Marketing: How Coating Companies Achieve Low-Cost Marketing

Faced with the increasingly fierce paint market, facing the high marketing costs. How to achieve low-cost marketing and reduce unnecessary expenses is a question that every company is seriously thinking about. Now the author puts forward his own opinion on how to achieve low-cost marketing in the paint industry, for reference only.

The author believes that the core content of low-cost marketing is that in the fierce market competition environment, it is not much to spend too much on advertising and other aspects. Should make full use of their own advantages of resources, find the right market segment for their own, and then maximize their own advantages, expand their market share in order to achieve the effect of differentiated marketing, step by step to expand the market and expand sales.

The author believes that the specific content of low-cost marketing of coated enterprises can be divided into the following five points:

1. Deal with the relationship between input and output: Facing the increasingly fierce competition environment, maximizing the efficiency of the use of every fund is the first factor that the company will bear the brunt of low-cost marketing. When some companies try to open up the market, they often think of the idea of ​​spending money on advertising to achieve the purpose of investment promotion. However, in today's advertising overwhelming circumstances, the manufacturers do advertising, the proportion of target customers accounted for how much? How many people are watching your advertisement and remember your advertisement? What about the effect?

In particular, under the circumstances that the capital budget of the coated enterprises is insufficient, this issue must be carefully considered, minimize unnecessary and less effective expenditures, and use limited funds in more effective matters. The author proposes that some second-tier companies should not press heavily on large-scale CCTV advertisements. They must avoid ignoring the truth, and should not be in direct conflict with front-line brands such as Nippon. The funds will be spent on how to improve product quality, how to achieve effective marketing, terminal interception, community promotion and how to provide dealers with effective value services. Reducing spending on advertisements, etc., strengthening investment in dealers, providing dealers with valuable and competitive services, etc.

2. Dealer's Choice: Many coated companies are hungry for their choice of agents, often focusing only on the amount of the first batch of payments made by dealers, not taking into account the strength of dealers in other areas. Many coated enterprises are indifferent after selling goods to dealers, resulting in the development of a batch, down one batch, making the high cost of painting companies.

To long-term development of coated enterprises, in the choice of agents one depends on the strength of the dealer, the second depends on the concept of dealers, and the third depends on the dealer distribution network distribution.

Only those dealers with financial strength have the ability to operate the market; the dealers with the idea can guarantee that they will work with the company and work in accordance with market laws; the distributors with more sales outlets are the basic guarantee for being bigger and stronger. The company can distribute products to the terminal store through the dealer's network.

Tu Enterprises can fully transform the dealer's network into their own network, truly train this network, and truly make the network work. While effectively using the sales network, Tuqi can continue to organize agents and distributors to conduct business training and improve their own quality and business level. This not only closes the relationship between manufacturers, but also makes the product sales performance continue to expand.

3. Combination of main and auxiliary products, new measures for product marketing: In the face of current fierce market competition, Tuqi should formulate a set of product warfare cooperation programs to fully tap the market potential of its own products. The flagship product with market competitiveness is used as the main source of profit, while other products are used as auxiliary products. When necessary, auxiliary products can also be used as sacrificial products. For example, buy a paint to send a primer. In this way, although a certain product was sacrificed in the market competition, the market share of the flagship product was expanded, and the increase in sales of the main product will surely win considerable profits for the company.

4. The reduction of channel costs: The production of sales expenses is mainly composed of channel costs, and channel costs are mainly spent through the hands of distributors, such as sales rebates to dealers, purchase awards, access costs, and so on.

The reason why Tuqi invests in these channels is to try to use these limited inputs in exchange for greater sales and profits. It is essential to do business and invest in nature. However, the reality is often not shifted by our good will. In recent years, due to the influence of various factors, the cost of channels that Tuqi spends each year has become more and more. Sometimes the profit earned by the front foot is used as the channel cost. Moreover, in some enterprises, there has been a vicious circle between channel costs and sales volume, and sales are fully supported by channel costs. If the channel costs are withdrawn, the sales volume will fall.

In the eyes of many dealers, tube manufacturers have to normalize channel costs. Whether or not manufacturers make money is not what they want to care about. Anyway, manufacturers are more likely to be even if the current manufacturer is down. It does not matter, and some manufacturers are behind. Therefore, the dealers will not mercilessly, to intensify their efforts to reach the production companies.

Under normal circumstances, manufacturers generally take products as the core and bring benefits to dealers. In fact, this is just a relatively simple and primitive form of interest between vendors. The cooperation of the vast majority of manufacturers is based on this form of interest. The interest forms are highly homogenous and have no differentiated features.

Manufacturers should start with the problems of dealers and provide valuable services for dealers to achieve the goal of differentiated marketing to enhance the market competitiveness of dealers. For example, manufacturers can work with distributors on business skills, train dealers' business personnel to solve dealers' management problems, help dealers establish profitable systems adapted to local markets, and design products that meet local consumer product mixes, helping distribution. Businesses solve their own problems.

Strengthen the business communication between manufacturers and distributors, and strengthen the service of business people to the market is the best means to achieve low-cost marketing. Manufacturers provide dealers with a full range of pre-sales, sales, and after-sales services to provide dealers and consumers with effective value services (such as airless spraying, masking and other services), and help distributors convert these value services into profits. Ensuring business and consumer satisfaction is the most direct and effective advertising campaign.

As far as channel costs are concerned, what manufacturers need to do is to make some of the profits that dealers must invest in the terminal's storefront competitiveness, terminal sales, community advertising, and carpentry work, instead of changing as they have done in the past. Become a dealer's profit, so as to truly achieve a win-win situation.

5. OEMs help companies to expand their markets: The wide domestic market, coupled with soaring oil prices, high logistics and transportation costs must be the true feelings of each manufacturer's pain. In Xinjiang, Qinghai and other places, only the logistics transportation costs and delays caused the enterprises to become more and more unbearable, and with the rising oil prices, logistics costs have skyrocketed, and more and more customers have become the company's "chicken ribs." .

Presumably, medium and small enterprises feel the deepest of these conditions. Therefore, in order to save marketing and operating costs, manufacturers can entrust local manufacturers to OEM in the form of OEMs in special regional markets to achieve win-win goals.