How do niche brands thrive on the Internet

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Embarrassing reasons for Garnier to withdraw from China market

When L ' Oréal said last week that it would stop selling its Garnier (Garnier) products in China, many outside people thought the French cosmetics group was a complete retreat from the western brands, led by the US Revlon (Revlon). Revlon closed all its operations in mainland China last month, laying off 1100 people, including 940 beauty advisers.

There is a problem behind this, no matter how big the brand, how much marketing budget, if do not do localization that means failure. It is also a difficult point for global brands to expand in traditional markets: the contradiction between maintaining the unity of the brand and the design of the product localization has always existed.

Network marketing becomes a new way out

Why is internet marketing so successful? such as the Mann, crack silk these biased design style of the famous family of Taobao shop why will the reputation of big noise? Instead, L ' Oreal's Garnier, who has a big brand of blood, can't do it.

The network marketing and the traditional market marketing has a very big difference, is the traditional market in does the market expansion the time to need the high cost, like the Prophase shop goods, the marketing expense, the advertisement expense and so on. In addition, if the product does not meet the appetite of most of the local consumers, it means that the product will not stay in this place. These two points have become an advantage in internet marketing.

Wide range of network marketing and low cost

First of all, network marketing is facing the whole country. Posted on the Internet, the whole network can see. However, the cost of marketing is much lower, even in the early days basically there is no cost. Even though the marketing costs of the internet market are getting longer, it still has a big cost advantage over the traditional market. For example, if the small and medium-sized enterprises want to advertise on TV, I believe it is a super big budget. And the effect is hard to do. However, if through a business-to-business web site such as 51 search the network to publish their own information, and at the same time access to the network business opportunities, one can achieve low-cost large-scale marketing.

Personalized brand in the network will be very popular

Again, for small-audience products in the Internet has the space to survive. Or the case of the man, the split silk. If a clothing store like this is opened in a physical store, whether it is a busy commercial street or a quiet coffee shop, I believe it will not last long to close the door. Obviously, the reason for the failure is that the local consumer groups that like this style are not enough to support the operation of the store. And the network is different, an online shop is facing the whole network of consumers, from these consumers as long as there are enough people in this shop to buy clothes, it is enough for the shop itself without the cost of the store operation down.

So we can see that the minority brands on the one hand, through the network marketing approach to reduce their operating costs, on the other hand, and expand their marketing range. A low one, it is clear why these brands can do on the Internet, and in the traditional market can only be dead.

Back to the beginning of the article, the reason for the failure of Garnier is obvious, in the Chinese market is showing a very obvious polarization. Relatively rich, relative to the desire to pursue the brand consumers will choose to use L ' oreal rather than Garnier, and relative to the mass consumer, there will be more pro-people skin care products will Canilby down. So Garnier's embarrassment lies in the high cost of traditional market operations and the contradictions between awkward consumer groups. On the contrary, if L ' Oreal was operated by a Garnier, the brand might have a completely different effect.

In addition, the benefits of Internet marketing to consumers are also obvious, consumers can access to more low-cost personalized products through the network. In particular, the design of products, customized services and so on. Without such low-cost operating channels, consumers can only get these at a high price.

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