One year after another merger
Meizu's internal e-mail "Corporate Center-level organizational structure adjustment and personnel appointment notice," the contents of the display, Huang Zhang Meizu chairman and CEO, directly involved in the company's operations, Meizu COO and CFO Qi Weimin and Meizu CSO Li Nan assisted the CEO management company.
Meizu CSO and senior vice president Li Nan is responsible for sales center related business and team management. Meizu Sales Center will be responsible for the overall management of Meizu and Charm Blue mobile phone products and sales of domestic and offline products of the company’s products, operators, distribution, retail management, etc., and report to Chairman and CEO Huang Zhang.
Meizu CMO and Senior Vice President Yang Hao is responsible for the relevant business and team management of the market center. Meizu Market Center will fully take charge of Meizu's brand strategy, Meizu, Charm Blue mobile phone brand promotion, marketing, event planning, and media public relations, reporting directly to Huang Zhang.
In the end, the charm blue returned, Meizu internal restructuring, once again give sales tasks to Nan. In terms of details, the sales center is responsible for the overall operations of the Meizu and Charm Blue mobile phones as well as offline sales. This means that the Meizu and Charm Blue divisions will actually be merged, and Mei Yong’s president Bai Yongxiang has disappeared from the new structure. Many media outlets Bai Yongxiang may have entered a state of "retirement."
At this time only one year away from the Meizu charm blue split. In December 2016, Bai Yongxiang publicly stated for the first time that the Meizu brand and the Charm Blue brand will be separated in sales channels and terminals in 2017 to implement a dual brand operation strategy; at the beginning of May 2017, Huang Zhang “has taken the lead” and updated its internal organization. In the framework, Meizu, Charm Blue, and Flyme were established. Li Nan served as president of the Charm Blue Business Unit and had a full range of functions such as branding, marketing, sales, and product planning. The move was interpreted by the industry as an independent approach to Charm Blue. Precursor, after the independence of the charm blue, enable a new LOGO, sales channels and even product lines.
Six months later, that is, in December 2017, Huang Zhang made the second adjustment after returning to Meizu. In addition to the original Meizu, Charm Blue, and Flyme business units, Meizu had three lower-level businesses. Upgraded to the business division level, including upgrading the overseas marketing department to the overseas business department, the e-commerce business department to the e-commerce business department, and the addition of the accessories business department.
Market performance did not reach expectations
At present, Meizu and Charm Blue have merged for many reasons. “On the one hand, the Meizu and Charm Blue after the spin-off were not powerful enough, but the power was dispersed. Therefore, the sales performance was somewhat unsatisfactory,” said senior expert Xiang Ligang.
According to the data, in 2015 Meizu’s overall mobile phone shipments were 20 million units, which increased to 22 million in 2016. However, after the spin-off, Meizu’s overall mobile phone shipments declined to 20 million units in 2017, a decrease from the previous year. 2 million.
In fact, as early as May last year when the two brands were split, Meizu was clearly given the task of entering the high-end market and implementing brand upgrading. Charm Blue adhered to its original position and continued to fight against other brands in the mobile phone market below RMB 3,000. .
Bai Yongxiang once admitted that “The establishment of the Meizu Business Unit is to reinvigorate the Meizu high-end brand. Today we began to do a lot of things. We must make the Meizu brand and products even more exciting in the future instead of shouting every day. 799, 999, 1499, we don't do this."
However, as reflected in the sales data, the market effect after the spin-off was not as expected, and shipments did not rise and fell. After the Charm Blue spin-off, the model Charm Blue Note6, which debuted at the conference for the first time, gave up MediaTek's first use of Qualcomm chips, and the attention and sales volume continued to soar. The price cut on December 5 last year was in Meizu Mall, Jingdong, and Tmall. The sales volume of Suning’s four platforms soared by 1000%. The Meizu’s flagship product, Pro 7, released last year, received relatively bleak market feedback. It has not kept pace with the full screen, nor has it touched the edge of AI. Month, Pro 7's decline basically maintained at less than 500 yuan, two months later the price cut soon exceeded the 1,000 yuan mark.
On the other hand, Kang Ye, chief editor of the operator World Net, believes that this merger is also for the purpose of integrating resources and preparing for listing because Meizu and Charm Blue are separated in the market and sales after the spin-off. Huang Zhang once said that all this is for the purpose of listing, and the adjustment of organizational structure and the reduction of staff are more to reduce costs and achieve greater profitability before they can continue to move toward the listing target.
Forward facing multiple pressures
As for how the Meizu market will perform after the re-merger, Xiang Ligang believes that the combination of the two areas that they are good at will play an important role in the future development. Kang Ye also pointed out that Yang Lan has been responsible for the market for many years of experience, Li Nan is responsible for sales is also specializing in surgery industry, the two are jointly beneficial to the development of Meizu.
In Kang Ye's view, Meizu's new Meizu 15 this year is much stronger than last year's Pro 7. The products are more grounded, the cost performance is higher, and the utility function is increased. The marketing aspect is more open. Cooperation with the channel providers, such as Jingdong, has obvious advantages over the previous channels. However, there is no way to estimate what level can be achieved. . “Yang Xiong’s own ability is still relatively strong. Meizu 15 belongs to the “machine king” of mid-range mobile phones. Compared with products of the same class, the advantage is still there.”
However, the current overall mobile phone market does not look optimistic. According to the “China Mobile Phone Market Operational Analysis Report of March 2018” released by the China Institute of Information and Communications, China’s smartphone shipments during the period from January to March 2018 were 81.37 million, down 26.1% year-on-year. Among them, the domestic brand mobile phone shipments totaled 75.864 million units, a year-on-year decrease of 27.9%. This turning point is called the "dividend vacuum period."
In addition to the overall market decline, the current mobile phone market has become more competitive. Apple, Huawei, etc. have basically occupied the high-end mobile phone market. The low-end market also has strong competitors such as vivo, OPPO and Xiaomi. For this question, Yang Hao had said in an interview with a reporter from the Beijing Business Daily that the mobile phone market had concentrated on big manufacturers, but the world would be divided for a long time. Since it is a personalized product, there will certainly be a variety of personalized space. This space will make Meizu's existence and healthy development, because the Meizu space is large enough, and has a huge consumer population and differentiated Aesthetic needs. In China, there are several thousand mobile phone models added each year, and the price of the products ranges from one to twenty thousand yuan to several hundred dollars. This is because there are too many hierarchies and the market is too rich.
“The Meizu still face the problem of channels. The current offline channels have been monopolized by vivo, OPPO, Huawei, etc. Meizu is still at a disadvantage in this area,” said Kang Wei. However, last year Meizu had implemented conventional offline channel optimization actions and made corresponding adjustments to the channel structure.
On the whole, Meizu is still facing a lot of pressure. In order to survive the fierce competition in the mobile phone market, besides having differentiated technologies, it is also necessary to work hard in many aspects such as marketing and channel construction.