Zhong Shanshan is worth more than 500 billion yuan. What is the strength of Nongfu Spring in the capital market?

Recently, Zhong Shanshan, the largest shareholder of Nongfu Spring, became the richest man in Asia. We can't help wondering: Why does Nongfu Spring have such a large capital?

First, the product profit is high. The gross profit margin of Nongfu Spring is as high as 55.4% and the net profit rate is 20.6%. According to Jost Sullivan's report, this profit level is much higher than the average level of the current beverage industry. Simply put, for every bottle of drinking water from Nongfu Spring in 2 yuan, the gross profit is 1. 1 yuan, and the net profit is 4 cents. In addition, the water source has the function of regeneration and reconstruction, and the production cost has hardly changed. High profits have created the foundation of Nongfu Spring's commercial capital.

Second, brand influence, Nongfu Spring's: We are all porters of nature, and people are more inclined to buy pure natural mineral water. According to reliable data, Nongfu Spring's share in the mineral water market is as high as 42%, far exceeding other competitors, and Nongfu Spring is riding in the local market.

Three: Zhong Shanshan's unique concept and profound insight, the success of any product is inseparable from human factors.

Zhong Shanshan was born in 1954. He dropped out of school in the fifth grade. In order to make a living, he moved bricks and worked as a bricklayer and carpenter. 1977 after the resumption of the college entrance examination, Zhong Shanshan was admitted to RTVU. After graduation, he entered Zhejiang Daily and worked as a reporter for five years until 1988 went to Hainan from Zhejiang and officially went to sea.

Zhong Shanshan has the temperament of a scholar. He is low-key, unsociable and does not like to mix circles. Although he is a reporter, he has been in business for more than 20 years and rarely accepts media interviews.

Zhong Shanshan is also a marketing expert and good at telling stories. He created a series of textbook marketing cases for Nongfu Spring.

In the story told by Nongfu Spring, in order to design a high-end water bottle, Zhong Shanshan can leave the ready-made production line idle for three years and invite five designer studios in three countries to experience more than 50 manuscripts and 300 designs. He can also spend a year inviting top international photography teams to shoot advertisements featuring creatures in Changbai Mountain. In 20 19, Nongfu Spring spent121900 million yuan on advertising and promotion, accounting for 5. 1% of the total revenue, which shows that Zhong Shanshan attaches importance to brand building.

Because of this, Zhong Shanshan now has such a grand commercial capital.