The actual combat logic of strategic large items

In a competitive business environment, how can companies achieve sustainable growth and break through the barriers? This article will delve into the practical logic of “strategic large items”, reveal the essential difference between them and short-term explosive products, and show how to break the deadlock of product homogenization through strategic differentiation through practical case analysis.

How to navigate the economic cycle? How to stop the decline in profits? How to outperform competitors? Today, we will use the largest vernacular to explain the actual combat logic of strategic items.

1. The basic concept of strategic large items

1. What is the relationship between strategic items and explosive products?

Obviously, the two are fundamentally different.

Explosive products, based onflow ratethe planning focuses on the explosion and transformation of short-term voice volume and sales; Strategic large items, based onCore competenciesWhat is planned is a long-term product with vitality.

2. How to classify strategic large items?

Strategic items can be simply and crudely divided into three major combat units:

• First, the vanguard forces, such as: Yuanqi Forest used the symbol of zero sugar, zero fat and zero calories to tear open a big gap in the low-sugar beverage market.
• the second is the ace troops, such as Apple mobile phones, accounting for 58% of Apple’s total revenue.
• The third is the image force, such as Huawei’s tri-fold screen, which shows advanced technology.

Each of these three forces assumes different strategic values:

• the vanguard unit is responsible for innovation and development;
• Ace troops are responsible for profit contributions;
• The image force is responsible for shaping value.

3. Is it a product or an ecology?

Strategic large products start with a single point breakthrough, but in the end it is a cluster attack. For strong brands, strategic large items are not single products, they must be product ecology.

For example: Tesla has a product ecology:

• Vanguard: Cybertruck (opening up the pickup market).
• Ace troops: Model 3/Y (sedan market, contributing 85% of sales).
• Image force: Roadster 2 (sports car market, creating a performance benchmark).

2. What is the function of strategic large items?

1. What current pain points can strategic large items solve?

At present, there are generally three major growth pain points in the manufacturing and retail industry:

• Product homogenization, price war, and the industry is becoming more and more voluminous.
• Traditional marketing methods are outdated, and the cost of opening a store (traffic) is getting higher and higher.
• The basic market cannot be held, the incremental disk cannot be seen clearly, and the performance growth is lost.

We believe that product homogenization and price war are the biggest growth pain points at present.

So what is the way to break the game? Make strategic large products, use strategic differentiation, and break product homogeneity. This is the strategic value of strategic large items.

2. Product homogenization, how to break the situation?

We homogenize our products into 9 levels:

The effect is the same, the mechanism is the same, the traffic is the same, the selling point is the same, the experience is the same, the trust is the same, the customer is the same, the strategy is the same, and the brand is the same.

• From the bottom: the customer does not need your product, what the customer needs is to solve his problem. Therefore, selling good products never depends on selling efficacy.
• From the highest level: Einstein said: We cannot solve problems with the thinking of asking questions. Therefore, if you are a new commercial species, product homogenization will not be solved.

There are too many specific contents, so we won’t discuss it. Look at the picture above.

3. Practical interpretation of strategic large items

1. Strategic value map of strategic large items

We believe that strategic large items = strategy + large + single + product

1．stratagemWhat is it? The core is strategic productization.

Can our strategy be implemented in the three major combat units? Is the value sharp? Is the style of play sharp?

2．bigWhat is it? The core is the strategy of goods.

Products are manufacturing, and goods are retail. In addition to good products, we also need to see: Is the market space big? Can the category sit on the boss?

3．singleWhat is it? The core is product strategy.

Many brands do not have signature dishes (main promotions), only popular dishes (retail models). Therefore, the strategic value of the product is weak. Is there a main channel? Is there a single point breakthrough? Is there any cluster attack?

4．productWhat is it? The core is brand strategy.

Many brands are stuck in image promotion, event release, and store upgrades, so what do they lack?

Does the brand have a masterpiece system? Is there any product logic? Is there any commodity logic? Is there any logic of the work?

These are the underlying logic, and there is a lot of content, so we will not discuss them.

2. Practical model of strategic large items

We divide strategic large items into five levels: strategic layer, demand layer, concept layer, framework layer, and somatosensory layer.

1. Strategic layer: Can the company’s strategy be implemented on which product or type of product? Among the company’s best-selling products, what other company-level strategies can it carry? For example: Is Meituan’s acquisition of loss-making Mobike a strategic single product? The growth strategy of Oatly, the world’s No. 1 oat milk, is 2B first and then 2C, so is the oat latte a strategic single product?
2. Demand layer: What kind of customer group will be interested in our strategic products? Why did they buy it? What are you buying? Do our product concepts, design language, expression elements, etc. prominently respond to the core demands of the target customer group?
3. Concept layer: Do our products have a say in the market and the public? In mass marketing, is there a three-point integration of memory points, communication points, and decision-making points? When we communicate with customers, do they have to pay a very high cost of understanding and awareness?
4. Frame layer: What are the motivations for end-customer decisions? Is there a reason for buying that sentence? Does this reason for purchase need the blessing of customer experience and brand trust? Is it like a luxury car must build a 4S store, when our products are sold, we need a transaction model?
5. Somatosensory layer: Is our product particularly difficult for customers to perceive value? Without in-depth use and experience, customers cannot form a subjective judgment? Is it difficult for customers to differentiate us from our competitors?

It’s like peeling an onion, dismantling the strategic items layer by layer. It is necessary to go both from strategy to product and from product to strategy. In the end, strategic large items form a very good value body in terms of consistency, coherence and synergy.

3. Performance battle map of strategic large items

How is the strategic single product created? How many strategies, brands, and products do you have to go through? Here, we give the most simplified performance combat map.

As a practical partner in corporate growth strategy, we help listed companies buildPerformance landing system, to help high-growth enterprises buildStrategic large items。

Here, strategic large items go through the following seven main processes:

1. Core competencies self-test, including product strength, brand power, strategic power, etc. Strategic items are strategized and planned based on core competencies. The core competency is the starting line.
2. brand productization analysis, including five looks and three determinations. Any brand has different brand tones, strategic styles and management styles, which should be tailored to one enterprise and one discussion.
3. Commodity productization analysis, including three lines and five models, etc. For products that have been sold well, reverse empower strategic value and optimize operating efficiency.
4. Research and judgment on core topics, including pain points, stuck points, blind spots, etc. of performance growth. According to the importance and priority, the list of the most valuable topics is studied and determined.
5. Carry out research on the subject.
6. Strategic productization analysis and product landing. At this time, co-creation delivery is usually carried out along the two directions of strategic large items and brand representative works. In the delivery, it will be agreed to grow Polaris indicators to productize the strategy and visualize performance.
7. Core competency infrastructure. There are not only external appearances for market share such as mental products and mental categories, but also internal skills for core competencies such as strategic capabilities and business capabilities.

In this way, the end is the beginning, and the end is connected. Core competencies are not only the starting line of the next round, but also the end of the previous round.

4. Summary

To sum up, what is the value of strategic large items that usually have?

• It can make a single breakthrough and drive performance growth.
• can bring brands with products and create brand image.
• It represents a category that can affect the minds of consumers.
• The sales volume is relatively deep, and there are supply chain and cost advantages.
• It can form brand equity and shape long-term core capabilities.

Finally, repeat again:

Make strategic large products, use strategic differentiation, and break product homogeneity.