Why Geek Bar doesn't participate in local exhibitions
There are quite a lot of electronic cigarette exhibitions this year, sometimes several in a month, and the subsidies of major brands in these electronic cigarette exhibitions are constantly setting new highs. But not all brands have participated in this carnival, such as the electronic cigarette brand introduced to you today: Geek Bar.
2021 is a year of great changes for the electronic atomization industry.
At the beginning of the new year, the head brand Relx went public in the United States to create wealth, boosting industry confidence;
Later, the Draft for Comments of the Ministry of Industry and Information Technology on March 22 once again caused industry shocks, and the market value of the electronic atomization sector lost more than 200 billion.
The industry supervision trend has tightened again. It has been nearly a month since the release of the draft for comments. What is the actual situation of the electronic atomization industry?
From the scene of several recent local exhibitions, it can be seen that more and more dealers are participating in the electronic atomization industry. Everyone is observing the market, studying users, and considering the operational strength of brand owners. In line with the booming market, major brands have also made frequent moves. The high-value store subsidy policy and the launch of new products have made the fierce competition in offline channels imminent. The era of wild growth market layout will never return.
The surface is thriving, but it actually contains crises
Compared with other mature industries, Chinas electronic atomization industry is still in a relatively early stage. As we all know, the main channel of Chinas electronic atomization industry is the electronic atomizer mobile phone store, that is, selling products in the form of mobile phone stores. Whether it is the industrys big brother RELX adopting the model of mobile phone national packager, the number and efficiency of mobile phone channels have quickly reached the top of the industry; or followers represented by YOOZ, Xiaoye, and Bode also rely on mature models such as Huawei and OV to quickly open stores and replicate, which reflects the channel strategy of current mainstream brands.
However, under this channel thinking model, it is also easy to break out a problem. There are many stores and the store opening speed is fast, but the stores lack an effective profit model and the operating quality is poor.
Previously, at an exhibition, a senior industry insider who wished to remain anonymous described to the author that the current electronic atomization industry, seemingly thriving on the surface, actually contains a crisis. Major brands have expanded investment, launched new products, and increased subsidies at the exhibition, but the customer level, product strategy, and operating model behind them have not been sorted out.
What kind of customers should be recruited? Should the dealers or the brands recruit customers themselves? What should be done after recruiting them? Without solving these three core problems, the subsidy policies launched by various brands now look more like malicious competition.
Everyone knows that the electronic atomization industry is highly profitable, and too many people are just chasing short-term interests. Under this premise, it is hard to say whether the brand is cutting the leeks of the dealers and using customer resources to rapidly expand market share, or whether the dealers are grabbing the brands subsidy policy.
The industry is in full swing, with only one exception - Geek Bar. After releasing the 59 yuan three ceramic core cartridges blockbuster on the first day of March, it was silent. Looking at all kinds of local industry exhibitions, Geek Bar is nowhere to be seen, so what is this brand known for its [independence] doing?
Playing cards out of the box, focusing on the underlying logic of making big things
Geek Bar is a pioneer brand that combines the research and development and production of electronic atomizers with trendy culture. As soon as it was launched, it quickly gained the favor of young consumer groups with its strong financing background and precise brand positioning, becoming one of the strongest dark horses in the electronic atomizer industry.
Geek Bar can be said to be the strongest topic maker in the current electronic atomization industry. Whether it is the previously launched 1 million cigarette rods for free, or 39 yuan per rod and one cartridge for non-my glory, and then to the 59 yuan three ceramic core cigarette cartridges launched in March this year, every action has set off a round of crazy discussions among the industry and consumers.
But behind the seemingly unconventional cards, it is actually Geek Bars thinking and practice of the core underlying logic. In order to implement the concept of good products for consumers to experience at low cost, Geek Bar continues to lay out.
In todays electronic atomization industry, atomizers are generally sold in packs of three for 99 yuan, and atomizer rods are even more expensive at retail prices of hundreds of yuan. In a market environment where brand homogeneity and product homogeneity are so serious, this undoubtedly increases the cost of consumers choosing good products. Geek Bar believes that only by truly giving consumers the right to choose products, building a good user base, and allowing good products to withstand the test of a wide range of consumers can it be invincible in the current market competition.
Turn low-level products into high-level products, and high-level products into high-level products
Early before the project was established, Geek Bar conducted in-depth research and analysis and prediction on the industry, and carried out strategic deployment at each step to achieve precise strikes against the pain points of the industry. Especially in terms of product strategy, unlike some competitors in the industry who simply add new products, Geek Bar has always advocated the use of user thinking and product differentiation to complete product iteration.
Geek Bar believes that in the current channel model of the electronic atomization industry, whether it is the model of mobile phone specialty stores or the model of collection stores, traffic is the core problem that needs to be solved. Without traffic and user base, how can it continue to operate?
Lets look back at the bombshells that Geek Bar has dropped since entering the market. 1 million atomizer rods for free, 39 yuan for a Feiwo Guangcai set with one rod and one cartridge, 59 yuan for three cartridges, all of which reflect Geek Bars brand strategy. When everyone is still worrying about where the customers are and where the traffic comes from, Geek Bar has perfectly solved this problem with its product strategy.
Not participating in the exhibition now, just to participate in the exhibition in the future
The author recently contacted the relevant personnel of the marketing department of Feiwo Technology Headquarters with the question of Why Geek Bar has never participated in local exhibitions. The reply is also simple and clear Not participating in the exhibition now, just to improve more strategic layout; not participating in the exhibition now, just to be able to participate in the exhibition more reasonably and comprehensively in the future. It is revealed that Geek Bar will hold a major new product launch conference in early May, at which time 3-4 new products will be launched at the same time, including experience-level products that can better match the current sinking channels, mainstream products that are more suitable for current specialty stores and collection stores, and profit-level products that can support the channel profit model.
Focusing on the core pain points and starting from the underlying logic, Geek Bars strategic approach of hitting the snake at its seven inches has always caused industry controversy, but it is the optimal solution made from the standpoint of promoting the healthy and orderly development of the industry and achieving the common development of all partners in the non-my system.