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Discussion on Brand Marketing of China Manufacturing Industry

Since the reform and opening up, China's manufacturing industry has developed rapidly, and the export growth rate in international trade has increased by double digits. China has become a manufacturing power in the world and is known as the "world factory". However, a manufacturing power is not a manufacturing power. In 2005, among the 100 most valuable brands in the world, the United States occupied 62 brands, while none of China's manufacturing industries made the list. In the international market, most products made in China occupy the market at low prices, and made in China has become synonymous with middle and low-grade goods. China's manufacturing industry is facing the situation of low brand.

The market competition pattern has been transformed into the brand competition pattern. With the continuous opening-up of China under the framework of WTO, China's manufacturing industry not only faces the competition of strong brands from developed countries in Europe and America directly in the international market, but also faces strong competition at home. How to win the future in this brand war and comprehensively enhance the brand image of China's manufacturing industry will be an arduous task before us.

Taking brand as the core, this paper discusses how to implement brand marketing in China's manufacturing industry, hoping to provide ideas for China's manufacturing industry to establish superior brands, support the development of China's national brands and create its own world brands.

Keywords: manufacturing, brand, marketing

First, the significance of implementing brand marketing in China manufacturing industry

China's manufacturing industry plays an important role in China's national economy, and its development is very important to China's economy. The current market competition has shifted from product competition to brand competition, and the implementation of brand marketing is of great significance to China's manufacturing industry.

(A) the characteristics of China's manufacturing industry

The development of China's manufacturing industry can be roughly divided into three stages: the first stage is the reform and opening up from the early days of the founding of the People's Republic of China to 1978, which is the period when China's manufacturing industry formed a relatively independent and complete system; The second stage, from the reform and opening up to the early 1990s, was a period of rapid development of the traditional industries represented by the textile industry in China, with obvious extensive and restorative development after the Cultural Revolution. At this stage, the development of manufacturing industry basically bid farewell to the era of shortage of industrial products. Since the early 1990s, China's manufacturing industry has entered a new period of structural adjustment and industrial upgrading in an open and competitive environment, and the proportion of high-tech industries has increased significantly. After entering the new century, especially in recent years, China's manufacturing industry has developed at an amazing speed, and China has become a "world factory".

The development of China's manufacturing industry has the following characteristics:

1. The output value of manufacturing industry is dominant in industry.

China's manufacturing industry occupies a very important position in the national industrial system. The rapid growth of China's GDP is not unrelated to the rapid development of China's manufacturing industry. Now China's manufacturing industry has occupied the vast majority of China's industrial output value. According to the data of the National Bureau of Statistics, in 2005, the manufacturing industry accounted for more than 90% of the industrial enterprises in China, with main business income accounting for more than 80% and profits accounting for more than 70%. There are 9 1.329 million industrial enterprises in China, accounting for 9 1.6%.

2. High proportion of OEM and lack of independent brands.

Due to the low labor and cost of manufacturing industry in China, all kinds of capital keep pouring into the manufacturing industry, which makes the manufacturing industry prosperous. However, the prosperity of China's manufacturing industry is at the expense of losing its own brand and OEM products for foreign companies. In the production chain of global manufacturing industry, China's manufacturing enterprises only swing in the middle and low end. According to statistics, 74% of the export value of China's top 200 foreign trade enterprises is realized through processing trade. At the same time, among the top 500 global manufacturing enterprises, none of China's manufacturing industry is on the list. People of insight in our country have warned with anxiety that a Boeing plane can only produce 800 million shirts in our country. The data shows that less than 20% of China enterprises own their own trademarks, and their own brands export less than10%; Most enterprises have insufficient investment in international marketing, and 12 1 independent brand export enterprises have an average investment of less than 3 million yuan in overseas advertising.

3. The brand start-up time of manufacturing enterprises is short.

Most powerful brands in the west have a history of hundreds of years. These brands have formed a set of mature brand operation roads in the long-term market operation, and their strength has a great relationship with the accumulation of time. Most of the brands of China manufacturing enterprises were founded in 1970s and 1980s, and the brand time was generally short. Brand time is short, which can make brands better adapt to the needs of modern development, but it also has great challenges. Haier brand, a home appliance manufacturer in China, was founded only 24 years ago. As a rising manufacturing brand, it can flexibly give the brand a new image, but it also has some weaknesses such as insufficient brand culture. According to statistics, the start-up time of most manufacturing brands in China is 20 to 50 years. Time is the biggest touchstone for testing brands, and China's manufacturing brands still need the test of time.

(B) the necessity and significance of brand marketing in China's manufacturing industry

Brand is an invisible means of competition for the sustainable development of enterprises, and a relationship established between enterprises and customers through their own products and services, which needs to be maintained and developed at the same time. Brand has control effect, value-added effect, optimization effect and social and cultural effect. Brand marketing is a systematic project, including brand positioning, brand promotion, brand maintenance and brand innovation. In addition, it also involves a series of operations such as quality control, advertising, public relations, after-sales service and cross-cultural marketing. The implementation of brand marketing can effectively integrate various elements of China's manufacturing industry and promote its quality improvement, which is of great significance to improving the level of China's manufacturing industry.

1. The market is changing from product marketing to brand marketing.

Traditional product marketing has undergone profound changes under the modern market structure. In the future, the competition between countries will be brand competition, and the number and strength of brands reflect the economic development level of a country. For enterprises, the value that can be created by producing a product may be limited, but the capital appreciation brought by creating a brand is often amazing. Because of this, the ultimate goal of real competition in market economy is brand competition.

Coca-Cola people have a famous saying: Even if our factory burns out overnight, we can resume production quickly. This is the power of the brand. Having a good brand can seize the market share, win the biggest profit and quickly improve the market competitiveness of enterprises.

At present, China's manufacturing industry is still in the product marketing stage. With the maturity of the market and the constant collision with foreign strong brands, it will be the general trend for China's manufacturing industry to move towards brand marketing.

2. A manufacturing power needs to become a brand power.

China is a big manufacturing country, and its GDP has reached the third place in the world. However, there is no China brand among the top global 100 brands, and there is a huge gap between China brands and international brands. In the latest world brand value ranking (table 1) published by Businessweek, a famous American financial magazine, and an international brand consulting company headquartered in London in 2006, Coca-Cola topped the list with US$ 67 billion. In the list of the most valuable brands in China in 2006 released by the World Brand Congress jointly sponsored by World Brand Lab and World Manager Weekly (Table 2), Haier maintained the first place with a brand value of 63.989 billion yuan.

In addition, most products exported by China's manufacturing industry to foreign markets are exported in the form of low brand and low added value, occupying the middle and low-end market in the international market. Some products are exported to foreign markets by OEM, while China manufacturing industry only earns a little processing fee. Taking the road of brand marketing will be the necessary way to narrow the distance between China-made brands and international strong brands.

Table1Top 5 in the latest global brand value rankings in 2006

grade

brand

Brand value (unit: USD 100 million)

1

Coca-Cola/Coke

670

2

Microsoft

599

three

International business machines Corp.

562

four

ge

489

five

military intelligence

323

Table 2 Five Most Valuable Brands in China in 2006

grade

brand

Brand value (unit: RMB 100 million)

1

Haier Group

749

2

Be related to ...

607

three

TCL group co., ltd. (abbreviation of TCL Corporation)

362

four

Wuliangye

358.26

five

FAW Group Corporation

357.28

3. The needs of the enterprise's own development

Implementing brand marketing can enhance the image of China's manufacturing industry. Brand represents the image of an enterprise, and a good brand can be better accepted by the audience and gain a better reputation. Volvo Cars from Sweden regards safety as a brand image, tirelessly instills safety concepts into customers, and collects vivid stories of drivers and passengers escaping safely after car accidents for dissemination. Now Volvo has become a reliable manufacturer of safe cars. Chery, Geely Automobile Company and other national automobile manufacturers in China are still in a low-cost and low-grade brand image.

Implementing brand marketing can improve the profits of China manufacturing enterprises. In today's fierce market competition environment, China's manufacturing enterprises are constantly fighting price wars, such as color TV wars and DVD wars, and even in foreign markets, China's manufacturing industry has to fight price wars not only with ASEAN and Vietnamese enterprises, but also among China enterprises, resulting in a sharp decline in corporate profits. Through brand marketing, enterprises can identify the market space and win profits through the differentiation of brand positioning.

Implementing brand marketing can improve the overall competitive strength of China's manufacturing industry. Brand marketing is a systematic project, involving a series of operations such as quality control, brand positioning, brand maintenance, brand extension, advertising, public relations and after-sales service. Implementing brand marketing can integrate these resources and make them coordinate with each other, thus improving the competitive strength of China manufacturing enterprises as a whole.

4. Brands can cater to the needs of consumers.

Brands can reflect consumers' life ideas. Brand in the modern sense refers to the overall experience between consumers and products. It includes not only material experience, but also spiritual experience. Brands convey a lifestyle to consumers. When people consume a product, it is given a symbolic meaning, which finally reflects people's attitude and concept of life. The product is cold, while the brand is flesh and blood, with soul and emotion, and can interact with consumers. Today, the homogenization of products is becoming more and more serious, and the physical properties of products are almost the same. Only the brand can give people psychological comfort and spiritual sustenance, and can show the personality and identity of consumers. The same cowboy, wearing Marlboro cowboy, shows that you are a manly person; Wearing Leavis jeans means that you are a free, rebellious and individual person.

Brands can save consumers' purchase costs. The role of brand is to reduce consumers' efforts to analyze goods when choosing products. Choosing a well-known brand is undoubtedly a time-saving, reliable and risk-free decision. Today, with the increasing manufacturing capacity of products, there are dozens, hundreds or even thousands of similar products, and it is impossible for consumers to understand them one by one. Only by relying on past experience or the experience of others can we choose the right brand. In this way, brand is an experience. Because consumers think that if a fruit picked from a fruit tree is sweet, then the rest of the fruits on this tree are also sweet. This is the "fruit effect" of the brand, which can greatly reduce consumers' efforts to buy goods.

Brand can reduce the purchase risk. Due to various factors, the business world is full of trust crisis. For unfamiliar things, consumers will not take risks easily. For branded and non-branded products, consumers are more willing to choose branded products. At this time, the brand will give people a sense of trust and security, and minimize the risk of consumers buying goods. For manufacturing enterprises, the most important thing is not how you are, but how consumers look at you, just to keep customers' hearts and strengthen brand building.

Second, China manufacturing brand marketing problems

In recent years, China's manufacturing enterprises have gradually begun to attach importance to brand marketing in the market sharpening, and achieved certain results. However, due to the small scale and limited strength of China manufacturing enterprises, there are misunderstandings about brand marketing, so the overall level of brand marketing of China manufacturing enterprises is not high, and there are still many problems.

(A) The brand level of Chinese manufacturing enterprises is low, and the product brand is single and rough.

The brand level of China manufacturing enterprises is low, especially in the international market. In 2005, the total export trade of China's manufacturing industry has reached 760 billion US dollars, but the export of independent brands only accounts for 10%, and the other 90% are OEMs. China manufacturing enterprises only get 8% processing profits in the product value chain, and the remaining 90% profits are obtained by brands and distributors. Brand is one of the components of goods. It is difficult for goods without their own brands to enter the international market. Even entering the international market, the competitiveness is far less than others, and it is difficult to enter the room. According to relevant statistics, by the end of 1995, there were only 538,700 registered trademarks in China, and even fewer registered trademarks abroad. Many manufacturing enterprises, in order to complete the export task, have to rely on "foreign brands" to earn very little raw material and processing fees and make wedding dresses for others.

The product brand is single and rough, and the issue of international trademarks is not considered. The product brands of China manufacturing industry are mostly simple combinations of lines and letters, lacking dynamic and connotation. Some brands of China manufacturers, such as Permanent Bicycle and Butterfly Sewing Machine, are all simple Chinese Pinyin, which is understandable in the domestic market, but it is difficult for people to recognize them when they enter the international market. Some enterprises spend a lot of money to design beautiful brands without considering that the brand has been registered as a trademark abroad, which has caused great obstacles to the promotion of the brand abroad. LENOVO Group, a computer manufacturer in China, has always been the largest in China, but when it entered the international market, it was found that Lenovo's English trademark LEGEND had been registered in a large number of foreign countries and had to be replaced by Lenovo.

(B) China's manufacturing industry does not attach importance to protecting its own brand.

The registered trademark of an enterprise is a sign that the enterprise enters the market. When the brand trademark of an enterprise enters the international market, once the trademark is registered, the enterprise will either face the danger of losing market share or change the trademark to enter the domestic market. In March 2006, China's well-known manufacturing trademarks were reported to be registered overseas. Recently, the Venezuelan Trademark Office has received applications for trademark registration from many well-known manufacturers in China, including TCL, Hisense and Changhong. Relevant data show that 15% of well-known trademarks in China are embarrassed by cybersquatting abroad.

At home, some well-known established manufacturing brands are constantly acquired by powerful foreign enterprises and then shelved. For example, the Yangtze refrigerator, which was once a smash hit, disappeared after being acquired by foreign countries. 1996, Wahaha Group and France Danone set up a joint venture company. In 2006, the two sides had a heated discussion on the use of the "Wahaha" trademark. Zong Houqing, the founder of Wahaha, concluded that "the development of Wahaha fell into the trap carefully set by Danone because of the unclear understanding of the meaning of trademarks and brands at that time." . In 2007, the news that Luoyang Bearing, a China bearing manufacturing brand, was acquired by an international brand was also worrying.

(C) The added value of China-made brands is low, and the degree of internationalization is low.

The added value of the brand refers to those things that are included in the brand, pertinent, appreciated by consumers and beyond the basic functions of the product, that is, the trust, satisfaction and honor that the brand provides to consumers, and can maintain the premium through its commodity form. A survey abroad shows that people who smoke Marlboro cigarettes take out 30 times on average, of which 1/3 is to appreciate and show the brand to others. It can be seen that Marlboro provides consumers with higher brand added value. In the consumer market, the brands of manufactured goods in China are mostly low-priced and low-grade. Take Zhejiang Province, a major garment manufacturing province in China, as an example. In 2005, the total clothing export of Zhejiang Province was13310.80 billion US dollars, up 23.73% year-on-year, but the average price of each piece was only 3.2 US dollars, which was far from the price of international famous brand clothing.

The percentage of overseas income of international brands in the total income of enterprises is used to measure the degree of internationalization of a brand. All along, international brands have strong export capabilities. 42% of Honda's revenue in Japan comes from the United States. 70% of Coca-Cola's income comes from overseas. On the contrary, China-made brands have a low proportion of revenue abroad, and their popularity abroad is not high. In recent years, Haier, Lenovo, TCL and other China electrical appliance manufacturing brands have made some achievements in the international market, but they cannot change the current situation of low internationalization of China manufacturing brands.

(D) China manufacturing brands lack cross-cultural marketing awareness.

Brand culture marketing is the highest level of marketing. China's manufacturing industry often ignores cultural factors and sells for marketing purposes only, especially in the international market, without organically combining China culture with local culture.

In cross-cultural communication, people pay more and more attention to misunderstandings and conflicts caused by cultural differences. Enterprises, especially manufacturing enterprises with strong cross-cultural mobility, need to consider how to cross the barriers formed by regional and cultural differences and win the love of people of different races and cultures if they want to carry out cross-regional and cross-cultural marketing communication. China's manufacturing enterprises have begun to try a kind of cultural marketing in the domestic market, but its performance in the international market is worrying. How to embody China culture and integrate with local culture will be a difficult problem for China manufacturing industry.

In addition, the brand design of China manufacturing enterprises did not consider the customs and slang of the target market countries. There are great differences in cultural customs and habits among countries in the world, but the design of some brands in China's manufacturing industry still follows the domestic design, which leads to conflicts with local customs when entering the target market.

Third, the implementation of brand marketing measures in China manufacturing industry

Brand is a long-term strategic asset of an enterprise and is regarded as an important source of competitive advantage and financial return. No matter in what market, for what products, for the company's performance, or for the return of shareholders, the brand plays an extremely important role. With the deepening of economic globalization, the concept of brand consumption has been deeply rooted in people's hearts. As an important factor in determining commodity prices, brands are increasingly leading market demand and trends. Due to intensified competition, rising labor costs and the continuous appreciation of RMB, the profits of manufacturing enterprises in China have been greatly reduced. It is imperative to implement brand marketing and take the road of manufacturing brand.

Implementing brand marketing to improve the product quality of China manufacturing enterprises is the foundation, and it also needs systematic engineering such as precise marketing and communication, brand cross-cultural marketing, brand structure management, brand maintenance and intellectual property protection.

(a) the need to improve the quality, technology and service level

The improvement of product quality, technical level and service level have a direct impact on the brand image and status of China manufacturing enterprises, which become the basic premise and guarantee of brand marketing of China manufacturing enterprises.

1. Continuously improve product quality

Quality is the core and life of products, and it is also the foundation of brand formation. Without stable and reliable product quality and even the best brand strategy and publicity, it is impossible to establish a leading brand. Manufacturing enterprises especially need to improve product quality. Most manufacturing enterprises in China produce consumer goods, which are closely related to consumers. The quality of products is directly related to the brand image of enterprises. Therefore, in order to implement brand marketing, China manufacturing enterprises should first establish a strict product quality management system internally, improve the level and intensity of quality inspection, and then actively implement international quality system certification and strengthen product quality through external certification.

2. Improve the technical level

The technical level of the product is directly related to the core competitiveness of the product, which is finally reflected in the core value of the enterprise brand. Although the manufacturing enterprises in China have developed rapidly, most of their technical cores are in advanced foreign countries. If China manufacturing enterprises want to establish international brands, they must improve the technical level of their products. Manufacturing enterprises in China can improve their technical level through the following ways: First, most manufacturing enterprises in China have experienced this process by introducing advanced technology, and the most important thing is to improve their digestion and absorption capacity through introduction and innovate and develop on this basis; Secondly, cooperation with scientific research institutions. There are many universities and research institutes in Chinese mainland. Enterprises invest in cooperation with scientific research institutions, and their advantages complement each other, so they can quickly apply technology to products; Third, technology exchange and sharing among enterprises in the industry, such as TV manufacturing enterprises, can establish institutions similar to research institutes to discuss with each other internally and realize technology sharing.

3. Improve the service level

Corporate brand reputation refers to the degree to which a brand gains public trust, support and praise. In the process of enterprise brand marketing, the service level directly affects the brand reputation. Establishing a complete service system from pre-sale to after-sale is the source of competitive advantage for enterprises. To improve the service level of China's manufacturing industry, we must first really change the function of customer service, and turn customer service from an "apology" department into a real problem-solving department; Secondly, we can consider establishing a call center to realize the rapid response of services. In addition, we need to strengthen the quality of service personnel and improve their sense of responsibility and patience.

In particular, China manufacturing enterprises need to improve their service level in the international market. China manufacturing enterprises should try their best to localize their services in the international market and use local customer service personnel, which plays a very good role in resolving disputes and improving their sense of closeness. It is necessary to improve the internationalization level of services, including a whole set of processes from pre-sale to after-sale, and improve customers' sense of identity with corporate brands.

(B) to strengthen brand marketing and communication

1. Implement accurate brand market positioning.

Because of the differences of consumers' age, personality, preference, culture, education and economic level, and the existence of competitors, it is impossible for a product to meet the needs of all target consumers in the market and maximize their interests, so it is very important to implement brand marketing market positioning. China's manufacturing enterprises must subdivide the market, define the market positioning of products through market segmentation, and launch products different from competitors for different markets to meet the needs of different markets. The market positioning of products needs to analyze the different preferences and consumption habits of target consumer groups, and launch corresponding products on this basis.

2. Choose the right brand name

When a product enters the market, it will have a name, which will often become part or all of the brand name. China manufacturing enterprises should establish a strong brand, and the proper brand name should not be ignored. LENOVO, the largest computer manufacturer in China, changed its English name from LEGEND to Lenovo, which is a good example. The name is not only catchy, but also has a good meaning. Another example is Wahaha Group, whose brand features well reflect the characteristics of children, so it is deeply loved by children. A suitable brand name should not only have industry characteristics, but also reflect the cultural style of the enterprise. A good brand name can make consumers unforgettable.

3. Strengthen brand promotion

The promotion of enterprise brand is the starting point of enterprise brand marketing, which needs the support of enterprise marketing activities, and needs enterprises to adhere to a unified brand image and carry out global brand communication and promotion. China manufacturing enterprises can carry out brand marketing and promotion through the following strategies: by sponsoring some international large-scale competitions or sports meetings, the brand's international popularity and influence can be enhanced. The 2008 Beijing Olympic Games and the 20 10 Shanghai World Expo provide important opportunities for China manufacturing enterprises to enhance their brand awareness. By taking advantage of some favorable opportunities to carry out active and influential public relations activities to enhance the brand. For example, when Jianlibao entered the American market, it skillfully used the president of the United States to engage in an influential public relations activity, which greatly improved the popularity and influence of Jianlibao in the United States, thus successfully entering the American market. The key of this strategy is to establish an interest alliance with the general agent so that the general agent can actively participate in the brand promotion and publicity of the enterprise. Select dealers, select a certain number of dealers for the upcoming international market, and establish local branches, which are mainly responsible for the local sales, promotion and maintenance of brands, and give dealers some management and help.

4. Strengthen brand maintenance and innovation.

The brand of enterprise products needs constant maintenance. China's manufacturing enterprises should continuously invest in brands according to market development and changes, so as to ensure that brands always win consumers' attention. In addition, we must deal with the brand crisis in a timely and effective manner.

Brand innovation is the key to brand development. Because consumers love the new and hate the old, and fashion changes, brands need to keep up with the changes of the times from time to time, and brands that stand still are fatal. Brand innovation of China manufacturing enterprises can be realized by giving brand new connotations, including creating subsidiary brands under the main brands or giving them new fashion concepts.

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