In the past 18 years, the news that Jinli Mobile was caught in the crisis of the capital chain was frequently exposed by the media. The news that Jinli Mobile is experiencing an unprecedented capital chain dilemma and that it has been sued by suppliers to the court to freeze assets. It was intended to attract investment and production. To attract foreign investment, we must lay off our staff, and cut the proportion by nearly 50%!
6 billion advertising costs can not stand up Jinli mobile phone, which Jinli mobile phone? Yes, this Feng Xiaogang, Shawn Yue, Liu Tao, Xue Zhiqian and other big-name celebrity endorsement of this Jinli mobile phone.
Deep debt crisis, gold layoffs to save themselves
In the three months, the rumors concerning the Jinli mobile phone debt crisis raged on the news. The news was that the 'First People's Court of Dongguan City held a freeze on 41.4% of the company's shares held by Liu Lirong' on January 10 this year. The news was exposed by the media, followed by January 16. The 'Shenzhen Intermediate People's Court again freezes 41.4% of the shares of Jinli Group held by Liu Lirong' for three years. In this way, the rumors of the Jinli Debt Crisis even proved to be intensified.
On the evening of April 2nd, Jin Li’s official Weibo officially released a “Some Information on the Current Situation of Jinli Industrial Park” indirectly admitting that Jinli Mobile really faced the debt crisis and had layoff preparations. According to public reports, Jinli mobile phone appeared since the end of last year. Breaking the capital chain, the debt exceeded 10 billion yuan.
In 2016, Jin Li’s excessive investment in mobile marketing expenses and investment costs, and the ambiguous product positioning all caused Jin Li’s capital chain to suffer a lot. In this official statement, Jin Li stated: “Please ask us to give us more. A little time spent this difficult time. '
Regarding the news of layoffs, Jin Li disclosed in the “Situation Notes” that a formal document was issued on March 31. Some employees of Jinli Industrial Park will cancel the labor contract through negotiation. They will also adopt the “N+1” method to compensate and pay in installments. The payment has been completed within 8 months. At the same time, Jinli has adopted the investment protection program. Now it will adopt the method of reducing the cost of layoffs. To ensure the normal operation of the production line, Jinli Industrial Park not only retains about 50% of the employees to continue production, but also has ODM manufacturers assisted in the production of Jinli mobile phones and provided Jin Li with domestic and overseas orders. These all indicate that Jin Li’s performance in handling the crisis of the capital chain is still positive. Therefore, the current difficulties are largely related to Domestic mobile phone brands are facing difficulties.
Employees go to work, colleagues want to 'poach people'
The Jinli Industrial Park in Dalingshan, Dongguan is called 'Asia's largest single smart terminal production base' and covers an area of 258 mu. The staff can accommodate up to 12,000 people.
According to a report by the Southern Metropolis Daily, the Jinli plant is still in production. Some employees claim that the factory has not stopped work, but the work is not too busy. It takes 7 hours a day. About layoffs, the grassroots employees have not yet received specific notice.
Even so, some mobile phone companies in Dongguan have started to move. In the recent period, private vehicles in Jinli’s factory often appeared. Some employees claimed that these private cars were used for inquiries. Currently, mobile phone companies in Dongguan are very short of people, especially those who are R&D personnel. Hard to find.
At least 5 suppliers involved
According to the Southern Capital Reporter, as of today, Jinli Mobile’s funding chain crisis has involved at least five suppliers, namely Ophelia Technology, Shen Tianma A, Veken Elite, Shenzhen Huaqiang, and Oriental Bright Color. February 7, Europe Philippine Technology replied to Shenzhen Stock Exchange's inquiry letter that Dongguan Jinming Electronics Co., Ltd. and Dongguan Jinzhuo Communication Technology Co., Ltd. (subsidiary of Shenzhen Jinli Communication Equipment Co., Ltd. (hereinafter referred to as 'Jinli')) owed 626 million yuan, Apply for seizure of Jinli’s equity in Weizhong Bank, Jinli’s equity held by Liu Lirong, etc.
Shen Tianma A stated that the provision for bad debts of RMB 18,563.85 million (unaudited) in 2017 was mainly due to the fact that individual customers failed to fulfill their payment obligations in accordance with the payment date agreed with the company. Jinli’s mobile phone has always been its mobile phone display. The main customer of the screen.
In addition, on January 26th this year, Veken's elite announcement stated that Jinli, the subsidiary's largest customer, owed receivables of 84.049 million yuan in receivables; Shenzhen Huaqiang also disclosed in its recently disclosed 2017 annual report, 'Cause Difficult to recover, the company's wholly-owned subsidiaries Shenzhen Xianghai Electronics Co., Ltd. and Xianghai Electronics (Hong Kong) Co., Ltd. to customers Dongguan Jinming Electronics Co., Ltd. and Dongguan Jinzhuo Communication Technology Co., Ltd. (both of which are Jinli’s Subsidiary) accounts receivable for impairment provision of 64,425,800 yuan.
At the same time, Guangdong Jiangfen Magnetic Material Co., Ltd. mentioned in the “Announcement on 2017 Provision for Withdrawal of Asset Impairment” issued at the end of February, the company’s wholly-owned subsidiary, Shenzhen Dongfang Liangcai Precision Technology Co., Ltd. and its subsidiaries. The customers Dongguan Jinzhuo Communication Technology Co., Ltd. and Dongguan Jinming Electronics Co., Ltd. have recently experienced tight funding links. The company has significantly reduced the production and delivery of its products. Based on the principle of prudence, it has prepared RMB 384.00 Ten thousand yuan.
At the beginning of March this year, Jinli Group responded to suppliers' problems and stated that at present, the cooperation between Jinli Group and its supplier Ouffy Technology is normal.
2 years, 6 billion advertising fees
From 2016 to 2017, Jinli invested more than RMB 6 billion in marketing expenses, and invested more than RMB 3 billion in external investment in the last three years. The two items totaled nearly RMB 10 billion. This has a significant impact on Jinli's capital chain, resulting in difficult cash flow. From 2016 to 2017, Jin Li has invited Feng Xiaogang, Yu Wenle, Xu Fan, Xue Zhiqian, Liu Tao, Ke Jie as the spokesperson for the Jinli brand, and invited the “Dang Kang Secretary” to serve as the 'Chief Security Experience Hall' for Jinli’s mobile phone products; Feng Xiaogang and Yu Wenle are dedicated to Jin Li. The brand shot a movie-level advertisement "Mobile Phone Battle."
At the same time, Jin Li’s investment in variety shows in the past two years is also very large. There are 12 programs with title titles including: CCTV’s 6 sets of “National Film Premiere”, Dragon TV’s “Swordsman”, “Four Famous Helpers”. 》, "Tonight's Parade", "Happy Comedy 3", Beijing Satellite TV "Cross-Border Song King", Jiangsu Satellite TV "We Battle It", "Most Powerful Brain", Zhejiang TV "True Voice", "Happy Comedy Man" 》, The Law of Challenges, Hunan Satellite TV's "2017 New Year Concert" and so on.
According to reports, during this period, the title prices of programs affecting the University of Lida are generally over 100 million yuan. When the exclusive title is claimed, the fees will also have to rise. The exclusive title of “Swordsman” is 180 million yuan/season, and the “Happy Comedy Man 3”. The title fee exceeded 200 million, and the title fee for the "Overlord Song King" was over 250 million. The "Most Powerful Brain" title fee had reached 250 million a few years ago. In addition, Jin Li also named the TV series Chu Chuan. In this separate section, Jinli only sponsored variety shows. The investment in TV dramas was at least 3 billion yuan. Before that, Jin Li also stated that the promotion costs for the two S/M series in 2017 reached 1.9 billion yuan.
New listing market is flat
From the perspective of visibility, taking Dongguan as an example, as a base for the production of smartphones such as Huawei, OPPO, and Jinli, in Dongguan, these mobile phone brand stores can be seen everywhere. Only the agent stores with Jinli mobile phone logo are hard to find. There are Jinli mobile phones. Sales staff said: 'Jinli mobile phone is not to say that it is not easy to sell, compared to other mobile phones, Jinli mobile phone battery life is not to say. 'And the sales market, Jinli mobile phone is still popular, a week can sell about 10 units. However, the advertising volume and popularity of Jinli Mobile are still inferior to OPPO, VIVO.
Since last year, Jinli Mobile has launched the Jinli M7 dual-chip full-screen, Jinli S11 four-shot full screen, main body is thin, a new generation of beauty and other characteristics. Objectively, Jinli new products can not repeat around, little difference Problem. So in the transition to a young fashion brand positioning, it is difficult to fight off O PPO and vivo.
In December last year, Jinli’s mobile phone market share was 3.3%, its share shrank by 0.1%, its sales volume was 10.6 million units, and its sales volume changed by 270,000 units, ranking among the top ten in the country. But compared to September, October’s The market share has obviously decreased. In terms of sales volume, except for the rebound in October, the other three months showed a downward trend.
At the same time, according to data from a third-party data agency GfK, Jinli Mobile ranked seventh in domestic sales and sold 14.94 million mobile phones in 2017. However, this was in contrast to Liu Lirong’s domestic sales target of 30 million units at the beginning of 2017 and a challenge of 38 million units. far.
2018, The mobile phone industry is not optimistic
The “China Mobile Phone Market Operational Analysis Report for February 2018” released by the China Academy of Information and Communication Technology shows that in February 2018, the total shipments of the domestic mobile phone market were 18.12 million, a 38.7% year-on-year decrease; shipments of 4G mobile phones It was 17.534 million units, a decrease of 37% year-on-year, which was the highest in recent years. From the global market point of view, the smart phone industry is also in a situation where the growth rate has slowed down or even declined.
Previously there were reports that the business model of Jinli Mobile would undergo tremendous changes. After Jinli only ODM OEM, the brand will retain, but will not produce its own brand of mobile phones.
'It is still possible to become a foundry.' The former Jinli employees linked to the tiger sniffing net said.
'At least it's going to live.'
However, after Jin Li issued the “Situation Note” mentioned above, the vice president of Jinli Group was still running. Then he released a recent update on Weibo. He wrote: “People who can run off the marathon, there is no difficulty. It's not past. '