Noble Oil Consumption Decline Reflects Marketing Dilemma

A central ban has made this year's "Double Festival", the traditional peak season of edible oil consumption, somewhat dull. In this regard, experts said that high-end edible oils only rely on offline sales and festival season "group buying gifts" and other ways to promote sales, it is difficult to become bigger and stronger, we must find new ways.

"Sales of high-end edible oils have declined compared with previous years, and prices have remained unchanged from the same period last year." Liu Jingliang, director of the grain and oil wholesale market information department of Beijing Jinxiu Dadi Yuquan Road, told the grain and oil market newspaper reporter.

With the advent of the Mid-Autumn Festival and the National Day, "Double Festival", as a country of etiquette, etiquette still comes naturally. In recent years, giving health and "green" has become a fashion. As a family necessities, high-end cooking oil has become a new choice for gift giving.

However, compared with last year's high-end group buying of edible oil, this year has been much duller.

Embarrassing "Double Section"

"In 20 days, the central government issued four bans on bi-festival gifts, which had a great impact on the high-end edible oil market this year." An olive oil trader in the grain and oil wholesale market of Beijing Jinxiu Dadi Yuquan Road said.

A central ban has made the traditional consumption season of edible oil less prosperous.

It is understood that on September 3, the Central Disciplinary Commission and the Leading Group of the Central Party's Mass Line Educational Practice issued a special circular demanding that the unhealthy trend of giving gifts by public funds during the "Double Festival" be firmly stopped.

Affected by this, the sales of tea oil, olive oil and some small edible oils with high prices and high nutrition and health-keeping functions have declined to varying degrees.

"This year's sales of the two sections have fallen by at least half compared with the same period last year." Tu Wentai, general manager of Wentaishan Tea Oil Factory in Suichang, Zhejiang Province, said that after the national ban was issued, the amount of public funds purchasing tea oil decreased dramatically, and some other customers purchased with the trend also decreased, resulting in sales of enterprises far below the same period last year.

"Promotion effect is not good, lower prices are not realistic, for a while and a half I do not know how to deal with it." Tu Wen said too helplessly.

But there are also some enterprises because the sales period is ahead of schedule, sales are not affected. Wang Jutao, general manager of Changsha Haoyin Industrial Development Co., Ltd., which mainly sells rice bran oil, told reporters that most of the sales of rice bran oil are group purchases. "Those group-buying companies booked their products very early and were not affected by the central ban." Wang Jutao said that the price of the product was roughly the same as in previous years.

It is understood that, for a long time, tea oil, olive oil and other high-end edible oils because of high prices, terminal market promotion is difficult, most consumers as a "gift" to give.

"It's too luxurious to eat by oneself." Xiao Zhang, a citizen who is buying olive oil, told reporters that this is a gift to his parents for the holidays. "Daily consumption is still dominated by soybean oil." The reporter visited the grain and oil wholesale market of Beijing Jinxiu Dadi Yuquan Road, and did not find that the high-end edible oil was the main product of the merchants. Some businessmen told reporters that they only sell olive oil, camellia oil and other small oils with soybean oil and other common edible oils.

"Although high-end edible oil profits, but less shipments, turnover is more difficult. If we do it specially, it will be more difficult. Zhang, who is engaged in oil business, said.

Need to innovate ideas

Industry insiders said that although high-end oils and fats claim to contain a variety of nutrients beneficial to the human body, so the price is generally higher, but in view of the current level of consumption of Chinese consumers, high-end edible oils only rely on offline sales and festival peak season "group buying gift" to achieve sales goals, it is more difficult.

Relevant institutions'investigation shows that many high-end edible oil enterprises with good quality have invested a lot of money in introducing advanced production equipment in the early stage, but after the products are produced, they are in crisis one after another because they can not find effective marketing methods.

"It's not easy to cultivate a brand, but it's not easy to cultivate a high-end brand. High-end innovative products in accordance with the conventional line is difficult to work, pioneers must innovate marketing concepts and marketing methods. Experts believe that.

According to the Taobao Index published by Taobao, the search index of camellia oil has risen by 10.9% in the past month, four times that of the same period last year, and the search index of olive oil has risen by 9.8% in the last month.

E-commerce related people said that the promotion of high-end edible oil through e-commerce platform is one of the important means. "Compared with other edible oils, tea oil and olive oil have greater regional limitations. For example, the main consumption areas of camellia oil are concentrated in Hunan, Jiangxi and other major camellia oil producing areas, while most consumers in the North consume very little; olive oil is mainly concentrated in coastal areas, such as Shanghai, Shandong, Guangdong and other provinces. According to the above-mentioned people, regional consumption of high-end edible oil varies greatly, and large-scale cross-regional sales are costly and risky.

The use of e-commerce platform for promotion is also the choice of many enterprises. There are many Taobao stores selling Xiwang corn oil, Jinlongyu camellia oil and olive oil, and the sales are considerable.

It is worth mentioning that near the "Double Festival", olive oil performs better than Camellia oil. Reporters searched Taobao online for "olive oil" and found that the monthly sales record of the champion was 5699; by contrast, because of the promotion time.