Hello everyone, I am Jibai Brand Control. The rapid development of the Internet economy has prompted the gradual change of commodity sales channels, and many brands have expanded from offline to online development in order to gain a broader market. However, some brands also face the consequent chaos in online products, resulting in uncontrollable market channels. So, why do big brands need to control prices across the Internet? How do big brands control prices? Let’s learn about it together.
There are three reasons why big brands control prices across the entire network:
1, dealers and retailers profit loss, brand satisfaction decline
For example, although a certain brand has developed stably in the offline market, in order to expand sales, it has caught up with this bus from the traffic platform and opened up the online market. A store on a certain platform was first opened, with no traffic or performance, and attracted a large number of customers with a "30% off" discount. Among them, there are both new and old customers. However, when the market share of Shop B was seized and the brand refused to comment on this, Shop B had to lower the price in order to regain the market. After no price advantage, the A-Shop Product began to be unsold, so a new round of price war began again.
Mutual bidding between dealers and retailers directly leads to a decline in store profits. The loss of profits, a series of butterfly effects, will also cause market chaos, which will make dealers and retailers dissatisfied with the brand, lose confidence, and lose sales motivation.
2. Consumers' reputation for brands decreases
When consumers who purchase products at the original price see that the products are sold at low prices in the same period or in the short term, they will have a gap in expectations of brand value, and the reputation of brands will decrease accordingly.
. Some consumers will think that the product is only worth a low price and it is difficult to buy it again for the original price. Over time, the brand will depreciate in the minds of consumers.
3. Brand sales channels are chaotic, and the brand value is reduced. The low price makes dealers and retailers lose profits, lose trust in the brand, lose sales motivation, and may eventually refuse to sell products and give up the brand. The brand's sales team is getting smaller and smaller and less energetic. In addition, consumers' trust and reputation of the brand have declined, and the development of the brand has been even more affected.
Therefore, only by being prepared for danger in times of peace can we achieve long-term future. Brands should promptly protect their products and control their prices, crack down on low-price links and stores, prohibit misconduct such as intercourse among dealers, and safeguard their brand image and brand value.
Specific price control methods for major brands:
1. Use the investigation system to comprehensively analyze the current market status of the brand and use real data to make reasonable analysis. Distinguish between online and offline products and styles, and formulate corresponding product prices to distinguish product prices. You can equip different products according to the store's hot-selling products, and the brand can provide reasonable profit margins;
2. The brand plans the distributor's operating rules in advance and uses the content planned in advance to constrain the distributor's "low-price" behavior;
3. The brand needs to make intellectual property layout in advance, and can use the intellectual property method to constrain low prices in the future;
4. You can choose between rights protection complaints and communication with merchants, and finally let the merchant change the price or remove the goods, and the store deduct points.
