Zhao Qingshan's inference is very clear, that is, the profits and brand image of big brands will be impacted, and franchisees will inevitably choose to withdraw some stores because of actual interests and concerns about the uncertain form of the future.

The so-called geographical advantage means that there will be a decrease in gold jewelry stores, which will give up space and customers.

If they can't be sure of Zhao Qingshan's true purpose, then they will be businessmen in vain.

"You're going to grab the low-end market. Wang Bing said firmly.

"Low-end brand market. Zheng Dengke added.

"That's right, I want to create a lowest-end brand and let the public recognize this brand!" Zhao Qingshan snapped his fingers, full of confidence.

"Sounds a bit of a contradiction. Xu Handong said half-understood.

"Is there a contradiction? Can the giant 'Tianya' in the beer industry rub the edge with the mid-to-high-end? But it occupies more than 60 percent of the country's market share, and it can even be said that no supermarket, restaurant or even bar can do without 'Tianya', even Yunding is no exception. ”

"Sichuan Shu's 'spicy sky' is nothing more than bottled products such as chopped peppers, dried radish, and bean drums, but in many countries does it have its own factory? It is not cheap abroad, but in China, most products do not exceed 10 Qin and Tang coins, right? ”

"'A bite' spicy strip nominally takes the route of fine and high, but in fact, isn't it just playing marketing under the guise of feelings? It's not how low-end and how low-end, and the price is not low-end, but it has created a wealth myth for Jiangdong Night, which has been listed for less than two years and has a market value of more than 50 billion. Why? Because the public recognizes this brand, even shareholders don't believe that there are other spicy noodle brands that can challenge the authority of 'one bite'. ”

Zhao Qingshan gave three examples in a row to refute the point that "low-end is not a famous brand".

In fact, this is a misunderstanding that the public can easily walk into.

"Needless to say, let's talk about your specific plan. Zheng Dengke said thoughtfully.

Zhao Qingshan glanced at Wang Bing, knowing that the other party was still not attracted by the pie he had drawn.

"Fighting a price war, not only the price of gold is in accordance with the international gold price, gold derivatives, K gold, hard gold, all by grams

Selling, 18K more than 400 purchase price, then I will earn it 20 yuan a gram. ”

Zhao Qingshan stretched out a finger and said a decision that would have sounded incredible to anyone.

If not, how can it be called an "industry reshuffle"?

"As far as I know, even if it is the most advanced brand and the most vigorous activity, 18K must achieve a profit of at least 100 Qin and Tang coins per gram, and it is impossible to sell it cheaper than gold, unless it is a small brand that withdraws from the market and clears the goods. ”

Wang Bing immediately questioned: "Others sell thousands, you sell more than 400, where is the profit by doing this?"

Although he is not an expert, Wang Bing also has friends who are engaged in this industry, and he has a small brand, and he has invested in the stock in the nature of tickets a few years ago.

Later, people thought that his investment was too small, and politely "invited" him out.

Therefore, I still have some understanding of the depth and shallowness of the gold jewelry industry.

Gold is the product with the lowest profit margin and the most sold, and low-end brands can make money without relying on gold at all, and more often use low-priced gold to attract customers.

The so-called hard gold, the water shell market is generally a few dollars a gram more expensive than gold, but the terminal price is several times higher than gold, consumers do not understand the doorway, because in the terminal sales, hard gold is not sold by grams, but by piece.

Therefore, most consumers don't know how much a gram of hard gold products they buy, and they don't know that the so-called hard gold is actually almost the same as the price of gold.

18K is even more exaggerated, the store sales will tell you about the process, hardness, color selectivity, but in fact, it is 75% gold content, plus some other cheap metals.

The addition of cheap metals in different proportions not only reduces the cost, but also achieves different processes, replacing the soft hardness of pure gold, and creating different colors.

And these, when facing market consumers, have become the reason for "why is it so expensive".

Even under the deliberate guidance of brands and merchants, many young men and women feel that the color of gold is too old-fashioned and will remain unchanged for thousands of years.

Any young person who comes into contact with fashion would never wear gold jewelry.

In fact, the actual purchase price of 18K per gram will not exceed 80% of the gold, but the selling price is

Three or four times more than gold.

It's just that this huge difference is often perfunctory by merchants with the rogue concept of "gold is sold by grams, and K gold is sold by price".

Gold derivatives also sell very well, and the profit is not much lower than that of jewelry, they can achieve at least 40% gross profit for a jewelry store.

If you give up most of the profits from gold derivatives, I am afraid that the vast majority of jewelry stores will not be able to operate.

Of course, Zhao Qingshan did not plan to make a profit in the early stage.

"Do you think it is possible to achieve a 'reshuffle of the industry' while making a profit? There are too many profitable price war opponents, and there are opponents wherever the layout is, but who dares to stop me from the edge of the price war without profitability?"

Zhao Qingshan asked rhetorically, that is called a high-spirited person.

"What kind of investment do you talk about if you don't make a profit? The price war can indeed bring down a large number of brands, especially if most of the stores are franchised brands, and they will be scattered with one blow. But have you ever calculated how much money you're going to spend?"

Wang Bing felt extremely ridiculous, and even felt that Zhao Qingshan was completely fooling him as a fool.

Zheng Dengke and Xu Handong were also confused.

It's not just a question of how much money to throw, but how to hold on to the market after it has been knocked down.

You can't always be unprofitable, right?

If you want to be profitable, you have to raise the price of your products.

This will inevitably give other brands the opportunity to regain the market.

What to do then?

Another round of price wars?

"Let's make sure first, whether there is enough financial support to push other brands out of the market. Zhao Qingshan said quietly.

"If you have enough funds, wouldn't it be easier for you to buy a few gold mines abroad, and you still need to attract investment?" Wang Bing directly mocked.

"Mr. Wang, be careful when you speak. Xu Handong reminded with a smile.

"It's okay, you have to say something. Zhao Qingshan hurriedly handed the steps to Wang Bing.

"Heh......" Wang Bing sneered, and didn't look at Xu Handong.

Zhao Qingshan opened his mouth, and Xu Handong naturally would not find fault again.

Since Wang Bing didn't speak, it was equivalent to walking down the steps.