"Cousin...... No, Mr. Fei, if the price is reduced again, the profits of the channel providers cannot be guaranteed!" Wang Jinbao blurted out.

The price of the product is not set arbitrarily, and it is necessary to leave enough profit margins, because the ex-factory price of the mobile phone is not the whole cost.

There are also product publicity costs, channel profits, and after-sales service costs......

Among them, the profits of channel providers account for the majority.

Obviously, take the Gome mobile phone counter as an example, it may sell more than a dozen brands of mobile phones at the same time.

Among them, if Xia Xin sells a mobile phone, Gome may have a profit of 300 yuan, and your legendary mobile phone sells a profit of only 100 yuan.

In those days, it was advertised that "channels are king"!

If the retailer puts your phone in the corner and the poster is too lazy to hang up for you, when a customer wants to buy a phone, they won't recommend your brand at all.

Then, no matter how good the phone is, it will be difficult to sell.

Because consumers at that time really didn't know much about mobile phones, there were too many various mobile phone brands on the market.

When they choose a mobile phone, they rely more on on-site comparisons and sales recommendations.

Wang Jinbao's price is 1,000 and 5, which is a bit risky, because the profit reserved for large channel merchants alone is 300 yuan.

The cost of a mobile phone is close to a thousand, and the two add up to 1,000.

This is not counting the cost of publicity, and it has not considered its own profits and after-sales costs, so it can be said that channel providers earn more than brand owners.

Yu Wenfei smiled slightly, and asked rhetorically: "Why do you want to give profits to channel dealers?"

Wang Jinbao opened his mouth and subconsciously replied: "If we don't give people profits, who will help us sell mobile phones......

"Sell it yourself!There is no middleman to make the difference!" Yu Wenfei joked.

Seeing that Wang Jinbao was puzzled, wanted to ask but didn't dare to ask, he explained with a smile: "The traditional sales model will be eliminated slowly, have you seen Lenovo's Huimin computer?"

"I see, but that's ...... That Huimin Computer has lost a lot of money, the new Lenovo Group is rich, and my legendary mobile phone company doesn't have so much money to burn. Even if Mr. Fei agrees to sell at a loss, isn't there still two shareholders? Wang Jinbao said with a wry smile.

Lenovo's Huimin computer listing ceremony, Wang Jinbao of course paid attention to it, and once wanted to imitate that model.

However, after many news in the press revealed that the cost of Lenovo Group's Huimin computer was higher than the selling price, and it was much higher, Wang Jinbao wilted all of a sudden.

My cousin has the confidence to play so much, and he can afford to lose, but the legendary mobile phone company can't afford to play, the company doesn't have much liquidity, and my cousin is a little bit careless.

That is, Mr. Hu just bought shares and brought a sum of money, otherwise, this CQ 1 mobile phone was listed, and the first batch would not dare to produce too much.

Therefore, he gave up the idea of selling online and continued to do offline channels.

He also understands that these days, if you want to sell this "expensive commodity" on the Internet, you must have enough brand awareness, and then the price must be unexpectedly low!

These two conditions are indispensable!

And the legendary phone, apparently, does not have either......

............

In fact, for the legendary mobile phone company, Yu Wenfei has not paid much attention to it, and it can be regarded as a stocking attitude.

Originally, according to his idea, this was a favor done by the way, and after buying it, he threw it to his cousin Raven and them to exercise.

The company's factory production line technicians and the like are not in his eyes, because when he really wants to start making mobile phones, the starting point must be much higher than this.

The establishment of the new Lenovo Group and the acquisition of IBM's personal computer business unit are the real foundation for mobile phones.

Compared to the new Lenovo Group, the legendary mobile phone company is too inadequate, no matter what aspect it is.

Unexpectedly, Wang Jinbao really came up with something and took out a good cheap mobile phone, which can be regarded as an unintentional willow.

This aroused his interest a little, and he was ready to point out Wang Jinbao, before the high-end brand started, it was good to make a low-end brand to occupy the market.

In the dream, Yuwenfei also started with affordable mobile phones, and has always been a low-end mobile phone, which is also a helpless thing, because the high-end market can't be squeezed into it at all.

Anyone who makes a mobile phone brand, who doesn't want to be like Apple, although Apple's sales often rank third in the world, it doesn't look very powerful.

But you have to know that the total profit of the global mobile phone market, Apple alone accounts for more than 60% and close to 70%!

This includes all mobile phone brands, regardless of high, medium and low-end mobile phones.

Other mobile phone companies looked at Apple's financial statements and drooled with envy......

This time, because he has very good basic conditions, Yu Wenfei is ready to personally operate and create a high-end mobile phone brand, a low-end mobile phone, of course he can't look at it.

But since Wang Jinbao is so competitive, he is not hesitant to point fingers.

............

"Huimin computer does not lose as much as it circulates on the Internet, and your mobile phone can actually learn from that model. Yu Wenfei smiled.

"How can we learn from it? Do we also make a mobile phone for the benefit of the people?" Wang Jinbao was a little confused, and said with a wry smile.

"Why not? Since you want to be a low-end brand, you have to rely on volume to do it. If you want to go to the volume, look at the sales volume of Huimin Computer, can you move at every turn?" Yu Wenfei said.

Of course, Wang Jinbao is excited, Huimin Computer is now a batch of online and will be used immediately.

Lenovo's official flagship store on Taobao, Huimin Computer is equipped with two products, and it has been in a state of "out of stock" for a long time.

Lenovo launches hundreds of thousands of units every ten days or so, and then it will be sold out in a few minutes.

The entire computer brand market, it has only been a month, and it is basically occupied by Lenovo.

Many consumers, if they can't grab Lenovo's Huimin computer, would rather wait for the next batch, or even add a few hundred yuan to buy from the "scalper", rather than buy another brand of the machine.

Because of other brands, the price is much higher than Lenovo!

Yuwenfei is the integration of a lot of resources, and with a large amount of procurement, plus their own funds to subsidize, this is the low-cost Huimin computer, other companies do not have this courage, let alone this ability.

"Of course, I'm tempted, if it can sell as well as Huimin Computer, even if it doesn't make money, I admit it, the question is...... The company can not make money, but the dealer always wants to make a profit. Wang Jinbao blurted out.

"Launched Taobao, opened an official flagship store, abandoned all offline channels, and only sold online. In this way, there is no need to think about the profit of the dealer. Yu Wenfei replied.

"That'...... Our popularity is not enough, before Lenovo Huimin Computer was launched, it was on CCTV news, and Mr. Fei also helped to promote it on Facebook. Could it be that this time, you also want to help the legendary mobile phone do publicity?" Wang Jinbao's heart moved, and he hurriedly asked.

"No, as long as the legendary mobile phone and the Taobao store of Lenovo Computer are side by side, and you can hang the name of Huimin mobile phone, and then set an ultra-low price, consumers will spontaneously help you do publicity. Yu Wenfei said with a smile.

"How low is that?"

"Only 998 yuan!"

Wang Jinbao was dumbfounded all of a sudden, nine hundred and ninety-eight?

This price......

It's almost the price of the copycat, and the quality of his legendary CQ1 mobile phone is much better than that of the copycat, just the phone case, the cost is dozens of dollars!

Not to mention a system that has been carefully optimized and customized.

"This ...... This is almost the ex-factory price, calculate carefully, you still have to lose money, and you want to convince the other two shareholders to estimate...... It's a bit hard. Wang Jinbao said embarrassedly.

Legend mobile phone company, although Yu Wenfei is the major shareholder, Wang Jinbao will definitely listen to what he says, but don't forget that there are two other small shareholders.

The rights and interests of minority shareholders are also guaranteed, and Yu Wenfei can not care about that little money, and it doesn't matter if he even loses some money.

But the minority shareholders may not be happy.

"The two of them should also know how to choose between making a small amount of money and capturing the market. If you go back and tell them that if you implement my plan, the sales of legendary mobile phones this year will exceed 30 million!

In fact, if the annual sales volume reaches 30 million, the cost can be further reduced, and some money can still be made. Yu Wenfei said confidently.

"Thirty million, it can't be that much!" Wang Jinbao said in surprise.

Although he is quite confident that the mobile phone that the legendary company took half a year to build, Wang Jinbao's best expectation is that he can sell one or two million units a year.

This model can be sold for two to three years, and in the entire life cycle, it can sell five million units to be considered a big success.

In those days, mobile phones were not updated so quickly, and it was normal for a relatively best-selling model to sell for several years.

Just like Xia Xin and Bird, they all started with a best-selling model.

"Then let me ask you, if you are a consumer and such a mobile phone only sells for 998 yuan, will you want to buy it?" Yu Wenfei asked Wang Jinbao with a smile.

"Of course I want to buy it. ”

Speaking of which, Wang Jinbao has almost figured it out.

Because Yuwenfei helped him solve two key problems of online sales, brand awareness and ultra-low selling price......

If according to what Yu Wenfei said, on Taobao, the legendary mobile phone flagship store and the Lenovo computer flagship store are juxtaposed, and then the name of "Huimin mobile phone" is added, and then the company introduction is marked "Lenovo Group brother company......

There is no false propaganda in it.

But the majority of consumers look at it, and Lenovo Group is as famous, and the legendary team just won the runner-up in the WCG finals a few days ago, this is definitely a big company!

As for the ultra-low price, this one is simpler, in terms of the appearance and configuration of the legendary CQ1, it is normal to sell one or two thousand, but now it is only sold for 998!

Directly break through the market floor price and bring surprises to consumers.

Yu Wenfei, who is called the "industry destroyer" or "price butcher" by many peers, finally began to raise the "butcher knife" in his hand to the mobile phone industry.

Although he is not directly "holding the knife", no matter what the legendary mobile phone company says, it is also a subsidiary of Star Technology Holdings, and it is absolutely inseparable from him.

He didn't mean to crush the mobile phone industry, nor did he deliberately leave a way for domestic mobile phone manufacturers to survive.

It's because he knows too much about the development of the mobile phone industry, even if he doesn't do it this year, the spring of domestic mobile phone brands will pass this year.

As mentioned earlier, 2001 to 2003 is the period of rapid development of domestic mobile phone brands, and in 2003 it reached its peak, and the sales of domestic mobile phones in the mainland market even exceeded foreign brands, with a market share of more than 50%!

However, the domestic mobile phone brand manufacturers have not yet come out of the excitement, and the counterattack of those foreign mobile phone giants has arrived.

Nokia, Motorola, Samsung and other foreign brands have listed low-end positioning products, from the original price of more than 3,000 yuan, directly hit about 1,000.

In the first two years, many domestic mobile phones were sold for two or three thousand, but now the situation is very embarrassing.

And because there is no own R&D technology, it can't keep up with the pace of those big manufacturers in product upgrading, and product replacement can't keep up.

In the first half of 2004, the decline of domestic mobile phones has been revealed, with the start of the price war, the high profits of domestic mobile phone manufacturers no longer exist.

If you fight the price, they really can't compare with the foreign mobile phone giants, because all the components are purchased, and the cost is higher than others.

In addition, the large-scale emergence of copycat machines belongs to the internal and external attacks, and domestic mobile phone manufacturers have come directly from spring to winter......

According to what Yu Wenfei knows, in 2004 in the suburbs of Pengcheng, tens of thousands of mobile phone workshops appeared almost overnight, and the surrounding industries are also booming.

At that time, MediaTek's salesmen were very conscientious, as long as you bought their solution, they could even help you train R&D engineers and update the chip for free.

At that time in Pengcheng, there were even more than 10,000 manufacturers of 'copycat machines', and there were three or four thousand on the scale alone!

In Huaqiangbei, at least five of the ten businesses are engaged in mobile phones, and the other five are engaged in related peripheral industries.

The emergence of copycat machines has allowed mobile phones to enter the lives of low-income people, and mobile phones have begun to become popular in China.

With its amazing response speed and simulation ability to the market, the copycat machine made many domestic and foreign mobile phone brands panic for a while. It is said that within three days of the release of a new product, there will be an identical copycat machine on the market, and the price is only a few hundred yuan.

In less than a year, the copycat machine has disturbed the "mobile phone rivers and lakes".

In 2004, copycats accounted for 10% of domestic mobile phone sales. Under its influence, domestic mobile phone brands that were originally prosperous began to lose money to varying degrees. Xiaxin mobile phone lost 135 million yuan, TCL lost 460 million Hong Kong dollars, Bird lost 280 million yuan, and Haier lost 139 million yuan.

In February of the same year, a new license was finally issued for the mobile phone production license that had been sealed for 6 years. Huawei, Gionee, BBK and other enterprises have also entered the market with low-end products, further intensifying the competition in the low-end market.

Since the price war is inevitable, Yuwenfei doesn't mind firing this "first shot"!

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