Silicon Valley

Chapter 171 Agency Fees (First Update)

PS: The leader of "Flying on Snow 123" is mighty and must be updated today! ! !

When many dealers heard that the agency fee is so expensive, they could not help but frown and discuss with each other.

For a while, there was a lot of noise in the reception hall, which was not much different from the vegetable market.

"Quiet!!" Henry shouted loudly, his stern eyes swept over the group of people under the stage, and said coldly: "If you want to stay, if you don't want to, you can leave immediately!"

Seeing Henry's rage, everyone immediately shut up. Of course, no one wants to leave!

The iPod is so popular, it is obviously a profitable business. Although the agency fee is a bit expensive, it can be earned back! The dealers are all shrewd businessmen, and this is still a good idea!

Henry picked up the water glass habitually, took a sip of water, and thought, if it weren't for the fact that there are still a large number of people in the United States who do not have access to the Internet, otherwise, he would not choose a dealer to sell the iPod! Every time there is one more sales link, then a part of the money must be distributed!

Silicon Valley Electronics Group is not very cost-effective to set up stores all over the country for an ipod because its products are too single!

So, about the specialty store, we'll talk about it later!

At the very least, after you have two or three products, you can open a specialty store! ! !

In the reception hall at this time, the dealers had already filled out the information on the paper, then walked up to the stage and handed it over to Henry. And when all the dealers handed in the papers, Henry informed them to come back tomorrow. Afterwards, Henry instructed the employees to keep the paper, and then conduct a selection to select the one with the highest bid for agency fees in each state!

The statistical work went on for an hour. Henry took a look and nodded involuntarily. The United States is made up of 50 states and one Washington, District of Columbia. Alaska is the largest state in the United States, but has a small population. The second largest state in the United States is California, located in the western United States. It is the most economically developed and most populous state in the United States, accounting for almost 10% of the population of the United States. It is adjacent to Mexico to the south. With the Pacific Ocean to the west, the location is excellent, so. Also known as the "Golden State"!

Undoubtedly, the iPod agency fee in California is the most expensive!

"Not bad. California's agency fee is $40 million, followed by New York. It's $35 million. As for other states, it's at least $3 million to $20 million. This time, only by The agency fee is probably a lot of money. Huh? The total is more than 500 million US dollars!!!"

Henry couldn't help laughing. These dealers were stunned by the popularity of selling 50,000 iPods in five minutes, thinking they were making a lot of money! otherwise. How can you be willing to pay so much agency fee? This time the agency is only for two years. In 1993, Silicon Valley Electronics Group will take back the rights in their hands. At that time, the network of professional stores established by Silicon Valley Electronics Group in the country should also be perfected. Once they have their own sales channels, they will naturally no longer need to rely on local distributors!

In the past two years, the dealers worked tirelessly to open the market and promote the iPod, which made the iPod's reputation increase and become a well-known brand in the world! immediately. The Silicon Valley Electronics Group came to "pick peaches"...

The next day, the dealers came to Silicon Valley Electronics Group again.

With a smile on his face, Henry was ready to loudly announce the results of the bidding.

"Hehe, let me announce the state of Alaska first..."

Under the stage, most of the people looked indifferent. It seems that Alaska has a small population, the environment is a bit harsh, and it is not popular...

Henry cleared his throat and said loudly: "Congratulations to MAS for obtaining the state agency. The agency fee is three million dollars!"

offstage. An obese man stood up excitedly. MAS is only a small company, and he was a little overjoyed to be able to obtain the iPod agency in Alaska!

Henry smiled at him, "It seems that our iPods are very popular. This gentleman stood up excitedly. Okay, please sit down, it's not the time to sign the contract. After the bidding results are announced, we will Sign with you one by one!"

After the fat man sat down, Henry then announced the results of the bidding. He announced from the lowest agency fee. At first, many dealers didn't care, but the more they went, the more nervous they became. When Henry was about to announce California's agency, everyone's eyes were fixed on Henry!

"Ahem, California's proxy recipient is..."

At this time, everyone's hearts were all in their throats, and they were nervous!

Seeing their nervous expressions, Henry smiled secretly, and then announced: "The California agency is the Broad Brothers company! And their agency fee is $40 million!!!"

A lot of people in the audience took a deep breath, how bold they are, they actually paid 40 million US dollars in agency fees!

A pair of middle-aged brothers looked proud and very proud. The shrewd Broad brothers decided that the iPod would definitely sell well, so they won the California agency at a high price. They have carefully analyzed and calculated that an ipod costs $499, and the agent only needs $380 to get the goods, of which there is a price space of $120. Even if they only earn $50, 800,000 ipods can be earned back. ! As for whether they can sell 800,000 iPods within two years, the Broad brothers have no doubts at all! ! !

The Sony Walkman can sell more than half a million units a year in California.

iPod is so popular, doesn't it sell more than Sony Walkman? Moreover, with the development of the Internet, the iPod will become more and more popular, and its trend to replace the Walkman is already very obvious! Therefore, if you win the ipod, you will definitely make a profit! ! !

After Henry announced the bid, let those who did not have the right to be represented leave the field, and then greeted the others to come on stage to sign one by one!

At three o'clock in the afternoon, both Silicon Valley Electronics Group and distributors signed contracts. Immediately, Henry asked Harrison to hold a press conference at five o'clock in the afternoon!

Media reporters gathered at the gate of Silicon Valley Electronics Group, and Harrison announced: "This afternoon, Silicon Valley Electronics Group has signed contracts with major distributors in the United States. Therefore, in one month, there should be iPod products in shopping malls across the country! , customers are welcome to come and buy!"

The reporter asked: "Mr. Harrison, the iPods are so popular right now, why do you still invite dealers to join in? Wouldn't this give them the benefits?"

"That's a good question," Harrison laughed. "In the short term, we do lose profits. But, have you ever thought about how many Internet users are there, and how many people are willing to buy iPods through online shopping? How many? Of course, we will not give up online shopping to sell iPods. But when online shopping tends to be saturated, we have to find other channels and actively develop the market, so relying on distributors is inevitable! Silicon Valley Electronics Group is currently strategically investing A production factory in China, and Cisco and Cisco each hold a 50% stake in the factory! Silicon Valley Electronics Group will transfer most of the production of iPods to this factory in China for production, and it is expected that the production capacity of iPods will be greatly improved , increased to 500,000 units per month!!!”

Other reporters asked: "So, Mr. Harrison, how much is the total agency fee received by Silicon Valley Electronics Group this time?"

"Two years of agency, $500 million in total!!!"

As soon as Harrison finished speaking, reporters were stunned.

Tsk tsk, the agency fee is a huge profit, which is equivalent to selling one or two million iPods by Silicon Valley Electronics Group!

The reporter thought for the first time, "Are the dealers crazy? For such a high agency fee?!!"

After a while, the shocked expressions on everyone's faces did not subside.

"Mr. Harrison, the dealers give so much money, can they still make money?"

Harrison smiled, didn't answer, but said: "We expect to sell 10 million iPods in two years! Of course, there may be more!!! I think if there are so many, the dealers will definitely Make a lot of money!"

"Mr. Harrison, you're only predicting, but what if you don't sell that many? Or, just one or two million iPods?"

"Then wait and see!" Harrison's face was full of confidence. Chairman Henry Williams revealed to him that after 1992, the Internet will develop rapidly. Although I don't know what's going on. However, since the chairman is so convinced, there are natural reasons. At that time, there will be a surge in netizens, and MP3 music will become popular. With the chairman's position and influence on the Internet, the sales of iPods will definitely increase! ! !

Harrison finished speaking and ended the press conference.

(To be continued ~^~)

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