Chen Mo reached out and scratched the tip of Ellie's nose...
"explain."
Ellie shrank her neck: "It's not enough to go too far. River Valley Ranch organic goat milk is nearly twice as expensive as the organic goat milk you can buy in the supermarket."
Chen Mo shrugged: "So?"
"You entered the highest-end market, but gave up the largest market. I have observed in supermarkets that the sales of organic goat milk from Valley Ranch are very poor...Bella is also a consumer of organic goat milk from Valley Ranch, but she can only consume it occasionally.
, the price is too expensive. Positioning a high-end brand at a high-end price, but not developing some mid-to-high-end products? In the future, competition in the goat milk market in the United States may become more and more intense." Ellie said seriously: "You should read more.
According to the news, many places are planning to increase the number of sheep raised."
Chen Mo put down his knife and fork and spread his hands: "River Valley Ranch is in some difficulties. But not now... It is impossible to develop mid-to-high-end brands, and it will never be possible. Valley Ranch only produces luxury-grade ingredients." Chen Mo picked up the food.
Knife and Fork: "What you said may make sense, but... you don't know the specific situation of River Valley Ranch."
"Okay. I don't know how to run a ranch..."
Chen Mo smiled: "Can you be my consultant?"
"certainly."
"I will show you River Valley Ranch's previous sales reports, operating costs, and information on how it operates later." River Valley Ranch does need to change, but how to change and develop some products for the wealthy masses?
This idea remains to be examined.
River Valley Ranch’s fresh milk, beef, and even the mutton sold in supermarkets are the most expensive among similar products.
Some things are not easy to sell because they are cheap. On the contrary, the more expensive they are, the more people rush to buy them. This is forceful. Most wealthy people enjoy a feeling when buying things, and that is the feeling that they can afford it.
Just like the cult wines of Napa Valley, these wines are not necessarily delicious, but they are produced in small quantities and are expensive, so many people flock to them.
River Valley Ranch has always positioned itself as a luxury ranch. It has mid-to-high-end products, which is mutton...
Chen Mo has no business talent. If it were not for the space card, he would not be able to achieve what he has achieved now. He has long had the idea of hiring a consultant to help him. But being busy day by day, Chen Mo is a little tired. Even the current business of the ranch
, he wants to reduce it as much as possible.
Herding cattle and driving sheep every day, doing a few businesses a year, and making a lot of money from just one business, that's the best.
After dinner, Chen Mo went to the office and packed up all the information locked in the safe and brought it back...
Ellie tidied up the kitchen at home and lay on the sofa watching TV with Aphra in her arms.
"Come on, little genius from Stanford, take a look at River Valley Ranch's financial report from April last year to March this year. It contains income, expenses..."
"Okay, show me."
April, May, June...
In April, the revenue was only a few hundred thousand, in May the revenue exceeded 1 million, in June the revenue was close to 4 million... In August and September, sales were stable at around 9 million US dollars.
In October, Ellie's eyes widened: "The income in October last year was 10,000 yuan, is that correct?"
"Of course there is no mistake. Last October, we sold a batch of Garbo fruit trees and made a profit of US$12.6 million."
"Oh my god, what kind of tree is so valuable?" Ellie flipped through the previous page. The average price of a Garbo fruit tree was tens of thousands of dollars, which almost overturned Ellie's cognition.
Income minus expenses is almost profit.
You still have to pay a 20% income tax on net profits. But if the income is invested, the tax paid will be less...
"It's too exaggerated. Almost all goat milk from the ranch can be sold... Then why do I rarely see anyone buying it in the supermarket?" Ellie said strangely.
"The price of river valley goat's milk is very expensive. We have made statistics and found that 75% of the fresh milk is a long-term order and is delivered directly to the door by supermarkets. Only a small part of the fresh milk sold in supermarkets..." Chen Mo said
He took out the market research report compiled by Moxi and showed it to Ellie.
Ellie first looked at the sales reports and financial reports for three months of this year. River Valley Ranch's profits were too scary.
This kind of profit is too abnormal for a ranch.
"Albertsons, Tesco, and Whole Foods have signed purchase and sales contracts with us. For 6.5 pounds of fresh milk, our retail price is $75, and the supermarket's price is $137.5. For 4.5 pounds of fresh milk, the supermarket's price is
It is 99 US dollars, and our selling price is 63 US dollars... leaving a high profit for the supermarket. Therefore, the supermarket will be responsible for a large amount of expenses for the promotion and publicity of the fresh milk from the River Valley Ranch... Our farm only sells fresh milk in large quantities at the beginning.
A comprehensive promotion was conducted.”
"For example, Valley Ranch organic goat milk can enlarge breasts. It seems to be a gimmick created by three supermarkets."
Ai Li pursed her lips and looked at Chen Mo, then stuck out her tongue and said, "It seems like it can enlarge breasts..."
"???"
"Bella said it. She didn't know who she heard said that Valley Ranch organic goat milk can enlarge breasts, so she occasionally buys some to drink..." Ellie touched her breasts as she spoke, and said with a red face: "My breasts,
It’s much bigger than last year.”
Goat milk has a certain breast enlargement effect. Dairy goats are rich in protein, vitamins and other substances, which have a certain effect on breast enlargement, but the effect is not particularly obvious.
If it has a significant effect on breast enlargement... the organic goat milk from River Valley Ranch will not have to worry about having no market.
But this thing may vary from person to person.
Chen Mo always felt a little mysterious.
"River Valley Ranch, Moxie, who is in charge of sales, is a genius." Ellie took a rough look at each acre: "River Valley Ranch's operating model is good in the short term, but in the long run, it's not very good. River Valley Ranch
The situation in the ranch is the Internet celebrity economy that is currently popular. If you don’t make changes as soon as possible, the market competition will become more and more fierce in the future, I’m afraid..."
Chen Mo lit a cigarette: "Moxi also said about this that the operating model of River Valley Ranch should be changed as soon as possible. But how to change it... I owe the bank 370 million U.S. dollars, and you told me before that a financial crisis might break out this year.
…”
"River Valley Ranch only makes luxury goods. If we rashly promote mass products... the second is lower profits, and maybe we will lose our market position. Moreover, Valley Ranch's current production capacity is limited, and only high prices can produce the maximum profit. Price reduction three
By one or half, we may occupy a larger market. But the profit... What I would rather do is reduce production, maintain the same price and reduce production. The profit obtained is actually about the same, or even higher. You can calculate it for me.
?”
"Well, I agree with your point of view. However, only by occupying the market can we obtain greater profits, right? Many companies are willing to spend money to occupy the market." Ai Li looked at Chen Mo and winked.