Chapter 1490 The opponent is too weak
At the end of the meeting, Chen Mo clapped his hands: "Now we are still at a disadvantage, we must act quickly!
Crazy attack on AB city, no time waits for me!
Everyone should know that if you are the first to enter a business district, the customer acquisition cost for the second entrant will be 5 to 10 times that of the first one.
As long as we win City AB, we can win the food delivery war in advance! "
The other side.
Are you hungry? Headquarters.
Shang Ying is also having a meeting with executives from Hungry?
"Mr. Commerce, our current rate of burning money is too exaggerated. If this continues, I'm afraid we will have to burn all the money on our books in less than three months." A senior executive reported with a worried look.
The purpose of engaging in business war is to make money!
Burning money to grab the market is also to make money later.
No one is stupid enough to burn money just to grab the market and leave nothing behind.
Shangying can't do it, the foundation can't do it, and Uranus can't do it.
Because, don’t you look at Hungry? On the surface, it looks like the money is being spent casually, but the amount on the books is only over 300 billion. Even if it’s a lot, it’s not enough for the company to burn!
Now the company's daily subsidies to merchants, riders, and users exceed 100 million in the Imperial City alone!
Not to mention there are other cities out there! There are also operating expenses, maintenance fees, employee wages and bonuses of companies in various places, etc.
Added up, the money burned every day is an astronomical figure!
And before becoming a takeaway leader, Are You Hungry had no way to make a profit?
"The money-burning strategy is very effective. We in Imperial City have already accounted for 50% of the market share. If we continue, we will definitely not be able to sustain the rice ball delivery!"
After pondering for a moment, Shang Ying said confidently: "It doesn't matter what the business is, this part of the subsidy can be reduced.
The worst thing is not to be exclusive!
But welfare measures for users must be maintained!
Users come first. As long as users are given enough subsidies, they will naturally order takeout from Are We Hungry? "
"Also, we need to deeply cultivate the student group! There are many students in Daxia, and parents are willing to spend money on their children. Moreover, they will be the main consumers in the future. It will definitely be right to subsidize the student group more!"
“In addition, we will focus on carrying out activities in big cities such as Imperial Capital, Magic Capital, and Yangcheng, and at the same time, we need to sink the market and open up the vast small county market and rural market!
Those are all potential main consumer groups! "
If Chen Mo were here, he would laugh out loud.
Shang Ying simply stepped on the thunder with precision!
Student groups and lower-tier markets account for a pitifully small proportion of takeout orders in the early stages. If you go deep into this area, you will be giving away money in vain!
Moreover, users in super first-tier cities have already stabilized and saturated the area in these days of food delivery wars. If they focus on burning money, the input-output ratio will be pitifully low.
Also, the most ridiculous thing is...
Shangying actually focuses on subsidizing users and reducing subsidies for merchants!
This is simply putting the cart before the horse!
However, the people in the Five Provinces Business Alliance are all old antiques. Like Shang Ying, they have old-fashioned thinking and cannot use the Internet at all.
Whatever Shang Ying said, they would all say, "Ah, yes, yes, yes," and "Mr. Shang makes sense," and they were done with it.
After both sides formulated their strategies, the takeout war continued to heat up!
The money-burning war is also continuing!
These days, almost all users are eating takeout for free, and everyone is crazy about it!
With the showdown between Fantuan.com and Are You Hungry?, the whole city has become a storm, attracting the attention of countless big names in the world's economic circles!
…
…
Half a month later.
Chen Mo summoned Wang Xing, Murong Jun and other senior executives.
"Mr. Chen, our strategy is very successful. We have defeated 70% of AB City.
Are you hungry now? If you want to enter a city, the customer acquisition cost will be 20 times that of ours!
If we spend 100 million in City AB, they will have to spend 2 billion to get the same effect, and the business will not be able to spread at all! "Wang Xing reported the report with a beaming smile.
"After the Ultrain system was launched, it has been widely praised. Our gross profit margin has increased from 1% to 7%, and our distribution efficiency has increased by 50%.
Nowadays, many users in ab cities know that the delivery of Hungry Me is very chaotic, with uneven delivery riders, and it is difficult to effectively guarantee the quality and efficiency of food delivery.
On the other hand, since our own employees are not outsourced, the delivery efficiency and quality are more than 10 times better than those of Hungry? "Murong Jun also said with a smile.
"Following your instructions, we focused on giving subsidies to mid-range merchants, and at the same time suppressed competitors through subsidy activities (lower prices), or used subsidies as bargaining chips to promote exclusive merchant agreements (exclusives have subsidies, non-exclusives have no subsidies).
The scenarios and categories of subsidies are also constantly expanding. The scene initially focused on lunch (fast food), and later began to expand the scene to subsidize afternoon tea and late-night snacks. In terms of category, the subsidizing of West Express is to increase sales and subsidize meal pick-up orders.
The effect is very good!
Nowadays, many consumers know that many middle-class businesses only offer rice balls for takeout. Regardless of the subsidy, as long as they want to eat those brands of food, they must come to rice balls for takeout! "Li Shubin will report.
From the perspective of platform revenue, subsidized mid-range merchant platforms are the most profitable.
Low-end merchants are less attractive to consumers and have low profits, so it is difficult for platforms to make money on them.
The most high-end merchants are very attractive to consumers and are not willing to discount. They only do brand marketing, so the discounts of these merchants are compensated by the platform.
Only mid-range merchants are willing to offer discounts and consumers are willing to come and spend.
Therefore, Chen Mo focuses on subsidizing mid-range merchants.
"Are you hungry? Where are you?" Chen Mo asked.
"Are you hungry? Over there...Pfft..."
Wang Xing couldn't help but laugh out loud: "It's completely the opposite direction over there! They actually went to the countryside to set up business! Even I know that 90% of rural people don't have smartphones now!"
Murong Junze said: "Perhaps the victory of S-class cities has made Hungry Me relax its vigilance. A large part of its human and financial resources have been put into building a food delivery ecological chain.
The business alliances of the five provinces invested in the establishment of Selection Food Company to serve as the central kitchen, and registered multiple catering trademarks including Daxia Night Supper, Love to Eat, Youjia Afternoon Tea, Dingwei, etc.
In addition to the central kitchen, Hungry Me Takeaway has successively launched projects such as fresh food, food supply, supermarkets, crowdsourcing, and e-commerce platform Quality Selection Life.
Anyway, the product line is extremely confusing. We have opened n lines and we have to do everything we can think of. "
Chen Mo couldn't help but shake his head after hearing this.
What stage have we reached now?
Have you started building a food delivery ecological chain?
This is equivalent to if you are engaged in real estate and the foundation of the house has not been built yet. It is still unclear whether it can be sold in the future. At this time, you start to engage in real estate-related hardware companies, building materials companies, real estate agencies...
Isn't this just two hundred and fifty?
"The thinking is confusing and the strategy is in the wrong direction. It seems that our opponent is not as powerful as we thought." Chen Mo said with a smile.
Wang Xing and others were extremely ashamed.
Five provinces business alliance!
Now the business community calls it Daxia Foundation!
If it were in other industries, just throwing money could burn all the big guys in other industries into paupers!
Chen Mo actually said it was not powerful...
Is this the way a strong person thinks?
Wang Xing and others had mixed emotions and were very emotional. They looked at Chen Mo with eyes filled with admiration.
"In addition to continuing the previous strategy, we also need you to engage in some gimmick marketing." Chen Mo said.
"What kind of marketing?" Wang Xing asked curiously.
"For example, what do you think about a big A-list celebrity personally delivering food to you?" Chen Mo said with a half-smile.
boom! ! !
Wang Xing's brain exploded on the spot. He couldn't help but open his mouth and his eyes sparkled...
