We are all reborn, who wants to be the richest man?

Chapter 613 All-out war

The war has begun, Watsons and foreign capital have started a war.

The massive entry of foreign brands includes not only laundry detergent, but also a range of products including beverages and alcohol, beauty products, dairy products, etc.

The market is so small that Watsons can’t just watch the other party walk into its own fish pond with brazenness.

It is impossible to keep the other party out, but how much market share you can get depends on their ability.

Nice headquarters in Lishui, Zhejiang Province.

"Ladies and gentlemen, we now have more than enough ammunition. We have never fought a war with such abundant resources. Therefore, the plan we made before can not only be implemented, but also expanded in scope."

Mr. Zhuang of Naais has been under a lot of pressure recently, but the appearance of an investor has instantly eliminated all the pressure on him.

In 1991, Mr. Zhuang visited the headquarters of Watsons Beauty Group in Hong Kong Island. He was greatly inspired by the Watsons brand soaps sold in the Hong Kong Island market.

Compared with our own products, theirs is a real soap with a fresh scent and beautiful color. Compared with the old soap with an unpleasant smell on the market, there is a world of difference.

So Mr. Zhuang reached a cooperation with Watsons Beauty Group and put all his assets into introducing the other party's soap technology. This was the first time that Nice had a good relationship with Watsons.

After emptying his family's savings to introduce the technology, Mr. Zhuang immediately borrowed two million yuan to invest in advertising.

Unlike the later Internet which has no memory, the two million advertising fees of this era made the name of Nice Soap completely famous.

In addition, with the price being only half of the foreign soaps of the same grade, Nice soap is like a critical blow to foreign soap products, and even Watsons' high-end soap products have been affected.

In 1992, having tasted success, Mr. Zhuang founded the Nice Group and began to enter the laundry field.

However, Naais did not have the technology for laundry detergent, so he developed laundry soap.

At the end of 1992, a newly designed laundry soap was launched. It not only had a fine texture and strong ability to remove dirt, but also had a large eagle printed on the package, implying quick removal of dirt.

However, at this time, the laundry products market was dominated by laundry powder. After all, the laundry soaps in the past had problems such as dry and hard texture, weak cleaning ability, and smelly taste.

Therefore, not only did Naais' laundry soap fail to help Naais take off again, it also suffered from a cold reception in the market. After all, the inertia of consumers' past consciousness is difficult to break.

In order to enable consumers to break the inertia of the past, Mr. Zhuang decided to find another way in marketing.

The simplest way is definitely to provide it to consumers for free. Only after they have used it and found out how useful it is will they purchase it a second time.

So Mr. Zhuang planned to put an advertisement in the newspaper. As long as consumers could cut out the Nice advertisement in the newspaper, they could get a bar of laundry soap for free.

This method made many people curse Mr. Zhuang as a prodigal son, even the county government that helped Naais through the most difficult times thought the same.

At this time, Watsons Beauty, with which they had a good relationship, came to them and wanted to invest in Naais with the aim of joining forces to fight against Western products.

Mr. Zhuang agreed immediately and introduced Watsons. This would give him free rein both in terms of technology and government. He could also use the money to expand the production line and promote the products to the national market.

On July 1993, 7, just as Watsons was reorganizing its laundry detergent production capacity in the north, Watsons Beauty and Nice reached a cooperation agreement.

Watsons Beauty will acquire 800% of NICE's shares by investing RMB 30 million plus technology, and will include NICE in Watsons' promotion system.

Mr. Zhuang attaches great importance to the 800 million and the technology, but what he values ​​more is Watsons' promotion system, which means that Nice's products can enter the international market.

Watsons also has its own considerations, which is that the group needs low-end products to expand its product matrix.

Watsons' products have always been representatives of mid-to-high-end products. This is related to the product concept of being healthy, environmentally friendly and natural that the products have always adhered to. After all, the cost is here.

It is precisely because of this positioning that Watsons products are very popular among the middle class and celebrities in Europe and the United States, so this is the core that cannot be lost.

However, the products with the largest sales volume and the largest market in the world are definitely low-end products, so Watsons changed its strategy and entered into a new brand by investing in shares, a brand that is completely separate from Watsons. "I agree with Mr. Zhuang that we can put advertisements in the entire coastal provinces.

Not only are newspapers distributed for free, but there are also activities held in major cities, such as buying laundry soap and giving away dishes and chopsticks for free.

However, in this case, we need to consider the issue of production capacity. Our current production capacity cannot meet our needs."

"Mr. He, that's a good idea."

Mr. Zhuang once again felt that he had gained a lot from joining the Far East family.

For example, Mr. He, who came up with the idea now, is the marketing talent that Mr. Zhuang and the other party want. This is the talent that all Rabbit companies are lacking now.

I just wanted to give it away for free to expand my customer base, but the idea they came up with not only achieved my goal but also reduced costs.

Items like tableware and chopsticks are very cheap at wholesale, but their retail prices are almost the same as laundry soap or even higher.

Think about it, this is equivalent to selling both products at half the price, but the consumer feels like they got a great bargain.

"Well, Mr. He, let's study the specific plan carefully in the next two days, and we will start the attack in three days."

Zhejiang Province's laundry soap will soon join the battlefield, along with products from other fields.

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Sichuan and Chongqing Tianfu Cola is a beverage that has reached heights that no other domestic beverages have ever reached.

At its peak, Tianfu Cola had established 108 canning plants across the country, covering almost all provinces and cities, and occupied 75% of the domestic cola market.

They even built factories in Polar Bear Country, and businessmen from island countries came to them to seek agency. It is sold in about twenty countries around the world.

However, like many companies, a company will suddenly go downhill after reaching its peak, and Tianfu Cola is no exception.

The shortcomings of state-owned enterprises, coupled with economic macro-control and a cooling economy, have dealt a heavy blow to the sales of Tianfu Cola.

It was also at this time that Coca-Cola and Pepsi began to enter the domestic market and gradually eroded Tianfu Cola's market share.

This year, the Ministry of Light Industry issued an administrative order, requiring eight domestic beverage companies with good sales and high popularity to actively cooperate with international beverage brands. In fact, the leaders above want to replicate more Beibingyang and Jianlibao.

However, they didn’t think about the fact that the market is so small that if you sell the product, other products will inevitably be affected.

Another thing is, why would these international giants allow your products to seize the market that they have already occupied? Watsons vigorously developed Beibingyang and Jianlibao at that time because these products were not included in its product matrix and the sales in the local market were very good.

If you give Watsons domestic orange soda now, will it shelve your product after it uses up your channels?

But this order is at least necessary for Watsons.

Watsons’ cola products have been slow to gain traction and are now in a state of being half-abandoned. This is a semi-open secret within the group.

As early as 1988, Watsons had set its sights on Tianfu Cola and planned to form a joint venture with it. However, at that time, Tianfu Cola was making huge profits every year and had begun to enter the international market. Many people felt that a joint venture was unnecessary.

Now the business of Tianfu Cola is getting worse year by year, and the higher authorities have issued another document, so Tianfu Cola thought of Watsons.

Because compared with several other international giants, Tianfu Cola is at least a product that Watsons needs.

On July 7, Watsons Beverages CEO, Hong Kong-born British-born Paul Consimbo, personally flew to Sichuan and Chongqing to attend the signing ceremony and brought with him the entire Watsons team.

The agreement between the two parties stipulates that Watsons will bid US$1350 million for a 65% stake, and Tianfu Cola will use land, factory buildings and equipment as assets to hold a 35% stake.

Since then, Watsons Beverages has finally acquired the product that it has been longing to compete with the two colas.

(End of this chapter)