Yang Dongxu's method of doubling orders is actually very simple. To be precise, it's a bit of a repeat of the same old tune, which is the OEM he has been promoting in the past two years.
Although the Yiwu platform was busy, we got a lot of orders at once. However, a large part of the reason why these foreign businessmen are so generous is because these things are very novel, and they are optimistic about this market.
However, there are only a few businessmen who are optimistic about the market and put all their money into it, so placing an order that seems generous is actually a conservative approach.
These foreigners are not stupid. The orders they place are basically to try to sell, that is, to place a batch of goods back. It is the safest way to decide whether to place an order or not after looking at the sales volume.
If there is no driving force behind the scenes of a market, there will always be a process of adapting to the emergence of new products. This process may be long or short, and during this process, products that could have been popular are likely to die because the adaptation time is too long.
However, new products require adaptation, but old products do not have this concern. Especially Yang Dongxu saw several big international brands among the group of foreign businessmen.
So if the OEM can be negotiated, orders will more than double without any sales concerns. The way to get these foreigners to place OEM orders is also very simple, saving almost half of the production cost, and the quality is still the same.
What businessman wouldn't be tempted by this? And all they need to pay for this is a wait of up to a month and some additional transportation costs. But this is simply a dime in the face of the huge cost savings.
And now China has introduced preferential export policies, which means that as long as goods can be exported in exchange for foreign exchange, there will be no tax or even tax subsidies. This saves these merchants a fortune, so it is cost-effective no matter how you calculate it.
However, these foreign businessmen will definitely have some concerns. After all, in their impression, China is synonymous with poverty and backwardness. They will definitely have concerns about whether they can complete orders with quality and quantity according to their own requirements.
But this worry can be easily dispelled, that is, this point should be emphasized in the contract, and the responsibilities should be written clearly. If the goods are not delivered, a smaller deposit can be required, or even a deposit can be paid. In short, these are not problems.
The problem is that as soon as these injuries taste the sweetness of OEM in China for the first time, they will be completely addicted and cannot do without domestic OEM companies. In this way, the first batch of OEM companies will definitely be weak in accepting orders.
"Is this okay?" Zhao Dexin looked at Yang Dongxu hesitantly after hearing what he said.
Although Yiwu is more prepared than Yu Feihong, their current thoughts are still on promoting their own products and getting their products out of the door. As for taking orders from foreign contract manufacturers, few people in China currently have such an idea. . Even if there are people who dare to think and have the conditions to do it, there are only a few people except Yang Dongxu.
"You should have some good tailors over there, right?" Yang Dongxu raised his chin and said to the Yiwu station.
Although the Yiwu platform was very lively and crowded with many people, taking advantage of his height, Yang Dongxu still saw two middle-aged women taking a piece of cloth, cutting it, and quickly made it into a Chinese tunic suit to show off to foreigners. The quality of the cloth and the condition of the finished garment.
"There are some clever people." Zhao Dexin nodded without understanding what Yang Dongxu meant.
"Let's go over there and ask your people to cooperate with me." Yang Dongxu smiled at Zhao Dexin and walked towards the booth in Yiwu.
Zhao Dexin frowned and felt a little uneasy, although twice the order was very tempting. But the order Yiwu received today is already quite large, so even if he does nothing now, he can still go back and deliver the goods.
But if Yang Dongxu followed Yang Dongxu's advice, the last two orders were not fulfilled, and then the orders that were received were also sold out. It is estimated that the leaders have the intention to kill him after he returns.
But just when he was hesitating, Yang Dongxu took advantage of his height and strength to squeeze into the Yiwu booth, and without giving Zhao Dexin a chance to say anything else, he directly started talking in English with a foreigner wearing Nike brand clothing.
The foreigner who was originally listening to the translator stumblingly introducing the products in front of him suddenly lit up when he heard Yang Dongxu's English with a pure London accent, and then started chatting with Yang Dongxu while the translator next to him was dumbfounded.
At this time, Zhao Dexin, who had struggled to squeeze in, wanted to say something. Yang Dongxu had already taken the white paintbrush on the table, and with a few strokes, he outlined the separated parts of the jacket and introduced what to the foreigner.
The foreigner's eyes lit up when he saw the pattern Yang Dongxu casually sketched. And he pointed to the style of the separated pockets on the jacket, the shape of the cuffs, and the appearance of the collar with great interest, and chatted enthusiastically with Yang Dongxu.
The two of them talked for a few minutes while one was drawing and introducing, the other was looking and asking questions. Then Yang Dongxu said something to the foreigner, and the two looked at the two seamstresses together. This made the two seamstresses who stood aside and didn't dare to speak, instantly startled and didn't know what to do.
"Can you understand these pictures?" Yang Dongxu turned the clothes parts drawn with chalk in front of him in one direction and showed them to the two tailors.
The two seamstresses looked at me and I looked at you and shook their heads at the same time.
Yang Dongxu was stunned for a moment when he saw the two people's reactions, and then he came to his senses. Pointing to the painting on the cloth, he introduced it to the two people. In fact, it meant where the pocket should be on the clothes, what kind of cuffs should be like, the collar should be slightly stiffer and established, etc.
This explanation was understood by two people instantly. This is also the common state of domestic technicians at present. If you show the professional drawings to the technicians, they may not be able to figure it out. But if you explain your requirements clearly, they can process what you want without drawings, and it will be no worse than what is made based on the drawings.
"Is this possible?" Seeing that the foreigner seemed to be particularly interested in what Yang Dongxu painted, Zhao Dexin quietly tugged at the corner of Yang Dongxu's clothes and asked worriedly.
"You will know soon whether it is successful or not. What you are considering now is how to quote the price."
"Quotation?" Zhao Dexing was stunned for a moment. He was still worried about whether Yang Dongxu was messing around and angering foreigners. Yang Dongxu seemed to have concluded that this order must be a quotation for him. His mind couldn't keep up for a while. Yang Dongxu's rhythm.
"Two tailors are working on it. Since you came to host this booth in person, you must have an estimate of the price of the cloth. So take a look at what materials they use, estimate a rough price in your mind, and then add 50% to the cost. Just report it." Yang Dongxu reminded Zhao Dexin in a low voice.
"Fifty percent!" Zhao Dexin looked surprised. Nowadays, the profit of small commodities in Yiwu is generally about 20%, and the profit of clothing is less than 10%. The sudden increase in the quotation by 50% made him feel that Yang Dongxu was trying to trick the foreigner. This was a big event, and it might even be a diplomatic incident.
"Fifty percent is still less." Seeing the surprised Zhao Dexin, Yang Dongxu gave him a look that said he was not promising: "There will be some hidden terms in the contract negotiation later. If the negotiation goes smoothly, the profit will be 60-70% It’s not impossible to have space. And even if a foreigner finds us and makes so much money, instead of being angry, he will be happier.”
Yang Dongxu is very clear about the urinal nature of these brand companies. Although brands are not as pathologically harsh as luxury goods. However, most of the eliminated products were directly destroyed, while many were processed at price reductions. Even if the price is reduced, it will be more profitable.
The profit of 60% to 70% seems to be a lot for OEM companies, but Nike will earn even more. And this is not the real cost written in the contract. For example, the original cost of processing clothing is 50 yuan, and after adding 50% of the profit, the ex-factory price of the clothes is only 75 yuan. Nike's sales start at least 300 yuan.
And in most contracts, the exit manufacturing price will not be written as 75. Instead, it will write 105, or even 205. The price of 300 yuan plus transportation fees and various selling costs makes consumers feel that Nike is particularly real.
In this way, Nike can also declare to the outside world that what its company focuses on is the quality of the brand. Even if each product makes less money because the cost is too high, the quality will not be reduced for the sake of profit. In this way, it can establish a positive image and the tea products will sell well.
However, these are undoubtedly unspoken rules in the industry, and most people will not understand them if they do not understand them. So sometimes other companies become jealous when they see that this company is doing so well.
So people who followed this company found a buyer and wanted to get the order at a lower price. As a result, the expected success did not occur, but instead, there were many cases where I was slapped.
The first reaction of a company that wants to poach someone in this situation is that the buyer's representative has been bribed, and he must have received a lot of kickbacks. This may be one of the reasons, but it is not the only one. Many unspoken rules and hidden terms in cooperation were the root cause of his rejection.
"Five...50% is still less?" Zhao Dexing looked at Yang Dongxu in astonishment. For a moment, he didn't know whether it was a surprise or an uneasy feeling that Yang Dongxu was bragging.
"We'll talk about this later. When I ask you about the cost later, you tell me the truth and you don't have to hide anything. Then I'll talk to this foreigner. If there are no accidents, we can sign a contract of intent today, and then you go back and make preparations. They go back to inspect you. The factory, when the time comes, you gather all the skilled workers and show them, basically the order will be gone.”
Yang Dongxu patted Zhao Dexin on the shoulder to tell him to calm down, then turned his head and started talking to the foreigner again. However, the focus of the conversation between the two people at this time was on the shape of the cloth that the two tailors were constantly cutting out, and the appearance of the finished product after it was made into parts.
Sometimes Yang Dongxu speaks in his mouth and then gestures with his hands for unknown reasons. The people next to him are confused, including the foreigner who understands English standing next to him.
But the manager of Nike could understand it, and from time to time he would rub his hands very excitedly, then pick up the scissors next to him and cut them by himself, and then put the cut fabrics together into strange-shaped things, and return them while he was doing them. Yang Dongxu chatted and asked him to make suggestions.
Both of them spoke very fast, and their hand movements were not slow, which made the people around them who didn't understand even more confused. I can only look at these two people with admiration. I understand that I am stupid and don't understand. But what do you think of these two people who are talking and doing things together? They are so awesome. You must look at them with admiration, otherwise won't others know that you are stupid? Therefore, the look must be serious and the eyes must be worshipful, and the more worshipful, the better.
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