No matter which field it is, foreign brands have been very slow to respond in China.

The mobile phone purchase boom in chain malls such as Gome and Suning did not alert foreign mobile phone manufacturers until the fifth day of the Lunar New Year, and the first person to react was Motorola.

Motorola is now the runner-up in China's mobile phone sales. It has three magic weapons: rapid launch of new products, accurate market positioning, and localization of China.

Among them, "localization" is the most commendable. Motorola not only built factories in China, but also continued to promote upstream manufacturers to build factories in China, which led to the "sinization" of its spare parts becoming more and more obvious. Even in the first two or three years of the early 21st century, Motorola was even more "Chinese" than many domestic mobile phones, and eventually realized that most of the mobile phone parts were produced or purchased locally in China.

However, although Motorola reacted first, the first foreign brand to cooperate with Suning and Gome was Nokia.

Because Motorola has a national general agent and regional general agent in China, such as the sales of mobile phones in Beijing are all given to the general agent in Beijing. If Gome wants to get away from the general agent in Beijing and directly get goods from Motorola at a low price, it is impossible. Motorola must communicate and negotiate with the agent first.

Why did Nokia come from behind in China and firmly hold the throne of mobile phone sales in just a few years? Its magic weapons also include three: price wars, low-end routes, and channel construction.

Nokia is constantly shortening its supply chain. After learning that Gome and Suning also sold mobile phones, it quickly reached cooperation with these chain malls. So on the eve of the Lantern Festival, Nokia suddenly entered major chain malls and set up special counters in the most conspicuous locations, instantly comparing a number of domestic mobile phones.

At this moment, Motorola is still communicating with agents. It has been a month since the Spring Festival that the general agents across the country and the general agents from all over the country have successively signed agreements, and these agents directly supply the chain malls and give the chain malls the maximum price discount.

As for Ericsson, which has the third largest market share in China, its positioning, publicity and channels are in chaos, and it did not enter major malls until summer. By the way, Ericsson is about to fall out of the top three. It has been a large amount of inventory backlog since 2000. In 2001, when domestic and foreign manufacturers made a lot of money, Ericsson mobile phones continued to lose money, and eventually had to merge with Sony to reorganize it into "Sony Esports".

Perhaps some friends would say that at that time, people were superstitious about foreign brands and would rather spend more money to buy foreign mobile phones.

This statement is correct, but it is also wrong.

We also look at the market share of domestic mobile phones in previous years, in 1997 (0%), in 1998 (5%), in 1999 (6.4%), in 2000 (12.3%), in 2001 (19.8%), in 2002 (33%)…

The previous set of data does not include a large number of counterfeit mobile phones. If the counterfeit mobile phones are included, the domestic mobile phone market accounted for at least 50% in 2002.

Two words: Cheap!

At that time, the consumption level of Chinese people was not high, and they could make phone calls on their mobile phones. There was no difference between a 1,000-yuan mobile phone and a 3,000-yuan mobile phone. Therefore, when domestic mobile phones freed up huge profit margins for channel dealers, channel dealers and retail stores were more willing to sell domestic machines to customers because they made more money by selling a domestic machine.

Such a rough and brutal marketing method directly defeated foreign brands, so that Nokia took the lead in 2002 to shout slogans: Learn from Chinese mobile phone brands!

So Nokia also began to develop wildly, constantly shortening the supply chain, continuously increasing the profit margins of channel dealers, and continuously launching a variety of low-end models. Although this product is a foreign brand, its marketing is completely "Sinicized" and has always maintained its dominant position in China.

In fact, the quality of domestic mobile phones is very poor. For several consecutive years, only Kejian mobile phones have passed the ISO9001 certification, which shows how bad the quality control of other domestic mobile phones is, and the remediation rate is generally twice that of foreign brands!

Even so, with the increase in mobile phone supporting factories in mainland China, domestic mobile phones are becoming cheaper and more and more market share is becoming higher and higher. This can also explain why Nokia is popular, with cheap prices and excellent quality, which is simply tailor-made for the Chinese.

To sum up, let’s take a look at Shenzhou mobile phones.

Although the sliding mobile phone in China was eye-catching, its sales during the Spring Festival were only one-twelve of that in China's low-end mobile phones.

This is the first domestic mobile phone that costs less than 1,000 yuan. Not to mention the performance, the appearance design can leave foreign brands of the same price a few streets! Because these foreign brands that sell for less than 1,000 yuan are old models two or three years ago, and overall they look outdated and clumsy, and they don’t even have the SMS function!

Therefore, Shenzhou d210 has become the only mobile phone in China that has SMS sending and receiving functions of less than 1,000 yuan!

This is a price war, it's simply overturning the table.

The low-end phone of Shenzhou d210 is purely launched by Shenzhou Technology to increase its market share and industry popularity. For each sold Shenzhou d210, the net profit will be less than 60 yuan. Shenzhou Technology is not as profitable as those agents and retailers!

For mobile phones of the same grade, domestic brands will be priced at least 1,300 yuan, and foreign brands will be priced at least 1,100 yuan.

So they went crazy. Not only were Suning and Gome chain malls selling, but channel dealers from all over the country were also rushing to purchase. In just one month before and after the Spring Festival, the sales of Shenzhou d210 reached 60,000 units, and the sales volume of a single model directly brought down Kejian and became the leader of domestic models during the Spring Festival.

The domestic mobile phone industry has changed rapidly, Kejian mobile phones are still the first, Shenzhou mobile phones jump to second, Bodai mobile phones rank third, TCL mobile phones rank fourth, Dongxin mobile phones fell directly from second to fifth, and may be overtaken by Haier mobile phones at any time.

However, it is very embarrassing that although the low-end Shenzhou phone is popular and the high-end sliding cover phone is also famous, the mid-end Shenzhou phone that sells for more than 1,000 yuan has mediocre sales. Because this mid-end model has no highlights, the quality and performance are better than domestic phones of the same price, but the quality and performance are not visible in a short period of time.

Two of the three mobile phones launched by Shenzhou were successful and one failed completely!

Unfortunately, those chain malls have milk and are the mothers. After reaching cooperation with foreign brands such as Nokia, they immediately regard domestic mobile phones as girls. Just walk into Gome, Suning's mobile phone area, Nokia counters are always in the golden position, followed by Motorola. No matter how good the low-end mobile phones in China sell, they can only be left behind.

Fortunately, Shenzhou has made an influence through sliding cover products and low-end models, and is rapidly building its own sales channels. Many partners who used to represent Shenzhou repeaters and U disks have transformed and sold Shenzhou mobile phones, so that the channels of Shenzhou mobile phones have come to the forefront. In just a few months, it is comparable to Kejian, Boguid and TCL.

Due to the disruption of China Technology, the market share of domestic mobile phones soared to 7.9% in the first quarter of 2001, an increase of 0.5 percentage points from the same period in the original time and space period.

The media even exclaimed: The domestic era of mobile phones is coming!

After the market statistics for the first quarter were released, Motorola was the first to significantly reduce the price. The price war for Nokia was due to the wide variety of low-end models, while Motorola launched new phones crazily, and most of them were mid-to-high-end products. Therefore, Motorola also likes to fight price wars because it has a lot of room for price reduction!

After several Motorola phones reduced their price, Nokia followed closely, directly reducing the two phones to below 1,000 yuan. Their offensive target was directly aimed at the Shenzhou d210. Until this time, the sales of the Shenzhou d210 were curbed. Under the premise of the same price and performance, consumers are more inclined toward foreign brands.

This has led to a chain reaction in the market, and many mobile phone brands have lowered their prices, among which tcl9980 became the second domestic phone priced below 1,000 yuan.

Ericsson is the most awesome. He directly reduced the price of the new phone launched half a year ago to 760 yuan, which is quite a sign of self-deprecation. Of course, it may also be dealing with the stock backlog. This price is equivalent to not making money, and it is good to be able to make a profit. Anyone with discerning eyes knows that Ericsson can no longer hold on.

However, Ericsson's table-smashing behavior has led to embarrassment in other brands. Sales of low-end models have dropped sharply, and Chinatown is also the most affected brand.

But the more the price of mobile phones is reduced, the better the business of Shenzhou Electronics will be.

The three major brands of tcl, Haier and Konka, as well as many miscellaneous brands, have successively chosen to purchase Shenzhou's mobile phone motherboards and RF chips in order to reduce production costs.
Chapter completed!