Interpretation of the market with declining sales

In fact, marketers are always confused by two problems in the market operation process: one is to exhaust all the methods, or the work that can be done, the work done is done, the market is no sales; the second is exhausted The strength of the nine cows and two tigers, it is hard to make the sales of the market, but the sales of the market will drop sharply in an instant, which is not only a solution to our exhaustion but also no help, until the sales of the market are ruined.

It's not hard to find that consumption, products, channels, competition, and strategy are the five key factors in determining sales. Whether it's offensive sales or defensive sales, the decline in sales must focus on these five key elements.

First, consumption is the root of sales

The decline in sales is firstly to show that the frequency or quantity of consumers' purchases is reduced. Due to the factors of product strength, brand power or corporate image, consumers are beginning to weaken their desire to purchase products, and then choose products of other brands. Secondly, consumer groups The shrinking, the original consumer group of enterprise products began to decrease, or the consumer's loyalty to the company and enterprise products decreased; the third is the consumer's consumption consciousness is mature, the consumption concept changes, with the change of social consciousness, information Consumers and companies in the same industry, consumers have a clear ability to judge and identify; later is the emergence of alternatives, consumers can spend less to obtain the same or even more value. Such as the telephone supermarket to replace the IC card phone. It is also possible that consumers, while increasing the cost of consumption, have met the original potential needs. For example, the replacement of human bicycles by electric bicycles, although consumers spend more on the cost of consumption, the effort and speed of electric bicycles do meet the potential needs of consumers.

In response to the above problems, companies must do the following work:

1. Keep in mind that consumption is the source of marketing concepts, in-depth study of consumption, re-recognizing consumer groups and reshaping the consumer base of enterprises;

2. Strengthen the education of consumers and strengthen consumers' perceptions, recognition and purchase desires for enterprises and enterprise products;

3. Grasp the consumption trend and determine the development direction of the product according to the preferences and popular cycle of consumers;

4. Constantly research the potential needs of consumers to meet the potential needs of consumers for product development.

Second, the product is the source of sales

Interpretation of sales decline from the product perspective, the first is the product update speed. The intensification of competition has led to a gradual shortening of the product life cycle. In the past, a popular product may prosper for more than 2 years, and the popular cycle of prosperous products is now one year. Under this circumstance, if the company can not continue to launch more competitive products, or even the products are not continuous, only one product aging will be enough for the mature market to quickly bottom out; consumer self-consumption and personalized consumption. Obviously, at the same time, the cycle of consumption convergence is very short, which makes the product quickly enter the aging stage, aging products make sales unsustainable; second is product innovation. In the era of commercialization, the products are rapidly enriched, and at the same time, the products are homogenized. No matter what products, almost the same face appears in front of the consumers, even the fish are mixed, making it difficult for consumers to distinguish, and it is impossible to start. Products without personality are destined to be short-lived; the third is the comparative advantage of the product, that is, the selling point disappears. Any product listed on the market carries a certain market mission. The company will continue to “materialize” and enrich this particular product around the market mission of the product, but as the market environment changes, the comparative advantage of the product is The selling point will be lost, and a product that does not have a comparative advantage is destined to be abandoned by consumers.

Products are the soul of marketing, the root of the market. In order to achieve the marketing concept of winning the product, we must do the following work on the product:

1. Guided by product strength, continuously strengthen the market competitiveness of enterprise products;

2. Establish a sustainable product renewal mechanism to ensure the continuity of the company's input into the market;

3. Defining the market mission of the product, strengthening the product's own mission through the “materialization” of the product, so as to highlight the comparative advantage of the product is the selling point;

4. While cultivating the leading products, do a good job in the product mix of the enterprise, and form a situation of “one person has a way, a fairy and a chicken dog” in the “family” of the enterprise product.

Third, the channel is the road to sales

Channels are the backbone of market and market sales, while channels are the outlet for sales. Interpreting the decline in sales from the perspective of channels, the first is the degree of integration between channels and product positioning. As far as products and channels are concerned, channels support products, and products determine the positioning of channels. If the products and channels of a market cannot be effectively combined, the sales volume will be temporary; the second is channel expansion. The expansion of the channel itself is mainly reflected in the extension and transmission capacity of the channel, because the product must pass through several links in the channel. The extension and transmission capacity between these links determines the flow rate and flow of the product, while the flow rate and flow result It is the sales volume of the market. If the second batch of extensions and transmissions to the terminal, if the second batch does not have enough retail terminals to support, the second batch of channels will not have sufficient expansion power, and the products will be obviously blocked in the second batch of this channel, which in itself affects the market. The sales volume; the third is channel integration. Channel integration is mainly reflected in the update and replacement of channels. The operating cycle of the market is different, and the setting and positioning of channels are different. For example, during the market development period, the main focus is on the distribution rate and visibility. The channel setting will pursue density; in the market maturity period, in pursuit of market stability, it will pursue the throughput of the channel, often in the second batch. Or distributors mainly; in the market recession period, the pursuit of sales increase is the main reason. Due to the serious shortage of channel profits, the enthusiasm of the second batch or distributors is lost, which will reduce the channel links, restart the development of terminals, and pursue the distribution of goods. Rate and visibility.

Avoiding channel factors leads to a decline in market sales, and must do the following work:

1. Understand the life cycle of the channel and the operation cycle of the channel, so that the channel energy can be converted into market sales;

2. Continuously strengthen and repair the combination of products and channels to ensure the seamless integration of products and channels;

3. According to the operation and development cycle of the market, adjust the arrangement and layout of channels in a timely manner;

4. Strengthen the channel integration under different market operation cycles and improve the expansion of channels;

5. Increase the depth and width of the channel to make the channel energy accumulation larger.

Fourth, competition is the power of sales

Competition is the inevitable result of the market economy, and competition will make the market and enterprises more mature. But competition also has its cruelty, even the unacceptable side of the weak: the survival of the fittest. Interpreting the decline in sales from the perspective of competition, we will find: First of all, competition tests the comprehensive ability of a company, and it is by no means a single strength, because the de facto winner is not necessarily the stronger. Therefore, in the actual competition, the winners will be more than just leaders, but the more direct performance and results of the competition are the decline in sales; the second is competition is “pushing nails”. In fact, the maturing market itself is a nail in the eyes of competitors. Unplugging this nail is the goal of competitors. Only one factor will lead to nine deaths and no life in mature markets. What's more, more companies are only willing to pick the fruits of victory and not want to fertilize the mature market.

To prevent the decline in market sales, we must adopt timely competition. For example, the competition to cope with the decline in sales during the development period is to win by speed, adopt the strategy of fast fish to eat slow fish; to cope with the decline in market sales in the long run to defend the generation, avoid the positive conflict and prevent being killed in the cradle; prevent market sales during the mature period The downside competition is to defend and not leave opportunities for opponents.

At the same time, to prevent the decline in market sales must rely on the strategic local market, to achieve my competitive advantage in the sales of the site, otherwise the decline in sales is sooner or later.

Fifth, the strategy is the treasure of sales

"Concept determines strategy, goal determines strategy" is an indisputable fact. The strategies of different periods of the market are different, and the strategy of the mature market is qualitatively different from the strategy of the recession market. The maturity market is based on management. In order to make the company's input and output larger, the company will be based on the long-term while pursuing returns. The market in the recession is based on marketing, in order to enable the company to invest in a new round. As market output increases, companies must re-examine the market and capture market opportunities.

In reality, what many companies lack is not a market strategy but a market strategy. In the context of a large market strategy, the right strategy will become even more important. If we can formulate an effective marketing strategy, we can not only prevent the decline in market sales but also maintain the sustainability of the market.

So what is the strategy to prevent the decline in market sales?

1. Focus on the consumer's strategy, continuously research the changes of the intrinsic consumer groups and improve the comprehensive ability of the enterprise to serve consumers on the basis of serving the existing consumer groups;

2. Dynamic channel strategy, marketing personnel must have the ability to continuously adjust channel positioning and setting in different market operation cycles;

3. The product strategy of advancing with the times requires that enterprises not only have the mechanism of product renewal but also have the marketing power of new products to ensure the continuity of products;

4. The marketing team of enterprises and enterprises must have the ability to constantly re-recognize the market and constantly update marketing ideas.

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