Brand and private domain, keep an eye on the two hands of consumers' whole life cycle operation

"The distance between business and sales is getting shorter and shorter." In recent years, countless business operators have issued such sighs. Now, they will add: "Sales is not the end of business, but the beginning of business." These two sentences reflect two core issues that enterprises are concerned about in consumer-oriented operations, namely, how to build brand mind more efficiently and how to do a good job in the private domain growth of back-end users. This is also the core topic we discussed with nine business owners, consulting companies and investment companies in this paper. First of all, the emergence of digital channels to establish brand thinking and e-commerce platforms has changed the way many enterprises operate. The so-called private growth link of planting grass and harvesting is getting shorter and shorter, and some new brands even quickly seize the territory of big brands by virtue of efficient operation, which makes people doubt the seemingly long-term return of brand mental construction. The most typical performance is that the position of CMO is replaced by CGO and CDMO. With the passing of short-term enthusiasm, the growth of new brands has entered a new stage and began to face growth bottlenecks. Long-term thinking and brand thinking have returned. Big brands have clearly proposed to carry out "medium and long-term soil fertility construction", and small and medium-sized brands have also begun to think about the long-term value of brands and consolidate the foundation for growth through brand mental construction. Nowadays, even in the e-commerce platform closely related to sales, brand mental construction is still a topic of special concern to many enterprises. Guan Haitao, the head of e-commerce department in China District and vice president of China District of Glory Terminal Co., Ltd., paid special attention to this topic. He defined e-commerce platforms such as Tmall as "a product high-efficiency highland that continuously builds marketing service integration around consumers", and believed that marketing and brand mental construction are important underlying capabilities that enterprises need to build in the e-commerce environment. Based on this idea, he first carried out a series of reforms on the glory e-commerce platform after taking up his new job, requiring consumers on the e-commerce platform to have consistent brand information and tonality, and to be able to carry and transmit brand genes. At the same time, he also exported the data insight and business discovery of the e-commerce platform to the marketing team, which affected the overall brand mental construction logic. "The combination of e-commerce platform and brand building is like a person's right hand." Guan Haitao said: "The left hand is in front of us, and the right hand is poetry and distance. However, poetry and distance are piled up by countless pairs of eyes, so e-commerce and brands must have a balanced opportunity. " While business owners pay more and more attention to the marketing ability of e-commerce platform, the platform itself is also developing. Promoting the digitalization of brand value measurement standards is one of the important topics. Tmall and roland berger recently released a white paper on brand crowd mentality, which introduced a set of digital brand crowd mentality indicators instead of a brand evaluation system based on consumer research. The system measures brand innovation with the correlation of pioneer concentration, penetration rate and brand selling point, measures brand communication with close fan concentration, active member concentration and search popularity, and evaluates brand value with price range, positive price rate and conversion rate, forming a set of objective and diversified brand value perspectives. Ren Guoqiang, the global senior partner of roland berger who is in charge of this project, has been engaged in brand consulting for nearly 20 years. However, when the business environment has changed rapidly in the past 20 years, he found that the way the company studies brand value and health has not changed qualitatively: "We are still using the tools developed in the pre-Internet era to look at Z-generation brands." Then, in the digital environment, whether the measurement method of brand value can be more digital and whether the dimension of brand growth can be more detailed and accurate is the significance of this new set of digital indicators. In addition, the e-commerce platform continues to promote the construction of diverse content, providing a broad stage for enterprises to build brand minds. Liu Feng, co-founder and chief technology officer, said, "Content is becoming more and more important, and brand promotion has changed from pure brand volume and exposure to mental communication for target consumers. The content forms are also more diverse, and the creators have also increased by several orders of magnitude. This huge change requires brands not only to strengthen their control over the consumer side, but also to have a stronger guiding ability for global content producers, thus affecting consumers' minds. " Founder of New Seven Days Group &; CEO Zuo Yingjie also has personal feelings about this. The new seven-day group assisted many enterprises to start e-commerce operations. In this process, he became more and more aware of the important influence of e-commerce platform and e-commerce data on brand mental construction: "Deriving brand strategy from data, from strategy to marketing scheme, from marketing to operation, and then to supply chain, is an iteration of a whole set of full link operations." With the digital insight of the new seven days, an American thermos cup brand it serves repositioned its brand, redefined its product usage scenarios, launched product design optimization, and re-formulated its marketing plan, and finally became a best-selling commodity. From the exchange of views among enterprises, consulting institutions and platform ecology, it is not difficult to see that in the second half of digital operation, with the disappearance of traffic dividends and the emergence of brand owners' asset bottlenecks, building a strong brand mind is becoming the core of enterprise development. Whether it is a new brand that needs further breakthrough or a mature brand that is undergoing digital transformation, it is using digital channels to enhance the minds of brand owners. In this process, enterprises not only need to pay attention to the quality of crowd assets conceptually, but also need to adapt to the digital long-term value growth organizationally. The upgrading of e-commerce platforms and related ecological institutions to cope with these changes is also an indispensable part of accelerating this process. Second, building a global membership system, precipitating sustainable operation and creating private territory for high-value users are the parts that many brands attach great importance to at present. For example, Swarovski, who has a history of 100 years, defined the first stage goal of brand digital transformation as "omni-channel CRM integration", which is actually to build a cross-contact private domain member operation system, regardless of whether consumers go to the store line or the official flagship store of Tmall, they can enjoy unified points and VIP services. Behind this ability training, there is a tortuous story: in the past few years, due to the introduction of new overseas data regulations, Swarovski headquarters took back the data operation functions of various places to the headquarters. Sun Jue, managing director of Swarovski Crystal Business in Greater China, believes that data assets and consumer assets are very important to tell the story of China well in China market. "It took us 18 months to create a CRM system with the global headquarters, and finally moved the global CRM operation system to China." This system has also become the basic platform for Swarovski to operate private assets. There are many enterprises like Swarovski that attach importance to private domain capacity building, and the benefits it can bring to enterprises are obvious. On the one hand, consumers have more and more contacts, and their social influence has gradually increased. Enterprises need effective means for unified management, especially for those high-quality users, and they should be transformed from ordinary users into high-value user assets for sustainable management. On the other hand, the rise of private domain is also a projection of the transformation of business thinking. Xu Yang, a partner of Chuxin Capital, has always viewed brand operation from the perspective of investors. When talking about private domain, he specifically mentioned the operation idea of DTC brand. Compared with other enterprises in the category, these enterprises, which have carefully laid out private domain operations and are more directly oriented to consumers, have longer user life cycles and higher corresponding profit margins. Their growth depends not on the rapid accumulation of traffic, but on accurate identification of users, refined labels and refined operations. In the era when dividends are gradually fading, such thinking is accepted by more enterprises, and the importance of private domain is gradually increasing. But so far, private domain is still a relatively new concept, and there is no recognized mature operation methodology. At the same time, due to the different industries, development stages and membership attributes of each enterprise, the operation mode of private domain must have its own characteristics. As many enterprises have expressed to us, "I don't have a standard answer", there are some misunderstandings that can be avoided at this stage: Misunderstanding 1: the public sphere and the private sphere are clearly defined. The private sphere is not a private garden completely independent of the public sphere, but needs better communication and cooperation with the public sphere. A new strategy to provide global marketing product solutions for many well-known brands. Dao Rong, founder and CEO of Digital Intelligence, said that when discussing private domain today, we must look at private domain from a global perspective. On the one hand, private domain users are all from public domain. On the other hand, he pointed out: "It is very important to use public domain data if the private domain wants to do well. How to use these data, how to guide us to do brand, operation, market and release data is the ability. Liu Kai, president and chief operating officer of Qi Le e-commerce, also expressed his views. He believes: "Private domain operation in the stock age is a powerful driving force for brand growth. But we can't ignore the ability to integrate consumers, content and goods between the public and private spheres. The opening of public and private sectors can achieve better resource allocation. "Myth 2: The landing of private domain operation is CDP. At present, many enterprises group customers in consumer big data platform (CDP) and design user journeys to realize private sector operations. Weng Chiyuan, a partner of Deloitte Digital Consulting Services, and Guo Qi, the consulting director, said that the accurate operation of private domain requires enterprises to deeply understand the consumer demand of different market segments in addition to the portrait of consumers. Consumers of the same group have different needs after buying different products at different stages of life. Private domain operation needs a series of business model landing platforms, and finally, based on consumer labels, commodity labels and content labels, personalized products, services and content are accurately pushed to enhance consumers and enterprises. Myth 3: The positioning of private domain is digital marketing. " All categories should consider private domain, but the entry point and goal of business are different. "Deloitte's point of view represents the point of view of many industry observers, because they found that returning to the focus of private domain operation, the unit price of goods and customers of enterprises and the consumption frequency of consumers determine the different modes of private domain operation. The most common is the high-priced and high-frequency sub-industry. Private domain operation can manage the whole life cycle of consumers and directly affect digital marketing. The proportion of private domain sales in many sub-industries has gradually increased, eventually exceeding 50%. For the sub-sectors with high price, low frequency and low price and high frequency, it is important to consider closely interacting with consumers and super fans, allowing consumers to participate in business links such as product research and development, linking consumers and terminal stores, discovering market opportunities, and truly realizing consumer-centered transformation. Myth 4: Repurchase rate is the only criterion to measure the efficiency of private domain operation. In the above description, we can clearly perceive that the private domain is very diverse in gameplay. Therefore, we should not simply take the sales value as the measurement standard, but have a broader perspective. Tmall recently strengthened the part of deepening the operation of global members in its FAST system, and measured the operating efficiency of global members of the brand from four aspects: the total number of operable relationships, the relationship value, the relationship deepening efficiency and the user's gravity, allowing enterprises to disassemble different aspects of crowd operation, go deep into more subdivided dimensions and explore the road to growth. We are: Runwise Digital Innovation Community. We have prepared four special contents for you: forward-looking scheme research, latest practical cases, scientific thinking methods and innovative technology tools. 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