So how do you activate old products?
Third, activate old products in terms of price
Stable price and reasonable channel profit are the lifeline of the old product's high continuous sales. The problems faced by old products in terms of price are:
First, the profit of the channel is low, and the ability to counterattack is weak when it is attacked by competing products. The commonly used strategy for this issue in our actual work is to strengthen the prediction of the market and the collection of competitive product information, rush to promote the promotion of goods in front of competing products, minimize the opportunities for competitive products, and introduce large-scale promotions at the same time. Strategic products with large profit margins to combat the attacks of competing products;
The second is to continue to strengthen the rigid price management of old products, extend the life cycle, guide the terminal channel to strictly follow the company's guidance retail price, and prohibit the terminal price reduction sales to accelerate the death of old products.
Third, the key to raising retail prices and saving mature products is how to increase profits for channel providers. The specific method is:
Option 1: Grasping the price increase opportunities, such as economic inflation, raw material price increases; product packaging upgrades; other competing product prices and other utilization or opportunities; increase for the terminal price to pull up the terminal retail price;
Measure 2: Take new products with old products, increase material rewards in disguised form, and replace profits;
Method 3: Small step jogging, promotional traction. The “small step and jog” price increase method means that consumers are willing to pay about 5% to 10% of the price increase cost is more acceptable (30 yuan * 5% = 1.5 yuan; 60 yuan * 5% = 3 yuan); set Reasonable Reasons for Price Rise (Don't Surprise - Price Rushing): Start with price increases for individual products, and avoid price increases.
The fourth is to control the big family policy. Big household policy is a low-cost market chain that causes the volatility of market prices. Such problems mainly strengthen the control of three aspects. First, the unity of product supply and price, large households adopt fuzzy incentive policies, and price maintenance incentive policies; second, strict management of product flow; and third, stringent punishment of string behavior.
Fourth, activate old products from promotion
The problems that often exist in the promotion of old products include: First, they are pinned by competing products, followed by competitive promotion of competitive products, and have few features. The second is that sales promotion becomes a sales policy, which cannot be reduced, resulting in a gradual decline in prices.
The main methods for the promotion of problems are: to strengthen the collection and forecast of market information, strengthen the planning, planning, initiative, pertinence, timing, and controllability of promotional work; emphasize the ingenious promotion of promotional forms, and emphasize the promotion The novelty of the way, do not blindly adopt price cuts to promote sales, as it can only make products die.
V. Five Unified Strategies to Activate Old Products
Manufacturers dominate the market, carry out the expansion of the extended products, ensure a full range of general sales, enrich the strength of manufacturers, increase the investment base of the manufacturers. (Terminal providers are very difficult to sell themselves or consciously, and they must rely on manufacturer-led). Adopt five unified strategies, namely, unified leading products, unified pricing strategies, unified network structure, unified promotion policies, and unified assessment criteria (what needs to be assessed and what is required).
6. Eight strategic points for regional price increase
1. "Multi-product rotation": The price increase of the old product must not increase the price at the same time. Once the price increase fails, it will cause the old product to go down quickly. Therefore, it adopts multiple product rotations to reduce risks and resist collectively.
2, "step by step for the camp": small step jogging, a small number of times, a dollar a piece. When the price increase is large, it is not appropriate to put it in one step. It should be divided into several small stages and be divided into zeros. As far as possible, each price increase will not cause excessive consumer tension. According to experience, each price increase should be controlled within 5%~10%, more than 15%, the risk is greater.
3, "difference in positions": product differentiation, soaring. (Ordering, price increase product policies, use other products to make up for the low profits of old products.
4. “Exile beforehand”: Before the price increase, the distributor intentionally or unintentionally reveals the information so that the distributor can purchase goods in advance. If you suddenly notify the price increase, the dealer may be in a wait-and-see state, stop or reduce the purchase volume, and it is easy for them to raise price when they are not prepared.
5. “Incending vertical and horizontal, sharing common interests”: It is one of our goals to raise prices by increasing the price to allow manufacturers and distributors and channels to make profits together. Finding alliances. Disintegration does not supporters. (The second batch of benefits is greater than the distributor).
6, "Promotion cover:" Each promotion is an opportunity to raise prices, each price increase generally must have matching promotions.
7, "filling the gap": "low material with the goods, fill the gap." Prevent competing products from entering the country.
8, "hungry and thirsty effect": control the price increase. Sometimes, limited product sales will expand the market.