Talking about being a good product

A few months ago, the big electric companies said they planned to launch their own brands, because the free brand's profits are relatively high, there are independent pricing rights and so on.

Now, the most when really do, launched the "when the excellent product." "When the good product" launch, can not be successful? Or would it be as successful as expected?

Shibe for "When the best product" The current category did a rough analysis:

From the current category composition look, "when the excellent product" basically did not competitive advantage, most of the orders are also because when the promotional activities of the strong coupons, if the original commodity pricing sales, the people will buy less.

In the current selection of categories, Shibe that only home textiles and clothing categories of home/base, if the price can be lowered, there is hope to survive. The rest of the category basically belongs to the positioning error.

So what kind of category has developed into the foundation of its own category?

The purpose of private brand goods

Shibe that gross margin is a superficial phenomenon, the cost of other resources that the electric dealer invests for this own brand must also be accounted for (such as advertisement, promotion promotion, whether the market of this category is big enough, no scale, small input may be a loss), must estimate the investment/output is cost-effective.

Shibe ideal of the electric dealer's own brand is:

To solve a certain category of the current market has no clear advantages of the brand of goods exist quality and price of a mixed problem. Often, consumers face many motley, do not know how to start to obtain quality assurance products. After solving the problem of the public, the electricity trader gets its own profit by paving the volume. Solve the user needs first, and then give yourself a new profit point.

Good electrical business as a consumer in the heart of a certain quality credibility of the agent, a major responsibility is responsible for providing users with reliable merchandise. How to use their own credit premium, to benefit their own brand merchandise, at the lowest price in the category to establish their own brand image, occupy the market, should be the choice of their own category needs to consider the key issues.

The category of own brand goods

Not all categories are suitable for own brand:

Ø High technical threshold is not suitable: When a brand digital camera someone to buy it?

Ø has been fully competitive, the market surplus is not suitable: small household electrical appliances, the United States have been exhausted, many imitators, the threshold is also low, not suitable for non-professional enterprises part-time into the

Ø the quality is sensitive not suitable: for example food, has the brand food to be kept in the security crisis, the quality guarantee of the label is more gives the person feeling lesser, the supermarket own food safety question often is exposed

Ø Research and development design investment large and long-term inappropriate: Cosmetics profit is very high, but this is a technical content is not low, and to maintain a cosmetic brand, must constantly update the formula. Shibe really don't understand, why so many electric business to do their own cosmetics, such as every guest and Dream Bazaar, Le Bee J series, Shibe is not very optimistic, Shibe not willing to put their face when experimental field. Cosmetics have not accumulated for many years, to the customer's trust is not very high, and now each big brand group, brand Echelon construction are good, all grades have

o Follow the trend of the unsuitable: clothing products, unless it is professional to do clothing, or suggest not to touch, a part-time design team may not be able to grasp the trend of rhythm, and clothing is non-standard goods, individual differences are too large, regardless of which factors will lead to inventory backlog, professional clothing have been burned, not to mention unprofessional

Hibey's own branded products:

Ø consumable items: such as rags, paper towels, garbage bags, etc.

Ø competition is not sufficient, the brand is not sensitive: Since the OEM is a product, if the choice of the plant is an international big-name production, then the same raw materials with single production, will certainly be welcomed, because this kind of goods is really inexpensive representative. For example, Shibe in any Hakka bought the same as the belle of the bottle brush, hehe. Towels, slippers and other household items are also a good choice.

Short：

Users want to buy a product, but do not know what brand is good, not clear, the price of high brand of goods where the category (not enough competition, has not formed a brand awareness of the field),& This product is the standard type of,& consumption of relatively fast,& production of this product research and development investment is very low, Suitable for own brand.

Concluding

Develop own category when ask oneself, I as an ordinary user, will buy xx brand yyy? If not, then to allow consumers to recognize this XX card, you need additional costs (equal to a new brand), and relying on their current reputation, derivative of the original intention of the brand is contrary.

Amazon Times thinking of its own brand, perhaps it is worth the electricity business to study it well. (Just research ideas oh, not copy People's category!)