For enterprises, only after the user’s driving force is clarified, it can explore how to create high-end brands and corresponding principles from the root causes.
On January 8, 2019, Mr. Yang Hongchun, founder and chairman of the good product, emphasized: “The ‘high-end snack of good products is not high price, but the concept of high value.”
In December of the same year, Baowa’s car launched a new advertisement, humorous copy of the trend, let this “good · expensive” magic advertisement quickly burst into red. The advertising term is probably meaningful: good products should be.
Who is the right point of view?
It is to see how consumers decisive – the consumer’s answer is: “We need high quality products, the best price is not high.”
When the company tells consumers, my product is better, when the price is lower, consumers usually disdain. In consumers, high-quality products are selling low, which is not logical. They will think that companies are not public welfare institutions, and the price is low, and there is no use or advanced technology.
First, the illusion of consumption upgrade
“Consumption Upgrade” guides Chinese enterprises to collect marketing traps that meet customers’ needs. Consumption upgrades are not topics today. They are talking about consumption upgrades before this, and there will be no topics about consumption upgrades in the future.
Home building materials companies should have no discussion. However, they are trapped in the “consumption upgrade” in 2015 to 2018, and they have a “high-end” positioning.
Merkite: High-end kitchen and bathroom ceiling
Angel: high-end net drinking water expert
Massage: high-end massage mattress
Lolanda: High-end smart drying rack
Dernate: high-end security door
Dongpeng: High-end tile
Op: High-end Yuba
Dream day: high-end wooden door
Children: high-end learning table and chairs
Bai chef: high-end cabinet
European: high-end whole house customization
Ou Shennu: High-end tile
Golden catheter: high-end water pipe
Fang Tai: High-end water heater
大王 椰: High-end environmental protection plate
Jiu Mu: High-end bathroom
Imperial: high-end sound door and window
Point stone home dress: high-end decoration
Why is the company keen to create a “high-end” brand? Why is the consumer is interested in high-end brands? Regardless of whether consumers consume, they have maintained a strong desire to high-end brands.
Second, consumers buy two drivers of high-end brands
1. First is a cognitive driver
Consumers have a tendency to equate the price, think that the high price should be “worth”. ” Smart entrepreneurs are deeply high, they use the customer’s mind to create high-end brands and easily obtain profits.
Another factor of cognitive drivers is a district, and the “high-end” brand can help the brand in many categories to build a district in consumers, enhance their minds, and create quality customers.
2. More people are social drive
Social needs is a powerful social force. “Safety” is the first major interest pursuit of mind, and it is also the need for human base. The “status” is the second major interest pursuit of mind, and it is also more valued in social relationships and master greater control. Therefore, the high-end brand’s highlight value is a large extent is to meet the psychological needs of customers’ pursuit.
For consumers, the quality and service of the goods should be considered when purchasing goods, but the high-end brands should not only consider quality and service, but also pursue spiritual benefits, let others see you in using this brand and build social value. . Therefore, high-end brands must consider two aspects of cognitive drive and social drive, both unable to open independently.
Mr. Xiaomi, the founder of Xiaomi, is a clear person. He is very clear that the brand comes with “social currency” attributes, “young people first TV” and “young people’s first mobile phone” and other marketing concepts, it is he created to help buyers Resist social discrimination and enhance social status.
Third, entrepreneurs establish two driving power of high-end brands
1. The first is the feelings
Chinese entrepreneurs have generally there is a feeling: create high-end brands. In China, manufacturing low-end products seems difficult to teeth. They believe that high-end brands are only brands, they have brand value, and whether they will be considered to produce low-cost products, not respected. From this point, the high-end brand has social value.
Is it true?
In fact, many high-end brands have the value, influence and prospects are far from mass brands.
Take the car, the British Rolls Royce car is rich in luxury, but it is fresh in the automotive market, and finally sells at a low price. Maserati is an Italian luxury car manufacturer, sold in Fiat in 1993.
The same is true for the apparel industry. Those brands who make a lot of money are almost all popular brands. Japanese richest workers can run civilians. German richest is a low-cost supermarket Aldi’s boss. Low-cost clothing brands: Zara achieves Europe’s richest, and is also the world’s first German.
Don’t misunderstand what I mean, high-end brands are not competitive, but to look at high-end brands reasonably.
2. The second is the profit driver
If companies go high-end market, you can create and maintain health profits and markets. Higher profits make companies spend more in marketing, so you can create more reputation.
On the contrary, trying to be the cheapest is a game. Some people can always manufacture it or sell it with a cheaper price. Forcing companies to reduce cost or quality. However, establishing “high-end” brands can bring lasting demand for business products and even desire.
Fourth, the five principles of establishing “high-end” positioning
High-end positioning is effective
The father of the positioning is briefly elaborated in the “Business War” book. The father of the positioning believes that “there are many opportunities for high-priced launching wings, almost any kind of goods or service projects have excellent opportunities in high-end engagement.”
The case in the book has Haagen-Dazs, Mercedes, Ban John, etc. Haagen-Dazs is a high-priced ice cream brand. Today, its sales is larger than all other high-priced ice cream. The Mercedes-Benz has attracted a general car through the high-end side wings in the US market to become the first brand of American high-end cars. Bar · John establishes a cognition of high-end pizza with fresh raw materials, profits far from the leadership brand.
Creating high-end brands requires techniques, need to cultivate the impact of high-end markets, seeking to recognize and catering the media. Of course, corporate products must meet or exceed the expectations of senior buyers. All of this requires a lot of money and energy. In addition, the company should follow the following five principles when creating high-end brands.
In principle, a combination of categories assess high-end demand
This “mine” is repeatedly stepped on in practice.
The demand for high-end brands is very unique, and it can be slightly known in contrast other needs.
Consumers buy Wang Laoji because Wang Laoji provides the need to solve the needs of “prevention”. Consumers buy the boss hood because the boss hood provides the need to solve the “big suction”.
For high-end brands, simple quality or function is at least half, and high-end brands must consider its added value: social attributes. Briefly, the value of high-end brands is composed of social needs and quality demand. Therefore, it is not the best solution for products or products that do not have social properties.
The boss and Fang Taiyue have a good competition in the category of hoods.
Fang Taihe boss is a leading two brands in the domestic hood industry. The two are glue with each other in sales and sales. In 2011, Fang Tai took the lead in establishing “high-end” positioning, and the boss appliance established “large suction” positioning in 2012.
In the cigarette type, “high-end” and “big suction” are in line with demand, in line with cognitive?
Boss hood practice “big suction” positioning only 2 years is the world’s first hood brand. “Big Suction” won the “high end”.
For practical products, consumers pay more attention to their real value, not social value.
Yi Co Group is a provider of hotel supplies and office supplies, and its EKO brand specializes in the production of trash can. During 2017 to 2019, EKO appeared to the consumer “high-end trash” to consumers in high-speed rail magazines and high-speed rail television, trying to establish “high-end trash can.”
The West King is a domestic leading corn oil brand. In 2016, the West King launched the positioning project and the brand repositioned “high-end corn oil”. Brand enabled famous movie star Zhao Wei’s perspective, advertising and terminal material with high-end positioning.
The “high-end corn oil” positioning project has been implemented for 2 years, and the operation of “high-end corn oil” is not satisfactory.
High-end trash can? High-end corn oil? Trash can and corn oil combined with category to assess “high-end” demand will find that it does not apply.
In view of the class, consumers do not have social needs on trash cans, corn oil, driving school, marriage, financial management, and electric cars. Therefore, “high-end” is positioned in which the power plays extremely weak.
What kind of product has social properties?
“Walking Products” has social attributes, “walking products” increases brand exposure and enhances the social value of the purchaser.
The hood is a fixed product, trash can and corn oil are kitchen products, can’t walk, can’t carry. Cigarettes, liquor, cars, bags, and watch are called “walking products”.
Therefore, the brand has established a “high-end” positioning to be combined with the category, in the watches, automobiles, clothing and other categories, high-end demand is effective, establishing “high-end” brand is reasonable, in some practical products, establish a single function positioning far Establish a high-end positioning value.
In principle, I confirm that my mind is in a blank
Establishing a positioning To depart from the mind, you must review the competitive relationship, and confirm that there is a high-end blank in the minds of the customer’s mind.
Ignore the competition will definitely suffer, this is repeatedly verified in marketing. If the competitor has occupied high-end positioning in consumer mental, enterprises should take another way, find other vacancy, this is a smart practice.
The leadership brand in the Chinese liquor market is Maotai, Moutai’s market value and revenue are the world’s first. Maotai has occupied “high-end liquor” in China’s consumer, and the status is extremely stable.
Other liquor brands should think about other ways, don’t try to drive the Maotai from the consumer’s mind, Maotai is a hard bone, whether it costs how much cost cannot be removed.
Because high-end positioning is too valuable in white wine, the liquor industry is more than one attempt to establish high-end positioning, reliance, sampling, national edge, blue blonde, unanimously striving to high-end direction.
During 2017, during 2019, Sichuan is rushing, Hubei sake, Jiangsu National Gate has taken a dangerous step, they spend huge investment, “high-end liquor” positioning, three brands simultaneously attack, eventually reassemble.
The problem is to be awarded that after the high-end white wine in the past three consecutive years, she will be able to turn to the “all old wine” concept from 2019 in the second half of 2019. If you don’t have to watch data, you know that high-end positioning is definitely not effective, and this marketing plan is not terminated if it is effective. Let the previous investment in the east stream, enterprises should learn to stop in time.
Subsequently, we saw that Hubei sampling also gave up the establishment of high-end liquor, and Jiangsu Guoloustimal consumption is not possible to establish high-end liquor positioning.
The “high-end sauce” positioning of the blue blonde is not available, it belongs to Maotai. In 2017, Blue Flowers were reorganized into “one of the two major sauce in China”, which is a good positioning, the problem is too close to Maotai.
Sichuan is surrounded, Hubei sampling, Jiangsu National Feelings and Blue Flowers have taken the hardship. They ignored the mind, in the liquor industry, “high-end” positioning is not blank, this location belongs to Maotai unless they have a way to remove Maotai from the “high-end liquor” position, otherwise, their strategy is futile.
Don’t repeat the lessons of the liquor market, enterprises before the “high-end”, should scan the heart, confirm that the high-end position is in a blank, otherwise, more efforts will be abandoned.
Principle three brands have high-end cognitive foundations
With the existing cognitive basis, it is a shortcut to establish a position, which is contrary to cognition.
In 2016, Zhiqi Air-conditioned high-rise Yang Shengtun publicly issued “Zhigao Air Conditioning Brand White Paper”, Yang Shengmunications said: “Zhigao high-end air conditioner is the ultimate feeling after the user experience is a high degree of recognition of the brand.”
Yang Sheng stabilizes the customer’s cognition, which is very dangerous. Mr. Yang Xiangwen should first understand the views of consumers to Zhigao brand, and the existing cognition can support the high-end positioning of Zhigao brands.
How do consumers look at Zhigao air conditioners?
“Not very well known, second-class brand” consumers’ answer will make Zhigao managers disappointment.
Such feedback is not advantageous for the establishment of high-end brands in Zhigao.
According to this infant, the foundation of high-end brands does not exist. Consumers will not believe in high-quality air conditioners that make up the better air conditioners. However, companies are convinced that they know their products.
The “high-end air conditioner” strategy has issued a problem in less than three years. In 2015, Zhigao sales or the fifth place in the air-conditioned market. By 2019, the sales volume of Zhigao air conditioning lines ranked eighth and line sales volume. More bad is the research data from the Ministry of Industry and Information Technology and China Enterprise Brand Research Center, and the Zhigao Air Conditioning Brand Index is the 15th, and the industry is inverted second. Cognition is precedent, which indicates that the market performance of high air conditioners will be even worse. The “Quality Revolution” of Zhigao has not been implemented.
Winter in 2019, China Leisure Clothing Brand: Sen Ma launches high-end outdoor down brand “White Jiji”, before this, the market performance of Sen Ma is extremely excellent. In 2018, Senma Clothing achieved operating income of 15.719 billion yuan, an increase of 30.71% year-on-year. In the first half of 2019, he realized operating income was 8.219 billion yuan, an increase of 48.57% year-on-year.
Sen Ma is a high-end outdoor down jacket, which makes “white japan” into high-end outdoor down jacket brands as much as possible. We predict that Sen Ma’s abacus may fall, because the existing cognition of Sen Ma hinders the establishment of high-end positioning.
What does Sen Ma represent the cognition? At present, Sen Ma is the preferred choice for high school students, and does not belong to senior buyers, without high-end cognitive foundations. Its cognition is limited to this, and the high-end down jacket of Sen Ma will return.
Why is the high-end products of Zhigao and Sen Ma will end in failure.
The reason is that the stereotype effect. The impression impression is actually classified, simplified information. This is a simple understanding, although it is conducive to understanding a matter of a matter, it is also easy to produce a deviation.
The fact that the stereotype is not aware of the fact that the actual impression is still a “misunderstanding” that caused distortion due to the rationalization of prejudice. It is because of the existence of stereotypes, so that new products from Zhigao and Senma have been influenced by stereotypes. In cognitive, second stream companies have difficult to produce high-end products, thus hindering brand establishment high-end positioning.
Principle four high-end verification
At the beginning of the article, the paragraph of the founder of good products: high-end brands are not equal to high prices but high quality. Consumers have listened to this sentence. It must be very warm, however, there is no help to establish high-end brands in consumer mind in consumer herb.
In the zero food class, where is the good shop than three squirrels?
High-end quality cannot be verified.
Can consumers identify 200 yuan white wine than 100 yuan? Where is Role? Where is Mercedes-Benz?
Consumers are not an expert and cannot be verified.
High-priced is the best way consumers verify high-end brands. For many products, high prices are customer interests, high prices will increase product quality and reputation in cognition.
How does consumers verify which brand of bottled water better? Consumers will not get a professional department test and will not query the composition table in detail. The consumer verification method is only available. Consumers believe that the quality of 2 yuan bottled water is better than 1 yuan bottled water, 4 yuan water better than 2 yuan. So Easy.
Good shop “high-end snack” is not a good idea, the key is that consumers cannot verify its high-end positioning through prices. Fortunately, good shops have been favored by capital, walking some detours, consumes some resources and will not hurt the bones.
In the second half of 2015, the “high-end” positioning of Yadi electric vehicles was born, “higher-end electric vehicles” won the streets in three consecutive years.
What is the effect of strategic positioning of “high-end electric vehicle”?
Yadi’s 2017 annual report showed that the average price of the electric scooter fell by 1766 yuan in 2016 to 1675 yuan in 2017, and the average price of electric bicycles fell by 1181 yuan in 2016 to 2017. 1135 yuan. Therefore, the Group’s overall gross profit margin fell from about 20.3% in 2016 to about 14.9% in 2017.
The average price and gross profit margin of Yadi “high-end electric vehicle” decreased.
Establishing a “high-end” brand in the electric car class itself has a problem. Then the price is price, Yadi’s price and competitors are not too big, consumers can’t verify the “high end” of Yadi through the price. Therefore, “high-end” brand does not have credibility.
Emphasize a “high-rise” concept, you can understand it: the brand spread high, selling products on sale. This method is not available. The reason is that high-end and parity cannot coexist for a long time. The two are destroyed each other.
Principle five manufacturing scarcity
High-end brands must also follow the principle of “scarcity”. High-end brands are senior buyers, only senior buyers will pay more attention to social value, once the brand enters the mainstream market, social value will be diluted, senior buyers will give up purchase.
That’s why many high-end brands always have “limited edition” products. Brand owners control the scarcity through limited products, maintain high prices and needs.
If most people are carrying a LV package, LV and high-end positioning inevitably be more farther away.
Increase prices can suppress demand to manufacture scarcity.
Yadi reduced prices to improve sales to “high-end” positioning is not friendly. Product price reduction, product sales increase, brand is everywhere, rural grandfather, city courier, takeaire all use “high-end” electric vehicles.
Without advanced buyers, there is no scarce, high-end brands cannot be established.
Why can’t Moutai can’t buy it?
The global membership chain supermarket Costco can purchase a bottle with a member card. Many tourists went to Maotai, Maotai Town, Renhuai City, with a two bottle of Maotai. The dealer can’t buy the Maotai wine company.
The scarce of manufacturing products can enhance the user’s social value, which is very important for high-end brands. Conversely, if a high-end brand is high in the market, high-end properties necessarily challenge.
5. Building three points of “high-end” positioning
High-end wings are the most classic strategic law in commercial competition. Once the brand has established a “high-end” positioning, it can be a good benefit. Will take the initiative to get the favor of customers, respect the respect for peers, and also get rich profits and sustained competitiveness.
To create a high-end brand, you must pay attention to the following three points, namely: a long enough time, clear category, and alert market vacancies.
Time to take a long enough time
Time can witness quality, time can win trust.
Those senior buyers have a general requirement that they spend more money, and they ask for higher quality.
Time is the best witness. In the face of time, everything will finally have a sticky. If a brand has a sufficient history, then this brand of products must be very reliable, otherwise it can live for so long.
High-end brands in the world usually have a long history. Mercedes was born in 1886; BMW was born in 1916; LV was born in 1854; Rolex was born in 1908; Herme was born in 1837. These high-end brands have more than 100 years of history.
Many brands create high-end brands at the beginning of birth, if companies do not revolutionize technology or innovation is not suitable.
Kunlun Mountain is Jiaduobao Group in 2009, the bottle water brand launched in 2009, the birth of the high-end bottle, priced 6 yuan / bottle at the beginning of the brand, is 3 times the leading brand Nongfu Spring.
what’s the result?
Do not satisfactorily. In the face of a brand new brand, consumers will doubt their quality and reputation, consumers will think, how can a new brand will make products better than Nongfu Springs, not to mention the price of Nongfu Spring. 3 times.
After five years of practice, by 2014, Kunlun Mountain has changed its strategic positioning, from “high-end mineral water” to “Snow Mountain Mine Water”. Kunlun Mountain needs time to win trust.
Entrepreneurs usually take Tesla to raise an example. They will say, why do you see Tesla successfully, Tesla was founded in 2003. At the beginning of its establishment, it was founded from the high-end market. So far, Tesla became a representative brand of high-end electric vehicles.
Tesla is undoubtedly successful. However, can your business are like Tesla? Tesla can also get a lot of money injecting in the case of continuous loss for 15 years, can your business do it? Does your company have Tesla’s technology? Does your business CEO have Mask’s influence?
Which brand of pure electric cars is better? That is the brand of low-cost enters the market, not high-end brands.
Xiaomi Today’s success is obtained by cutting into a low price smartphone.
Toyota and Honda enters the US market.
The research history will find that many brands are low prices in the starting phase, not high-end.
Re-establishment again, establishing high-end brands for time, those senior buyers are demanding, and companies must pass the time to witness the quality and reputation of the consumer.
Keep a clear class
Clear categories and powerful positioning.
Category definition is unclear is the brand establishment of common practice misunderstandings, and this is true of “high-end” brand. We encountered too many companies in practice because the categories are unclear and miss the opportunity to position.
Consumers’ decision-making ideas are “thinking about category, brand expression”, first consider which type of product is purchased, and then select the representative brand of this category. If the category is fuzzy, the power of the positioning is minimal.
Ou Lin started from the sink, and then extended to the kitchen appliance. In 2019, the brand repositioned is: high-end kitchen. The kitchen is an extremely broad category. Is there a consumer thinking about buying a kitchen? Obviously it will not.
Establish “high-end” positioning in the “kitchen” category, and power cannot appear. “High-end kitchen” is hard to enter your mind, so you can’t affect the purchase decisions of consumers.
More than Buddhai is a new brand that is the United States in 2018. The purpose of than Buddhai is to address Haier high-end appliance brand: Casa Emperor’s competition. At the beginning of Casa Emperor, the positioning is a high-end refrigerator and then extends to high-end appliances. What is the worst of Bolei is the definition of categories, what is “a high-end water appliance”?
There is a clear category, there is a sharp positioning. When enterprises build high-end positioning, the company first needs to think about the problem definition, thereby planning the brand positioning.
It is necessary to wary of the market vacancies
We observed that many brands were in the “vacancy in the market, there is no vacant in the mind”. Market vacancy and mental space are not a concept.
Enterprises should pay attention to mind, not the market.
It does not develop a valid strategy from the market. The market strategy seems to have discovered new opportunities, which seems very inspiring, in fact, market strategy may be moving towards the abyss.
The story of two companies.
In the market, there is no brand to occupy the “high-end electric car”, the company is alone, put all the resources to high-end electric vehicles.
There is no brand in the market to occupy “high-end corn oil”, the West King feels lucky, seizes the strategic window to establish “high-end corn oil.”
There are also high-end financial management, high-end English training, high-end paper towels, high-end food containers, etc. From the market, enterprises are drawn as high-end markets, mid-market and low-end markets, and then, enterprises have seen the existence of “high-end” opportunities. If you start from your mind, your company can’t see this opportunity.
In corn oil, electric vehicles and English training categories, consumer mentions do not have high-end vacancy at all, this is the truth.
For companies, creating high-end brands is very tempting. It is conducive to the improvement of the status of the corporate market, can get more loyal consumers, get better profits, and obtain the attention of the media. However, creating high-end brands is not easy, creating high-end brands is very difficult, it requires companies to invest more money and time, but also have the same quality and superior image.
In addition, creating high-end brands is also affected by brands, we call it a mental resource. Italy’s clothing is very high-end, French wine, Swiss watch, French cosmetics, German cars, etc., creating a brand can shorten the cycle of creating high-end brands with these mental resources.
Pubber cold water. In the market, many types of products do not have genes that create high-end brands. Therefore, no matter how much energy is consuming, it is not necessary.
Author: Zhu Hongwen
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