Text/Li Guangdou
For the brand, please ask a tall spokesperson to raise the price to complete the brand upgrade? Of course not, brand upgrading is a systematic project, and it is also closely related to the changes in social consumption trends.
In the past, the responsibility of domestic products was flat substitution, that is, import substitution. Nowadays, China's domestic products have shown a high-end trend, consumer recognition is getting higher and higher, and brand value has also increased.
Behind the changes in consumer psychology and consumption behavior is the tremendous changes in China's overall consumption structure. Since the reform and opening up, we have experienced three processes of consumption upgrading:
The first time was when the proportion of grain consumption fell and the proportion of light industrial product consumption rose, when the family began to buy "three turns and one ring", "three turns" are bicycles, sewing machines, watches, and "one ring" is a radio, also known as four large pieces. The second consumption upgrade is to add three new pieces on top of the old four, namely TV, refrigerator and washing machine. At present, we are in the process of upgrading the third consumption, the fastest growing is entertainment, culture, transportation, communications, health care, residential, tourism and other aspects of consumption, especially with the IT industry, automobile industry and real estate industry related to the consumption growth is the most rapid. In 2009, the consumption of ordinary households in China's cities changed from ordinary durable consumer goods such as televisions and washing machines to high-end durable consumer goods such as cars and housing; in rural areas, consumer goods have also shifted from daily necessities to low- and medium-end durable consumer goods. Domestic and foreign retail giants have stepped up their penetration into China's secondary and tertiary markets and even lower markets in the past decade. And consumers are increasingly inclined to buy brand-name products. In the competition between Chinese and foreign brands, the proportion of China's local famous products has been increasing, but in terms of high-end products, domestic brands have always been relatively different from foreign brands. From the perspective of consumers, one is that economic conditions in the past are not allowed, and the other is that consumption consciousness determines purchasing behavior. In 2019, the average GDP of Chinese exceeded "10,000 US dollars", the comprehensive national strength and the overall consumption strength of the people have been further improved, and consumers' sense of identity and self-confidence in local culture has been enhanced. The current new generation of consumers is a generation that has grown up in this atmosphere of enhanced "local cultural identity", and with the improvement of their economic strength, they have gradually become the main group of new consumers. The sum of the "post-80s", "post-90s" and "post-00s" reached 549 million people, which quickly promoted the rejuvenation and upgrading of the national tide brand. In terms of consumption, young people's willingness to choose domestic brands has increased. According to relevant data from the Ministry of Commerce, in the first half of 2021, the popularity of "New National Tide" was further enhanced, and during the "6·18" promotional activities of the relevant e-commerce platform, the sales of Chinese domestic brands accounted for more than 70%. For enterprises, under the new economic situation, we must seize the opportunity of the rise of local brands and the era of national trends, re-upgrade and transform the brand, and realize the brand reconstruction of new consumption, new products and new brands through differentiation, high-end and nationalization in the second half of the Internet. In recent years, many new domestic brands have sprung up and developed very quickly, including three squirrels, good shops, and self-hi pots in the food category; three and a half meals in the beverage category, Yuanqi Forest; Li Ning and Hongxing Erke in the clothing category, the perfect diary of the beauty category, the orange and so on. These brands have achieved rapid growth.
At the same time, whether it is traditional consumption or new consumption, consumption upgrading will drive the personalized needs of consumers, and traditional brand services have been unable to meet the growing user requirements. How to innovate the service model and provide users with a higher quality and efficient service experience has become a key issue to be solved urgently in many industries, and it is also one of the driving forces to truly enhance consumption upgrading. Under the guidance of the "Rendanheyi" model, Haier organically integrates the personalized needs and service innovation of users, forms a service concept of "user-centered" zero-distance interaction, and vigorously develops community service stations and mobile service stations in view of the increasingly personalized and refined trend of consumer experience, reflecting the core essence of industry reform in the era of consumption upgrading, and playing a positive role in the transformation and upgrading of the traditional home appliance service industry.
Most of these popular national brands are concentrated in FMCG products. The representatives of domestic products of cosmetics are mainly concentrated in the field of makeup. Why? Because our beauty industry is still relatively late to start relatively late relative to the world, there is indeed a gap in the process, and the technical threshold of makeup is relatively low, such as eyebrow pencils, eye shadow, lipstick these products, consumers are not so demanding of it, mainly depending on the packaging and appearance of the product. All along, the main concept of domestic beauty is "flat", many beauty bloggers often mention a word when introducing products is "flat", not only consumers accept this word, many of our brands themselves also accept that they are "flat". We go to the Internet to search for this word, out of the relevant terms as many as tens of millions, to the shopping platform to enter these two words, will also come out a lot of recommended domestic products. In the case of limited economic conditions, consumers will usually be more willing to choose ingredients, finishes and similar to the big brand "flat" products, many domestic brands are seizing the opportunity at this stage, a time to become a hit. However, for domestic brands, it should not only stay in the "flat replacement" stage, once the impression of "big brand flat replacement" is fixed in the minds of consumers, it will have a great impact on the future high-end upgrade of the brand. How can local brands tear off the label of "flat replacement" on the road to development? The most fundamental thing is to improve the competitiveness of the product itself. In the past 10 years, global functional skin care sales have been steadily rising, in europe and the United States developed regions of the functional skin care market accounted for more than 60% of the cosmetics market, Japanese cosmeceuticals products market share accounted for 50%, while China is less than 20%, functional skin care products have become a global development trend. With the upgrading of consumer skin care concepts and the advancement of domestic product strength, the development prospects of China's functional skin care products are promising, especially the huge room for domestic brands to rise. Brand upgrading is a systematic project, including good brand strategic planning, innovative business models, digital transformation, entrepreneurs' personal IP creation, and so on. We must use the power of capital and brand to achieve a strong brand and a strong brand.
Under the promotion of the construction of a new pattern of "double circulation", the upgrading of China's consumer market during the "14th Five-Year Plan" period includes two major trends: "home economy" and "smart life" based on the Internet of Things and artificial intelligence technology have broad prospects, and under the action of multiple factors such as 5G, Internet of Things and the rapid development of the Internet home improvement market, China's smart home market has shown a vigorous development trend, the market size is growing at a rate of 20%-30% per year, and the development space of the smart home industry is huge.
It is precisely under the blessing of continuous breakthroughs and progress in the level of science and technology that people are no longer simply satisfied with the convenience brought by a smart phone, a smart air conditioner or a set of smart furniture for home life, but also hope to find a key that can reconstruct and integrate the application of the smart home scene, which should be a smart home that knows me, understands me, follows me, and grows with me. The world's first scene brand "Three-winged Bird" under Haier Zhijia provides users with a one-stop customized smart home platform for the whole process around home appliances, home, home improvement and home life, so that the smart scene can be comprehensively and systematically landed into the household. With the three-winged bird, users enjoy the smart home life of integrating and coordinating various intelligent modules with smart products and connecting them together, and truly realizing the new living life of "residents have their wisdom".
As the world's second largest consumer market and the largest trading country, China is vigorously promoting the cultivation of international consumption center cities, making it a new carrier and new engine for expanding consumption, promoting industrial structure upgrading, and stimulating economic growth. The first is to enhance the traditional consumption energy level. Traditional consumption still has great potential, home appliances, furniture, automobiles, catering belong to the "four big Kongs" of consumption, accounting for about 1/4 of the total social retail sales. We must support the catering industry to innovate the business model, improve the quality of service, and further expand catering consumption. There is also the inheritance and innovation of long-established brands and brand consumption, including the "national tide consumption" that young people are very concerned about. The second is to accelerate the cultivation of new types of consumption. Including smart stores, contactless delivery, home service and other new formats and new models. At the same time, traditional circulation enterprises are encouraged to create some new immersive, experiential and interactive consumption scenarios. In Beijing, many characteristic neighborhoods and Internet celebrity punch points have been formed, which are new consumption growth points and are full of vitality. The third is to build a consumption upgrade platform. Through the innovative development of the consumption platform, with the combination of "dots and lines", the characteristic business districts and characteristic blocks will be developed. Adopt a series of consumption promotion activities and consumption policy measures to promote the improvement of consumption structure and energy level.
(Some of the pictures are from the Internet, the copyright belongs to the original author)