OPPO and VIVO's "People's War"
Behind the rapid rise of OPPO and VIVO is actually the inevitable result of cognitive people and cognitive laws, but can their successful experiences be continued and replicated?
Brand: To our surprise, nearly 60% of consumers in third-and fourth-tier cities think OV is a foreign brand, and 30% of them think it is a Korean brand. In the Malaysian market survey, more than half of people think that OPPO is a Korean brand, but almost 90% of consumers label Huawei as a China brand. In the Huawei store in downtown Sydney, Australia, people talk about Huawei mainly because of its partner Vodafone's endorsement, which shows that Huawei has not integrated into the local trend and life. Among domestic consumers, everyone asked about the cognition of OV, that is, both have bosses, the same high quality, and the photo music has its own strengths; In sharp contrast, Huawei, which has a strong R&D capability and internationalization route, has only one cognition in the eyes of all urban and rural consumers: good quality, that is, Huawei's independent technology research and development and international brand image have not been recognized and perceived.
Technology: In the eyes of ordinary people, Apple should be the leader of the trend, Huawei is the chaser of technology, and OV is the integrator of technology. However, in the survey, we found that consumers' cognition in China's third-and fourth-tier markets is completely opposite. The most classic consumer speeches are-we bought OPPO because both Apple and Huawei are imitating OPPO, and the technology is developed by OPPO; OPPO has many patents that Apple does not have, such as fast charging patents; OPPO only uses the best technology in the world, while Huawei is not the most advanced in localization technology. The above slightly biased cognition shows that OV's perfect technical marketing for channel providers has reversed the shortcomings of lack of core technologies.
Cost-effectiveness ratio: In the survey, almost all mobile phone salesmen think that OV has the highest cost-effectiveness ratio in communication, and OV has the fastest speed and fewer quality problems among mobile phones of the same price. At the same time, OV has successfully shaped the "store model" into a professional sales model of high-quality products, which represents the latest trend. Therefore, some shop assistants will say that really good mobile phones are sold in stores, and the price is the same all over the country, unlike a certain mobile phone that needs to be robbed and the price is increased layer by layer. High-end mobile phones don't use the internet to play games.
Changing mobile phones: Among the mobile phone industry 100 people who are most concerned about the brand selection of the next mobile phone change (many of them are store personnel), about 50% people choose OV camp, 35% people choose Huawei camp, 10% people think that Apple is still the most reliable high-end mobile phone, and only 5% people choose other brands such as Samsung. This incomplete statistical data still reveals an important signal to us. In the first battle, OV has won the insider's battle, and Huawei is following suit. However, Apple, Samsung and Xiaomi are all facing great challenges. This trend may open the gap between OV+ Huawei camp and other competitors in the wave of 20 17 and 20 18.
On the basis of the comparison of the above factors, it is even more thought-provoking that ——OV's rebate to dealers is greater than that of Apple, Huawei and Xiaomi, but the latest model of OPPO R9 mobile phone is 2499 yuan, and the top configuration of VIVO X7 is 2498 yuan, which is 3500 yuan cheaper than Apple 6S and 3500 yuan cheaper than Huawei P9 1000 yuan. In addition, there are many signs that OV is still a huge profit, which makes us ask about the "cost advantage" of offline channels. Do e-commerce and physical stores really have cost reversal?
The discovery of these cores is superficial data presentation, but it has clearly demonstrated the strong rise of OV camp, which is not just a price war, but a comprehensive transcendence of marketing, brand, technology and cost performance.
Behind this, it brings us deep thinking about the multi-level characteristics of China market. We comprehensively analyze the breakthrough logic of OV through the three-dimensional analysis from the first level to the fourth level and then to the rural market, as shown in Figure 2: Differentiated cognition of urban and rural smartphone consumption.
In this chart, we divide the market in China into five levels, first-and fourth-tier cities plus rural areas. Let's carefully scrutinize the different value propositions of different levels of markets, so that the cognitive gap between levels is no less than the gap between two countries with close GDP per capita.
In terms of population, the vast rural areas are the main battlefields of consumption, with a population of 750 million. But in actual combat, we found that the penetration efficiency of this group is very low, and it is a "protracted war battlefield". On the contrary, the fourth-tier towns with a population of 350 million are the decisive battlefields for consumer goods. Small towns have a strong adsorption, leading and detonating effect on rural consumption, and also have an obvious supporting effect on the world, which is easy to concentrate on marketing and dissemination. That is to say, in the market of 654.38+0.4 billion people in China, the best way to play consumer goods is to detonate the upper and lower four markets, and only trendy products can be pushed from the primary market to the rural market step by step, but this kind of play is bound to waste some time. OV mainly uses the former, occupying the fourth line and rapidly amplifying the performance.
From the media point of view, first-and second-tier cities are all media-driven communication and sales, but in third-and fourth-tier cities, the driving force mainly comes from business agents and opinion leaders, which also explains why many big brands can't get through in third-and fourth-tier cities, and it is getting harder and harder. Because the simple media exposure and brand promotion in these two markets cannot replace the promotion of dealers and the dissemination of opinion leaders, it is necessary to have a strong executive team with local experience to quickly establish a stable channel matrix for agents, and this ability needs to be accumulated.
From the perspective of smart phone cognition, first-tier cities regard mobile phones as fast-moving consumer goods, which are fashionable and have relatively high replacement frequency, while second-and third-tier cities tend to be positioned as consumer goods. But for fourth-tier cities and vast rural areas, people buy mobile phones from the perspective of durable goods. Once the quality problems in this market ferment and spread quickly, they may completely lose users. It can be seen that some brands' strategy of pursuing cost performance in low-end machines is completely wrong, and low-end machines should emphasize high quality instead.
From the perspective of attributes and opinion leaders, the consumption psychology of mobile phones for Chinese people has become a "queuing" thinking, but for fourth-tier cities and rural areas, their demands are a sense of identity and satisfaction with the spirit of life. This is contrary to our general cognition. It is generally believed that big cities pay more attention to spiritual needs. The reason for this difference is that rural consumers have less access to entertainment and other information, so they are more willing to pay for quality experience. The legendary selling kidney to buy a mobile phone is born out of this logic, so we can't underestimate the three-dimensional demand of the fourth-tier and rural consumer groups, and the countryside does not represent the low-end market. This demand is very dialectical.
From the perspective of consumer psychology, the general thinking of first-tier cities is closer to the logic of "queuing", and what to buy has a strong perspective of values; The judgment of second-tier cities is a kind of "choice" to express personality; Third-tier cities tend to "perceive", and being moved by merchant marketing is a very important reason for buying; The cognition of fourth-tier towns is a "definition" and a definition of trends; The countryside is a kind of "confirmation", a confirmation of the rationality and risk of consumption. This analysis may be somewhat abstract, including two points: "emotional dimension" and "risk dimension". The more the bottom market, the more important the emotional appeal of mobile phones to consumers. This tool is completely different from general consumer products. What kind of mobile phones do low-and middle-income people buy, and even what kind of life does it mean in the next two years? From the perspective of risk, there is a concept in consumer psychology called "perceived risk", which refers to the uncertainty and the possibility of adverse consequences that consumers perceive when purchasing products or services. The higher the perceived risk of consumers, the more information they get from word of mouth. Therefore, before making a purchase decision, rural consumers will fully consult their relatives, friends and neighbors in the village for "confirmation" until the financial risks are minimized. These two points determine the particularity of rural market. Therefore, manufacturers who can penetrate the rural market are often combined with high and low. The high is to use the most authoritative CCTV media advertisements to gain credibility, and the low is to use the agency channels of fourth-tier towns to establish a word-of-mouth network.
It can be seen that the complexity and difficulty of this century's war have not been achieved by previous consumer electronic products, and it can even be considered as the first confrontation between China Manufacturing and the most advanced enterprises in the world. The previous bully, Buscom and diamond mobile phones were all "throats" in the civil war. At that time, there were no fierce rivals like Apple, and no China international giants like Huawei participated in the battle. Through the above analysis, we find that the rise of OV is indeed the success of a complex and difficult strategy.