Chapter 421

Fang Zhe's words are enlightening!

All the executives here realize that, indeed, this is the best time for Xiaomi to make efforts offline. If we miss the good opportunity for the current wave of smart phones sweeping the world, the rout of old mobile phone manufacturers such as Nokia, and the scuffle of major mobile phone manufacturers to seize the market, it may be more difficult than now in two or three years!

Next, a key point mentioned by Fang zhe made all executives realize that Xiaomi can't do offline now, that is, after-sales!

No matter how well Xiaomi sells online, a sufficient number of after-sales maintenance stores must be opened offline, because this is directly related to Xiaomi's brand reputation and service quality. No matter how well Xiaomi's mobile phone is done and how cost-effective it is, if the mobile phone can't keep up with after-sales, it will be criticized by consumers. Don't think of repeat customers buying Xiaomi's products.

Therefore, since the official launch of Xiaomi M1 last year, Xiaomi has opened offline after-sales maintenance stores, and the voice of opening offline experience stores has become louder and louder in Xiaomi's senior management.

Because it is impossible for Xiaomi to let users who need after-sales and maintenance services mail their mobile phones to the official in terms of logistics cost, user experience and business management, so it is imperative to open offline after-sales maintenance stores.

In that case, Xiaomi authorized store or direct store integrating experience and sales, after-sales service and maintenance seems to be a very worthy thing to consider!

However, executives still feel a little confused about how to master the balance between the core competitiveness of online cost performance and the increase of offline channel costs when Xiaomi enters the offline market. It is Hongfeng who still spoke on behalf of everyone:

"Mr. Fang, don't sell off. Since you are very supportive of Xiaomi's entry into the offline, you must have thought about what to do in this regard. You might as well say it for us to listen to, or you may have a bottom in your heart.

In particular, doing offline is likely to shake the foundation of our online core competitiveness and cost performance, so we want to hear what you said about this scale. How should we master it? "

Hearing Hong Feng's question, Fang zhe turned his head and looked at President Lei, smiled and said:

"There's no question of whether to think about it or not. I must have thought about it early. I must have discussed it with President Lei first.

But now that I've said this, I'd like to make a few simple points: first, one of Xiaomi's core competitiveness now is the cost performance of cost conversion of channels saved by online sales, so this can't be easily changed anyway, but it can be adjusted!

Business is business. If we can get the first place with 90 points, we don't have to get 100 points. In this way, we won't force ourselves too hard, so that our products always have room for improvement, but also reduce part of the cost and reduce the price gap with offline sales.

The second point is that offline and online prices are different, or to put it bluntly, offline sales are more expensive than online sales, because no matter how we save and how we save, we can't save the channel cost of offline stores. We need to be profitable whether we make our own direct stores, or authorize channel dealers and retail store sales rights.

Online Xiaomi 1 can sell for 1999 yuan. Offline we can give a guide price at most. As long as we can ensure our competitive advantage over other manufacturers, we should give enough independent pricing power to offline merchants! "

Just after Fang zhe said two points, the executives in the conference room were shocked. Are they cheaper online than offline? Although this is very common in the e-commerce industry, does it work in the mobile phone industry?

"If online pricing is cheaper than offline pricing, can offline mobile phones still be sold? Will there be channels and agents to sell our mobile phones?" an executive asked incredulously.

"Yes!" unexpectedly, it was Hong Feng who had just asked Fang Zhe.

"Online is cheaper than offline, which is a cognitive fact brought to us by the development of e-commerce for so many years, and there are a large number of fixed consumers in offline channels. Even if you tell him that buying mobile phones online can be hundreds or even thousands of dollars cheaper, he has to buy them offline and in real stores. This traditional shopping concept can't be eliminated for ten or eight years.

Some time ago, I wanted to buy a refrigerator for my mother in Jingdong. She said that the things on the Internet were unreliable. In the end, I had to spend twelve thousand more wronged money in the physical store! "

"Even so, I still think that channel providers and agents are unlikely to be willing to sell our mobile phones. No mobile phone manufacturer in the mobile phone industry has ever sold mobile phones directly in order to protect the profits of channel providers and agents. If we sell them directly, we have to kill them!"

"Aren't we just manufacturers selling mobile phones directly..."

“......”

A burst of laughter broke out in the meeting room because of the executive's funny speech. After the laughter, Fang zhe continued:

"Xiaomi chose to do cost-effective and online channels because Xiaomi is a start-up company. It has no contacts, resources and technology accumulation. It can't compete with the big manufacturers of China cool Union. However, with the passage of time, our short boards are slowly making up. Do you know what I am most optimistic about Xiaomi's core competitiveness?"

The executives looked at each other. They didn't understand what Fang zhe wanted to say, and Fang zhe didn't talk about it anymore. He said:

"What I value most is that President Lei and our group are Xiaomi's original heart!

A few years ago, when Xiaomi's valuation was only $200 million, I said that our Xiaomi entrepreneurial team was worth $100 million. Many people outside thought I was bragging, and some even joked that my chief consultant alone was worth $50 million.

Now, after nearly two years of development, Xiaomi has grown, and many new members have joined Xiaomi. The value and potential of our team are immeasurable.

What are the characteristics of the mobile phones made by our team? In addition to cost performance, we are doing our best from the operating system MIUI, to process design, to any detail, using the Internet mode and making mobile phones with the thinking of making progress with users.

The gross profit margin of our Xiaomi mobile phone is less than 5%. Do any mobile phone manufacturers dare to say this on the market?

These are our competitiveness and our capital that is more expensive offline than online. I believe that even if the mobile phones with the same price, the quality of our Xiaomi mobile phones will exceed most of the mobile phones on the market! "

Fang Zhe's words are very encouraging to the morale of Xiaomi's senior executives. Although Xiaomi will face many difficulties when entering the offline, Fang zhe believes that with the ability of Lei and Xiaomi's team, these difficulties can be solved, not to mention his big boss of the domestic No.1 company and the guidance of rebirth.

Fang zhe thought of Xiaomi's strategy to enter the army offline in a few years. The new retail and online and offline prices are the same. The reason why Xiaomi has made these flags and ways is that the traditional channels have been cleaned up by China cool alliance and the rising mobile phone manufacturers such as vivo and oppo. Xiaomi is unable to compete at all. As for now, if it can compete, why not compete?

Xiaomi's strategic meeting basically established Xiaomi's important decision to enter the low-end mobile phone market and offline in the next two to three years. With the continuous efforts of Xiaomi, Huawei and other mobile phone manufacturers in the low-end mobile phone market, the popularity of domestic mobile Internet is becoming deeper and hotter!

In this heat, Momo, the star entrepreneurship project that won the top in China's Internet entrepreneurship competition some time ago, was officially launched in China!