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A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

author:Brother Bird's Notes

Source: Mantou Business School

In this year's economic situation, there will indeed be many companies that feel that it is more difficult to grow, but in the past two years, we have seen many cutting-edge brands on Xiaohongshu have achieved new growth, and what is even more surprising is that not only new brands, but also mature brands such as Quduoduo, Vaseline, and Yakult have become popular again on Xiaohongshu and have gained new vitality.

Today, we would like to share with you the story of a local dairy brand established in 1953 that used 30,000 yuan to obtain a million-level GMV conversion in Xiaohongshu.

Chadian Dairy is an old local brand established in Yunnan in 1953, in fact, we all have a hometown milk brand in our childhood memories, it may be the milk in the milk box at the door of the house when I was a child, the glass bottle of milk, or the bag of yogurt that I bought for 5 cents after school.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

When they came into contact with the brand of Chadian, they said: "It's been 70 years, and Chadian hasn't walked out of that mountain." It is this sentence that makes us feel that we must help them do well on Xiaohongshu.

With a hint of shyness in its simplicity, it is a typical small-budget client we serve. We are really embarrassed to ask for a budget of 18 million for an old domestic brand of decades, so we can only try the effect together.

There is a very important point in marketing on Xiaohongshu for old domestic products, that is, people should be new, not only to understand their own brands, but also to have a sense of network to keep up with the trend.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

Chadian is very representative, the chairman of Chadian is 1972 in Shiping, Yunnan Province, at the end of 2007, 35-year-old Longjiang officially entered the post of chairman of Chadian Dairy, when Chadian Dairy was on the verge of bankruptcy, he gathered the strength of all employees of Chadian, gave the company a dose of "medicine" to come back to life.

When they were ready to operate Xiaohongshu in 2023, the first thing they did was hire a very young content team. I remember meeting them at an offline conference at the end of last year, a middle-aged chairman of a state-owned enterprise in formal clothes, next to two young trendy men who were dressed like they were dancing in the street dance, and the visual impact was quite large.

On Xiaohongshu, the first thing we did was to help Chadian locate the crowd, since we want to spend a small amount of money to do big things, we must spend the money accurately enough, so we first found the local group of grown up children in Yunnan, they are now working, married and have children, we use advertising to awaken their feelings and memories.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

So a batch of UGC content poured in, and they came to tell more new users how good Chadian's milk is, and the quality has been the same for 60 years, or the taste of childhood.

Then we expanded the crowd, and we found a group of mothers who pay great attention to ingredients and nutrition, and passed on the quality and 60 years of brand power to them.

In the end, we found the group of people on Xiaohongshu who pay great attention to health and body management, and the low fat and low sugar of Chadian milk are very suitable for them.

In the end, Chadian went from 200,000 core people to 6 million light health people, and successfully broke the circle. You may not believe it, Chadian only spent 30,000 yuan on Xiaohongshu and reaped a million-level GMV conversion. The team at Chardian was very, very pleasantly surprised.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

In fact, it is similar to Haihe milk from Tianjin and Huishan Dairy from Liaoning...... There are some local products, although not common on the market, but they are the local fresh milk "handle", many local friends drink from childhood to adulthood, can be called a local well-known trademark.

Although these niche milk brands are not inferior to the big brand dairy in terms of quality and taste, they are always stuck in the local area due to the impact of supply chain, product line, brand promotion, etc.

It wasn't until they came to Xiaohongshu e-commerce that they found the content communication form that this generation of young people liked, through playing with product notes and store broadcasts, as well as the accurate reach and penetration of different groups of people in the "crowd anti-funnel", Chadian Dairy made young friends in Xiaohongshu, and within 30 days of settling, Chadian Dairy's transaction volume increased by more than one million, and it was ranked as the top 1 in the weekly sales of dairy products in the station. Chadian Dairy has found its own business world in Xiaohongshu.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

In fact, it can also be seen from the "domestic product fever" some time ago that many old domestic products are excellent, but they are drowned in the trend of the times.

Xiaohongshu is a living community, and this platform is a group of people with different characteristics gathered together, such as young people who love the outdoors, exquisite white-collar workers, and new mothers...... These groups of people are glued together like a circle to form a lifestyle community like Xiaohongshu.

A 70-year-old brand, spending a small budget of 30,000 yuan on Xiaohongshu, how to leverage millions of GMV?

For brands, you can find the most suitable group of people here, talk to them and interact with them, harvest first-hand consumer feedback, and plant good products and services to the people who need them most.