2015-07-20 13:57

 

The king to direct health care appliance on reentry to reverse the loss

 

[CNDSN7 20 days] (Beijing business daily) recently, the first half of this year, the group released the first half profit warning announcement shows that the group's net profit for the loss of 51626000 yuan. This is the five consecutive year since 2010, the overlord group and a half net profit loss. In order to losses, the king said, will launch a new product and development of new sales channels. According to the Beijing Daily reporter, the new product is home appliances and health care products, such as non day of the main industry products, and the new sales channels are direct sales channels. Industry analysts believe that direct marketing success hinges on direct sales team building, and this process requires at least three years time, so Bawang group betting on new products and direct sales channels and not loss in a short period of time.
Performance for five consecutive years and a half loss
King group, said the first half of sustained losses due to the production and sales of household personal care products continue to operate business sales fell, the first half of the overall sales fell by about 22%. Data show that the first half of 2015, the king of the first half of 101000000 yuan revenue, net profit of 51626000 yuan loss.
It is worth noting that the king of the group had been net profit for five consecutive years of losses. In 2010 were disclosed in the media products contain dioxane, the year profit loss, the amount of loss is 1.18 billion yuan, then despite the State Food and drug administration to come forward to "prove innocence, but Bawang group still suffer, performance loss a unmanageable. 2012 king of the loss amount of 618000000 yuan, up to five years in 2014, a total loss of 1548000000 yuan. It is understood that the king group in Hong Kong listed in 2009, a total of HK $1666000000 financing.
The main reason for the performance of the performance of the king group explained that China's overall economic slowdown and the traditional sales channel business model change. But in the eyes of Gu Jun, Deputy Secretary General of China Association of department stores and commercial cosmetics and washing products branch, in addition to the affected by the "dioxane incident", the lack of product innovation is the overlord group performance loss.
Ya Baofei main product
King group announcement shows that in order to improve performance, the group is planning to launch new products and develop new sales channels and other issues. It is understood that the new products and new channels for the king group refers to the expansion of direct sales channels as well as new products in direct sales channels.
In early 2014 March, Overlord group was exposed to the development of direct sales channels. Beijing Daily reporter yesterday opened overlord group direct website -- the first network system, "overlord March 2015 15, start a new direct mode" rolling appeared on the front page. In applied in the direct sales of products exhibition, household appliances and health care products and other non overlord group main business products is very eye-catching, a crape myrtle capsule health care product price 4000 yuan, net Al Liv kettle, the price of water purifier and air purifier respectively for 1000 yuan, 6000 yuan and 8000 yuan and anti King off the price of shampoo are tens of dollars, highest do not exceed 100 yuan.
Insiders, who declined to be named, said, "dioxane incident" affected, Overlord shampoo product sales have been seriously affected, if relying solely on dozens of yuan of shampoo to expand marketing channels complete losses of the performance is almost impossible, so Bawang group launched more profitable home appliances products and health care products.
Prospect
"Under the background of the traditional sales channels and traditional product sales are not ideal, Overlord group chose direct sales channels and non main business products, go a step risks chess", the industry to the Beijing Daily reporter analysis indicated that "the success of the direct sales model almost completely removed the will in the direct sales team building, and the cultivation of a professional marketing team needs at least three years time, in a short period of time for Fighter Group's losses will be difficult to achieve".
According to public information, the king group's direct sales team has been in a change. Previously served as direct selling enterprises Merro International Executive Vice President Tian Xiaochun and has served as Amway (China), vice president, Tiens executive president, President of Herbalife China, money Gangji were and Overlord group had levels of direct contact, but eventually left and subsequently has been set up Kunming color Princess coffee Yang Jian responsible for the direct sales business, currently the project responsible person becomes served as Xie Guidong lung nilfisk direct marketing department, general manager of China.
"In addition to the direct sales team building, the traditional sales channels and direct channels of the balance is the key. This equilibrium is not only to make direct sales team to have an advantage, and can not damage the interests of the traditional sales team, otherwise Avon in China's business model is a lesson. " Deputy Secretary General of the China market society direct marketing expert committee.
Relevant person in charge of the king of the media previously disclosed to the media, King Group has formally applied for direct sales license, and has been handed in 20000000 yuan margin. But Beijing Business Daily reporter query the Ministry of commerce website, in the company's application for direct sales list did not find the name of the king. For progress and the current situation of direct application, Beijing Business Daily reporter yesterday to the relevant person in charge of the king of the group to interview outline, but as of press time did not get a response. 3
(original title: direct overlord "new weapon" from Ya Bao appliance health care products to reverse the loss)
Editor: small Shen