Price increase is a problem that makes it difficult for brands to face consumers. It seems "unkind" to say it directly, and you can only bear it silently if you don't say it clearly; and when the world is facing severe living costs and rising production costs, price increases are unacceptable. It cannot be avoided, and of course the Chinese domestic market cannot be avoided. It is not necessarily an unresolvable contradiction that a brand must not only ensure its own profit margins, keep occupying the minds of consumers, but also make consumers willing to pay for it. This article focuses on how brands can prepare a reasonable pricing strategy when this round of inflation begins in 2022.
This article is part of a series on Spotlight China Focus: The Economic Repercussions of the "Long Epidemic" Era. Click to go to the topic page to read more about it.
There was once a post on Zhihu discussing "Why McDonald's and KFC don't sell chicken feet", the "truth" is that these two brands come from the West, and they also followed the Western habit of not eating chicken feet1. However, in August 2022, KFC will really start selling chicken feet in China. The reason for breaking the tradition that has been held for many years...
