The wealthy entrepreneur: I want to support millions of employees!.

Chapter 887 An Olive Branch from a Retail Giant! A Cooperation Agreement Reached with the Sleep Research Center of Xiaxi Hospital!

Seeing the overwhelmingly positive reviews and high popularity of Tiancheng Cola online, Su Yang felt good, as if his hard work over the past year had paid off.

If Tiancheng Cola hadn't proactively lowered its prices, the company would likely have turned a profit much sooner.

However, word-of-mouth and sales growth certainly won't be that fast!

Don't underestimate the difference of just one yuan; consumers are very likely to abandon local cola brands because of that one yuan.

Just this one dollar is enough to force countless beverage companies to abandon their plans to enter the carbonated cola market!
Su Yang persuaded Tiancheng Cola to voluntarily lower its price by one yuan, which cut more than two-thirds of the profit per bottle.

Thus, the cost for Tiancheng Cola to produce carbonated cola is higher than that of Coca-Cola and Pepsi.

On the distribution side, the fees charged are also higher than those charged by Coca-Cola and Pepsi.

Tiancheng Cola's apparent profitability is largely thanks to Tiancheng Sports Energy Drink's slight boost!
Of course, the reputation that Tiancheng Cola has left in history, as well as the channels it had established, including some of Han Kun's efforts, also laid the foundation for Su Yang to do a good job with Tiancheng Cola.

Otherwise, the same amount of advertising costs would be wasted.

Su Yang estimates that it may take another two or three years for the Coca-Cola brand to become profitable!

Did Cola make a profit that day?
cough cough...

If we don't count the large number of refrigerators released to the market, the television commercials, or hiring Tang Ximing as a spokesperson, then... there is indeed some profit!
Take a look at the released financial reports, but don't take them too seriously...

The main purpose of trending on social media is to increase brand awareness.

To give distributors, merchants, and supermarkets some confidence!

As for breaking even... is the purpose of buying funds to break even?

Similarly, is the purpose of doing business to recoup losses?
Of course, Han Kun was also aware of this matter!
As soon as the news broke, Su Yang received numerous calls from business partners, acquaintances in Rongcheng, and friends in Chongqing, all praising him highly!
Upon arriving in Chongqing, Su Yang held a meeting with Cai Zhenyu and other senior executives, instructing Cai Zhenyu and others to promote Tiancheng sports drinks and increase sponsorship of sports projects.

Especially popular sports like football!
The reason for prioritizing sports drinks is simple: they have high profit margins!

Last time he went to your province, he visited a village supermarket there, which was quite lively.

Tiancheng Sports Drinks certainly cannot compete with the two giants in terms of marketing expenses.

However, they can change their strategy and proactively penetrate the lower-tier markets, continuing to move closer to the catering market!

“I know that we have sponsored, or are preparing to sponsor, city football leagues in various provinces and cities, including Fuzhou, Chongqing, Hunan, Guizhou, Yunnan, Zhejiang, and Jiangsu!” Cai Zhenyu nodded. “Because these are amateur-level leagues, they are particularly cheap, some costing only tens of thousands!”

"Okay!" Su Yang nodded. "That's good!"

After the meeting, Su Yang inspected the R&D department, tasted one of the new products the department was working on recently—a health tea, and then gave them a good encouragement!
Since Su Yang took over Tiancheng Cola, he has completely filled the R&D department, and he still attaches great importance to R&D!

The recipe for the health tea was obtained from a traditional Chinese medicine expert through Han Kun's connections, so it must have certain effects. However, the taste also needs to be improved to a level that the public can accept and even like!

The R&D staff all saw the trending topic. Although they knew some of the inside story, they were equally excited to learn that last quarter's sales had increased fourfold compared to the same quarter last year. At least, this rate of sales growth is very encouraging!

If this growth continues, wouldn't it be easy for the company to make a profit?
Meanwhile, factory workers are extremely busy because online orders have surged!
After Tiancheng Cola became a trending topic, many self-media bloggers who wanted to ride the wave of traffic also appeared and began to analyze the reasons for Tiancheng Cola's profitability.

Then they discovered the secret to Tiancheng Cola's market expansion. In addition to investing in TV advertising and making efforts in traditional channels such as e-commerce, new media, and offline supermarkets, Tiancheng Cola's main offline focus was actually on the catering and barbecue market!
In addition, after being acquired by Jiuxiang Foods, Tiancheng Cola's new version tastes even better than before. Meanwhile, the recently popular Tiancheng sports drink is rapidly expanding its distribution, leveraging Xinghuo Fitness's channels to reach developed coastal cities such as Beijing, Shanghai, Guangdong, Zhejiang, and Jiangsu.

Furthermore, the support from Jiu Xiang Hot Pot also played a crucial role!
Regardless of how these self-media bloggers analyze it, Tiancheng Cola's popularity is definitely high!
Not only did online orders explode, but offline sales also surged in a short period of time!

Distributors from all over the country were also very happy to call and order more goods!
Not long after, Su Yang received news that, taking advantage of this wave of popularity, Tan Yanghong had finally reached a cooperation agreement with the snack retail giant Haobaijia. Haobaijia would purchase a batch of Tiancheng Cola to use as a way to attract customers to its stores.

Hao Baijia is a snack store giant in Southwest China, with more than 1.5 franchise stores.

If Tiancheng Cola were on their shelves, sales would definitely increase significantly!

However, they just wanted to try it out first. If Tiancheng Cola's sales are good, they will definitely be willing to continue the cooperation!
Upon hearing this good news, Su Yang was naturally overjoyed!

When snack shops use these snacks to attract customers, the retail price is naturally very low.

A 500ml bottle of Tiancheng Cola might be sold for as little as 2.5 yuan or even less at a snack shop!

But Tiancheng Cola certainly can't miss this opportunity.

Since Coca-Cola and Pepsi have both done it, Tiancheng Cola can certainly do it too!
Once sales increase and the market expands, Tiancheng Cola can also gain some bargaining power with suppliers and gradually reduce costs!

Tiancheng Cola does have a cost disadvantage, but it also has its advantages!
In terms of taste, Tiancheng Cola is definitely better than Coca-Cola and Pepsi!

Haobaijia is willing to cooperate with Tiancheng Cola because Tiancheng Cola has popularity, high topicality, and good brand awareness!

Then, two years ago, Hao Baijia started cooperating with Jiuxiang Foods, and the cooperation between the two parties was quite pleasant!

Another thing is that Tiancheng Cola is different from other domestic cola brands; Tiancheng Cola is willing to lower its prices!

This is very important, as Hao Baijia originally used low-priced drinks to attract customers!
A couple of days later, Su Yang contacted Dean He, who helplessly said that the process was still in progress.

After consulting with Han Kun and Dean He, Su Yang went directly to the authorities, hoping to facilitate this cooperation!
As a five-star hotel in Fuzhou, it is at least one of the city's most prestigious establishments.

Moreover, Su Yang's business has now reached a level that has attracted official attention, and he himself has gained some influence!

Not long after, Su Yang received a call from Dean He, saying that the hospital had approved it!
Not long after, Su Yang brought Deng Zhiyuan and others to the Sleep Research Center of Xiaxi Hospital. Accompanied by Dean He, they met with Director Zheng Jingwen!
Professor Zheng is in his fifties, very elegant, and has a very kind smile.

Her voice is gentle and soft, making it easy for people to like her!

The communication between the two parties was quite pleasant, and the next step was to discuss cooperation. Because there was a precedent, and Deng Zhiyuan was well-prepared, and Su Yang was not short of money, the two parties quickly reached a preliminary cooperation agreement.

(End of this chapter)