A can of soda costs 1.99 yuan, and Lan Shili threw a nuclear bomb into the soda circle
The market price of a can of Arctic Ocean and Bingfeng soda is about 5 yuan, which has become a luxury at present. Moreover, the price of Coca-Cola 3 yuan is already a low price that is difficult to break in China's canned soda field. Some people even think that without Coca-Cola and Pepsi, the price of soda in China will rise.
Unexpectedly, Lan Shili once again refreshed consumers' cognition with the soda of Wuhan No. 2 Factory.
On October 10, Lan Shili announced that a can of orange juice soda from Wuhan No. 2 Plant only costs 1.99 yuan. Moreover, the price of raw materials per ton of this soda exceeded 1,000 yuan, breaking the ceiling of its own ton price of 880 yuan, and far exceeding the ton price of other soda brands of 300 yuan.
The product is manufactured by ORG, a well-known OEM in the industry, which is a packaging can provider for Coca-Cola and PepsiCo, and is also an OEM for Unity and Master Kong. The fine can packaging used in the new soda products of Wuhan No. 2 Factory is fashionable and convenient. And sold by online platforms such as Jingdong, this is undoubtedly Lan Shili threw a bomb into the soda field, and even a nuclear bomb, began to challenge the low price of Coca-Cola and Pepsi.
1. Quality breaks the ceiling, low price to achieve a new breakthrough
Lan Shili prepared the newly launched fine tank products of Bingfeng, Arctic Ocean and Wuhan No. 2 Plant for the participants at the scene. The main color of the new can body is silver, simple and atmospheric. The orange pattern and the logo of the soda of the Wuhan No. 2 plant are more prominent. Look at it, salivate. Compared with the Arctic Ocean and ice peaks, it is more high-end.
High appearance is only the outside, and the inside is the pursuit of Wuhan No. 2 Factory soda. Lan Shili said that the tonnage cost of this new product is about 1100 yuan, which is 300 yuan higher than the original Wuhan No. 2 factory soda bottled products. While breaking the ceiling, breaking the ceiling again. "As far as I know, the ton price of most soda products on the market is only more than 300 yuan, and the ton price of old soda products in Wuhan No. 2 Plant has reached 880 yuan.
It has been noted that this product is packaged in 330ml mainstream fine cans and indicates a juice content of 15%.
In fact, the price of Coca-Cola of 3 yuan has always been considered to be the ceiling of low prices in the beverage field.
In 2023, Coca-Cola, which has been priced at 3 yuan, will also raise its price to 3.5 yuan when the peak season arrives this year, which has attracted a lot of media attention. Previously, Coca-Cola classic products have maintained a price of 3 yuan, and the way to raise prices is mostly to launch new products to achieve a jump from 3 yuan price band to 5 yuan price band.
Lan Shili said: From the factory to the hands of consumers in China, 70% of the profits remain in the circulation field. Consumers buy products for 10 yuan a bottle, and the factory price is only 3 yuan. "I think it's grossly unreasonable, so rewrite that rule and knock down soda prices completely." Coca-Cola's price increase is to give way to the market of Wuhan No. 2 Factory, and the price of 1.99 yuan of Wuhan No. 2 soda is to open Coca-Cola's moat and impact the domestic canned soda pattern. Because Bingfeng, Arctic Ocean, and Dayao canned products are all about 5 yuan, such a price is too outrageous. I want to break the myth of the low price of Coca-Cola and Pepsi. ”
Breaking low prices has always been Lan Shili's style. Lan Shili was once known as "the first person in China's private aviation", and once launched the Wuhan Hong Kong and Macao tour business, the price was only 999 yuan. Before that, only 40,000 people in Wuhan had been to Hong Kong, and later it exceeded one million. Its subsidiary East Star Airlines once became the fastest growing civil aviation company in China, and launched a 99 yuan ticket to challenge the three major airlines.
"Chinese can fly at a low price and enjoy high-quality service, thank me." Lan Shili once said.
This time, with a higher quality product and a price of less than 2 yuan, the target customers of this product are mainly young people who are mainly stockpiling, and the taste is mainly orange. In consumption scenarios such as family dinners, sales channels are mainly concentrated online, mainly JD.com.
2. Extremely low-cost industrial chain
Lan Shili said: "Wuhan No. 2 factory soda can reduce the price to 1.99 yuan, first of all, I have reduced the cost of the upstream supply chain to the extreme, and also left enough profit margins for these suppliers." Secondly, the soda of Wuhan No. 2 Plant removed the intermediate links, so it was only sold online and delivered to the home. Finally, it is to achieve small profits and high sales. ”
In the eyes of industry insiders, Lan Shili's ability to launch such low-priced products is mainly due to its upstream controllable supply chain and its unconventional style. Soda at this price point is difficult for large-scale companies to follow.
On the production side, the canned soda of Wuhan No. 2 Plant is produced by ORG, a well-known canning enterprise in the industry. ORG provides comprehensive packaging solutions for all kinds of FMCG customers, covering packaging scheme planning, packaging product design and manufacturing based on various metal cans, filling services, information services based on intelligent packaging carriers, etc. The FMCG brands served include Red Bull, Coca-Cola, Pepsi, War Horse, Budweiser, Tsingtao Beer, Genki Forest, etc.
On the sales side, JD.com has been supporting the online sales of soda from Wuhan No. 2 Factory. Wuhan No. 2 Factory soda released new products also debuted on JD.com. Lan Shili has been to Jingdong live broadcast sales and goods many times. In August, in a live broadcast, the sales of soda at the Wuhan No. 2 Plant surpassed Coca-Cola.
On the traditional sales side, Lan Shili did not rely on the traditional dealer system, but recruited many agents with no FMCG experience.
At the first agent conference, Lan Shili invited 500 people to participate. Most of them come from engineering construction, home appliances, information networks, express delivery and other fields. At that time, Lan Shili's approach also caused a lot of controversy, but agents who dared to try it out boldly began to catch early dividends.
At the second agent conference, Lan Shili, together with China Merchants Bank and Hubei Bank, launched a financial support policy, and agents lent to banks with their own credit level. The agent bears only part of the risk of loan interest, which solves the four problems of lack of projects, lack of market, lack of funds, and risk for entrepreneurs.
Through these subversive actions, Lan Shili has established a low-cost sales system. Whether the price of 1.99 yuan will be the ultimate subversion is a wait-and-see.
In the eyes of industry insiders, Zhong Xiaoxi and Tang Binsen are both disruptors in the beverage industry. Among them, Tang Binsen's vitality forest was born, breaking the original beverage sales model, and using the Internet's continuous iteration of products to subvert the beverage industry. However, Lan Shili's approach is to start from scratch and does not break the original ecology, which makes these big-name companies a little difficult, and it is uncomfortable to follow up and not follow up, the most difficult of which is the big kiln known for its low price and volume.