Rebirth of the Industrial Tycoon - Vol 2 Chapter 458

Chapter 458 Today you love to answer me

Ke Cilei held the phone, beeping wildly.

“Mr. De Jong, this is really not my responsibility. The sales of razors on the Chinese market have fallen, mainly because the Chinese have also made double-ended razors.

China’s production costs are much lower. The price of Chinese double-headed razors is cheaper than ours. Only then will they steal the market from us. This has nothing to do with my business strategy!

Price reduction? Yes, of course I also made a price reduction, but the price of Chinese razors is only half of ours. Our Philips razors cannot be sold so cheaply!

Mr. De Jong, if we compare the price, we are definitely not the opponent of the Chinese, so I think we should compare the quality of the razor with the Chinese. In this regard, the Chinese razor is definitely not our Philips opponent.

I have already got a razor made by Chinese people. The style is indeed very beautiful, but the technology is still very backward. They have not yet used rechargeable battery technology, razors still use dry batteries, and Chinese razors do not support washing.

In addition, the service life of the blades used in Chinese razors is much worse than ours. In addition, their motors are noisier, and the longer they are used, the louder the noise of the motors will be!

So I suggest that we should use better technology to regain the Chinese market! Yes, the high-end products we sell in the Chinese market already have the charging technology and washing function, but I think this is not enough.

I know that our new products launched in Europe have already started to use motor mute technology. In addition, the floating cutter head technology that has been successfully developed, I think it should be brought out too!

Yes, Mr. De Jong, I know that the floating head technology is the main function of the upcoming HQ8 series. But without these new technologies, it would be difficult for us to regain the Chinese market.

Mr. De Jong, I am not exaggerating. The razors made in China do pose a great threat to us. We need to go all out to win the competition.

Well, I know that you don’t believe me just by talking on the phone. I have already sent samples of Chinese razors to the Netherlands. When you see those made by Chinese people, you will definitely believe me. ”

After putting down the phone, Ke Cilei breathed a sigh of relief.

As the head of Philips Asia Pacific, he must be responsible for the decline in product sales.

However, Ke Cilei didn’t want to be in the dark, so he simply shifted the responsibility to his competitors.

…

Netherlands, Philips headquarters, an old man is holding a knife and opening a package.

The old man’s name is De Jong, and he is the head of the Philips Quality Life Division.

After entering the 1990s, Philips was divided into three departments.

First of all, the lighting division. Philips itself started as an electric light bulb. At the end of the 19th century, it was the largest light bulb manufacturer in Europe. Therefore, the lighting heat business has always been Philips’ core business.

Secondly, there is the Medical Care Division, which is mainly responsible for the sales of medical devices.

As early as the First World War, Philips produced medical X-ray machines. In the future, Philips will be the top medical device manufacturer in Europe.

The third is the Quality Life Division, which is mainly engaged in Philips’ home appliance business. Including white appliances, kitchen appliances, household cleaning electronic products, audio-visual electronic products and so on.

Philips’ kitchen appliances have a high sales volume in Europe, such as rice cookers, water heaters, coffee machines, bread machines, ice cream machines, etc., which are all Philips’ flagship products.

The package De Jong was opening at this time was sent from Asia, and the sender was Ke Cilei, the head of the Asia-Pacific region.

De Jong opened the package. Inside was a rough-looking packaging box. The image on the box also contained text. The text was in Chinese. De Jong couldn’t understand it. The image was a middle-aged Chinese bald with a shaved man in his hand. Shaver.

This middle-aged bald boy is naturally Teacher Ge, the spokesperson of Puppy Appliances.

Printing photos of brand spokespersons on the packaging became popular in the 1990s. Therefore, Puppy Electric also printed the picture of Teacher Ge on the packaging.

Teacher Ge’s image is quite special, with a very high degree of recognition. Printing Mr. Ge on the packaging is also easier to produce advertising effects.

However, in De Jong’s view, this kind of packaging with pictures of spokespersons is too old-fashioned, the key point is that the spokesperson is not good!

De Rong took out the box of puppy razor from the package, opened it, and curled his mouth in disdain.

“It’s just a box, plus a foam bag, it’s really simple packaging! Chinese products are only at this level!”

The packaging is simpler, which can reduce the cost. Moreover, the puppy razor is only sold in the country, and it is not necessary to be exquisitely packaged as export products.

For the Chinese people, it’s just a box. If you don’t want a box and give it ten dollars cheaper, it is estimated that most people will not want a box.

De Rong took out the razor from the box and frowned when he saw the cone-shaped design of the puppy razor.

“Ke Cilei didn’t lie to me, this design is really beautiful, but I seem to have seen it from somewhere!”

De Jong thought for a while, walked to the filing cabinet, searched through a file, and finally found a drawing.

This drawing shows an electric shaver, which is 80% similar to a puppy shaver in appearance.

“I said how familiar. The design department submitted a similar appearance to me before. I thought this appearance design was very good at the time. I planned to use it in the future, but I didn’t expect it to be preempted by the Chinese!” De Rong secretly said in his heart.

De Jong does not think that it is Puppy Electric plagiarizing Philips’ design. After all, this design only exists on the drawings. It is impossible for Puppy Appliances in China to go to the Netherlands to view the Philips shaver design.

Similar appearance is just a collision of creative design, which is also a common occurrence.

De Jong installed the battery on the shaver, then pressed the start button and tried it against his chin.

“Although the noise and vibration are a bit loud, this shaver can still be used.”

De Jong frowned, and then remembered that Ke Cilei had mentioned in his report that the price of a puppy razor was only half that of Philips.

“Perhaps we should really use the technique of floating blades!” De Jong muttered to himself.

But the next second, De Jong shook his head again.

“Floating cutter head technology is intended to be used on the HQ8 series, and it will also become the main selling point of this series. It is not worthwhile to take out the floating cutter head technology for a small Chinese market! This will affect our Philips worldwide Strategic layout!”

De Jong thought for a long time, and finally decided to cope with the changes without changing, and do nothing.

…

In the mid-1990s, it was just when the Philips Quality Life Department was in full swing. In 1994, Philips launched an automatic home coffee machine that swept the European world.

In 1996, Philips introduced sensors into kitchen appliances and launched a fully automatic rice cooker. This was definitely a revolutionary product at the time. Even the Japanese rice cooker that was blown to the sky in later generations was willing to go downhill.

In 1997, Philips cooperated with Sony to launch the fastest-growing home appliance product DVD in history, which also brought Philips home appliances to the peak.

Philips in this era is in an all-round development state in the field of home appliances, such as traditional home appliances such as refrigerators and TVs, kitchen appliances such as bread makers and juicers, vacuum cleaners, hair dryers and other cleaning appliances, audio, home theaters and other audio-visual appliances, All in the scope of Philips business.

In contrast, Philips’ razor business is not so important. The proportion of razors to the top of the camp has become insignificant among the huge home appliance business.

Speaking of the Philips brand, Chinese consumers will think of razors out of ten, and many people will only think of razors.

That is because Philips’ main product in the Chinese market is razors, and other Philips products have not been put on the Chinese market.

Like Philips coffee machines, they are sold well in European and American countries, but Chinese people do not have the habit of drinking coffee, so Philips will naturally not sell coffee machines in China.

Compared with Philips audio equipment, the quality is also very good, and it is a very cost-effective product in European and American countries. However, for the Chinese in the 1990s, audio was still a luxury item, and most people would not buy it.

In Philips’ view, although China has a large population, it is not a big market because the income of the Chinese is still too low and the Chinese cannot afford expensive products. In the Chinese market, only some cheap, low-profit products can be launched.

In contrast, people in European and American countries have a lot more money. They can buy high-end products from Philips, and Philips can also get higher profits.

Selling 100 entry-level HQ30 shavers in China, it’s not as good as selling a high-end stereo in Germany!

In this case, the effort is of course to focus on Europe.

Because of the lack of profits, there are no longer a few brands that withdraw from the Chinese market. However, when they want to come back, it will be difficult to compare.

In the face of the Chinese market in the 1990s, European and American brands are indeed not very grounded.

European and American culture is full of factors of colonization and predation, so European and American brands are better at dumping goods than cultivating markets.

In Chinese culture, more emphasis is placed on self-sufficiency and self-reliance.

Want to dump goods on the one hand, and self-sufficiency on the other, contradictions naturally arise.

It is also for this reason that many European and American brands have encountered dissatisfaction in China. They will find that the strategies they use in the Middle East, Africa, and Southeast Asia are completely useless in China.

People in the Middle East, Africa, and Southeast Asia will happily buy expensive goods shipped in Europe and the United States, but the Chinese have been wondering all day, what method should I use to make one for myself!

Most European and American companies come to China, just want to dump their own products, but do not want to take root in China, and eventually all leave the market bleakly.

On the contrary, those companies that are willing to take root in China, are willing to move their supply chains to China, and are willing to launch corresponding products for the Chinese market, and ultimately all make a lot of money.

…

Li Weidong looked at the sales report of the razor with a surprised expression.

“This month’s sales have increased by 40% compared to last month, Lao Zhong, good work! Our current sales have reached half of Philips’s!” Li Weidong praised.

“Li Dong, our current sales are almost catching up with Philips! Because Philips sales have dropped by nearly half, we have eaten them all!” Zhong Yemao said

Li Weidong secretly said in his heart that the marketing master is worthy of the marketing master, and he ate up half of Philips’ market.

Zhong Yemao continued: “Philips also tried to lower prices, but if they are in a price war, they are our opponents! They lower, and we also lower, so their price reduction has no effect at all.

However, our price cuts have also caused some sequelae. After all, the razor has just been launched, and the price will be reduced immediately. Those customers who bought the razor will definitely be a little dissatisfied in their hearts. ”

Li Weidong nodded. Regardless of the product, the price is reduced as soon as he buys it. This is indeed very disheartening. Thanks to this is a razor. If you sell a house, if you dare to lower the price, the sales office will definitely be smashed.

Zhong Yemao continued, “So I give some compensation to those customers who have already bought razors. I originally intended to compensate them for a set of blades. After inquiring about it, the blades were quite expensive, and then I changed to compensate them for 20 quarters. No. dry battery.

Our razor can last for 40 minutes with two dry batteries, and 400 minutes with 20 batteries, which is almost enough for a year. ”

“In terms of motor power consumption, we are still inferior to Philips. Philips HQ30 shaver can last 60 minutes with two batteries.” Li Weidong shook his head helplessly.

“Yes, Philips’ technology is indeed much better than ours. They have rechargeable models that can be washed. Although the washing function is not very useful, it is better to pull out the knife and shake it. It is a rechargeable function. It’s still very real.” Zhong Yemao said.

“The use of rechargeable batteries for small and micro home appliances is a future trend, but in this regard, our country is still lagging behind.” Li Weidong thought for a while, then said; “After a few days, I will go to the south. Companies that produce rechargeable batteries.

In addition, you also have to keep an eye on Philips. The world’s top large companies have a profound foundation. Maybe they will come up with new products that cross the age and directly bring about a change in the entire industry! ”

…

The market for Philips razors is constantly being eroded by puppies, but Philips has not made the slightest move, allowing puppies to occupy the domestic razor market step by step.

This made Li Weidong a little surprised. He thought that Philips would fight back immediately, but in the end Philips came and ignored it.

Li Weidong can’t guess that Philips’ business is so huge that they simply look down on the Chinese razor market. Selling coffee machines and stereos in European and American countries is much more fragrant than selling razors in China!

However, for Puppy Electric, the razor business has just started, and a lot of follow-up research and development are needed to continue.

Li Weidong introduced from Braun only the double-headed razor technology. Although this can help puppy shaving to seize some market in a short period of time, it is not enough for the puppy to carry out subsequent expansion.

Strike iron still needs its own hard work. If you want to gain more market, you must come up with better products.

And Li Weidong must first solve the problem of rechargeable batteries.

So Li Weidong came to Shenzhen, a special economic zone.

In 1995, a small company with only more than 20 people was just born here.

Ten years later, this company has grown into the world’s top rechargeable battery manufacturer!

Update delivered today. Thank you parents for subscribing. Yesterday I suddenly received a notice to get the second vaccine, so I didn’t stay up late. I slept for 14 hours. After waking up, my back and back hurt and my neck hurts. It took a long time for massage to relieve it, so it was late. ,terribly sorry.

(End of this chapter)