Extraordinary Genius

638. Chapter 638

Philips didn’t ask any big celebrity endorsements. They actually watched a world-class singer, big star, but unfortunately they couldn’t talk. Because they are looking at Mike Jackson, and Mike Jackson is owned by Sony CD, how could he let him endorse Philips products!

In the end, Philips decided to take the usual technology route, just like Wind & Rain Brand, simply showcase the advanced nature of the product and highlight Philips’ brand technology.

And Philips’ advertising investment in this area is not small, it is also an overwhelming advertising campaign, especially in Europe, the most crazy.

Super VCD is so crazy to advertise, sales have risen steadily, and the ordinary VCD has caused the sales of other brands to decline faster and faster due to price cuts.

Now is some big Corporation, and I can’t stop it. In addition to Sony, Dongzhi, Hewlett-Packard, Pioneer and other companies, other brands have decided to talk to Wind & Rain Electronics, or to serve soft.

……

“Chief Feng, NEC’s China representative called and wanted to talk to you about DVD industry standards,” Jiang Wanmeng reported.

Feng Yu eyebrow raised, is it finally here?

These means are all interlocking and layered, so that the giants in the consumer electronics field have to be soft.

Start giving them VCD’s patented technology licenses so they can produce VCDs. And at the beginning of their price cuts, Feng Yu kept his brand without cutting prices and gave the market a part.

At the first sight of those companies, the market is getting better and better, and it will continue to expand production capacity, while increasing publicity investment, wanting to gain a bigger market and gain more profits.

At this time, Feng Yu reduced the price of ordinary VCD and gave them a blow. But the blows are not particularly embarrassing, so they still have profits.

Since there are profits and the production capacity has expanded, they will not easily admit defeated. For those big companies, launching a product, it will be removed in a few months, and the damage to the brand is quite big.

So after some small organizations were forced to process the finished goods, they stopped production. They only produced 10,000 units in accordance with the minimum licensing contract. They started to make money. Later, they lost some points. Overall, they still had a slight surplus. But if you continue to produce, you will only lose money.

Then the Super VCD was launched, and the ordinary VCD, once again reduced the price. And Wind & Rain Brand, AIWA, Philips and other channels have joined forces to make their product retail points more, once again pressured other brands’ VCD sales.

Those big companies, continue to insist on production, also unite sales channels to increase sales.

At the beginning, their sales did improve, and they thought that the crisis had passed, but they did not expect that Wind & Rain Brand, AIWA, and Philips were so mad that they invested so much money to advertise, which made them unable to play?

Can you make money by investing such a high advertising fee? The profit of an ordinary VCD is only a few, even if the profit of the super VCD is very high, but the profit is more than two hundred dollars? Ten thousand units are only more than two million dollars.

With such a large-scale advertisement, the cost of one year must be at least 10 million US dollars. How many units can you sell in one year? Is the Boss of these Corporations crazy, will not be accounted for!

But they soon discovered that it seems that those Boss are crazy, but their products can really make money.

Not to mention the ordinary VCD, just super VCD, after this kind of advertising, the sales volume of one year can exceed 500,000 units, and only four brands compete, even if it is average, each year is the least. Can sell 100,000 super VCD, then the profit is more than 20 million US dollars, fully recover the investment in advertising costs, there are some surplus.

What’s important is that the brands that produce ordinary VCDs are under the cofferdam of Super VCD and Wind & Rain Brand and AIWA brand ordinary VCDs, and the sales volume has also declined. The market has to let go.

According to their calculations, VCD’s sales this year can definitely exceed one million, of which they are split in half, and the other half is divided by Wind & Rain Electronics and AIWACorporation. This part of the profit is not a small amount. .

The most hateful thing is that the market is what they did, but they were picked by others!

Of course, they are also unclear. The future sales of VCD will be an astronomical figure. Even in some developed countries, there can be an average of two VCDs for every two families, and commercial use is also not a small number. The total sales volume can exceed 100 million units.

When the DVD goes on the market, the combined sales of the two products can exceed Oneillion!

However, the outbreak of this past life reached its peak in 1999 and before and after 1997. But now everything is ahead of schedule, Feng Yu estimates that next year will be an outbreak, and the peak period will come earlier.

Wind & Rain Electronics will have more funds to develop better CD-ROM drives and earn high profits.

In short, these companies were led by Feng Yu, opening up the market for Feng Yu, and most of the money they made fell into Feng Yu’s pocket. Now it is forced to go nowhere. If they do this again, they can foresee that they will have no profit and even money.

At this time, some companies can’t stand it. After all, they have no hatred with Wind & Rain Electronics. The two big companies want to occupy the market. The best way is not to compete, to suppress each other, but to cooperate. Monopolize the market, just like Wind & Rain Electronics and Philips.

However, because they chose to support the other party on the DVD standard, they could not cooperate. But now some organizations have decided to turn around and turn to support the Wind & Rain-Philips standard promoted by Wind & Rain Electronics in exchange for more favorable terms, so that they can also take a share of the VCD and future DVD market.

NEC, the first one to contact Wind & Rain Electronics, of course, is also not particularly good with NEC’s relationship with Sony and Dongzhi.

However, Feng Yu did not see NEC’s China representative, a district China representative, would like to see him? Even if the president does not come, should he be the vice president?

After Feng Yu refused to represent NEC, some representatives of Company immediately contacted Jiang Wanmeng and wanted to meet with the real Boss of Wind & Rain Electronics to discuss some things.

They were all contacted by Jiang Wanmeng, thinking that Jiang Wanmeng could be the master. However, Jiang Wanmeng told them that although he is the shareholder and general manager of Wind & Rain Electronics, Wind & Rain Electronics also has a controlling shareholder, who is the final decision maker.

So there are people who want to meet with Feng Yu, and the people who are sent in the company are getting higher and higher, and the size of the organization is getting bigger and bigger.

All of them are an idea, first to support the Wind & Rain-Philips standard in the DVD industry standard, in exchange for the reduction of patent fees, so that they can once again make a profit on the VCD player.

Industry standards, to say which one to support, anyway, the original standards are not formulated by them. There are no eternal friends in the business field, only forever benefits!

When Yu’s deputy director came in person, Feng Yu finally came out and gave Sony a harder blow!