From Foreign Brands To Domestic Brands, How Can Domestic Brands Rise?

When it was cold and chilly, the founder of Alibaba, Ma Yun, went to Linzhi, Tibet to investigate the situation of poverty alleviation in industry. Accompanied by the staff of the local government departments, he visited the Tibet Dongyuan fermented ham consumption base.

On the same day, Ma's father wore a cold down warm black down jacket. If he looked carefully, he would find that the costume of the horse dad was quite different from before.

It turned out that in the past wearing down season, horse dad always liked to wear the down jacket brand abroad, and even set off an upsurge of "carrying goods". This time, he wore a down jacket brand from China. So what's the signal behind Papa's wearing a down jacket?

From foreign brands to domestic brands

A few years ago, if Dad wore a down jacket, he would almost certainly be a foreign brand.

From 2014 to 2016, for three consecutive years, he wore the Moncler down jacket to attend the Wuzhen Internet Conference. Moncler is a luxury brand from Italy.

By the time of the 2017 Internet Conference in Wuzhen, ma Dad was wearing a "green enchanting" down jacket, and this down jacket brand is Canada goose.

Later, careful Netizens found that this down jacket was actually a woman's money. She liked to even miss the women's money. Many netizens also expressed their feelings.

However, after receiving the media interview, Ma Yun replied that she did not know the situation and that she had read the Internet commentary to know that it was a woman's dress.

This time, Ma Yun finally did not wear the brand of the down jacket abroad, but took off the Moncler and Canada goose imported from abroad, and put on the 3998.HK, the old brand of domestic down jacket with a history of more than forty years.

Why is it that Papa will change its domestic brand down jacket? This may be related to the "resurgence" of domestic products and the strong layout of national brands by Alibaba.

First, domestic products are becoming new consumption highlights. In 2018, Tmall's "double 11" business volume reached 213 billion 500 million yuan. In the top ten list of sales volume, domestic brands occupy eight seats, and the sales of China time honored brands exceed 2 billion 800 million yuan.

The trend of "resurgence" of domestic goods is becoming more and more obvious. For example, in 50s of last century, the skin protection brand of the Shanghai celebrities, the gazelle, came to a turning point after half a century of silence. Behind the screen advertisement, the sales of over 100 billion yuan, and maintained a high growth rate of 30% for many years.

For example, Bosideng, dressed by his father, began focusing on the down jacket business in 2018 and changed his old style of design to become a youth fashion. In the six months ended September 30, 2018, operating profit increased by 62.1%, of which the most noteworthy data was that the sales of high-end products increased by more than 500%.

Two, not only in China, domestic goods are vigorously moving out of the country. After the national skin care brand "Dabao" has come out of the country, a large number of cosmetics are queuing up to go abroad. In March 11th, a number of famous brands of Tmall 50 million grade cosmetics, including Yu Ni Fang, membrane law family, and one leaf, joined hands in Alibaba's cross-border e-commerce platform.

Three, Alibaba is promoting Chinese brands from many aspects such as sales, marketing and technology. For example, Tmall platform data show that the precise touch of big data has made Lining's fans group younger, and has grown significantly after 1990 and 95, thus boosting this brand of domestic old brand.

To sum up, we can see that Alibaba is pushing domestic products to boost the spanformation and upgrading of domestic brands. It may not be difficult to explain why Papa recently changed to domestic brands.

In fact, there is another thing that is closely related to Alibaba. According to sources, the recent hot Chinese official APP "learning power" was developed by Ali dad. This product has recently been ranked first in China's APPStore application download list.

Why the rise of domestic brands?

In fact, in recent years, whether in the fields of electronics, clothing, mother and infant, we can clearly feel the rising trend of domestic "tide cards". What are the reasons behind this phenomenon?

First, the consumer psychology of the residents, from the past pursuit of big cards, to the high cost performance of domestic products favored. In the past, people's consumption habit was to use certain commodities as a showcase, but now they are pursuing simple and real consumption patterns. In the past, people buying foreign brands often contained satisfaction with vanity, which is changing now.

According to the BCG study, compared with the previous generation (50, 60 and 70s), the proportion of the new generation middle class (80, 90%) received higher education increased by 7 times, and most of the white-collar workers who graduated from college degree or above knew that the number of brands increased from 7 to 20 on average.

This means that 80 and 90 are more mature and more rational in consumption, and there is more room for brand choice, rather than just "worshipping foreigners."

Second, the quality of domestic brands is getting higher and higher. In the past, when it comes to domestic brands, people always think of cheap products and poor quality. But in recent years, with the rise of domestic brands represented by HUAWEI, the quality of their products has gained more and more recognition.

For example, the price of HUAWEI folding screen mobile phone has reached 17 thousand yuan, and the price of the new laptop is more than that of the Mac mainstream. Behind this is the confidence in the quality of the product.

Third, the rise of domestic brands is behind the rise of national confidence. Along with the rise of national strength, it is also a process of rising national confidence. It shows more and more recognition of domestic brands.

To sum up, the essence of the rise of China is the upgrading of consumers' demand for domestic products, resulting in the continuous import substitution of domestic products, and the price of domestic products under technological progress and product upgrading.