Chapter 114: The Hesitation of the New Product Fence-Sitters
After the four of them left the office, Xu Heye lowered her voice and said to Dong Fuyun, "Uncle, when you go to Su City, you must leave your contact information for any clients you negotiate with, no matter who negotiated with them."
As he spoke, Xu Heye emphasized his tone: "Uncle, this matter is very important, you must grasp it."
For a factory, customer resources are particularly important.
To put it bluntly, Cheng Zijun and Liu Tong can now act as middlemen because when they were doing retail, all the customers they accumulated were in their own hands.
Now they still get goods from their factory. If one day they stop getting goods from here, at least 90% of the retailers they control will be lost, if not all.
Dong Fuyun nodded, "My uncle knows."
"By the way, I looked around today and there are indeed some imitation products on the market, but neither the quality of the fabric nor the workmanship is as good as ours."
"I have a hunch." Otherwise, even if those retailers wanted to lower prices, they wouldn't show their true colors so quickly.
Only when competitors emerge do they have more choices, and those choices are not as good as theirs, so they come to negotiate prices with them.
“Are there many imitations?”
Dong Fuyun shook his head: "Not many, they probably aren't made by those big factories." Goods made by big factories wouldn't be so rough and perfunctory.
"It's probably the same as when we started."
"But they obviously didn't do a good job of quality control, or they didn't care about it. They just wanted to make the product and sell it on the market."
Dong Fuyun: "What should we do now? Should we find someone to follow them, find the source, and scare them - uncle." Xu Heye interrupted Dong Fuyun's next words.
Dong Fuyun's past experiences still left a mark on him. He wasn't that bad, but when he encountered problems, he always liked to use the most basic martial arts to solve them.
"Uncle, we are legitimate businessmen, not a gang in Hong Kong. The existence of counterfeit goods proves that our products are good. You can stop one family, but can't you stop all of them?
There are only two things we need to do: develop new markets and come up with new and innovative products to keep our competitors one step behind us and our customers constantly following us."
"This time, when you go to Su City, bring our new products with you. Hucheng has a radiating effect on the surrounding cities, and perhaps someone has already brought our fake collars there. If there's a market, people will imitate them. There might not be people selling fake collars there."
"You bring both basic models and new products. Decide which model to promote based on the situation. If the market for basic models there hasn't been occupied yet, then promote the basic models. If the basic models are already made, then promote the new products."
"Okay, I understand."
The two came out of the office, and Dong Xinghua, Duan Jie and the other two were entertaining the dealers who had rushed over.
There were two people coming, a man and a woman. The woman's name was Fei Cai, and she was the elder sister who had initially discussed with Xu Heye about buying the goods from here and reselling them. The man came with Fei Cai, and he was her younger brother, who came to help with the transportation of the goods.
"Sister, the old products are nothing new. Today I'll show you something new." Xu Heye had someone bring out their new products for Fei Cai to see. "These are new products that haven't been sold yet. You can take a look. If you want any, you can ask Manager Dong to place an order."
Fei Cai stared at these new models with wide eyes: "Boss, are these new products?"
Xu Heye nodded. "These are all new products we've recently developed. Whether it's the style, pattern, or fabric workmanship, these new products are much better than the basic ones."
"It's really good." Fei Cai picked up a new fake collar and stroked it carefully. It felt very good and the details were well made.
"Is this collar trimmed with silk?"
"Yes. The piece you're looking at is made of silk." Xu Heye looked at the God of Wealth and said with a smile, "I wasn't planning on bringing out new products so soon, but I know there are some inferior imitations in Hucheng now. Although the quality and workmanship aren't as good as ours, as long as they sell at a low price, there will still be a market, which will have an impact on your business."
"So I brought out the new products. I believe that with these new features that no one else has, customers will definitely choose us."
"Young boss, what you said is true, but..." Fei Cai put down the fake collar in his hand, "But how do you calculate the price of a new product? If it's too expensive, even if it's new, customers won't buy it."
Xu Heye shook her head. "Sister, you've already seen that the new products have more designs and are more complicated to make, so the cost is much higher than the basic models. The purchase price will definitely not be the same as the basic models. But don't worry too much, you will definitely make money at the price we offer."
"If you dealers can't make money, our factory won't make money either, right?" Xu Heye glanced at the workers in the workshop who were working and listening attentively. "Let's go to the office to discuss the details."
"Okay." Fei Cai agreed. The workshop was indeed not a good place to negotiate prices, so a group of people went into the office to discuss the details.
With the previous foundation, an hour later, both parties left the office very satisfied.
Fei Cai: "Little Boss, let's go to the bank to transfer the money now, and let my brother go with Manager Dong to pick up the goods?"
"Okay." Xu Heye naturally had no objection. "This is indeed convenient. After the transfer, Boss Xiaofei will have sorted out the goods, and you can just haul them away."
The two went to the bank together and paid the money for the goods under the witness of the staff.
After returning from the bank, Fei Cai's order was already sorted. Dong Fuyun, Duan Jie, and the other two loaded the goods onto the tricycle Fei Cai had ridden. Fei Cai checked the goods: there were four bags in total: two basic items and two new products.
"Yes, these are all what I want." After she said that, she called her brother Fei Xiao and dragged the goods away.
Not long after the two came out of the Jiangcheng Garment Factory, they met several retailers who also bought goods from Xu Heye.
After receiving Dong Xinghua's call, several people rushed over immediately, but they did not go directly to the factory to pick up the goods. Instead, they waited outside the garment factory to see if anyone would come to pick up the goods.
Seeing Fei Cai took a few bags of goods, they surrounded her and said, "Sister Fei, why did you take so many goods? Is the price still the same as before? Did the boss give you a discount?" They heard that Yao Kun had teamed up with a group of people to try to bargain with the boss.
"Well, you can ask the boss yourself." Fei Cai said with a smile, but did not answer everyone's question clearly. "Anyway, if you want to place an order, just go over there quickly. As for me, I have something to do, so I'll leave first." She was still busy selling goods to make money!
Fei Cai finished speaking, patted Fei Xiao on the shoulder, and said, "Let's go."
"Okay, sister, hold on tight." Fei Xiao said, pressing down hard on the pedal of the tricycle.
Several people looked at the tricycle's receding back and looked at each other in confusion.
"Brother Wang, do you think we should place our order right away like Sister Fei did, or should we wait and see until Yao Kun and the others get the wholesale price down before placing our order?"
These people were all fence-sitters. After receiving Yao Kun's invitation to jointly lower the price, they were afraid of offending Xu Heye and not being able to buy goods from her in the future, so they were vague about it.
But they also really hope that Yao Kun can really lower the wholesale price, so that they can get more goods at a lower price and make more money in the end.
So I was wavering, wanting to get the goods, but not willing to give up.
Now that Fei Cai has received the goods, he is even more worried that she may have obtained some inside information that no one knows about.
The man called Brother Wang frowned. "Fei Cai is very shrewd. Back when we were struggling to wholesale fake collars and sell them ourselves, she had already started selling them as a second-hand wholesaler, making money on both ends."
"If Yao Kun can negotiate a lower price, it would certainly benefit us. But will Chonghe Garment Factory compromise? What if we anger them and they refuse to approve our product? Wouldn't that mean we'd suffer even greater losses?"
Fake collars sell very well, and you can make a day’s profit by selling them in one day.
During the New Year holidays, factories are closed and everyone has no goods on hand, so they can’t do business.
Although it seems easy to spend the New Year at home, eating, sleeping, and visiting relatives every day, my restless heart that wants to make money has never calmed down.
The factory has finally started operations, and we let them come to pick up the goods. Do we really want to delay making money because of a wholesale price that we don’t know whether it can be lowered or not?
But they couldn't make the decision to get the goods now.
Yao Kun was right. If they could get the purchase price down to one yuan per piece and sell it retail for three yuan, they could make two yuan per fake collar. One hundred pieces would make two hundred yuan.
The little sales loss now is nothing, we can make it up double later.
Another thing is, if they can hold on and the factory can't sell its goods, then people will beg them to come. I guess they can lower the purchase price to 80 cents per piece?
"How about we wait a couple of days? Didn't Yao Kun say the factory called him and said they'd need two days to think about it before giving him a reply? Let's wait a couple of days. We'll know after two days if we can lower the wholesale price."
"Okay, let's go back now."
Unbeknownst to them, not long after they left, another group of people arrived, some on bicycles, some on tricycles, and some on motorcycles, entering the Jiangcheng Textile Factory. After entering the factory, they headed straight to the Chonghe Garment Factory to the east.
These people are all Fei Cai's friends.
Not long after parting with Brother Wang and the others, Fei Cai immediately found a public telephone booth and called a few old friends with whom he was on good terms.
Like Fei Cai, they all disliked Yao Kun's private collusion with retailers to lower prices. If he wanted to lower prices, he'd openly approach the boss to negotiate, which seemed sincere. But engaging in such underhanded tactics was a bit demeaning.
To save on phone bills, Fei Cai said simply, "We have new stock. Hurry, or you'll miss out."
Several friends knew Fei Cai's character. Since Fei Cai called them specifically, it meant that she really thought the new goods were very good and would definitely make money if put on the market.
Without delaying for a moment, they took the passbook for the payment and went to Jiangcheng Textile Factory.
As soon as we entered the factory, we started by saying, "Boss, we want new products. Please show us the new ones."
Xu Heye hadn't expected this group of people to be so quick. They'd just gotten wind of the new goods when they arrived after handing them over to Fei Cai. After they'd left, there weren't many new products left in the factory.
The only half bag left was the one that Xu Heye strongly requested to keep as a sample for Dong Fuyun and his team to develop new markets.
"Aunt, let's adjust now. 60% of the employees will work on the new styles, and the remaining 40% will work on the basic styles."
Dong Xinghua nodded: "Auntie will call Xiao Huang right away and ask the old church to sit down and make adjustments."
"By the way, we should ask Uncle Huang to design more new styles. Once imitation products come out, the speed of copying them will increase faster and faster. We need to constantly innovate to retain customers."
"Okay, Auntie got it."
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