The Last National Day Carnival of Home Appliances to the Countryside: The 4-year Policy is about to kick off

On September 22, only one week left from the National Day, Miao Shouqiang was in a meeting all day. He is an account manager in the third and fourth level markets of Haier Group.

On the evening of the 22nd, their sales team had to work overtime to come up with the framework plan for the National Day Promotion, and when the group’s headquarters’ overall promotion plan came out, they could immediately implement it. Miao Xiqiang has been very busy, because this is the last National Day before the end of the home appliances to the countryside policy. "Surely we must seize this final promotion opportunity of the National Day to increase sales again," said Miao.

From the second half of this year, he was planning a countdown to the deadline for home appliances to the countryside. During the Mid-Autumn Festival, he had already seized a chance. The Anqiu store had a happy purchase of nine days and nine nights, and his performance soared for the most day. Sales revenue 700,000 to 800,000 yuan.

Zhang Tieyan, global brand operation director of Haier Group, told reporters that in the short term, the end of the home appliances to the countryside policy will have a certain impact on the industry. However, at the same time, the demand for rural home appliances has continued to grow. This is an opportunity for major brands of home appliances that truly meet market demands and possess brands, quality, technology, and services.

The last revelry

Miao Xiqiang is developing different national day promotion plans for different user groups. He intends to continue his differentiated marketing. He said, for example, newly married, can provide a package of home appliances program; new home, providing a complete set of home appliances and decorative style to match, harmonious and beautiful; there are redemption, focusing on innovative products.

In short, different groups of people have different plans. For every population in the rural market, it must be subdivided. When Miao Shouqiang talks about his marketing techniques, he will never stop talking. While he was busy formulating plans, he was busy spreading the news that the home appliances to the countryside policy was about to end to the governments of Anqiu and other places. He hoped that they would cooperate with propaganda.

Miao said that we hope to inform all potential users of the purchase of home appliances and apply for preferential policies related procedures. He explained that the local government would have a special information officer to help with such things.

The reporter was informed that the policy of home appliances going to the countryside for four years will soon be on the curtain. The Ministry of Finance, the Ministry of Commerce, and the Ministry of Industry and Information Technology have jointly issued a notice that the first phase of the home appliances to the countryside policy will end on November 30, 2011 as scheduled.

The United States, Skyworth, and TCL are also secretly preparing for the battle, reluctant to disclose their marketing plans. A competition to share the final dinner of home appliances to the countryside policy is quietly underway.

Beneficiaries

Miao Xiqiang is now in charge of management in Anqiu area, there are about 60 stores and sales network. He said that almost half of the network was established after the implementation of the home appliances to the countryside policy.

In addition to the 13% subsidy for home appliances to the countryside, Haier also implemented strategic cooperation with the local Huinong Office of Anqiu and obtained a local subsidy of approximately 5%. Miao Tzuqiang said that after the implementation of the home appliances to the countryside policy, it is more affordable to the people and has obtained inexpensive products. Distributors have a stable interest. The enterprise also got a rural market.

According to statistics provided by Haier, the implementation of home appliances to the countryside has been effective for four years. Haier's current ratio of urban and rural markets accounts for almost half of the total. Haier’s sales of home appliances (Weibo) increased by more than 30% for three consecutive years.

Skyworth Group also stated that from April 1st to August 31st this year, the sales of household appliances to the countryside accounted for the total sales of the domestic color TV market, the first phase was 5%; the second phase was 8%; the third phase It is 16%.

According to the data released by the Ministry of Commerce in early September 2011, by August this year, home appliances sold to the countryside have sold 180 million units of rural products, realized sales of 405 billion yuan, and issued financial subsidies of 46 billion yuan, and this intermediate refrigerator, color TV, air conditioning and Washing machines are the fastest-growing products for home appliances to the countryside.

In the four years since the implementation of the home appliances to the countryside policy, the big brands have established relatively sound market channels in the third and fourth-tier markets. The stores of many products under the United States' Refrigeration have exceeded 15,000 in the country, covering all levels of county and township markets. The overall sales of Midea’s home appliance products to the countryside rank among the top three in the industry.

Zhang Tieyan, global brand operation director of Haier Group, said that in terms of channels, Haier added tens of thousands of retailers and franchise stores, established a “sales to village” marketing network, a “delivery-to-door” logistics network, and “services” throughout the country. "Home" service network. In particular, the policy of home appliances to the countryside has just been introduced for the first two years, especially for the improvement of efficiency.

Future growth

Miao Shouqiang is not worried about the suspension of home appliances to the countryside. He said that Haier's third and fourth-tier markets have been conducting switchovers and transitional work before and after the policy is halted, and will not have a great impact on performance.

He stressed that this switchover and transition has been ongoing. From the network layout, to the planning of products, to the marketing activities, all are preparing early. Especially for user segmentation, where users are, user needs, etc. For the annual user needs, upgrading plans, they need to be more accurate grasp.

Every month, Miao Shouqiang must communicate with the distributors and inform them of the trends of the products and the trends of state policies. Inform the headquarters of the plan, provide some guidance, and help resolve the issues raised by the distributor.

Zhang Tieyan said that in the era of home appliances to the countryside, Haier launched the “countdown to home appliances to the countryside”. When it comes to development planning, the factors of halting home appliances to the countryside have been taken into consideration. Including the replacement of products, changes in services, etc.

The U.S. Group also told this newspaper that after the orderly exit of home appliances to the countryside, the rigid demand for rural consumption will continue to maintain the growth of the third and fourth-tier markets. The comprehensive advantages already established by big brands in the 3rd and 4th markets will play a role and will not be affected much. Small and medium-sized brands may be affected to some extent.

According to the Ministry of Commerce's sales data on home appliances to the countryside in recent months, the policy effect has started to decline.

Skyworth Group stated that in the past few years and in the long run in the future, the demand for China's TV sales market will be dominated by replacement demand. Even after the home appliances to the countryside policy is over, TV demand will continue to grow in the medium term. “The policy of home appliances going to the countryside has a greater impact on the benefits and future impact of small brands. This policy has enabled them to survive. This is a concept of life and death.” Zhang Tieyan said.