How to create a new value proposition

The international trade environment is not what it used to be. "Made in China" urgently needs to be transformed. How can foreign trade companies create their own development strategies? Global Sources, together with its "CEConline", continues to create a series of "Outsmart the Future" export forums, providing an excellent exchange and learning platform for foreign trade enterprises. Mr. Zou Yi, technical expert of SGS Standard Technology Service Co., Ltd., delivered a speech on how enterprises can create new value propositions in the new economic era.

Since he joined SGS, Mr. Zou has been engaged in project development, guidance and implementation in the textile field, especially in the management and control of hazardous substances, he has accumulated rich knowledge and practical experience, and has provided relevant training, factory audits, Technical consultation and project implementation.

Zou Yi: Good afternoon, ladies and gentlemen, I am very happy to share with you here. If I want to ask the representatives of the companies here a question, what are the advantages of the products or services you currently provide, I believe there will be various answers to this question. For example, some of you must have told me that our quality is very stable, the design is very beautiful, the appearance is very sophisticated, including the service has a great advantage, and the cost is low, the price has a great advantage and so on. All of these things are actually to reflect the difference between us and the same category of products.

What is the difference? Differentiation is the basis for our products to stand at the core of competition in this market. With the fierce competition in the market and the increasing participation of our competitors in this battle, sometimes the marketing methods or differentiation methods that we rely on to survive will sometimes become the direction of our future efforts.

First of all, let's look at a case. We all know that Jeep is the originator of SUVs. It was the reconnaissance supplier of the US military in World War II in the last century. Because of its special purpose, it is necessary for reconnaissance. This car can adapt to different road surfaces, and the durability must be very good. We saw a change in people's thinking after the two oil crises in the 1970s. At this time, Japanese cars represented by Toyota began to prevail. Its main advantages are light weight, relatively cheap price and very good operability.

Jeep is about durability, Toyota is about handling, and price. However, we can see that with the intensification of competition in the entire market, many companies will focus on their own shortcomings, such as Jeep or other off-road vehicles that focus on off-road performance. I will make a fuss about my own handling or portability, etc., and try my best to make up for my shortcomings. Conversely, Toyota regards its price, lightness and operability as its own marketing advantages. Of course, it will also complement it from the perspective of durability and its own shortcomings. According to the latest statistics, Japanese cars are the safest in the market and have the lowest accident rate.

We can see that with the further intensification of competition, a unified price measurement system is formed, which will consider durability, safety, fuel consumption and other aspects, because consumer requirements are increasing, in order to meet consumer requirements , will improve some aspects of their own shortcomings accordingly. In the end, what is a word that leads to this competitive situation? Heterogeneity and homogeneity, I have my advantages, and I am also not bad in other aspects, everyone is different, and finally leads to differences, the differences between individuals and individuals, products and products may become more and more Small, brand-to-brand differences. For us, we may also encounter such problems. We all know that this kind of competition is intensifying, and consumers are demanding more and more. For me, I do more and more things, and the same is true for our competition. , so everyone will gradually improve or increase the product advantages in a unified measurement system.

So how do you discover new value propositions in this race? Let's look at the case of IKEA. There are many friends who have been to IKEA. Here are three points: service, user experience, and furniture styles are very different from others. For example, IKEA has set up a special children's center, which provides many packages for children, including free baby packages, which can help babies change diapers, etc. All these measures are available. After doing this, parents are very willing to take children with them. Because there is someone there to take care of it. Including IKEA is from northern Europe, and there are supermarkets specially imported by Beizhou. If you buy food, you can also make a purchase, including special products. There is also the most important thing called experience, because the home display style of IKEA is completely different from that of ordinary retailers. Ordinary retailers are warehouse-style and relatively boring. Like IKEA, it provides a feeling similar to shopping. There is no purchase or shopping guide. At the beginning, there are kitchen to living room, bathroom to master bedroom, etc. When you visit IKEA, it creates a relaxed and pleasant one. way of shopping.

It's a happy thing to go shopping like a girl, but it's a relatively painful thing for a boy to go shopping. Therefore, IKEA's furniture style is relatively indirect, because sometimes it is painful to choose too few, and it is also very painful to choose too many. IKEA's furniture style is simple. Why IKEA will stand out in this competition and find its own advantage. IKEA is expanding very strongly in China, with an annual growth rate of 20%. It finds some unique value propositions outside of the unified measure, creating this experiential marketing approach, experiential shopping needs. This new harmony was finally created, allowing it to stand out in this competition.

Back to our topic today, for our traditional manufacturing industry, with the development of society and the development of the Internet, especially the Internet, including mobile Internet technology, how can our traditional manufacturing industry be able to compete in this competition Find your own value proposition and build your own differentiated marketing advantage. So let's take a look at the current environment first. We all know that in recent years, the safety of food, including consumer products, has become the focus of attention, and the safety issues that have been frequently reported in recent years have often been around. From the earliest developed countries in the European Union and the United States to developing countries, countries in all major target markets have gradually adopted corresponding legislation on consumer safety. Looking at some activities in the society, including NGOs, NGOs represented by Green and Peace have been targeting the textile industry since 2011, and some other industries have conducted relevant research and publications on consumers.

Why is this society developing in this way? We compare it to a process of rising water and boat height. The rise of the ship's level is due to the rise of the water level. The rise of the water level is a concept rooted in people's hearts. How do you understand it? For example, 30 years ago, it was not a problem for teachers to beat children, but now it is corporal punishment for teachers to beat children.

So in fact, what kind of enlightenment does it have for our enterprises? We have come to the new economic era today. It is based on the emerging economy, the technology economy, and the network economy. era. Although the progress and development of science and technology will inevitably bring some by-products, or problems that may need to be solved, such as environmental problems, carbon emission problems, and energy crisis, etc. As our enterprise, those who encounter these problems At the same time, how can we actively build this high-quality sustainable supply chain, and finally reduce our own operational risks, enhance our brand image, and find the value proposition or value barriers that have not been met in the value chain? In fact, we also need us Issues that enterprises need to think about in the future or long-term development.

It has always been said that in the era of industrialization, the sale of a product is the end point. In the Internet era, the moment we sell a product is actually just the beginning of a marketing campaign. More and more brands will also provide intangible assets, and intangible assets also play an increasingly important role for us. Word of mouth should, and you have a good reputation is a prerequisite for good sales.

For an enterprise, it is divided into two parts, one is the organizational level and the other is the individual level. At the organizational level, it is the work environment and corporate culture. For example, as an outdoor company, it invests 1% of its sales in environmental protection. This is at the organizational level. At the personal level, I have only professional experience. Here we take the control of hazardous substances as an example. First of all, we need to know that if I am doing export, whether I do export or domestic sales, I need to know what the relevant legal requirements are. Among these requirements, we are divided into those hazardous substances and restricted substances, what are these requirements, and on the basis of understanding these, I have to meet these requirements, and how can I obtain information on whether there are these restricted substances in my products?

Then we say that there are many abilities. The key is to see what abilities you want to do and what abilities your goals require. We will focus on those abilities. After we have these two foundations, we will look for them. Grasp some nodes. Of course, when looking for these key nodes, I believe that different types of enterprises have different knowledge and experience. There are some key behaviors that cause it to do things well.

At the same time, once there is a problem with our product, how to establish a good system to quickly find the root of the problem. You can see that there are two under it, one is called data management, and the other is called effective communication. We have entered the era of big data, and data has become an important asset of enterprises, so the effective use of data must play a key role, as well as effective communication. Relevant stakeholders, there are so many people who will have an impact on us in the production process and business activities of our enterprise. We must maintain corresponding communication with them, and some information must be kept symmetrical to a certain extent, so as to reduce operational risks. This is also a key control point for the control of hazardous substances in the supply chain, which is called a general management system. From upstream, process product testing, packaging materials, etc., these are some points that we can focus on and start from.

Finally, let's talk about the export system. I have these key control points, how can I finally incorporate them into my enterprise, combine with the enterprise strategy, and incorporate them into the operation system of the entire enterprise. We say that the entire quality environment has gone through more than 100 years of development. In fact, it has gone through several stages and is relatively mature. At the earliest, you may also know that point-to-point testing is the simplest test. Get the sample, test it, and if it is good, it will be released, and if it is not good, it will be returned. This is the earliest stage. Later, the development line, this statistical process control, for an extension of the front end, not only to control the point, but also to control the entire production, to ensure that the production environment is within the entire control range, and finally to ensure that my products meet the corresponding requirements requirements, which involve control and preventive measures. It is further developed to the next level, which is the concept of surface and body. Surface has formed a three-dimensional structure. It says that the problem of quality is not only a problem at the manufacturing level, but also affects the entire internal structure of the enterprise such as marketing, design, procurement, and service. There are also administration, etc. that need to be considered comprehensively. Only by playing a role can the product meet the needs of customers. The further improvement is the body, and the body is deeper and can be incorporated into the quality control, into the strategic level, how to satisfy customers, make customers satisfied, and rise to the level that is combined with the strategic goals of the enterprise. The final development is not only three-dimensional, but also an infinitely diffused, network-like structure. For our current era of great integration and great economy, we need more people, including shareholders, employees, and some managers. Externally, there are suppliers, partners, governments, local communities, etc. Their value is taken into account, and finally we achieve such a goal.

Then, of course, how to establish such a comprehensive system and control of dangerous substances? We now have many standards and requirements for reference in any system, such as ISO9001, which are relatively familiar. Ultimately, to a level, we need to build a high-quality supply chain, which is to be combined with the strategy. What is the strategy? In order to achieve my goal, I designed a series of methods for it, using our policies and finally through the management of the process, not only manufacturing, purchasing, sales, but also quality control, etc., all of which are integrated into such a system. among.