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Chapter 896 Xiaomi Mode Enhanced Edition

Everyone present was thinking when they heard Hastings' words. If Motorola launches a system that wants to seize the market in a short period of time, the price war will undoubtedly take the fastest effect, and the price war is the most efficient in the low-end mobile phone market. If the low-end mobile phone configuration is poor, the smoother the mobile phone system, the better.

Zhang Ran also felt that Hastings's idea made sense. Seeing that everyone was thinking, he said, "What do you think?"

Wu Ruide nodded and said, "Reed's words make sense. We adopt a low-price dumping strategy. The breakthrough must be in the low-end market. The configuration of low-end mobile phones is relatively poor. At this time, the fluency of the system is very important!"

"The war on mobile phone systems is now very fierce. If we want to open up the situation, we must seize the market as soon as possible. Wewos is more in line with our requirements!"

"I think wematos are more suitable, too!"

Seeing that those who originally supported meego supported wewebos, Zhang Ran immediately made a decision: "Then the matter is decided, acquire the wewos system!" He looked at Hastings and said: "The acquisition of wewos will be completed by Century Peak, because we also need to bring other mobile phone manufacturers into our alliance to help us promote the system. If the system is in Motorola's hands, they will have concerns. Century Peak will soon start the acquisition and will complete the acquisition as soon as possible!!"

Zhang Ran remembers that shortly after HP gave up the webos system, South Korea LG acquired webos. Now Android is becoming more and more mature. Motorola's webos system mobile phones must be released as soon as possible. Therefore, this matter cannot be delayed, it must be completed quickly.

However, HP wants to sell it and Motorola wants to buy it, and this matter should be finalized soon!

Hastings undoubtedly wanted to master the mobile phone system himself, but he also understood that it was best to master it from the peak of the century, and nodded and said, "Okay!"

Zhang Ran looked at Motorola's management and said, "Now we talk about the second issue, Motorola Mobile's next strategic direction. The peak of the century is the Internet company. After acquiring Motorola Mobile, we hope that Motorola Mobile can be transformed into an Internet company. So, Hastings invited you, most of you have experience in the Internet. I believe everyone knows that the biggest feature of Internet products is that basic skills are free, making money through value-added services. For example, Google, does it cost to use Google to search? No. So how does Google make money? It makes money through advertising and various services. I believe everyone has used antivirus software, but in China, the antivirus software is basically dead, because there is a company called 360 that launches a free antivirus software. Everyone uses free, and other paid antivirus software will naturally die. 360 makes money is also achieved through value-added services.

This strategy is also feasible on mobile phones. We can make mobile phones free, and then make money through value-added services, various mobile phone accessories, mobile software, and Internet services. However, mobile phones are different from ordinary Internet products. The hardware cost of mobile phones is quite high. It is difficult to make up for hardware costs through value-added services. It is impossible to be completely free. However, our mobile phones can be sold at a slightly higher price than the cost. For example, we launched a dual-core mobile phone with 1g memory and an 8-megapixel camera. Others sell for more than $400 and $500, and we only sell for $299. Our cost-effectiveness is the highest, so we can quickly seize the market, distribute goods in large quantities, and then make money through various value-added services.

We hope that Motorola mobile phones quickly seize the market at prices close to cost, expand the share of the wewos system in the market, and then make money through Netflix, through Blockbuster Online, through various companies in China, and various value-added services of Motorola. When Motorola's mobile phone sales are huge enough and the wewos system has a sufficient share, it is easy for Motorola to make money, such as launching online reading, mobile games, browsers, and even establishing a mobile payment system. If we have one billion users, if these users shop and consume online through our mobile phone payment system, the most powerful banks in the world may not be able to compare with us. The more users we have, the more money we make through value-added services, so that our mobile phones will be cheaper, and maybe one day our mobile phones can be really completely free. When our mobile phones are really free, who can compete with us? By that time, we will be invincible in the mobile phone field!

A few years ago, when Fly was founded, I told Bai Yunfei and Mike Solomon that we will change the world. Now, we have done it. Now I want to tell you here, let’s change the world together!”

Zhang Ran's words were very infectious and his voice was extremely penetrating, which made the Motorola management present excited and wanted to do something immediately. They are not unfamiliar rookies, they are all old people, but they still think that Zhang Ran's strategy is possible. Take Apple mobile phones for example, the price in a US store is $699, but the cheapest contract machine launched by American telecom operators is only $99. The model Zhang Ran said is actually the same as that of telecom operators selling contract machines, but the telecom operators selling mobile phones produced by others, while Motorola sells its own mobile phones.

When Zhang Ran finished his speech, everyone stood up together, and thunderous applause rang out in the conference room.

Regina Dukan was formerly the marketing director of Blockbuster New York, and later joined Blockbuster Online as a marketing director. Because of his excellent marketing performance at Blockbuster Online, he was poached Motorola by Hastings. As an expert who is proficient in online and offline marketing, his views on marketing are deeper than that of everyone else present. He thinks that Zhang Ran's plan is extremely strategically wise, but it is extremely difficult to implement it tactically.

After the applause stopped, Regina Dukan said: "Mr. Zhang, I admire your strategic vision very much, but as a marketing manager, I have to say that this plan may be difficult to succeed!"

The strategy Zhang Ran designed for Motorola is actually the strategy adopted by Xiaomi in the last life. He knew that the risks and disadvantages of this strategy were great, but the advantages were also great, and he could quickly seize the market in a short period of time. Before Zhang Ran's rebirth, Xiaomi's mobile phones had already ranked first in the domestic market share; it took only three years for Xiaomi to become the first in China from a new brand to the first in China, which is enough to prove the power of this strategy.

Now Android and iOS have begun to mature, and the ecosystem is gradually improving. There is not much time left for the peak of the century. The most important thing now is to quickly seize the market. Therefore, he knew that the Xiaomi model was a seven-injury punch, and he still decided to adopt it without hesitation.

However, since Regina Dukan raised questions, Zhang Ran must answer. He did not want to give people the impression of being stubborn and asked with a smile: "Why?"

Regina Dukan said jokingly: "Motorola has always had high wages and high benefits, and the production cost of mobile phones is very high. Although it has recently implemented a salary reduction plan and cut a lot of benefits, compared with Chinese and Korean companies, our costs are still much higher. When we fight a price war, we have no advantage at all. Moreover, the sales of mobile phones in the United States are mainly contract machines. Telecom operators' contract machines account for 80% of the market sales. Consumers can only buy Apple phones that were originally sold for $699 at a two-year contract price. In this case, the strategy of low-price dumping is difficult to work."

Zhang Ran nodded slightly. Regina Dukan's words made sense, but he considered all of what Regina Dukan said: "We must work hard to expand our market share in the United States, but our main goal is China. We have Weibo in China and Century Peak Online. In the past two years, we have been planning to invest and invest in more than 20 companies. In addition, we have an allies. As long as we raise our arms, they will join our wewos alliance. In addition, Google withdraws from China, so it is not a big problem for us to take over the Chinese market!"

Regina Dukan doesn't understand the Chinese market, but he believes that consumers all over the world are the same: "The main goal is China, but I still think that Motorola's low-price dumping strategy cannot work. First, adopt a low-price strategy and use a cost-effective sign, and attract consumers often understand mobile phones very well, at least pay attention to mobile phone users. Now we attract them by low prices. When others are cheaper than our mobile phones, they will switch to cheaper mobile phone manufacturers. Second, users who buy low-end mobile phones often have poor consumption power. How can these users spend a lot of money on value-added services? It is difficult to make money through value-added services on them."

Zhang Ran thought about the Xiaomi model and knew that there were many problems with the Xiaomi model. For example, Xiaomi’s mobile phones have weak profits and do not know how much the mobile phones produced can be sold, so he dare not suppress the goods. Otherwise, once there are too many mobile phones produced but cannot be sold, the company may die directly. In order to avoid inventory problems, Xiaomi adopted the rush purchase model. This led to a problem, that is, many normal users cannot get it, and scalpers and offline retail stores have a large amount of spot stock and sold at a price increase. This greatly damaged the enthusiasm of consumers, and even turned from fans to black. This is also the fundamental reason why many people call Xiaomi “playing with monkeys”, which greatly hurts Xiaomi’s brand value.

However, Zhang Ran did not consider the two flaws that Regina Dukan mentioned before. Now, thinking about it, this is indeed quite reasonable. He felt that since Regina Dukan could see the disadvantages of the Xiaomi model, he might have some good suggestions, so he said: "What do you think we should do?"

Regina Ducan said directly: "I am responsible for sales and channel integration on the front line. According to my experience, the strategy of low-price dumping cannot last long. I think Motorola should launch a high-end hot phone that can be comparable to Apple, and win over high-end users who don't like to use Apple. This market is very large, and these users are willing to spend money on value-added services. Only when we have gained a foothold in the high-end market, then enter the mid-end, and enter the low-end can we form a crushing advantage."

Zhang Ran shook his head: "Nokia, Samsung and other companies are launching high-end hot-selling mobile phones comparable to Apple, but none of them succeed. Hot-selling products cannot be made just by wanting to do it. Moreover, we are not going to make mobile phones, but we want to promote our system. Now Android is becoming more and more mature, and we must move quickly. Otherwise, once the Android ecosystem is fully built and the operating system market is stable, we will have no chance at all."

While refuting, Zhang Ran suddenly thought of a question and his eyes lit up: "But your words make sense. I think this is how we make efforts in two-lines. Motorola is engaged in high-end and mid-range markets. This part of the mobile phones is produced by themselves to ensure quality and technology. As the former king, Motorola has the capital to do high-end. In addition, when acquiring wewos, we bought the palm brand and used palm to hit the low-end market. This part of the mobile phones is looking for Foxconn or other companies to produce OEMs, reduce costs, and seize the market through low-price dumping strategies, and quickly expand the market share of wewos!"
Chapter completed!
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