Sometimes, the so-called strategy is just a routine…

Editor’s note: This article is from WeChat public account Small circle pear” (ID: xiaoquanlisocial), the author of the small circle pear.

Recently, there have been media reports: Nestlé will sell the controlling shares of Hsu Fu Kee and Yin Lu for more than $1 billion. In 2011, Nestlé acquired two Chinese local companies. At that time, Nestlé hoped to tap China’s rapidly growing market, but after a few years it found itself in a dilemma of growth.

Marketing Routines: Why is Hsu Fu Chi, Yin Lu or Nestlé abandoned?

If there is no such news, look at the communication movements of Hsu Fu Kee and Yin Lu this year, especially those so-called case wraps. You will feel that these two brands have done this in order to “transform” in 2019. There is a lot of noise, and the “fashionable communication action” that rushed has been rushed.

For example: In order to make his brand “young”, Xu Fuji has done:

——The main product, Shaqima, has launched a new taste for young people: cranberry yogurt, purple potato milk, coconut crispy, and trying to make the value of the product packaging even higher.

Marketing Routines: Why is Hsu Fu Chi, Yin Lu or Nestlé abandoned?

– In July of this year, please “Once the 00” star Ouyang Nana is the spokesperson for Shaqima. (The pretzel that Xu Fuji used to impress everyone is: Zeng Zhiwei)

Marketing Routines: Why is Xu Fuji, Yinlu or Nestle abandoned?

——And the cross-border marketing of Xicha, jointly launched “Shaqimabao”.

Marketing Routines: Why Hsu Fu Kee, Silver Heron or FinchNest abandoned?

——Three gift boxes for the IP cross-border cooperation with the “Summer Palace”, several of which focus on the “90s” wedding market.

Marketing Routines: Why is Xu Fuji, Yinlu or Nestle abandoned?

Yinlu tries to make its brand “high-end” and “young.” For example:

-The launch of the high-end ready-to-eat porridge category: “Supporting Porridge” and implanting it into the popular TV series “Know No, Know No”.

——The first plant beverage “Ten Fun Cottage” was launched, mainly for “post-90s” consumers.

Yes, in order to cater to the current consumption upgrade in China, on the surface: Hsu Fu Chi and Yin Lu are strategically guided (ie: young and high-end), and for this reason, they have tried their best (listed above) Various communication actions). But what about the results? With more than two months to go this year, Nestlé can’t wait to reveal: want to sell them. This shows that the effect of the above propagation actions is not satisfactory. In fact, the loopholes in which “the disease is rushing to the hospital” and “the palliative is not a cure” are still quite obvious. Let’s analyze them one by one.

The problem of these two brands is really the “brands to be younger” advocated in the current marketing circle, and the “high-end products” under the consumption upgrade? It seems that all products are not sold well, and the growth is weak. Both of these drugs can be used to save the heart.

Let’s take a look at Hsu Fu Chi.

Hsu Fu has always focused on the Chinese sugar market and has been leading the sales and market share in the domestic candy market. However, according to the “China Candy” report released by market research firm Mintel, the Chinese candy market share continued to shrink from 2014 to 2016. In 2016, the number of candy companies in scale reached 38. Zhu Danpeng, an analyst with China’s food industry, said: “The Chinese candy market is hard to return to the high growth era of the past. The competition among enterprises in the industry is squeeze competition.”

The Chinese candy market is shrinking, and there are three main reasons:

First: Chinese people are becoming more and more healthy. Sweets and pastries are junk food in some people’s hearts. Especially in first- and second-tier cities, “quite sugar” has become a popular topic.

Marketing Routines: Why Hsu Fu Kee, Yin Lu or SuNestle abandoned?

(Star Zhang Yihan’s “Drug Sticker” has been widely discussed)

Second: Various imported sweets and chocolates are emerging. Think about it: candy is something that is “irrational consumption.” That is: I don’t need to think about it, I can easily make a decision. Moreover, it is still a kind of “popular high consumption.” What do you mean? You may be reluctant to buy a few hundred yuan a can of bird’s nest; but occasionally eat a dozen yuan a box of Ferrero chocolate, it is still possible. Then, in the case of “can only eat such a polysaccharide”, why don’t I choose a good meal?

Marketing Routines: Why is Hsu Fu Chi, Yin Lu or Nestlé abandoned?

Third: The competitors of candy and cakes are not only other sweets, other pastries; those yoghurt, cakes, etc., which also pose a strong threat to candy and cakes. They all belong to “food that makes people eat sweet.”

Marketing Routines: Why is Xu Fuji, Yinlu or Nestle abandoned?

Under such a market environment, the product of Hsu Fu Chi has its own problems. Opened the Tmall flagship store of Hsu Fu Chi, most of the products still stay in the “Zeng Zhiwei era”, Shaqima, crispy sugar and so on are the main. Although mentioned above in order to comply with the preferences of young people, Shaqima has introduced three new flavors; but the product of Shaqima itself has become more and more contrary to people’s health outlook. (Shaqima has a high calorie content, a fat content of about 54%, and a very high calorie content.)

However, you can’t just analyze the market environment and kill Xu Fuji with a stick: “You can’t! Don’t just change all the products.” This is impossible. The first question Xu Fuji has to worry about is: Who is my product to sell to?

Confectionery and other popular consumer goods, suitable for all ages. However, the Chinese market is so big that the three reasons for the above analysis are “less growth”.The entire Chinese market. Xu Fuji may be able to consider a proper sinking market. Note: The word “appropriate” is used here. Because “excessive sinking” to towns and villages, people there may feel that Xu Fuji’s candy is expensive to sell. (If you return to the remote towns of the 5th and 6th lines in the Chinese New Year, you will see that most of the candy that you put out is “at a glance, there are some grades, but it is a brand that you have never heard of.”)

In addition, Xu Fuji said that he is a “national sugar”, its candy, cakes have Chinese characteristics; and value the “marriage market.” According to a report released by “Quick Hands”, urban youths value Chinese traditional values. For example: “A young town is often married before the age of 26, and the importance of the wedding is very important; nearly half of the women will complete their first birth before the age of 25, and spend more on the education and growth of their children than the urban youth. More time, energy and money.”

Xu Fu Ji may be able to beat around this group and enlarge the brand advantage of his own “National Sugar”.

So, look: Xu Fuji is right to be “young”, but it must be “rejuvenated” in a targeted manner. Not all young people can enjoy the tea and appreciate the Summer Palace.

In addition to the target user bias, Hsu Fu Chi has a brand strategy in these fashionable communication moves:

——Brand Dilemma: Brand, No Connotation

Many people have heard of “Xu Fu Ji”; but over the years, it has fallen into the predicament of “having a brand, no connotation.” The “connotation” here reflects the specific perception level of consumption: What kind of significant emotion can this brand evoke? For example: When I mentioned Xu Fuji, besides knowing that it is a candy, pastry brand, what else does it bring to me?

Let’s take a look at two brands that are also high in sugar and high in calories. When you mention Coca-Cola, you will think of happiness; when you mention Oreo, you will be infected with a “playful spirit” (Olyo continues Campaign: Play with Oreo for many years).

Marketing Routines: Why is Hsu Fu Chi, Silver Heron or Nestlé abandoned?

So, we know that drinking Coca-Cola will be fat and unhealthy, but we are willing to hold and expose this bottle of “happy fat house water”; we know that Oreo is high sugar, or willing to taste its new Taste.

However, the brand of Hsu Fu Chi is empty. Its sales season is in the Spring Festival. However, the brand emotions of “home”, “reunion” and “celebration” are not clear and full. And this kind of emotion should not only stay in the Spring Festival. 365 days a yearMany times, Hsu Fu Chi can change the pattern to communicate with consumers.

Now, let’s take a look at the joint-name “Shaqimabao” launched by Hsu Fu Chi and Hi-Tea. Does it feel that Hsu Fu Chi is making a wedding dress for Hi-Chan? In a commentary by a netizen: “This time, Xicha × Xu Fuji jointly produced a product, and launched a [Shaqima bag] with full childhood memories. The perfect combination of Ou Bao and Shaqima is also a big brain opening. Note: This comment highlights the brand image of Xicha: inspiration of tea, and the resulting brand emotion of “Hi-tea is always so creative”.

So, a brand that can’t evoke a certain positive emotion of the consumer, how to ask the spokesperson, and IP cooperation, consumers will not feel that it is “young”. This is like a woman who has become younger in medical beauty. She is young, but she still stays in the world of middle-aged and elderly people.

Let’s see the silver heron again.

In order to “rejuvenate”, Yinlu seems to be more thorough than Xu Fuji. In June of this year, it began to enter the plant beverages and launched the “Ten Fun Cottage” for the “90s”. Now there are 3 singles. Products: chrysanthemum planting drink, Luo Han fruit drink and bamboo cane root. This is also the first bold attempt to transform Yinlu after Nestlé’s acquisition of Yinlu in June 2018. Nestlé has great expectations for this.

Marketing Routines: Why is Hsu Fu Chi, Silver Heron or Nestlé abandoned?

But what about the results? The new product sales did not meet expectations. “Southern Metropolis Daily” reporter saw in the official flagship store of Yinlu Tmall: since the listing for 5 months, the monthly sales of the three new products in this series are only 15 copies, and the lowest sales volume shows 4 copies.

What is the reason for this? Let’s not talk about the market for plant beverages. Is this strategic layout reasonable? From the point of view of communication: Because of the main “post-90s youth group”, “Ten Fun Cottage” is also expected to be in line with the young people in the communication and enter their inner world.

Therefore, it called its own user “planting youth.” But what is “planting youth”? After looking at the relevant microblogging and case packing articles, my feeling is: “The planting youth” is a definition of chaos. What do you want to express?

For example, this passage: “The young people on the surface are also devastated, but in fact they have a unique philosophy of doing things, such as treating things as light and light, rather than being negative; the heart stays cool, not The heart is cool, and this has the concept of this core group – the young people in the plant.”

For example, this Weibo:

Marketing Routines: Why is Xu Fuji, Yinlu or Nestle abandoned?

This unclear definition directly led to the subsequent dissemination without the main heart, and the east to find a large, West to write a copy. However, the person who is watching still does not know: What is the “planting youth”? In short, the overall feeling is: For this plant drink after the “90”, I just want to create a new concept.

In fact, these three products of “Ten Fun Cottage” are being launched this summer. There is a selling point that can be said repeatedly:

Anti-dry!

Summer is coming: hot, emotionally annoyed, and extended to the impetuousness of many young people (June’s graduation season, is it to continue studying, working, or coming to Gap Year?). “Ten Fun Cottage” can position its products as “anti-dry first drink”, and then spread around it to target young people. Is this “rejuvenation” communication strategy more painful than giving young people a random label and a good name? Moreover, this “dry” can also be extended to “dry” in the autumn and winter.

(If you want to open up a new category of plant drinks, autumn and winter seasons must also introduce other targeted plant drinks. There is also the reason: the reason for the introduction of plant drinks, it is also a healthy tonality; it is best to introduce low sugar Or a sugar-free version.)

In addition, Yinlu’s “supporting porridge” attempts to attract young consumers with high-end and “national style”, and there are also the same problems.

What is high-end? Look at the two products of this “rice porridge”: brown sugar red dates porridge and rock sugar osmanthus horseshoe porridge, as well as packaging, and the resulting price: retail price of 5.9 yuan.

Marketing Routines: Why is Hsu Fu Chi, Yin Lu or Nestlé abandoned?

This kind of “high-end” is to arbitrarily give yourself a gold. Of course, it is not that you want to use precious ingredients, such as: bird’s nest is what is “high-end”. However, in the face of the abstract words of high-end and quality, Yinlu should propose an industry definition of “high-end” through the status of “ready porridge”.

Example:

1, there is no additive in the porridge. (In fact, many people still don’t know: Why can the shelf life of instant porridge be more than half a year?)

2. There is no white sugar in the porridge. Even if it is sugar substitute, it can’t be xylitol, if it is more advanced erythritol.

3, the ingredients can still be red dates, oysters, etc.; but where do they come from?

Of course, if you do the above three points, this instant porridge selling 5.9 yuan may lose money. But no matter what, how do you look at the current “supporting porridge”? If you can do the above three points, re-pricing, rather than called “high-end porridge”, it is better to call “a can of porridge.”

At the end of the article, the most want to say is: marketers please keep thinking independently! Don’t be clouded. Younger and higher-end is indeed one of the ways for brands to grow. However, from the product itself to promotion, they really do not have a fixed routine. Drilling into the routine, the company will only be killed by the routine.