Covid 19 outbreak : How to adapt an strategy in this hard time?
As recently reports by mp.weixin.qq.com, Considering the current situation, the impact of the coronavirus will hit almost all country’s First – Second quarter growth, and we may expect a rebound after the outbreak is contained with a rise in the activity in the Q3 and Q4 of 2020.
Chance favors the prepared mind; We would like to share a couple of areas where we see opportunities, if they are approached correctly:
1. Closer tie with the sales chain.
It may not be a surprise that some wineries focus more on importers as the latter contributes to the sales directly. Besides, distributors and final consumers will influence greatly importers’ purchasing power.
From importer to final consumer, the sales chain can be very complex and opaque. As a result, it could be difficult for some wineries to acquire the knowledge about how their wines are distributed or the profile of their final consumers. Recently, the Covid-19 is reshaping the market. In order to adapt to the fast-changing market, some importers may update their portfolios, with some new star wines in. Those who are close to importers, distributors, consumers, and the market could react quickly when the rebound arrives. Our suggestions:
- Doing more events with its importer/distributor to understand their business and the market trends; meeting with different final customers to acknowledge their purchasing reasons.
- Learning regularly market trends and consumer behaviors.
- Building brand image constantly among targeted consumers, importers and distributors.
2. Digitalize the strategy
A. 2.1 Market-oriented Competition
2020 maybe difficult for our economy but awards is one of the easiest way to market your products or brands to consumers.
Singapore Awards is a market-oriented competition, that means it rewards all good or excellent products for our market.
Join Singapore Awards 2020 here and get Importers and Distributors in Asia especially in Singapore.
Before the outbreak of Coronavirus, each mobile user spent an average of 6.2 hours of day (from Jan. to Nov. 2019), according to a report published by research firm QuestMobile. The time spent online would be even higher on 2020. To cope with the outbreak of Covid-19, lots of wine schools and wine merchants have released live-streaming courses and video lessons. Some brands have established partnership with wine schools so that their brands could be featured in live-streaming. A large number of wineries have highlighted the opportunity of online training among traders especially their importers and distributors. Through the short video content/live-streaming/online course, wineries may build brands among their targets, and probably increase the sales numbers. On one hand, the content could help importers and distributors to market products, on the other hand, the promotional content could engage final consumers. Our suggestions:
- The content should be qualitative instead of quantitative. High definition and smooth broadcast will be appreciated by the audience.
- Considering the high penetration level of smart phone in China, if you want to do marketing in China, mobile should be first.
- Correctly featuring the KOLs in the live-streaming or (short) videos could attract an enormous flow of views.
- Through interactions with the audience, brands can better understand their preferences, rapidly improve the user experience, and come up with effective marketing plans quickly.
- Share on social medias (WeChat, Weibo etc.) to maximize the exposure of the brand and its products.
Facing the needs for food and other life necessities, Almost all consumers tend to order online to minimize physical contact. The outbreak of Covid-19 has disrupted the pace of the gradual transition from offline to online. Many businesses rush to digitalize their sales channels. However, we should be aware that not all categories are beneficiaries; Online groceries gaining new users and traction because people tend to cook at home with fresh products. The most common wine drinking occasions are gatherings, whereas people are advised to avoid gathering together nowadays. As a result, the discretionary categories, including wine, remains weak. Besides, the e-commerce is a complex playground and players are facing fierce competition. Our suggestions are:
- The online business is better to be operated by the local team, who are closer to consumers, have a better grasp of local market rules, understand and speak their language, and can interpret subtle cultural cues.
- Partnering with big local E-commerce players could contribute to not only the sales, but also the brand awareness among public.
- Prepare the budget for the promotional cost.
We encourage wineries to maintain close tie with the market, while searching for growth engine online. Those who act now can minimize the worst effects and emerge from the crisis stronger.