Chapter 1037 Advertising
Peter arrived in New York not much earlier than Lina, only two or three hours earlier, and then stayed at the airport waiting for his daughter to get off the plane.
Liu? stayed in the United States for much longer than she expected due to an accidental injury. Peter was the same. He originally planned to spend only about ten days on his business trip to the United States. His work schedule firstly involved understanding the sales of Cats' Garden in the United States, and then assisting the American agent to put the dolls on the shelves in several states and cities with a large market share. After completing the work, he would return to New Zealand to report on his work, as the company headquarters was about to hold this year's half-year meeting.
Now, the doll containers from China have been placed at the port and the unloading work has been stagnant. It is not because there is a lack of manpower or warehouses, nor is it because the American agents have a negative attitude towards work. They are eager to start working on the doll marketing plan immediately.
But Peter disagreed to unload the goods.
He had a huge conflict and disagreement with the American agent. In fact, when he came to the hospital to visit Liu?, Liu?'s intuition that his work was not going well was correct.
Cats' Garden's US agent, Wongee, is Peter's old partner. Over the past thirty years, the two companies have had a very stable partnership and Peter trusts his boss, Wongee.
As a result, he found that Cats' Garden's market share in the United States has not increased but decreased by 3 percentage points since April this year, which is very unusual. Admittedly, their brand's market share in the United States has almost solidified, and it is difficult to increase it by 1 percentage point, but it is also not easy to decrease it by 1 percentage point, because their customers are very loyal.
What caused the landslide?
Peter never figured out the reason. Wongee only showed him the good side. Even after he went to Ontario, Los Angeles, where Wongee's headquarters was located, he still couldn't find the problem.
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It was not until Liu? was injured that he met Yu Zhan's teacher Professor Stephen in the hospital. After the two left the hospital, they had a meal together. Professor Stephen's story reminded him and he knew the truth.
As mentioned above, Wongee also has its own factory producing various types of canned pet food, which are labeled with its own brand "Wongee". In January this year, a batch of Wongee canned pet food used spoiled beef, causing serious quality problems, causing hundreds of pets to suffer from stress reactions such as vomiting and diarrhea, and some even endangered their lives.
Wongee Company only reluctantly recalled the batch of problematic cans after the situation became very serious. Although they later gave corresponding compensation to those pet owners, the damage to the brand's reputation was irreparable.
This was the beginning of the incident, but it had not yet affected the sales of Cats' Garden.
Seeing that his own brand products were boycotted and unsalable, the boss Wongee was anxious. Being an agent certainly did not make as much profit as selling his own products, as the bulk of the profits went to Cats' Garden headquarters. So in recent years, he gradually shifted his focus to his own brand - this is another objective reason why Cats' Garden's sales in the United States have stagnated.
As a result, after several years of hard work, their company was back to the days before liberation overnight. A series of compensations put their company into financial difficulties, and the brand they had worked so hard to build was ruined.
Wongee was not willing to give up, so he came up with a bad idea. He paid an advertising company to re-produce the advertisement for Wongee canned food, emphasizing that their canned food was made from fresh beef from New Zealand farms and was produced in the same factory as Cats' Garden.
This is of course false advertising. Wongee wanted to take advantage of Cats' Garden's brand awareness, but it backfired. After the ad was broadcast, not only did the sales of Wongee canned food fail to recover, it also affected the reputation of Cats' Garden. It made consumers believe that the previous spoiled beef was also related to New Zealand farms, and naturally they did not want to buy Cats' Garden products. Its sales volume dropped at a visible rate.
Wongee was worried that Cats' Garden would know what they had done and hold them accountable, so they quickly withdrew the advertisement. However, the bad impression had already been deeply rooted in the minds of consumers. They caused Cats' Garden to lose a group of loyal customers.
Professor Stephen asked Peter at the time, are Wongee cans and Cats' Garden really made from the same batch of raw materials?
Peter said categorically no.
At Peter's age and height, few things can drastically affect his mood. The Liu Chengyu incident was the first time, and this incident was the second time. He was almost furious!
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