Lei to break up with the ox? Millet Hunger Marketing

Guide: A cattle, 2.5 time, offline distribution of channels, the highest monthly sales of more than 70000 units, personal assets more than tens of millions of dollars. The second quarter of this year, millet mobile phone shipments of 16 million units. Of these, about 70% for online shipments, 30% through telecommunications carriers shipped.
A yellow cattle, 2.5 time, offline distribution of channels, the highest monthly sales of more than 70000 units, personal assets more than tens of millions of dollars. The second quarter of this year, millet mobile phone shipments of 16 million units. Of these, about 70% for online shipments, 30% through telecommunications carriers shipped.

Recently, an article called "A Millet Cattle rich readme: three years to make millions of articles in the online crazy biography, although Millet has taken out" this is a trade secret "of the express delivery data, but this is again caused by the industry and abroad for millet" hunger marketing "heated discussion.

Millet "buy", "flash" mode has been known as "Hunger Marketing", which has been affixed to millet body, one of the most important label, but the external evaluation of this is mixed. This is an important factor that makes the Millet brand shine, in addition to Apple and millet, other brands want to "hunger" may not be hungry; the derogatory thought that this greatly affected the consumption experience, improper use will hurt the most important cornerstone of millet success-"rice noodles", the existence of cattle is undoubtedly the biggest side effect.

However, there are indications that millet is looking for changes in supply chains and channel patterns, after all, the "big company" Millet, now valued at more than $10 billion trillion, should also have to change.

Millet was forced to "bask in underwear"

The protagonist of this article is a pseudonym for "Old Lou" the "First generation" big ox. He said that from February 2012 onwards, his own from the offline channel distribution Millet mobile phone, the highest monthly sales of more than 70,000 units, after 2.5 time, personal assets accumulated more than tens of millions of dollars.

According to the "insider" revealed by old Lou, the number of millet cattle conservatively estimated up to hundreds of thousands of people, a channel can be directly from the millet company to take goods, the country has four of the main line of the hidden shipping, layer down, old Lou belongs to the two-level channel, terminal sales outlets are generally four-tier channels. and online organization Rob goods are small ox, earn is hard money.

Old Lou burst material said: "In fact millet before the first half of 2013 before the official website shipments and not propaganda so hot." According to our first line of the argument, each said a few minutes online sales 100,000 units, basically tens of thousands of of them are through our offline channels to put out. Online shipments to check is actually very simple, from the Express channel to know. ”

In the face of doubt, millet company firmly denied the said, Millet company co-founder Li Vanchang external disclosure: in the second quarter of this year, for example, millet mobile phone shipments of 16 million units. Among them, the number of online shipments of 11.19 million units, accounting for about 70%, and nearly 30% of mobile phones are shipped through the carrier.

To prove the authenticity of this data, Li Vanchang also issued a "strong evidence" from the Millet Cooperation Express Company: Millet mobile phone main distribution company Shun Fung, such as the Wind Tatsu and postal EMS three of the invoice, the three covered with the official seal of the invoice show: three in the second quarter of this year a total issued 10.31 million single millet mobile phone. Divided by 11.19 million of the total number of online shipments, the average purchase of 1.09 units per order, should be able to draw the conclusion that there are no large numbers of cattle orders.

Li Vanchang This behavior as "tanning underwear", "such financial data is not the outside, the company hesitated repeatedly, in order to prove the innocence of their own money to the media to see, so that the outside world to understand the real situation of millet, will be a real millet, especially the electricity quotient of this side disclosed to the outside world. "he said.

The ox is the product of the basic economic law, the ox buys the product by the official price, then sells the price that the market supply and demand decides, obtains the difference of it as the profit. As long as there is demand, there is a price difference, the ox will certainly exist. In fact, the millet to go to the road has been quite long, from strict and even eliminate the F code (that is, spot code), the development of the identification of cattle identification technology, adjust the pre-sale cycle and so on. But absolutely eliminate the string of goods, for millet, is an impossible event, can only do to reduce the string rate.

And for the "ox door", the reporter also inquired about the millet company in charge of public relations, the person in charge said: "This topic we do not want to talk more." ”

Why does Millet "starve"?

Li Vanchang's evidence is enough to prove the innocence of millet today, but has it been so for the past 3 years? In fact, entangled in this does not have much significance, because from a certain point of view, the tangle between millet and ox is also regarded as "shear, the reason is also disorderly" "housework", the ox is millet after all, "salesman", It's just the way millet doesn't like it. However, this accidental "ox gate" incident, also did cause people to millet "hunger marketing", as well as hidden behind the millet unique business model, supply chain and the truth of the discussion, after all, today's millet is not 4 years ago millet.

April 2010, Millet Company was established. August 2011, the first generation of Millet mobile phone release, the so-called mainly for "mobile phone enthusiasts" mobile phones, Not only the world's first dual-core 1.5GHz smartphone, but also has 1G memory, 800W pixel camera, such as strong configuration, but the price is only 1999 yuan, and the same configuration of smart phones, the price is about 3000 yuan. With excellent price-performance, the brand is not low and forced lattice is very high, millet mobile phone to become the most popular new smart phone brand. After the dynasties of millet mobile phones and other millet products almost all maintain a very attractive price advantage, but the biggest problem users encounter is not to buy.

Although Lei repeatedly stressed that Millet has never deliberately engage in hunger marketing, users cannot buy because the capacity of millet is really not keep up with the needs of users. 3 years ago, the first generation of millet mobile phone sales, the first month to sell 10,000, sales but 20 million yuan. And the first half of this year, millet cell phone production capacity reached 2600多万部, completed 60 million of the year almost no suspense, and next year, the target of hundreds of billions of dollars seems to be very optimistic, the growth rate is staggering.

Millet has been hungry a large part of the factors from millet unique pricing strategy, supply chain design and channel arrangements.

Mobile phone industry is characterized by the highest cost of new products, and over time and sales increase, the cost will gradually decline. Traditional handset manufacturers are floating pricing, usually higher than the cost of 30% pricing, and then gradually reduce prices until the introduction of new products, that is, first profit after the loss.

and millet but use Moore's law, took another thought: first to a lower price to ensure cost-effective, attract users, rapid formation of scale effect, as the cost curve downward tilt, the product can start to profit, this is a first loss after the way of profit.

The other reason for the low price is that millet products mainly use online sales mode. This approach allows Millet to obtain a rapid capital turnover and close to zero storage costs. In the book of Millet will hardly appear "accounts receivable", when the week's production is next week's sales, which makes millet and other traditional mobile phones also include hardware manufacturers have a huge advantage, especially in the new stage, estimated sales is very difficult. And millet can be produced by order to achieve better control of risk and cost.

After "big company"

Although Lei has always said: I have a dream, do a small restaurant, but there are always people in line at the door. But today's millet is not a small restaurant, it has grown up. 2013, the value of millet has exceeded 10 billion U.S. dollars, become the first big domestic smartphone brand, in China's internet sector, after three companies bat, Alibaba and Tencent, and this achievement, millet only spent 4 years.

Hunger must be a double-edged sword. Once, let consumer "hunger", this "dangerous chess" in Millet became a "Miao chess". When Millet is just a start-up small company, the temptation of return is clearly greater than the risk of worry, but when millet in the brand and scale has become a large company, the risk of weight will be much larger.

It is not difficult to find that since the beginning of this year millet has begun a conscious sales channel transformation, operators channels and other traditional channels began to become more and more important, size scalpers self-knowledge unprofitable, most of them are ready to retire.

Old Lou is also so, "from this year onwards, millet mobile phone sales channels began to transform, Eschde, China Mobile Terminal Company, such as traditional channels of millet mobile phones are the main shipping channels, millet more like a traditional mobile phone company. We this big ox is no longer important to millet, many of us are turning to other domestic mobile phone's electric commodity card, the other part like me, ready to retire. The big environment is bad, make the money that two years earn again to spit out, not worth. Old Lou said.

Xu Hao said: "Mobile phones such products, the focus of sales or to go offline channels, and simply do online channels are difficult to penetrate the three or four-line city." So millet future line under the common development is certain. ”

Millet's initial market position for mobile phone enthusiasts, is accustomed to the network of young people. But as millet enters lower-line cities and rural markets, it is also the biggest potential space and profit growth point for individual handset makers, and the online approach is clearly not enough, as consumers are more reliant on traditional channels.

According to today's Millet's strength and ambition, in fact, can no longer be based on the reservation volume of production and sales, has a wealth of existing data on the market to estimate, at least "capacity limit" has been difficult to become a compelling reason.

However, the channel transformation is not a simple change, even affect the business model and profit model. Li Vanchang said: "The chain is very long will give policymakers a lot of illusion, feel good sell immediately add orders, but in fact, the goods are in the channel, in accordance with inaccurate sales forecast market, will make the production plan is facing great risks, the supply chain has great pressure." ”

Xu Hao said: "The root of the cattle problem is that the market has channel space." Millet will not simply do online, so they go offline channels will certainly face different dealers. If you really want to solve the problem of cattle, there is a point is to achieve oversupply, but this is clearly contrary to the market strategy of millet, so the future will still have the development of yellow cattle space. ”

"Snapping up this form is a more important point for millet, creating a phenomenon that is difficult to find, and using this approach to mobilize the needs of the users," he said. It can be said that the current strategy of millet has not seen signs of failure. But the future of millet is expected to make changes in marketing methods, will not blindly do this market strategy. Because once the user's demand for smartphones is no longer growing or the market is saturated, this approach may affect the brand image of millet. ”

"Ox door" after the outbreak, Lei has been in the micro-Bo sent a piece of intriguing words: "At present the majority of millet products have been guaranteed supply, millet network at any time, such as Millet mobile power supply, millet TV 2, millet flat, red rice and so on." Millet 4, millet hand ring is also expanding production, and strive for an early opening of the purchase. Despite the use of the "strive for an early" conservative commitment, but the emboldened still can be felt.