredibly tough to go from the low end to the high end.
Later generations of millet and domestic cars are examples.
It is easy to enter an industry from the low end, but when you are ready to get rid of the low end image to make more profit, you will find that your original positioning is problematic.
Tao Junhui said: "We are planning to sell Lingyue MP3 in a total of 40 Guomei stores in first- and second-tier cities across the country."
Tao Junhui thought for a while and said, "A total of 2,000 MP3s need to be prepared. I wonder if Lingyue has any difficulties in this regard?"
Tao Junhui said this, but also to test the actual production strength of Lingyue~www.readwn.com~ If 2000 sets of MP3 are not delivered, then such cooperation will be a question mark.
Although Tao Junhui believes that Lingyue MP3 has the strength to become a hit, but after all, this is the first time the two sides have cooperated, and Tao Junhui does not dare to ask for 5,000 or 10,000 MP3s in one breath.
If it can't be sold, it will also squeeze the goods for Lingyue.
Chen Xiao asked, "When will it be available for sale?"
"Next week is the Mid-Autumn Festival. We will have an event on the Mid-Autumn Festival at the latest. It would be best if we can catch up with this event."
Chen Xiao said: "I will ask the company's people to send over the cooperation agreement later. I wish us a happy cooperation!"
Chen Xiao stood up and shook hands with Tao Junhui before leaving the Guomei store.
There was no problem at all until the Mid-Autumn Festival, and Chen Xiao still needed to do two things during this period.
One is to find the right person to shoot a beautiful MP3 advertisement.
Another point is to advertise Lingyue MP3 in print magazines such as Reader and Youth Digest, as well as in various channels such as Baidu, Network Management System, and 11181.
The audiences of "Readers" and "Youth Digest" are middle and high school and college students, and these people are potential consumer groups.
The audience of the 11181 website and the white advertisement page is the majority of boys.
Lingyue MP3 is not intended to be sold to boys, but hope to see such advertisements in the next life, and buy products like this to give to girls you like.
After Chen Xiao left, Manager Zhang asked Tao Junhui in confusion.
"Mr. Tao, I've never heard of Lingyue Company. We Guomei cooperate with big brands and big companies. Is it safe to cooperate with such companies?"
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