In recent years, the slogan of consumption upgrades has traversed the development trajectory of many industries. We have seen many products and brands have been transformed in the direction of high-end products. Companies are also striving to bring better experiences and services to consumers. This is certainly a trend. , It is also a good thing, but for now, the consumption upgrade is not the entire performance of the entire consumer market, or that it has not yet reached the expected height.
Taking the mobile phone and color TV industry as an example, it has a tendency of 'downgrading consumption' in the recent period. The recent mobile phone ring is not lively. Domestic mainstream brands have launched new products. However, when you look at the number, you will find these new products in addition to In addition to the 8th Anniversary flagship of millet, the rest are basically models with a thousand yuan position. For example, millet 8 SE, Lenovo Z5, Lenovo K5 Note, Lenovo A5, Glory Play, Glory 9i, etc. market.
In addition, Ov seems to have also revealed a signal that value is valued. Vivo recently came up with such a product - Z1 equipped with Xiaolong 660 processor, priced at 1798 yuan. And OPPO also on the line some time ago on the line a name For the A3 model, which carries the OPPO flagship R15 with the processor MediaTek P60, but the price is 1699 yuan, a lot lower than the R15.
Let's take a look at the color TV industry. Nail Technology noticed that Yikang, a market research organization, recently released the “618′′ promotional color television newsletter in 2018. The report shows that the average unit price of full-size products in the color TV market is quite low, as in At present, the most popular 55-inch products, the average price under the line is only 4129 yuan, while the average price on the line is even lower as 2915 yuan.
In addition, all kinds of sub-functional color TV products in the near-term market, the overall price of the overall market continued to decline in the state, which curved surface television online or offline, in recent weeks, the average price of products all the way down.
It can thus be seen that in the context of consumer upgrading, the mobile phone industry and color TV industry have shown a trend of 'downgrading of consumption'. Then, how do we view this situation?
The low-end market is still the main market, and the user needs are huge
The current mobile phone market and the color TV market have one thing in common, that is, they all begin to suffer from sluggish growth, and are even in decline. In the context of the overall market downturn and increasingly fierce competition, manufacturers need to look for new growth points. .
And when almost all mainstream companies are sprinting into the mid- to high-end market to enhance their brand image, the low-end market has left a huge space that has been 'ignored' by vendors.
Therefore, to some extent, it can be said that the current low-end market is the 'new growth point', and this is the key to the recent re-strength of the manufacturers in this market.
In fact, the low-end market has always been the main market, and user demand has not significantly weakened. Take the mobile phone industry as an example. With the entire market falling, millet rebounded from last year’s bottoming out to rapid growth in the first quarter of this year. It shows that there is still huge room for development in the domestic low-end market and it is worth exploring.
The rise of Xiaomi, in addition to its own efforts, can also be said to be an opportunity given by vendors such as Huawei Ov. Now, looking back, Huawei Ov may have realized that the low-end market is 'off the road' to Xiaomi. Strategic mistakes.
After all, Huawei's founder, Ren Zhengfei, once pointed out clearly that it is necessary to pay attention to the low-end market again. Ov is also strongly deploying emerging markets such as India. Among them, OPPO is launching a new sub-brand Realme in India, targeting the millet.
It can be seen that even if the consumption upgrade is unstoppable, the low-end market is still the main market, and the manufacturers have begun to look back at this market.
In fact, judging from the performance of the entire domestic consumer market at the moment, cost-effectiveness or 'competitive price' is still a product attribute that consumers are keen to pursue. A typical example is the establishment of less than three years, but with 'group buy + low price' The strategy has been spelled out from the rise of e-commerce platforms that have emerged from cities below the third level.
In the view of Nail Technology, the reason why the low-end market still has strategic significance and huge user demand can be mainly attributed to the following two reasons.
On the one hand, thanks to the rapid development of technology, the experience of low-end products in terms of appearance, performance, and functionality has been greatly improved compared to the past. Also taking the mobile phone industry as an example, the previous mentioned new products released in the past. Basically, they are both low-end and mid-range, and although they are not flagship products, they are not insurmountable with the flagship product.
Huawei will be 'very scary technology' - GPU Turbo first glory in the new machine, equipped with the Kirin 970 processor glory Play price breakthrough to less than 2,000 yuan; Lenovo Z5 achieve 90% screen share, there are particle technology, etc. ' Blacktech's blessing... It can be seen that the current mid- to low-end products already have increasingly high configuration and rich functions, and their use experience for users is no longer the same.
On the other hand, the consumer's consumption concept is gradually changing. The so-called 'downgrade of consumption' is not completely on the opposite side of consumption upgrade, but rather the extension of consumption upgrade. 'Degradation of consumption' is not about quality, experience and service, but rather The blindness of consumers, the possibility of impulsive consumption, and the consumption upgrade also includes the improvement of the rationality of product pricing.
With the development of society, consumers have gradually realized the nature of consumption, even if they are increasingly pursuing quality and style, but they are also gradually returning to 'rational consumption', that is, unwilling to pay extra, unnecessary premiums. Willing to be kidnapped by high prices. In simple terms, it is not that everyone is stupid.
In the view of Nail Technology, consumption ultimately does not stop with the satisfaction of the material. It is the real orientation of consumption escalation that makes each of its own consumption more valuable. From this perspective, the concept and attitude of consumer spending The change is not a good trend.
The impact on the high-end market is not easy, but it is a protracted war.
Regardless of the mobile phone industry or the color TV industry, major manufacturers have been hitting the high-end market in recent years, and they have been accelerating their deployment overseas. They strive to build a high-end, international brand image. This is certainly worthy of recognition, but for now, domestic manufacturers are far away from this. There is still a short distance to a goal.
In the mobile phone industry, it is difficult for domestic manufacturers to shake Samsung. Apple’s position in the global high-end market may be due to the fact that the latter two have been deeply cultivating this market for many years. Brand image, influence and public perception have long been established, while domestic manufacturers have started late. Of course, the gap in core competitiveness at the product level is also an important factor that cannot be ignored.
In the color TV industry, there is a big gap between domestic manufacturers and Japanese and South Korean manufacturers such as Samsung, LG and Sony. The reason is not only that these Japanese and Korean manufacturers control the supply chain of high-end OLED panels, but also that their technological R&D strengths have led to a continuous improvement in product innovation. Many Chinese high-end brands that are actively transitioning to the sea still remain in the 'manufacturing' stage and their performance is not satisfactory.
Impact on the high-end market, shaping the international brand image is not a long-term success, but a protracted war. Only continue to exert efforts on core technologies to further enhance product innovation, create differentiated competitive advantages, and improve the industry's upstream supply chain capabilities, Can we really stand in the high-end market and even lead, otherwise we can only play the role of 'chaser' forever.
Therefore, it is not unreasonable for domestic manufacturers to come back to lay the middle and low-end market in a situation where the high-end market is difficult to win.
Currently, the so-called “downgrade of consumption” is a necessary link in the economic development of the mobile phone and color TV industry and even the entire society. Consumption upgrade is the trend of the times. The prices of mobile phones and color TV products will also be expected to recover in the future. Only the consumption at that time. Naturally, people are more 'mature', depending on the degree of 'good life' that consumers' products and services can bring to consumers. This will, to a certain extent, determine the height to which consumer upgrading can be promoted.