Companies in the supplement industry have always been said to be unable to last long and can only "lead the way for three or two years". Judging from the phenomenon of tonic companies, this statement is indeed not unreasonable. But despite this, many tonic companies have made profits to varying degrees during their operations.
Profit Model 1: Profit Model with Highlighted Advantages
All companies must show certain strengths at the beginning of their business, otherwise they will not be able to succeed in the industry or achieve sustained profits. . From a global perspective, we can find many, many companies. After they grow, they begin to get involved in more and more fields. However, they obviously do not have the expertise to enter these new fields. There are even cases where corporate sales revenue increases and profits decline. result.
For companies that continue to rely on outstanding advantages for corporate design, the outstanding representative in the tonic industry should be Taitai Pharmaceutical. Through more than ten years of development, Taitai Pharmaceutical has established a mature brand operation model and operational experience. Its professional capabilities in this area enable it to continuously expand into related fields, and it can continue to apply this in new enterprises that are expanded. A professional ability to achieve the purpose of sustained profit.
Profit Model 2: Brand Profit Model
Companies that apply the brand profit model invest a lot of capital to build trustworthy and value-added brands through scientific means. Among companies that produce products of the same category, consumers are willing to pay much higher prices than other brands for the same product due to different brand values.
For the same purchase of ginseng lozenges, consumers are willing to pay more money for Wanji ginseng; for the same purchase of Shenbao, consumers are willing to pay a higher price for Huiren; similarly for When buying Wuji Baifeng Pills, Tong Ren Tang has the highest price.
The brand profit model brings faster product turnover, lower costs, higher selling prices, better corporate reputation, and higher profitability.
Profit Model 3: Special Product Model
A company produces a product with high technological content, which is difficult for general companies to imitate. It can have a stable reputation for a long period of time. Profitability. This situation is generally seen in the biological field in supplements. For example, Angli No. 1 from Shanghai Jiao Tong University has been in the market for nearly 10 years. Except for three successful imitations, there are not many successful products of this type. Despite its geographical advantages, Allies has continued to achieve success with this unique product. There are also some examples of supplement companies that rely on patent protection to continue to make profits, which can also be classified into this profit model.
In addition, in 2017, the Kangrushi brand was born, sweeping many markets with its flagship product "Big Instant Bird's Nest". Based on the insight into market development and consumer demand, Kangru directly addresses the hearts of consumers with its large size, first payment, natural origin, MSDH level process standards, direct supply from Yanzhuang, and absolutely no agar and various additives added. Effective product segmentation is formed. It has seized the commanding heights of consumers' minds and gained high recognition from the market with its unique selling points, thereby bringing a breath of fresh air to the turbulent ready-to-eat bird's nest market. This is the unique product model.
The above are three common profit models in the tonic industry. No matter what kind of enterprise you are, the first priority is to find a profit model that suits your resource advantages, and plan your own profit method according to this model, so as to achieve the purpose of survival and development. In fact, no matter your size and strength, you are likely to find a profit model that suits you. It may exist in a business that is already profiting from it, or it may require your creative talents to find it.
I believe there are other profitable profit models of tonics that are working but cannot be known due to my own knowledge.
We are convinced that more new profit models will emerge in the foreseeable future. These new profit models will inevitably appear with the further development of the tonic industry.
We can also be sure that in the future, whoever finds a new profit model first will have the best chance of becoming the next great tonic company.