This article is published by the public account original author: Xue Hong Yan (Suning Finance Research Institute), title figure from: IC photo
The prime minister put 600 million Chinese people under public opinion. The 600 million Chinese are not precise expressions, but just a tagging summary of specific groups, corresponding to different keywords in different contexts.
Compared with high-income groups, they are low-income groups; compared with users in first- and second-tier cities, they are sinking markets and people outside the fifth ring road; compared with white-collar groups, they are blue-collar users; compared with Qianlang who has gone ashore , They are the back waves still struggling; …
Most of the time, 600 million Chinese represent both the invisible China and the most authentic China. In this article, we talk about the “600 million Chinese” in the eyes of lenders.
The hen who no longer lays golden eggs
Since 2017, many lenders have developed a “blue-collar strategy”, which is intended to be among the numerous haircutting brothers. ) Find the golden key to the growth of cash loans.
Loan institutions are so anxious that they have never thoroughly understood this group.
In the pastWhat the post-90s care about is that many large companies invite post-90s pioneer representatives to give lectures at the enterprises, and make remarks such as “don’t buy a house after the 90s” as a business rule. But if you ask financial institutions what are the characteristics of the “blue collar customer base”? Large probability can only get this answer:
They are silent audiences who are shaking their hands quickly. They are the “Houlang” who failed to show their faces in the Houlang video of Station B. They are also the “Moonlight Clan”, “Low Income”, “Low Education” and “Young” in the PPT material of the operating department Groups were labeled as “fund hungry”.
Except for these big, impressions, we don’t understand them. We take the initiative to learn from the post-90s and think that they are the future; we know very little about the blue-collar group and regard them as the flow of business realization. The haircut buddies rarely expressed, and over time became the background wall and became the silent denominator.
Since this group is “low-qualified” and “capital hungry,” financial institutions should lower the threshold and open the door to lending. It is simple and crude but effective.
2017 became the golden period for cash loans. Agencies that aggressively acquire customers have experienced a significant increase in marketing expenses. In exchange for a large increase in the number of users and a large increase in loan size, the cash loan platform, as a new generation of entrepreneurial institutions, has a profitability spike. P2P, and many P2P finally rely on cash loans to counterattack profits.
The prosperity scene was broken by a paper notice at the end of 2017-New Cash Loan Regulations-and prosperity declined, and cash loans began to decline, not as good as a year.
A few days ago, Qudian announced its first quarterly report for 2020, with revenue halving from the same period last year and a quarterly loss of 486 million yuan, which attracted many people to sigh: Has this cash hen laid a golden egg?
This hen was loaned in cash and was broken. She still lays eggs, but only changed from “golden egg” to “bad egg”.
Ecology counter-eating
Lending institutions and borrowers form an ecology, and sloppy fishing can only bring destruction, and mutual value creation can be sustainable.
I once asked Brother Haircut about his loan experience. He was proud. (Yes, I am proud) said, “Brother A year later, more than 900 yuan for 10,000 yuan, is it cheap?”
He looks proud and really feels cheap. I know that the actual interest rate is around 18%, but I can’t explain it. They have not learned the cash flow discount model, do not know what is IRR, APR, and cannot understand why the annualized interest rate is 18% instead of 9%.
The more fundamental reason is that They are not used to using interest rates to define whether loans are cheap.
The high and low prices are produced in the comparison, which is the anchor effect in psychology. As practitioners, the anchor point we choose is the one-year benchmark loan interest rate of 4.35%; as a wealth management user, the anchor point may be the financial yield; and for the haircut buddy, the high probability is calculated by the cost of lunch-all year round 900 yuan, 75 yuan a month, two meals, very cheap, isn’t it?
According to the anchoring standard set by them, the annualized interest rate of 18% can be borne. As long as the purpose is proper, the loan with this interest rate is for them to help, not burden; it is to create value, not to destroy value.
Based on this, it is not difficult to conclude that to create value for the borrower, at least two points should be satisfied: appropriate pricing, proper use.
(1) Appropriate pricing is the premise of creating value. In fact, for short-term, small cash loans, countries have set the highest interest rate. Many practitioners have argued that borrowing money can indeed improve the lives of borrowers. Under the market economy, why should the free choice of borrowers be restricted?
Because proper pricing is the basis for creating value, pricing is too high, and the borrower must be a heavy burden, and all the other good things attached to it no longer exist.
In the past few years, loan sharks characterized by high interest rates have been criticized by various parties and severely regulated. The space is getting narrower and narrower, but like the wild grass after autumn, opportunities can always “blow back and spring” when encountered. During the epidemic situation, loan sharks were resurgent, and many anti-collection coalitions also took advantage of the trend. Although they disrupted the normal collection order, they have a deterrent effect on loan sharks. This alone has its value in existence.
(2) Proper use is the foundation of value creation. Interest rate pricingLow, but if it is used improperly, such as online gambling, irrational high consumption, loan repayment, stock speculation, etc., will also produce bad results and form a bite against the ecology itself. In the past two years, the regulators have strictly investigated bank loans infringing into the property market for this reason.
Blindfolded lenders with high growth are just not allowed to use the borrower, even knowing that there is a problem with the use, as long as they can ensure that the loan is recovered, they will still spare no effort in lending. In the ecology, 100 lending institutions and 20 institutions are blindfolded, which is enough to disrupt the entire ecology, trigger competition imitation under the effect of competition, and accelerate the deterioration of the entire ecology.
The question is coming, online gambling, loan repayment, real estate speculation and stocks are all okay. How do you define irrational consumption? With a monthly income of 3000, a loan to buy an Apple mobile phone is not irrational consumption, should I support it?
irrational consumption?
Should support it.
Irrational consumption is not worthy of encouragement, but blue-collar groups buy Apple mobile phones, in most cases it is rational behavior.
The pursuit of high-priced products like Apple is a necessary stage for most young people to leave their hometowns and integrate into society. Everyone has a bragging mind. When you are in your hometown, building a big house is enough to declare your wealth status without having to make conspicuous consumption. (and Bill Gates does not need to wear a name brand is a reason); Go out, don’t know each other, the mobile phone that you carry with you becomes the best show-off. The book “The Theory of Leisure Class” once made a classic summary:
“In rural areas, the status of consumption is replaced to some extent by savings and a comfortable family environment. Through the spread of gossip in the neighborhood, the latter is sufficient to achieve a general purpose similar to the prestige of money. … With the development of communication methods and With the increase in population mobility, individuals are now under the observation of many people, and the display of items (and perhaps display education) is the only thing he can do The way people look at their reputation is under the eyes of everyone.”
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Show off the psychology, behind it is Maslow’s social pyramid of needs and respect for needs. The consumption to meet these two needs cannot be simply classified as “irrational consumption”.
I used to pay attention to the haircut buddies around me. Many people use Apple phones. They don’t care about the new and old models, they care about the Apple brand, which is used to decorate the facade.
For them, working outside, no hukou, no house, no enviable work, not being able to reunite with their family, the sense of difference in all aspects requires some hedging, and certain consumer goods to some extent Can play this kind of function, such as Coca-Cola in the mouth of Andy Warhol:
“The richest and the poorest people enjoy the same thing. You can drink Coca-Cola while watching TV. You know that the President drinks Coke, Elizabeth Taylor also drinks Coke. You can also drink Coke. Coke is Coke, There is no better and more expensive Coke, you drink the same as the Hua Hua Zi on the corner, all Coca-Cola is equally good.”
Based on similar needs, they will also chase the latest movies, go to KTV for birthdays, buy lipstick recommended by Li Jiaqi, and take friends to the restaurant. In contrast, many white-collar workers with more earning power seem more frugal.
We should understand this phenomenon, and we can’t simply buckle them up with the brainwashing of “consumerism”. In a way, they are just hedging the gap through consumption.
Warm and respectful
Create value for users, the premise is to understand users.
Qian Mu emphasized in the “Outline of National History” that “whoever knows a little about his country’s past history will especially be accompanied by a warmth and respect for his country’s past history.”
For users, we must also show warmth and respect: to our fellow citizens, we must not lack warmth; we should pay respect to our parents.
Social media is becoming more and more developed, blue-collar workersThe rate of group contact is getting higher and higher, but most of the time, they are silent. Because of silence, it is easy to be ignored and simply labeled.
In the book “Invisible America”, the author uses “invisible America” to refer to groups that are ignored by mainstream society, and reminds the mainstream society in this way:
“The “Invisible America” has no intention of arguing, the “Invisible America” is exhausted, and the “Invisible America” has no time to sit down for demonstrations, nor can it spare time to watch the intense debate on TV.” Invisible The United States only wants to drink a glass of beer and go to bed early. It is these people who maintain the normal functioning of the United States. If these people quit tomorrow and do not do their jobs, our accustomed life will come to an abrupt end.”
During the epidemic, Teacher Tony didn’t go to work, and with his long hair that had not been cut for two months, the haircut buddies briefly returned to the spotlight of public opinion. Similarly, during the epidemic, we have paid more attention to sanitation workers, courier brothers, and convenience store employees, realizing that they are the heroes behind our daily lives.
I once read a passage in a book about the child’s view of himself in the eyes of a working dad:
“You work for so long, when you get home, your children will say that they love you. They say this, not because they understand you and know that you are a “daddy.” They say they love you, because their mother often tells them , Your father is a good person, love him. My children don’t know me, don’t even know me. Do you understand what I mean? I haven’t been able to accompany them. So, why does my child still care about his father? Because mom often talks about dad with them. So, my impression in the children’s hearts all comes from mom’s words.”
What is a dad who is working outside all year round thinking? He was thinking that his impression in the child’s heart all came from his mother’s words. For those around us, we also knowFar from enough.
For example, the haircut brother, it is not just the haircut brother, they have a changing professional identity and a rich professional resume.
In general, they drop out of high school and go out to work at the age of 16. Many people’s first job is a Foxconn worker. They feel bitter and go back to their hometown to study at a technical school. I have been an apprentice in the kitchen, I have delivered a courier delivery, and when I was about 25 years old, I got married and gave birth and stabilized in my last job.
At the same age, you have experienced college entrance examinations, grades 4 and 6, writing essays, and looking for internships. Your eyes are full of ideals and ambitions, and you are not childish; they have already experienced four or five jobs and have been carefree Finally, it provokes the burden of the family.
We are so different, everyone is so different, how can we understand without going deep? Claude Hopkins once warned us in the book “Scientific Advertising”:
“In the advertising world, you can’t be confined to your own circle, and you will be isolated from the civilian population. The road to success is through ordinary people. Ordinary people are the vast majority of people. People who understand ordinary people and are also one of them. , The probability of success is much higher than others.”
Facing to do business with the C-side public, be sure to sink.
The only way to sell loans to 600 million Chinese people is to show warmth and respect, walk out of your own small world, and penetrate into the big world of society!
Reference materials:
1. He Fan, “Variable: Seeing Small Trends in Chinese Society”, CITIC Press, 2019.
2. [US] Jenny Lascars, “The Invisible America (Translation Documentary)”, Shanghai Translation Press, 2019.
this articleBy public number“Suning Financial Research Institute” original author: Xue Hong Yan (Suning Finance Research Institute)