Chapter 93: Fierce Counterattack (1/4)
In the workplace, people who can mix in high positions sometimes rely more on emotional intelligence.
What is now in front of Wen Boyuan is basically an unsolvable dilemma. He knows that this year, Estee Lauder's sales in the mainland will not only fail to catch up with L'Oreal, but will be thrown farther away.
Only doing high-quality products, high positioning, and no discounts, this is the brand strategy formulated by the headquarters for Estee Lauder, and he has no right to change it.
Is this strategy wrong, I think it is wrong now, which has also led to Estee Lauder entering the mainland for more than ten years, and it has been tepid.
But is it really wrong? Wang Ye can give the answer. Not only is it good, but it is extremely correct.
Don't look at L'Oreal's dancing happily now, they will suffer a big loss in a few years, which is also the bane of L'Oreal's frequent promotions, and the brand image is rotten!
Take their L'Oreal brand as an example, they still have counters in major shopping malls, and they sell very well. In a few years, it will no longer be seen in high-end shopping malls, and can only be seen in supermarkets.
The positioning of the brand, once determined, the biggest taboo is to waver!
If you position your brand as high-end and don't have any tricks, it can be tough at first.
At this time, you can only grit your teeth and persevere!
Stay up until consumers recognize your brand!
Stay up until your competitors make their own mistakes!
If you follow the trajectory of history, Estee Lauder will be able to come out in three or four years, and then it will be the real accumulation. And L'Oreal's bad habit of discounting and promoting has also made them suffer really hard.
So now, L'Oreal can engage in promotions and pull performance, but Wen Boyuan can only watch, there is really not much he can do.
But is this okay to do nothing? Obviously, no, big companies don't support idlers.
If the performance can't be pulled up, then the attitude is very important, and Wen Boyuan must show enough attitude!
What to do, Wen Boyuan certainly has a way, he is ready to play two cards.
The first card is strain, which expands the channel of Meigou.com, which is a highlight of his performance this year, so it must continue to be maintained.
In addition, Tmall.com has also begun to pay attention to the cosmetics area, and the old rival L'Oreal has gone to open a flagship store, so Estee Lauder will also have to follow. He is also going to open a Tmall flagship store, of course, it can't be opened at present.
So, that's the second card he's going to play.
The second card is the sad card, Tmall flagship store can't be opened, but the attitude must be put out, and it must be seen by the people at the headquarters, which is very important!
In order to make the U.S. buy network change agreement, he personally went into battle, and repeatedly went to Pengcheng to visit. Even if he is rejected in the end, at least he has worked hard, and who can accuse him of not doing his best.
Of course, it was a small mistake he made to grant Meigou the exclusive online distribution rights. But in the face of the billion-dollar purchase order of Meigo.com, who can withstand the temptation. In the face of such a big order, what is the point of making a small mistake?
After these two cards are played, Wen Boyuan can attack and retreat.
If Wang Ye agreed to modify the agreement, then everyone would be happy. If he doesn't agree, then when he returns to the headquarters at the end of the year to make a debriefing report, he will be able to make a difference.
It's not that I don't do my best, it's that business is really hard to do these days!
……
Wen Bo looked at Wang Ye from afar, and of course he still hoped that he would agree.
"Mr. Wen, in fact, I don't understand, what's the point of you going to Tmall to open a flagship store?
"Of course not, our company can't be like them, even if it opens a Tmall flagship store, it will be consistent with the counter price. At most, free shipping, give some extra try-size giveaways. Wen Boyuan replied without hesitation.
Wang Ye nodded slowly, indicating that he understood, took another puff of his cigar, and then said: "In a month, then you will decide whether to open a Tmall flagship store." ”
Although he didn't understand why Wang Ye wanted him to wait for a month, Wen Boyuan was smart enough not to continue to entangle. Since Wang Ye has said so, it is definitely impossible to change, so there is no point in entangling himself, it will only annoy people.
Wen Bo was far away, and Wang Ye was the only one left in the office, he was half-lying on the recliner, thinking about what to do with L'Oreal.
Originally, Wang Ye didn't plan to use this kind of trick to hurt the enemy by one thousand and lose eight hundred, but since L'Oreal himself was going to die, he didn't mind pushing them.
It also makes them understand that short-term sales are not important, but the long-term development of the brand is the key!
After making up his mind, Wang Ye asked Liu Ruomei to call Xu Jing.
Not long after, Xu Jing came to Wang Ye's office.
"Wang Dong, are you looking for me?" Xu Jing said with a smile.
"Sit down, how are the sales of L'Oréal's brands lately?" asked Wang Ye.
"There is basically no sales, and the flagship store of L'Oreal Tmall is frantically discounted, and we are still considering whether to follow up. If you follow up, we still have free shipping, and there is basically no profit. If the promotional discount isn't strong enough, it doesn't make much sense. Xu Jing frowned and said distressedly.
"Then we'll do it too, but we'll do it near the end of their event. By the way, when will the event end at their Tmall flagship store?"
"The promotional poster says that it will be done for a week, which can be regarded as a celebration of the opening of the store, and it will be over in four days. I hope that after the end of the day, the normal price will be restored. "Xu Jing has also been very bad recently, and has been so involved by L'Oreal, and the sales momentum of Meigo.com has also declined.
"By the way, did Qing Huan bring the new agreement signed with them, I heard her last time say that there is a supplementary agreement this time. Wang Ye asked.
This was originally one of the work contents that Xu Jing was preparing to report to Wang Ye, and she carried the agreement with her, and when she saw Wang Ye asking, she opened the folder, took out the agreement, and handed it to Wang Ye.
Flipping through the agreement and looking directly at the supplement, it is clearly written that there is no longer a restriction on the sales price of Meigou.com, and they are allowed to set their own prices for promotional activities, but they are not allowed to compete maliciously. That is to say, it cannot be lower than the purchase discount, that is, 5% off!
In fact, if the promotional efforts of the United States shopping network are 6% off, plus free shipping and operating costs, it is equivalent to no profit. If you really want to do a 50% discount, it will definitely be more than you sell, the more you will lose.
But it has no impact on L'Oreal, you just sell it at a discount, and he also supplies it at a 50% discount. Therefore, when this supplementary agreement was signed, the people of L'Oreal were very relieved, and they were not afraid that Meigou would make the discount lower than their own Tmall store.
After reading the agreement, Wang Ye was sure that his plan was feasible.
"How much L'Oréal products do we have in stock?"
"The three brands together are about 300 million. Xu Jing thought for a moment and replied.
"Restock as soon as possible......! About a billion dollars in inventory. Wang Ye said decisively.
"There are so many, L'Oréal's products are no longer selling well on our website, and I am afraid of overstocking when I purchase so many more. Xu Jing expressed her opinion.
"No, after this batch of goods comes in, we will sell it slowly, because I estimate that soon L'Oréal will find an excuse and stop shipping to us!" Wang Ye said with a smile.
"How is it possible? Are they not willing to make money even if they have it?" Xu Jing said with a stunned glare.
Wang Ye did not answer her question directly, but ordered: "After this batch of goods is put into storage, the prices of the three brands of L'Oreal, Lancôme, and Helena will all be reduced!
"Okay, how long are we doing this event, is it a week?"
"No, it's six percent off forever!" Sell it slowly, until it's sold out,......," Wang Ye said meaningfully.
"Six-fold?!permanently!" Xu Jing didn't understand what Wang Ye meant for a while, why he did such a thankless job.
Meigou.com 5% off purchases, 6% off sales, plus logistics and operating expenses, will definitely not make money, and even a small loss. What is Wang Ye trying to do this?
Seeing that Xu Jing couldn't figure out his intentions for a while, Wang Ye explained two sentences: "Although L'Oreal likes to do activities and promotions, it is not done every day, it is usually a large holiday, and it is usually sold at the original price." But we helped it get a permanent 60% off, including their high-end brands Lancôme and Helena. What do you think this will do?"
Xu Jing understood now, she stared at Wang Ye in surprise: "Then we and L'Oreal will become mortal enemies, their regular-priced products will never be sold anymore, and even the two high-end brands Lancôme and Helena will become synonymous with cheap promotional items!"
"Even if we don't do this, won't L'Oréal treat us as mortal enemies? Don't forget, they have all gone to Tmall to open flagship stores, and in the future, they will definitely use the channel of Carmeigou to support their own stores. Wang Ye said with a smile.
Since Wang Ye has decided, Xu Jing has no opinion, so he will implement it.
When L'Oreal received another large purchase order from Meigou.com, it was quite surprised, why did it make a large purchase when the sales of Meigo.com had declined recently.
But this is a good thing, whether it can be sold or not, the purchase is settled in cash, give it!
After the products were put into storage, the website officially launched a large promotional banner of "L'Oreal, Lancôme, Helena brand promotion, permanent 6% off!"!
Wen Boyuan has been paying attention to Meigou recently, and after he met and talked to Wang Ye last time, he vaguely felt that there would definitely be a big move on Meigou recently. Judging from Wang Ye's previous style of doing things, in the face of this L'Oreal "betrayal", he will definitely not swallow his anger like this, and there will definitely be a sharp counterattack.
On this day, when he opened the Meigou website again, he saw the promotional banner of "L'Oreal, Lancôme, Helena brand promotion, permanent 6% off!".
"This is to make the L'Oreal brand stink!" Wen Boyuan gasped.