How far can the “News of the Cabinet” go?

How far can the “News of the Cabinet” go?

——Viewing the brand and channel innovation of the daily chemical industry from the sales of P&G cabinets

Maybe one day, when you buy a daily chemical product, you won't be confused by the same kind of products on the shelf, but in a brand's combination counter, "one-stop" purchase of "shampoo, conditioner" , shower gel and even toothpaste and toothbrush." Therefore, people buy daily chemical products, quietly from the selection of products into the new era of brand selection...

And still not

“Innovation” seems to be the never-ending dance step of the daily chemical industry, from traditional shopping malls, supermarkets, beauty salons, etc., to the private shops and cosmetics stores in recent years, as well as online shopping, TV shopping, direct mail sales, etc. Brand innovation topics are constantly being introduced and practiced. This time, the protagonist of innovation was replaced by the godfather of the Japanese brand, P&G.

According to reports, P&G Beauty intends to sell a series of products including shampoo, conditioner and shower gel, and even toothpaste and toothbrush in the store in the market. It is intended to be driven by the company brand under the current fierce competition. consumption. When P&G came out with this plan, it immediately caused strong repercussions outside the industry. However, after the smashing, we did not find that P&G immediately put the idea of ​​selling the cabinets into practice. Therefore, some people speculate that it is possible that P&G wants to test people's views and bottom line through public opinion. It seems that even if you are a "brand godfather", you can't rush to "change" the consumer's buying habits. In fact, whether it is a multinational giant or an SME, the cabinet is still not a cabinet, it is a difficult choice.

It is an indisputable fact that the competition in dailyized channels is increasing. Even P&G and Unilever feel the pressure is multiplying. Traditional channels such as Shangchao, although still the world of big brands, have been continuously diluted due to rising terminal maintenance costs. The market share of traditional channels has also been eroded by the crazy channels of specialty stores and off-site shopping. At the same time, emerging channels and blank markets have also been quickly “cooked” by large and small brands that are “eager to jump out of the besieged city”. Two years ago, the channel of the store was still untouched. Today, it is already full of cards, and it has become another "surrounded city." Channel chaos can be seen.

Procter & Gamblers who understand the operation of the market will naturally not meet the status quo. On the one hand, P&G has gradually shifted its market focus to the lucrative and high-quality skin care and makeup field through the upgrading of its industrial structure, thus gaining new profit growth points. On the other hand, P&G led the “going to the countryside” and aggressively entered the third- and fourth-tier cities and rural markets in an effort to win more consumers.

However, whether it is industrial restructuring or channel sinking, P&G faces serious challenges. The introduction of high-end cosmetic brands and the cultivation of the Chinese market requires a long-term process. In the cities, counties and rural markets, long-term local localization of localized brands will not easily give way to the site. Therefore, these measures will not achieve obvious results in the short run. As a matter of urgency, P&G still needs to consolidate its position as the leader in the field of mass nursing.

In fact, P&G has a competitive advantage in the field of mass protection. According to industry data, in 2007, the shampoo industry's five major brands such as Haifeisi and Rejoice, which are owned by P&G, accounted for 41.6% of the Chinese market. The market share of oral care products such as Crest, which is owned by P&G, is also ranked among the top in the country.

For mass care products, the store is a more important channel. After more than 20 years of hard work, P&G's daily chemical care products have been extremely mature in the market and are in a stable development period. The sales volume is not very large, simply by increasing the number of channels and the number of products. Significantly slow. If P&G sells a sales method, it will bring together products scattered at various points on the shelf, and implement parallel sales. Through a shopping service similar to one-stop shopping, will it have an aggregation effect, so that under the leadership of the corporate brand, What is the multiplication of product sales? Perhaps this is the original intention of P&G brewing and selling.

Pie, or trap

Is there any possibility of parallel sales?

From the perspective of product attributes, shampoo, conditioner, shower gel, toothpaste and toothbrush are all popular care and washing products, mainly used at home, and have certain relevance. From the perspective of consumer behavior, the positioning of such brands is popular, the price is not high, and the purchase decision process is simple. From the perspective of corporate brand, P&G is an internationally renowned enterprise in the daily chemical industry. The corporate brand can be described as a household name. Consumers may trust the P&G brand because they like a certain product, or rely on P&G to trust P&G products. The phenomenon that the company's brand drives its sub-products (brands) is completely possible.

Putting it all together, we seem to be able to conclude that P&G's daily sales of the products are not only feasible, but also beneficial to terminal sales. Is it really that simple? In turn, we will analyze the three stakeholders who sell in the cabinet: consumers, terminals, and enterprises. You will see different phenomena.

1. Consumers who love comparison, are they willing to change their spending habits for P&G for many years?

Looking back at the history of the store, the reason why the store is widely favored by consumers is that it provides a wealth of products, provides a free shopping environment, and satisfies consumers, especially female consumers, “first compare, then make decisions, then buy” Consumer psychology.

Once P&G sets up a “one-stop” brand counter, P&G's products are completely separated from other brands' similar products, which undermines the habit and fun of consumers' “comparative shopping”. There may even be another extreme situation where consumers give up buying Procter & Gamble's products because of their anti-P&G practices. Of course, it is also possible that consumers will adapt to P&G's practices after a period of “transition period”, especially those who are loyal consumers, which will feel very convenient and fast.

2. Consistently strong terminals, willing to change the business model for individual large enterprises to break the rules?

This is an era when the terminal is king. From the perspective of convenience consumers, the store does not dare to easily change the way the publicized daily product shelves are sold. The risks brought by the change in the sales of the cabinets are not willing to bear. If P&G is undertaken, the cost of the cabinet will undoubtedly increase. The sales of counters are also likely to cause opposition from competitive brands. In order to balance the interests of suppliers, it is difficult to allow a large enterprise to appear in the terminal mode of “sold cabinet sales”.

3. Procter & Gamble is really strong enough to be able to come through corporate brands.

Has it driven sales of sub-brands? This is a more central issue. In the daily chemical industry, multi-brand development seems to be an unwritten rule. Whether it is foreign-owned P&G, L'Oreal, or local Shanghai Jahwa, different brand brands are used to shape different brand personalities to meet the needs of different target audiences. And the personal value of corporate brands seems to be still

Primary Stage.

Such as the five major shampoo brands of P&G's Haifeisi, Rejoice, Pantene, Sassoon and Icahn, according to product functions, consumer groups and sales channels, five distinctive product brands have been formed, which is also the basis for the five major shampoo brands to win the market. Secret. Among the competitions with similar competitors, the top five brands are able to demonstrate superior competitiveness. But compared to these product brands, the personality traits of the P&G corporate brand are far from being truly formed.

Consumers know P&G, but what does the P&G corporate brand mean? What kind of impression is given to consumers? What kind of recognition do you expect from consumers? Consumers still don't understand. It is conceivable that the consumer sees “P&G” at the terminal and thinks that it is a big company, but it does not have deep feelings for it, and it will not feel as close and touching as Head & Shoulders.

As for the sales of sub-brands, it is even more difficult to predict.

Another risk is that if a product is promoted with a corporate brand, once any product encounters a quality or credibility crisis, it will directly affect the corporate brand image and will also imply the image and sales of other products. Similarly, if a corporate brand encounters a crisis, consumers will “hate the house and the house” and it is easy to retaliate against the product. In the past, the crisis public relations means often used by enterprises to "send the pawn and protect the handsome" will be difficult to perform. The so-called "one loss and one loss, one glory", and the sales of cabinets also put forward higher requirements for the company's crisis public relations capabilities.

First, or pioneer

Not only is P&G brewing and selling cabinets, Unilever also has the “Unilever” LOGO in the later product advertisements to highlight the company's brand. Johnson & Johnson and Avon are strong in the mass media to launch their own corporate brand advertising... ...we can find an interesting phenomenon: Japanese companies have begun to strengthen the shaping of corporate brands.

From shaping the product brand to building the corporate brand, it shows that the daily chemical company expects to add points to the product through the corporate brand in the increasingly fierce market competition, which also shows that the brand awareness of the daily chemical industry has been further strengthened. Forms and means have been further upgraded. But the shaping of corporate brands is much more complicated and much longer than the shaping of product brands. Only when the corporate brand develops to a certain stage and gains a place in the consumer's mental resources, can the cabinet sales be implemented, and the consumer's trust can be obtained. Moreover, the success of the sales of the cabinet is closely related to the consumer's consumption behavior and the enforceability of the terminal operation. If any aspect is not in place, it may affect the expected effect of the sale of the cabinet, or even fail.

However, it is undeniable that the introduction of the parallel sales model has pointed out a new way of brand development and channel sales for the Japanese chemical industry. Can the sales of the cabinet be realized, and how far can it go? Still to be tested by the market.