The Richest Man Yang Fei

"Shampoo must be the stage for the strong."

In my country's shampoo market, Procter \u0026 Gamble, which entered my country in 1988, has been the overlord for many years. Procter \u0026 Gamble brought its Head \u0026 Shoulders brand to my country back then, established a joint venture in my country, and successively introduced brands such as Rejoice and Pantene. In the following 10 years, nearly half of the money spent by Chinese people on shampoo went into P\u0026G's pockets.

The domestic brands launched a general attack between 2000 and 2005. At that time, there were as many as 40 shampoo brands that appeared on major TV stations every day. It is conceivable that except for a few brands under Procter \u0026 Gamble and Unilever, the rest are almost all local brands.

I remember watching Gu Zai’s The Condor Heroes at that time, and seeing Yin Daochang’s heart blazing, taking advantage of Xiaolongnv’s inability to move, at the most exciting moment, an advertisement for shampoo popped up, which was a certain domestic brand.

Even after 20 years, according to Bain Consulting's authoritative statistics, the top five brands in China in terms of sales volume are Head \u0026 Shoulders, Rejoice, Pantene, Clear and Sassoon, four of which are brands under Procter \u0026 Gamble.

Procter \u0026 Gamble's sales share in my country's shampoo market accounts for more than half.

This is so harsh and true that the sales of foreign shampoos are far ahead in the contemporary era when everyone is shouting that domestic products should be self-improvement and patriotic people buy domestic products.

However, there are still many domestic shampoo brands, and they emerge in endlessly. Most of their market share is in the vast rural market, and there are increasingly prosperous hair salons.

Yang Fei's intervention brought the shampoo war in China forward by ten years.

To be honest, P\u0026G didn't take Yang Fei and Meisi seriously.

In the previous washing powder battle, although Procter \u0026 Gamble lost a city, they didn't think that it was because Yang Fei was strong, but that they came too late.

Procter \u0026 Gamble focused on the competition for the shampoo market, and did not pay enough attention to China's laundry detergent market, which led to the rise of Yang Fei, a small local brand.

But in the field of shampoo, Procter \u0026 Gamble thinks it is the boss, and believes that the emerging brand of Max is not their opponent.

Even so, Procter \u0026 Gamble did not take it lightly.

After all, Meisi has the blessing of CCTV's king.

After Yang Fei won the next bid, he spent a huge amount of money this year to win the crown again. Any fool knows that he wants to hit the shampoo sales market.

Fortunately for Yang Fei,

He was born in a good time.

After foreign brands enter my country,

When foreign brands first entered our country, they also needed layout and development, and their energy was only focused on first- and second-tier cities. It has not been able to cover third- and fourth-tier cities and township markets, and the spending power of this part of the consumer group is relatively low.

Yang Fei's strategy is to first enter the market that Procter \u0026 Gamble cannot cover, and then outflank the first- and second-tier markets. And to win these markets successfully, low price is an indispensable condition.

In the third- and fourth-tier markets, brand awareness is not the most important factor affecting consumers' purchases, but cost performance is the key.

Yang Fei insists on one belief, that is to make good products.

When my country's shampoo industry is becoming increasingly bleak, only by insisting on making good products can we win word of mouth. On the other hand, we rely on traditional distributors to distribute goods. And this is due to Yang Fei's victory in the laundry detergent market, winning many county-level agent channels.

With this ready-made channel, Yang Fei can quickly sell the beauty silk shampoo to all parts of the country.

Coupled with the overwhelming advertisements, the image of Meisi Shampoo is cheap and high-quality, and it was quickly accepted by the common people.

Leaving aside the premium price of the brand, Meisi Shampoo has put a lot of thought into the packaging design, and the product quality is obvious to all.

Yang Fei's idea is very simple, that is to catch the younger generation.

This group of young people is the main force of consumption, and they will also be successful people who will be active on all fronts of society in the future.

As long as this generation of young people develops a certain awareness of the Maxi brand, and when using Maxi shampoo becomes a habit, it will be able to cultivate generation after generation of loyal customers.

Now, Yang Fei is sitting in a quiet tea house somewhere in the Forbidden City, holding a strategic meeting with the group's top management.

Yang Fei said in a deep voice: "Our goal is to be the number one domestic brand first! In order to achieve this goal, we will start the terminal promotion model."

Wei Xinyuan asked: "Terminal promotion? How to operate it?"

Yang Feidao: "Our strategy is to build core competitiveness from the terminal. The specific method is to equip sales outlets with shopping guide teams to recommend Sibao's products to customers. Like large supermarkets and promotional activities, our company must Send a shopping guide team. The members of the shopping guide team must be people with certain knowledge and eloquence. They must first understand the ingredients of our products and be able to tell the benefits of our products and why they are so good before they can persuade consumers By."

"The cost of hypermarkets is also very high." Zhu Zhongnan mused, "Have you thought about this problem? In addition to our sales promotion team, our sales cost will be even higher."

Yang Feidao: "Hypermarkets are the place where brands must compete. No matter how low the profit is, we must take it down. This is the only way to build brand awareness."

Xie Guiyan said slowly: "The most urgent thing is to deal with this wave of price wars from P\u0026G first?"

Zhu Zhongnan said: "Mr. Xie is right. Procter \u0026 Gamble suddenly launched a price war when our advertisement was about to be launched on Biaowang. They must have come prepared. How should we deal with it?"

Yang Fei pondered: "First of all, we have to be firm. Our new products cannot be reduced in price. Our products are different from Head \u0026 Shoulders in positioning. They can buy a bottle of good perfume with a bottle of shampoo. And our shampoo , but it’s just the normal price.”

Zhu Zhongnan nodded and said: "It makes sense. If we lower the price further, the profit will be even thinner, which is not good for the distributors or our manufacturer."

Yang Fei said: "P\u0026G wants to lower the price, so let him lower it. If they are really courageous, they will lower it to the same level as our shampoo price."

"Haha," everyone laughed, "how is this possible?"

Yang Fei said: "The price is also determined by the market. If Procter \u0026 Gamble is the only one in the market, isn't he the one who sets the price? As long as domestic brands catch up, one day they will be pulled down from the altar of price."

Wei Xinyuan said: "I am deeply touched by this point. The price of washing powder is because of our whiteness. Those foreign-funded enterprises have reduced the price of washing powder. In the end, it is the consumers who benefit."

Yang Feidao: "For this price war, we have two things to do. One is to keep the price unchanged, and the other is to use public opinion to create momentum and put pressure on P\u0026G."

"Press P\u0026G?" Zhu Zhongnan asked in surprise, "How?"

In Yang Fei's eyes, a gleam of wisdom flashed, like a cold knife out of its sheath!