Du Guoying spoke eloquently, mainly about billboards, television advertising, channel distribution, user groups, and marketing strategies.
It has to be said that his first proposal was perfect. Even Liu Cheng kept nodding in approval, saying that if he were younger, he would definitely buy it. Moreover, Liu Cheng also brought up the concept of a couple's set.
“So-so!” Lu Feng gave his answer, lighting a cigarette as he said, “Too naive. Do you even know what young people’s income is like? Even if a pager costs a thousand yuan, how many of you do you think can afford it? More than half of our group’s sales channels are in small cities, urban-rural fringe areas, and towns.”
Lu Feng rejected the first plan with a single sentence. Du Guoying's excited expression turned slightly disappointed. In his opinion, this plan should have been the most perfect, because couples are the group most prone to impulsive shopping. For some expenses, they care more about the sentimental value than the actual value.
"Then let me talk about the second option. It targets business needs and goes towards the elite. The advertising scenario is a man in a suit standing in a luxurious office building, talking about global business. Then his pager goes off, he takes it out, glances at it, and immediately rejects the contract he is negotiating."
"The main focus is on the speed and efficiency of information delivery, but other products can easily achieve these same points. Personally, I think this product positioning has a rather small target market."
"Let's move on to the third one." Lu Feng said, smoking a cigarette without offering a response.
"The third option, I think, is a demand that deviates from the product positioning and is more about vanity. The main advertising scenario is a teenager from the big city returning to the village with a pager. He communicates with the outside world every day, and the pager is always beeping. Because of this novel thing, it gives people a particularly high-end and cool feeling, and the village girl falls in love with him."
"I haven't thought through the third option very clearly, so the overall positioning is still a bit vague. We can optimize it further," Du Guoying said, somewhat lacking in confidence.
"The starting point of the third option is not bad," Lu Feng said, stubbing out his cigarette in the ashtray.
"Huh?" Du Guoying was a little dumbfounded.
Those present were somewhat incredulous. The first proposal was clearly more appealing. They all felt that the first proposal positioned the product very well: young people don't have much money, but there are many young people, and there will always be some who have money to buy it. If the volume is large, even just one percent of them will result in very considerable sales.
Seeing their surprised expressions, Lu Feng sighed and decided to teach him anyway. He turned to Du Guoying and asked, "What kind of product do you think has the highest profit margin?"
"What kind of product has the highest profit margin?" Du Guoying pondered.
“It’s definitely a necessity. It’s something that can be sold because people need it,” Liu Cheng replied.
The others nodded in agreement, noting that essential goods are what people need the most and are the most stable.
"It's a practical thing, right? Can the profit margin of a wrench reach fifty percent?" Lu Feng looked around at everyone and said, "Food is also a basic necessity, right? Take Jiaming Foods, which I used to work for, for example. What do you think its profit margin is now? I'll tell you, it's twenty percent, and that profit margin will continue to decrease. Why does its profit margin keep decreasing?"
Du Guoying seemed to have figured it out and said, "Because it's practical and a necessity!"
“That’s right. If a product wants to pursue a high profit margin, it can’t be 100% based on practicality and demand. If it’s 100% a necessity, its profit margin won’t be high. If its profit margin skyrockets, then it’ll be World War III.” Lu Feng said, leaning back on the sofa. “So for the positioning of pagers, don’t advertise their practicality, because even a fool knows they’re practical. Don’t tell users what they already know. Tell them what they don’t know, or what exceeds their expectations.”
Du Guoying's mind raced as she processed Lu Feng's words, feeling as if she had grasped something, but she couldn't quite put her finger on it.
"Actually, the overall market is not just about young people, but about what kind of people have more needs. Under this general direction, we also need to consider the background of competitors and price wars," Lu Feng said in a deep voice.
Continue read on readnovelmtl.com
