Is the price reasonable?

Source: Internet
Author: User
Keywords Pricing gross profit margin cost electricity quotient

Price management is the core of the retail industry, when it comes to price, more people will think about the price war of the electric dealer; indeed, the price war has become an important label for the http://www.aliyun.com/zixun/aggregation/37162.html, from last year's "> 8.15 to 6.18 this year, the price war has gradually been unveiled the veil of mystery, the low price of electricity dealers are disappearing, product price transparency, high market costs and other products to price and manage prices brought new challenges. 、

The price of the product is reasonable from two angles, three levels, two angles refers to enterprises and consumers, three levels refers to consumers, retail enterprises and competitors; for enterprises, the price is reasonable to meet two conditions, that is, can bring effective economic benefits for enterprises and ensure the price advantage to competitors, Product profits not only to cover the cost, but also to bring considerable net profit to the enterprise, while the price will become a means of competition, that is, the price is lower than the main competitors; for consumers, the concept of price is more simplified, inexpensive, value for money; It boils down to two core points that are gross margin and pricing.

The misunderstanding of gross profit margin

Gross profit margin is a relative index, single inspection gross margin will bring great misunderstanding, that is, the high gross profit margin high, the sale of low-cost red wine, for example, assuming a bottle price of 40 yuan of red wine, its cost price (including tax) about 20 yuan, so that the gross profit margin of the product is 50%, in the electric business industry has been very high level , but simply examining the gross margin ignores an important problem, is the cost ratio, the red wine storage, freight and packaging to reach about 15 yuan, that is, 50% of the gross profit, the logistics cost consumption of the part reached 75%, taking into account the logistics costs after the gross margin of only 12.5%, in addition to market costs, Management fees, loss is not surprising; According to the Beijing-East disclosure of the figures, its logistics costs accounted for about 6.5% of sales, while the gross profit margin of about 7%-8%, the human cost of about 3%, jingdong large losses behind the main logistics costs are high; for higher unit prices of goods, logistics costs are diluted, But the marketing costs are often higher, the same will be most of the gross profit consumption; the premise of increasing the scale of income is that the fixed cost part of the growth rate is smaller than the sales growth rate, and for the electric business enterprises, logistics costs, marketing costs, human costs are basically variable costs, the proportion of fixed costs The effect of increasing marginal income is not obvious at present stage, increase in turnover rate if it can not bring about the decrease of the change cost ratio, also can not bring about the rise of the gross margin; therefore, enterprises in considering price factors, to jump out of the profit margin of the trap, the gross profit margin, cost ratio, turnover rate and other indicators of comprehensive analysis, not only to consider Also want to examine the absolute index, such as sales, margin amount;

Pricing is a matter of course

Pricing is a complex trade-off, where we do not look at the cost advantage problem, only analyze the pricing strategy based on the existing cost. Pricing should consider at least three factors, namely, competition, promotion, gross profit, that is to say, reasonable pricing principles should be based on reasonable planning of promotional activities, to ensure the advantages of competitors and reasonable margin level; There are several problems involved, one is how to balance the relationship between Maori and cost? Second, how to set the price bottom line? Three is how to manage the price of each channel?

Simple gross margin indicators exist misunderstanding, across the misunderstanding must be a clear understanding of the cost of the product, cost structure, for can be reasonably collected into the product operation of the changes in the cost of the part to be in the price of the collection, that is, in the pricing to consider the impact of logistics costs, In the original pricing on the basis of logistics costs taken into account (this is based on free shipping, the electrical business Free shipping is the general trend, even set free shipping threshold is also from the category management and upgrade customer unit price, etc.), And for the lack of reasonable methods of collection of marketing costs can be in the support of the gross margin level to do the overall budget; For example, the cost of 20 yuan of red wine, the final price should be the cost of gross profit is about 55 yuan; Although the electricity dealers are basically in a loss, but the main operating costs must be considered in the pricing process, Otherwise, you will fall into the infinite system of loss cycle;

The promotional activity of the electric dealer is a kind of daily behavior, is also a means of competition, its variety, such as full gift, full reduction, straight, coupons, etc., will eventually function in product prices, pricing, if not consider the promotional factors may result in negative gross margin; So promotions must be selective and arrange promotions in a reasonable tempo. The district is divided into regular promotions and competitive promotions, regular promotions in the price can not break through the price bottom line, that is, the cost of freight, which is not to make the loss of the state, but also to sales and gross margin as a two-way evaluation of the sale of the indicators; competitive promotional products must have strict restrictions, overall can not exceed 10% of all SKU number This part of the product depends on the competitive situation to consider the extent of the reduction, there is no clear bottom line, can negative margin sales, because this kind of product is the absolute price advantage to competitors to pull other commodity consumption means; therefore, the price of the bottom line is derived from the promotional activities, the basis is the cost plus the main operating costs This model and the current electric dealer price war strategy basically tallies, the electric dealer's promotion activity basically does not apply in the whole field commodity, but restricts the category or the commodity, with the competitor's parity also has taken to own short attack the long method, guarantees the website overall margin level.

Under the background of the price transparency of the electric dealer, the diversification of the channel has caused the price management confusion, online, offline prices are not synchronized with the problem, in particular, fewer SKUs, users of the vertical category of the breakdown of electric dealers, the price is not synchronized often bring the user's complaints; price management, the need to comprehensively consider online and offline price changes, That is, due to market changes in the price adjustment and promotion of prices, due to changes in market value of the product adjustment applicable to the line, two channels under the line, and the price change caused by promotion is the key to price management, to achieve online, line and the same price to ensure that the line, offline activities of the synchronization, which is a test of internal information communication and management of an important link, reasonable planning activities, Clear activity scheduling is the basis, and online, offline price strategy to be consistent, because the line of flexibility is relatively large, not because the product has been the promotion of low prices and adjust the current price, that is, the price and time, space should be kept synchronized.

Product SKU increases often make people overlook the importance of pricing, the price management of the confusion or into a complex audit process, but also can not be a good analysis of cost, cost structure; Therefore, the electric business must pay attention to the product pricing strategy, the price for the product stratification, and then establish the strategy, cycle of promotion competition, To maximize the use of price means to achieve the expected financial objectives and marketing objectives.

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