The atmosphere in the Splendid Pavilion has never been so oppressive.
The news of raw material supply disruption weighed on everyone's heart like a huge rock. The only remaining lake blue Hangzhou silk and silver-blended silk in the warehouse are being consumed every day, yet there is no hope of replenishment. Looking at the empty corner of the shelves and the continuous hustle and bustle of Zhangji Embroidery House opposite, the guys couldn't hide their anxiety and fear on their faces. Privately, there have already begun to be discussions, saying that the second young lady might really not be able to hold on this time. The time-honored brand of Jinxiu Pavilion might really fall into her hands.
Shen Ruoxin saw all this with her own eyes and was anxious in her heart, but she didn't show the slightest hint on her face. She knew that the more critical the situation was, the more she had to stay steady as the backbone. For several consecutive days, on the one hand, she asked Wang Bo to use all his connections to secretly investigate the supply channels outside the prefectural city, especially those "special" trade routes operating in the gray areas. On the other hand, she was also racking her brains over the way to break the deadlock at hand.
The issue of raw materials cannot be resolved overnight, but the store cannot come to a halt and people's hearts cannot be scattered! Zhang Ji has been flooding the market with low-priced counterfeits, seemingly gaining the upper hand. However, its foundation is unstable and its poor quality is its Achilles' heel. She must find a strategy within the limited time and resources that can not only relieve the financial pressure, stabilize the customer flow, but also counterattack the rivals at the same time.
That day, she called Wang Bo and Xiao Cui to the secret room at the back of the hall.
"Second Miss, are you looking for us?" Looking at Shen Ruoxin's slightly tired but still clear eyes, Wang Bo felt a little relieved.
Shen Ruoxin didn't beat around the bush and spoke directly, "You all know the situation in the shop." The supply of raw materials has been cut off and the customer flow has been snatched away. If we don't think of any more solutions, we'll have to close down within a month.
Upon hearing this, Xiao Cui's face turned pale, his lips moved a little, but he didn't dare to speak.
"Sitting and waiting to die is not my style." " Shen Ruoxin's tone was calm, yet it exuded an unquestionable determination. "I have decided that from tomorrow on, the Splendid Pavilion..." Clearance sale!
What? "!" Xiao Cui let out a cry, "Second Miss, under no circumstances!" If we also lower the price, wouldn't that be exactly what Zhang Ji wanted? Isn't this clearly telling everyone that we can't defeat him and have to admit defeat? Where can we put the face of our Splendid Pavilion?
Uncle Wang also frowned and pondered, "Second Miss, although the price reduction promotion can recover the funds for the time being, on the one hand, it will damage the image of our high-end embroidery products. On the other hand, with our current costs, we probably can't lower the prices of Zhang Ji's inferior goods." This move... It's probably like drinking poison to quench thirst.
"Who said we were going to lower prices like Zhang Ji?" " Shen Ruoxin's lips curved into a meaningful smile, and her eyes sparkled with wisdom. "What I said about clearing the inventory, of course, has my reasons." "Uncle Wang, Xiao Cui, come here and listen..."
She lowered her voice and laid bare her plan. As she recounted, the astonishment and confusion on Wang Bo and Xiao Cui's faces gradually turned into sudden realization and unbelievable admiration.
This... Is this okay? After hearing this, Xiao Cui still couldn't quite believe it. "Can the guests understand this?" Could it backfire?
It all depends on human effort. Shen Ruoxin said, "The key lies in guidance." Zhang Ji only knows how to attract customers who are eager for bargains with low prices, but neglects that customers themselves are also of different grades. What we need to do is to re-distinguish these customers with different demands and get what they need.
Uncle Wang stroked his beard, his eyes shining with a sharp light: "Wonderful!" The second young lady's plan, on the surface, seems to show weakness and lower the price, but in fact, it hides a secret! Under the guise of clearance sales, it actually implements tiered pricing! It can not only get rid of some overstocked second-hand goods but also recover funds. It can also stabilize the customer flow that values cost performance with mid-range goods. We can better use truly good products to highlight the huge difference between us and the counterfeits of Zhangji, and consolidate our high-end image! "Three birds in one stone, that's really great!"
Shen Ruoxin nodded slightly, "Exactly that's what I mean." But whether this plan can succeed depends crucially on its implementation. Uncle Wang, you are responsible for reclassifying, pricing and marking all the inventories in the warehouse as per my requirements. Be quick and covert, and don't let outsiders notice anything suspicious.
"Miss Second, rest assured!" "Old man knows the importance!" Uncle Wang agreed solemnly.
"Xiao Cui," Shen Ruoxin turned to her assistants, "Pick a few smart and articulate assistants, and I'll teach you the art of speaking myself." Remember, during this promotion, what we are selling is not just goods, but also "vision" and "value". Make customers feel that at Jinxiu Pavilion, no matter how much they spend, what they buy is the most worthwhile thing.
"Yes!" Miss Two! Xiao Cui was also infected by Shen Ruoxin's confidence and straightened his chest.
Over the next two days, a quiet transformation was taking place within the Jinxiu Pavilion.
Uncle Wang, along with his apprentice, turned the warehouse upside down. Those long-stored silk fabrics and embroidered thread accessories with slightly outdated styles or minor flaws were singled out separately, marked with striking red labels and astonishingly low prices - some even cheaper than the counterfeits of Zhang Ji. This part is the planned "first tier: Traffic Diversion and Clearance Zone".
However, those regular goods of superior quality and decent style but not unique to Jinxiu Pavilion were labeled in yellow, with prices ranging from the original to the counterfeits of Zhang Ji, highlighting the features of "affordability and durability". This is the "second tier: the Best value for Money Selection area".
As for the true essence of the Jinxiu Pavilion - those top-quality Yun brocade, tribute satin, Suzhou embroidery silk threads, as well as the few remaining flawless "landscape embroidered cushions" and other high-end design samples newly conceived by Shen Ruoxin but not yet made public - they are carefully placed in the innermost area of the shop, which has the best lighting and the most elegant layout, and are labeled with a simple and elegant blue color. Not only have their prices remained unchanged, but some rare items have even seen a slight increase. They are accompanied by exquisite explanatory cards, detailing their materials, craftsmanship and unique features. This is the "third tier: Town Store Collection Area".
Meanwhile, Shen Ruoxin took advantage of the time after the shop closed in the evening to personally train several key employees including Xiao Cui.
Remember, when a customer comes in, don't rush to sell. Shen Ruoxin sat upright on the armchair, her tone calm. "We need to observe first. Look at her dress and appearance, listen to her words and deeds, and judge her general needs and purchasing power."
If a customer heads straight to the red-marked area, it indicates that she values value for money. Then, enthusiastically introduce our clearance measures, emphasizing that "buying is making a profit", making her feel that she has got a great deal and closing the deal as soon as possible. But it's also necessary to casually mention, "These are all old styles from previous years. It's fine for a bargain, but if you want to give them as gifts or make decent clothes, you'll have to check out our yellow label section."
If the guest is hesitant or lingering in the yellow label area, it indicates that she wants both quality and price. At this point, highlight our reputation for 'genuine materials, 童叟无欺', in contrast to the 'sample' of Zhang Ji, emphasize our value for money. You can show them the physical objects for comparison and let them weigh them by themselves.
"As for those guests who are obviously either rich or noble, or who show interest in the blue label area," Shen Ruoxin paused for a moment, a sharp look flashing in her eyes, "we must present the style that our Jinxiu Pavilion should have." There is no need to be overly enthusiastic. Show confidence and professionalism in your own products. When introducing, the rarity of the material, the exquisite craftsmanship and the unique design are highlighted to create an atmosphere where "those who understand will naturally understand". There is no need to be reticent about the price. You can even imply, "This item is rare and collected by experts. No serious inquiries, please."
The guys listened attentively, nodding from time to time and asking questions from time to time. Shen Ruoxin answered each one patiently. After two nights, several clerks had already initially mastered this sales technique of "tailoring dishes based on the person".
Everything is ready.
On the third morning, the Jinxiu Pavilion removed its usual reserved curtain and replaced it with several large red banners that read "Clearance Sale, starting at 30% off". Although the handwriting was still elegant, the content was eye-catching enough.
As soon as the news spread, it immediately caused quite a stir on the street.
Have you heard? "Jinxiu Pavilion is going to have a clearance sale!"
"True or false?" The things in their family are precious!
It seems they really can't hold on any longer. They've been pushed out by Zhang Ji, haven't they?
Come on, come on. Go and have a look! Perhaps we can really get a bargain!
For a moment, the entrance of the originally deserted Jinxiu Pavilion was also crowded with many customers who came to watch the spectacle and look for bargains.
Zhang Sheng, the owner of Zhang Ji Embroidery House, naturally got the news at the first moment. He stood at the entrance of his own shop, looking at the red banner hanging on the opposite side of the Splendid Pavilion and the surging flow of people, with a smug sneer on the corner of his mouth.
"Humph! That girl from the Shen family is indeed a bit too young!" Can't you hold on anymore? Price reduction? Fight with me? What will she offer? When she sells all the stuff in the inventory, I'll see what she can sell! He instructed the fellow beside him, "Keep a close watch!" Let's see what tricks she can play! However, she won't be able to make any waves either!
He was convinced that Shen Ruoxin's move was merely a final struggle and a sign of giving up. He even looked forward to the day when the Splendid Pavilion would close down completely.
However, what happened in the Jinxiu Pavilion in the following days gradually made Zhang Sheng feel something was amiss.
The Jinxiu Pavilion is indeed lowering its prices. The old fabrics with red labels and loose embroidery threads are priced astonishingly low, attracting many women seeking bargains to rush to purchase them. Soon, many of them were sold out.
But at the same time, those mid-range goods with yellow labels also sell quite well. The guys always show the customers the excellent quality just right and compare it with the "shoddy goods across the street". Many customers who were originally hesitant, after careful consideration, would rather spend a little more money and choose the "genuine and affordable products" of Jinxiu Pavilion.
What Zhang Sheng couldn't understand the most was that in the innermost area of the Splendid Pavilion, the items on display seemed to still be the most expensive ones. The prices hadn't dropped at all; instead, they seemed to have even gone up? However, there were still some well-dressed noblewomen who came by carriage, accompanied by servants. They were whispering and choosing carefully over there. Occasionally, they could be seen paying the money contentedly and leaving with their items carefully carried by the maidservants.
What's going on? Zhang Sheng frowned, and a sense of unease began to spread. "Didn't they clear their positions?" How come the expensive ones still sell well? Those bargains... How much of their reserves do they have to deal with like this?
He had a vague feeling that Shen Ruoxin's "liquidation" seemed to be quite different from what he had imagined. This doesn't seem like a desperate struggle at the end of the road. Instead, it seems like a kind of... An orderly layout?
As the sun sets in the west, in the back hall of the Splendid Pavilion.
Shen Ruoxin looked at the sales report of today presented by Uncle Wang, and finally a tired but relieved smile appeared on her face.
"Second Miss, today's sales of clearance items in the red label area amount to 320 taels, sales of cost-effective preferred items in the yellow label area amount to 550 taels, and sales of town store collectibles in the blue label area..." " Wang Bo paused for a moment, his eyes shining with excitement. "Only two cubic meters of 'Landscape Embroidered Handkerchief' and a piece of cloud brocade were sold, but the income reached as high as 180 taels!" The total sales amount is 1,050 taels!
This figure is almost equivalent to the monthly turnover of the Jinxiu Pavilion in the past half a month! Although most of it was contributed by low-priced clearance items and the profit margin was not high, the key point is that the funds have been recovered! Moreover, mid-to-high-end products have not been greatly impacted. On the contrary, due to the contrast effect, they are even more precious.
"Very good." Shen Ruoxin nodded. "How did the guests react?"
Xiao Cui chimed in from the side, "Miss Hui Er, most of the guests are quite satisfied!" The joy of getting a bargain makes one feel like they've found a bargain. Those who buy mid-range goods can rest assured. They think our products are genuine. Those ladies who have bought expensive items are even more convinced that the things in our Jinxiu Pavilion are truly unique and stylish!"
That's good. Shen Ruoxin's heart, which had been in suspense, was relieved by half. "Continue to carry out the plan." Remember, our goal is not to compete with Zhang Ji on price, but to make customers understand that Jinxiu Pavilion represents quality and credibility. Even if it's a clearance sale, it should be done in an orderly and elegant manner.
"Yes!"