Chapter 171 Agency Fee (1st Update)

PS: The leader of the "Snow Flying 123" alliance is mighty, and it must be updated today!!

When many dealers heard that the agency fee was so expensive, they couldn't help frowning and discussing with each other.

For a while, the reception hall was noisy and noisy, which was not much different from the vegetable market.

"Quiet!!" Henry shouted loudly, his cold gaze swept over the group of people in the audience, and said coldly: "If you are willing, you can leave immediately!"

As soon as they saw Henry going crazy, everyone immediately shut up. Of course, no one wants to leave either!

iPod is so popular that it's obviously a money-making business. Although the agency fee is a little expensive, but you can earn it back! The dealers are all shrewd businessmen, and this account is still reasonable!

Henry habitually picked up the water glass, took a sip of water, and thought to himself, if it weren't for the fact that there are still a large number of people in the United States who don't use the Internet, otherwise, he wouldn't have chosen a dealer to sell his iPod!

Silicon Valley Electronics Group is not very cost-effective to set up stores all over the country for an iPod because the products are too simple!

Therefore, the matter of the specialty store, we will talk about it later!

At the very least, after having two or three products, it is decent to open a specialty store!!

At this time, in the reception hall, the dealers had already filled in the information on the paper, and then walked up to the stage and handed it to Henry. And when all the dealers had handed in the papers, Henry told them to come back tomorrow. Henry then instructed the staff to keep the papers, and then to select the one with the highest agency fee in each state!

The statistics went on for an hour, and Henry took a look at it and couldn't help but nod. The United States is made up of 50 states and one Washington, D.C., and Alaska is the largest state in the country, but the population is small. The second largest state in the United States is California, located in the western part of the United States, which is the most economically developed and populous state in the United States, accounting for almost 10% of the population of the United States, and its southern neighbor is Mexico. It is bordered by the Pacific Ocean to the west and has an excellent geographical location, so it is also nicknamed the "Golden State"!

Undoubtedly. iPod proxy fees in California are the most expensive!

"Not bad, California has $40 million in agency fees, followed by New York with $35 million. As for the rest of the states, the minimum ranges from three million to twenty million. This time, I am afraid that I have made a lot of money by relying on agency fees alone. Well, that's more than half a billion dollars!!"

Henry couldn't help laughing, these dealers were afraid that they were stunned by the boom in selling 50,000 iPods in five minutes, and thought that they were making a lot of money! Otherwise, how could they be willing to pay so much agency fees? This time the agency rights are only two years, and in 1993, the Silicon Valley Electronics Group will take back the rights in their hands. At that time, the network of professional stores established by Silicon Valley Electronics Group in the country should also be perfected, and once it has its own sales channels, it is natural that it no longer needs to rely on dealers around the country!

And in these two years. First of all, the dealers worked tirelessly to open up the market and promote the iPod, so that the reputation of the iPod increased and became a well-known brand in the world......

The next day, the distributors came to Silicon Valley Electronics Group again.

With a smile on his face, Henry prepares to announce the results of the bid loudly.

"Hehe, I'll announce Alaska's first......"

In the audience, most of the people had an indifferent expression. Alaska, it seems, has a small population. The environment is a bit harsh and not popular......

Henry cleared his throat and said loudly: "Congratulations to MAS for obtaining the right to represent the state, and the agency fee is three million dollars!"

Offstage. An obese man stood up excitedly, MAS is just a small company, and he can't help but be a little overjoyed to get the ipod agency in Alaska!

Henry smiled at him, "It seems that our iPod is very popular, and the gentleman stood up excitedly. All right. Please sit down, now is not the time to sign. After the results of the bidding are announced, we will sign up with you one by one!"

After the obese man sat down, Henry went on to announce the results of the bid. He started with the least agency fee, and at first, many dealers didn't care, but the more they got to the back, the more nervous they became. When Henry was about to announce his proxy in California, all eyes were on Henry!

"Ahem, California's proxy recipient is ......"

At this time, everyone's hearts suddenly rose to their throats, and they couldn't be nervous!

Looking at their nervous looks, Henry smiled secretly, and then announced: "The agency in California is Broad Brothers! and their agency fee is 40 million dollars!!

Many people in the audience took a sharp breath, they were really bold, and they actually paid $40 million in agency fees!

A pair of middle-aged brothers looked proud and proud. The shrewd Broad brothers decided that the iPod would definitely sell well, so they did not hesitate to pay a high price to win the California agency. They have carefully analyzed and calculated that the price of an iPod is $499, and the agent only needs $380 to get the goods, of which there is a price space of $120, and even if they only earn $50, they can earn back 800,000 iPods! As for whether they can sell 800,000 iPods in two years, the Broad brothers have no doubts!!

The Sony Walkman can sell more than half a million units a year in California.

Moreover, with the development of the Internet, iPods will become more and more popular, and the trend of replacing them with Walkmans is very obvious!!

After Henry announced the bidding, he asked those who had not been represented to leave the venue, and then beckoned the others to come up to the stage and sign them one by one!

At three o'clock in the afternoon, Silicon Valley Electronics Group and the distributor signed the contract. Immediately, Henry asked Harrison to hold a press conference at five o'clock in the afternoon!

Media reporters gathered at the door of Silicon Valley Electronics Group, and Harrison announced: "This afternoon, Silicon Valley Electronics Group has signed contracts with major distributors in the United States. Therefore, in a month, there should be iPod products in shopping malls all over the country!

The reporter asked, "Mr. Harrison, iPods are selling so hot, why do you invite distributors to join? Wouldn't this give them the benefits?"

"That's a good question," Harrison laughs, "and in the short term, we're really losing money." However, have you ever wondered how many Internet users there are and how many people are willing to buy iPods through online shopping? Of course, we will not give up selling iPods through online shopping. However, when online shopping tends to be saturated, we will have to find other channels and actively explore the market, so it is inevitable to rely on distributors! Silicon Valley Electronics Group has made a strategic investment in a production plant in China, and holds 50 percent of the shares of the factory with Cisco! Silicon Valley Electronics Group will transfer most of its iPod production to this factory in China for production, and it is expected that the production capacity of iPod will be greatly increased, to 500,000 units per month!!

Other reporters asked, "So, Mr. Harrison, what is the total amount of agency fees received by Silicon Valley Electronics Group this time?"

"Two years of agency, a total of $500 million !!"

As soon as Harrison finished speaking, the reporters were shocked.

Tut, charging agency fees, all make a lot of money, which is equivalent to Silicon Valley Electronics Group selling one or two million ipods!

The reporter immediately thought in his heart, "Are the dealers crazy?!!?"

After half a ring, the look of shock on everyone's faces did not subside.

"Mr. Harrison, can dealers still make money if they give so much money?"

Harrison smiled and didn't answer, but said, "We expect to sell 10 million iPods in two years! Of course, there may be more!! I think that if we sell so much, the dealers will make a lot of money!"

"Mr. Harrison, you're just expecting, but what if you don't sell that many, or maybe only one or two million iPods?"

"Then wait and see!" Harrison said confidently, as Chairman Henry Williams told him that after 1992, the Internet would develop at a rapid pace. Although I don't know what the situation is. However, since the chairman is so convinced, there is naturally a reason. At that time, the number of netizens will skyrocket, MP3 music will be popular, and with the chairman's status and influence on the Internet, the sales of iPod will definitely increase significantly!!

With that, Harrison ended the press conference.

(To be continued.) )