In 2010, China’s CPI rose sharply. The new round of inflation prompted prices of bulk raw materials such as oil to rise. As prices rose, workers’ wages and benefits rose, and domestic washing companies faced the pressure of raw materials and wage increases. The domestic companies that have been suppressed by P&G and Unilever are feeling a lot of pressure. Where is the way out for ethnic cleansing companies? How to gain a foothold in the market?
The 30th session of cleaning products held on November 11th, the participating national washing companies jointly discussed the future problems of the future of Chinese washing companies. According to statistics, according to statistics compiled by the National Bureau of Statistics on 451 enterprises above the scale of the “Soap and Synthetic Detergent Manufacturing Industry†industry, “Main business income from January to August 2010 was 70.941 billion yuan, a year-on-year increase of 13.91%; total profits and taxes were 11.744 billion yuan. Yuan, a year-on-year decrease of 1.41%; total profit of RMB 6.58 billion, a year-on-year decrease of 9.43%; 77 loss-making enterprises, loss of loss-making enterprises of RMB 512 million, a year-on-year increase of 63.85%.†Although the National Statistics Bureau only gave the data for the first three quarters, it was enough to explain the overall situation of the entire washing market in 2010. Although the company’s overall sales volume and sales volume increased, it only increased by 13.91%. However, the net profit of enterprises is decreasing, which is reduced by 9.43%. In fact, it is not difficult to analyze that the compression of corporate profit space is mainly due to rising costs, the strong competition of foreign-funded enterprises, domestic companies playing a “price warâ€, and the homogeneity of products and low quality.
The "price increase" has made domestic washing companies very passive in the face of rising costs and the strong status quo of foreign-funded enterprises. Domestic washing companies can only avoid coping. Fierce market competition will inevitably lead to survival of the fittest. In the interview, the reporter learned that: In addition to the 77 loss-making enterprises, the average profitability of the entire industry was only 9.27%, innovative products accounted for only 1.6% of the total output value of the dismal revenue status, Naes, and yellow and white cats and other leaders It's also hard for businesses to stay alone.
The reporter learned from the annual meeting of the detergent industry that Zheng Wuhong, chairman of the China Laundry Industry Association, made a report on the theme of "2009 production and operation conditions of the detergent industry and the forecast of production in 2010". The report shows that the 2009 detergent products The industry is obviously affected by the international crude oil and oil price fluctuations and the world financial crisis. As a result, product output fluctuates, industry profits decline, and new product development slows down. However, as China's overall economic conditions are improving, the output and economic indicators of the washing industry are positive. The situation is rising month by month. It is expected that the total output value of the detergent industry in 2009 will exceed 100 billion yuan. For the future trend of the industry, Zheng Wuhong expressed "cautious optimism."
In the speech titled “Why We Are Being Priced,†Zhuang Qichuan, president of NACE Group, stated that ethnic cleansing companies have been fighting in the low-end market for a long time. The added value of products is low, and raw materials account for a relatively large cost of products. Every time the external environment changes, prices fluctuate. "The rise in prices of bulk raw materials has brought a severe test to domestic companies. We are also facing an embarrassing situation of being 'increased prices'."
The reporter visited a number of laundry detergent agents. They all said that the price increase can survive. At present, international giants such as Procter & Gamble are using capital advantages to launch a new round of low-priced “bargain-hunting†in terminal stores. Domestic brands do not seem to raise prices at all. Courage. The “price increase†has only just begun. Before the domestic enterprises have completed the transformation and upgrading, it is a long-term “price increaseâ€.
Du Zhiqiang, Chairman of the White and White Cat, said: “With an inflation rate of 4.4%, an oil price of US$89/barrel, and an increase of 20-30% in the price of oil and fat products, the use of price cuts to compete for market share is fundamental. We can't make money, which in turn causes everyone to have no money to innovate."
Strategy for domestic washing companies to find the road Li Bai Group president Chen Kaixuan said that cleaning supplies to the concentration, liquefaction, environmental protection, energy saving, water-saving, efficient, green, healthy direction. We must increase investment in scientific research, continuously improve product quality, develop new products that better meet the needs of the market and consumers, and accelerate the pace of business transformation and upgrading as soon as possible.
At the annual meeting of the detergent industry, experts have stated that under the background of national energy conservation and emission reduction, the green and sustainable products become particularly important, and the concentrated and liquid products that fit this trend have a broad scope. Market prospects.
Faced with the current status quo, the washing companies cannot blindly accept it, but should become passive and active, change their respective competitive strategies and improve their competitiveness. Competition is more difficult and the level of competition is higher. This will inevitably bring new competitive pressures and challenges to domestic companies. Finding a way out is a resonance of domestic washing companies. Domestic washing companies are thinking about what to compete on.
Brands are the most direct and effective means of competition in the corporate market. The influence of brand cultural connotation directly affects the brand competitiveness. Therefore, it is the culture that determines the future consumption. More companies pay more and more attention to nurturing the brand, continuously improve the competitiveness of the brand, gradually move away from price competition and product competition, and rely on strong brand advantages to participate in market competition.
New and methodologies will be more adopted. New marketing ideas, such as concept marketing, green marketing, political marketing, power marketing, relationship marketing, emotional marketing, and experience marketing, are being integrated into more washing companies, which will greatly improve the marketing of Chinese detergent companies. Overall improvement of the level. Marketing thinking Chinese laundry companies need more than just low-cost strategies and control over intricate distribution channels. They also need to use brand leadership and price guidelines to obtain sufficient profits, like many leading companies in the world. Investment in research and development and marketing innovation.
Lin Yue put forward his own opinion on how to find a way out for current domestic washing companies: “How do washing companies win in the competition? The key is marketing, that is, how the products sell value instead of relying on prices to win. Many foreign companies are doing network Community marketing, microblogging marketing, but the local is still the old routine.†Japanese chemical experts talk about how to deal with domestic companies how to deal with the pressure imposed on foreign companies, Lin Yue told reporters: “There are only three methods: 1, still with Township channels are key breakthroughs, 2. Emerging channels, such as daily chemical franchise stores, e-commerce, 3. Innovative marketing methods, and low-cost Internet marketing, many of them do not invest too much, such as microblogs and forums. The key to the company is to identify its own positioning, and know where the consumers are when they are positioned; knowing where consumers are and designing suitable marketing tools.â€
The 30th session of cleaning products held on November 11th, the participating national washing companies jointly discussed the future problems of the future of Chinese washing companies. According to statistics, according to statistics compiled by the National Bureau of Statistics on 451 enterprises above the scale of the “Soap and Synthetic Detergent Manufacturing Industry†industry, “Main business income from January to August 2010 was 70.941 billion yuan, a year-on-year increase of 13.91%; total profits and taxes were 11.744 billion yuan. Yuan, a year-on-year decrease of 1.41%; total profit of RMB 6.58 billion, a year-on-year decrease of 9.43%; 77 loss-making enterprises, loss of loss-making enterprises of RMB 512 million, a year-on-year increase of 63.85%.†Although the National Statistics Bureau only gave the data for the first three quarters, it was enough to explain the overall situation of the entire washing market in 2010. Although the company’s overall sales volume and sales volume increased, it only increased by 13.91%. However, the net profit of enterprises is decreasing, which is reduced by 9.43%. In fact, it is not difficult to analyze that the compression of corporate profit space is mainly due to rising costs, the strong competition of foreign-funded enterprises, domestic companies playing a “price warâ€, and the homogeneity of products and low quality.
The "price increase" has made domestic washing companies very passive in the face of rising costs and the strong status quo of foreign-funded enterprises. Domestic washing companies can only avoid coping. Fierce market competition will inevitably lead to survival of the fittest. In the interview, the reporter learned that: In addition to the 77 loss-making enterprises, the average profitability of the entire industry was only 9.27%, innovative products accounted for only 1.6% of the total output value of the dismal revenue status, Naes, and yellow and white cats and other leaders It's also hard for businesses to stay alone.
The reporter learned from the annual meeting of the detergent industry that Zheng Wuhong, chairman of the China Laundry Industry Association, made a report on the theme of "2009 production and operation conditions of the detergent industry and the forecast of production in 2010". The report shows that the 2009 detergent products The industry is obviously affected by the international crude oil and oil price fluctuations and the world financial crisis. As a result, product output fluctuates, industry profits decline, and new product development slows down. However, as China's overall economic conditions are improving, the output and economic indicators of the washing industry are positive. The situation is rising month by month. It is expected that the total output value of the detergent industry in 2009 will exceed 100 billion yuan. For the future trend of the industry, Zheng Wuhong expressed "cautious optimism."
In the speech titled “Why We Are Being Priced,†Zhuang Qichuan, president of NACE Group, stated that ethnic cleansing companies have been fighting in the low-end market for a long time. The added value of products is low, and raw materials account for a relatively large cost of products. Every time the external environment changes, prices fluctuate. "The rise in prices of bulk raw materials has brought a severe test to domestic companies. We are also facing an embarrassing situation of being 'increased prices'."
The reporter visited a number of laundry detergent agents. They all said that the price increase can survive. At present, international giants such as Procter & Gamble are using capital advantages to launch a new round of low-priced “bargain-hunting†in terminal stores. Domestic brands do not seem to raise prices at all. Courage. The “price increase†has only just begun. Before the domestic enterprises have completed the transformation and upgrading, it is a long-term “price increaseâ€.
Du Zhiqiang, Chairman of the White and White Cat, said: “With an inflation rate of 4.4%, an oil price of US$89/barrel, and an increase of 20-30% in the price of oil and fat products, the use of price cuts to compete for market share is fundamental. We can't make money, which in turn causes everyone to have no money to innovate."
Strategy for domestic washing companies to find the road Li Bai Group president Chen Kaixuan said that cleaning supplies to the concentration, liquefaction, environmental protection, energy saving, water-saving, efficient, green, healthy direction. We must increase investment in scientific research, continuously improve product quality, develop new products that better meet the needs of the market and consumers, and accelerate the pace of business transformation and upgrading as soon as possible.
At the annual meeting of the detergent industry, experts have stated that under the background of national energy conservation and emission reduction, the green and sustainable products become particularly important, and the concentrated and liquid products that fit this trend have a broad scope. Market prospects.
Faced with the current status quo, the washing companies cannot blindly accept it, but should become passive and active, change their respective competitive strategies and improve their competitiveness. Competition is more difficult and the level of competition is higher. This will inevitably bring new competitive pressures and challenges to domestic companies. Finding a way out is a resonance of domestic washing companies. Domestic washing companies are thinking about what to compete on.
Brands are the most direct and effective means of competition in the corporate market. The influence of brand cultural connotation directly affects the brand competitiveness. Therefore, it is the culture that determines the future consumption. More companies pay more and more attention to nurturing the brand, continuously improve the competitiveness of the brand, gradually move away from price competition and product competition, and rely on strong brand advantages to participate in market competition.
New and methodologies will be more adopted. New marketing ideas, such as concept marketing, green marketing, political marketing, power marketing, relationship marketing, emotional marketing, and experience marketing, are being integrated into more washing companies, which will greatly improve the marketing of Chinese detergent companies. Overall improvement of the level. Marketing thinking Chinese laundry companies need more than just low-cost strategies and control over intricate distribution channels. They also need to use brand leadership and price guidelines to obtain sufficient profits, like many leading companies in the world. Investment in research and development and marketing innovation.
Lin Yue put forward his own opinion on how to find a way out for current domestic washing companies: “How do washing companies win in the competition? The key is marketing, that is, how the products sell value instead of relying on prices to win. Many foreign companies are doing network Community marketing, microblogging marketing, but the local is still the old routine.†Japanese chemical experts talk about how to deal with domestic companies how to deal with the pressure imposed on foreign companies, Lin Yue told reporters: “There are only three methods: 1, still with Township channels are key breakthroughs, 2. Emerging channels, such as daily chemical franchise stores, e-commerce, 3. Innovative marketing methods, and low-cost Internet marketing, many of them do not invest too much, such as microblogs and forums. The key to the company is to identify its own positioning, and know where the consumers are when they are positioned; knowing where consumers are and designing suitable marketing tools.â€