Chapter 1729: Lanxin Company Still Has More Tricks Up Its Sleeves
Before T-K Group had time to catch their breath, yet another thing happened which had them completely fl.u.s.tered.
The media ran a major expose on how dubious, exaggerated and false T-K Group’s advertising claims were, how they had violated advertising regulations and how they only managed to achieve their good sales results by way of an ad bombardment strategy to saturate the market.
T-K Group had violated the photo rights of several of its own consumers, overstated the effectiveness of its products and breached several regulations. As a result, the Group received warning letters, sales bans and had several of their advertising rights rescinded.
Sales of T-K Group’s products came to a sudden halt.
A fierce discussion also ignited among the industry and the public.
Country Z’s health supplements a.s.sociation also expressed that they would step up to protect consumer rights by expanding their efforts in monitoring the industry. They would seek to prevent false advertising, exaggerated claims and breach of promotional regulations.
As a result, the use of ma.s.sive advertising campaigns was no longer a viable option to promote one’s product in Country Z’s health supplements market.
This was undoubtedly a huge blow to T-K Group.
T-K Group’s profitability was in dire straits. They were mired in fines, warnings, sales bans and the cancellation of advertising rights.
They ended up suffering the ma.s.sive counter-effects of their mega advertising campaign.
Their sales figures fell day by day, as their miracle growth story in Country Z lost its s.h.i.+ne. Their company reputation and product image were trampled over by the scandalous reports.
Gu Junling was astonished. “I never realized it can be so easy to knock T-K Group over. To think that we were jumping up and down worrying for you.”
Wen Xinya’s move was called “retreating in order to advance”.
She avoided T-K Group’s direct onslaught but was all the while secretly spying on their every movement.
T-K Group’s advertising campaign was so overwhelming and so aggressive, there was no doubt they would have violated some regulations. It was just that the public didn’t know and the authorities didn’t pursue.
However, all would turn into one big, ugly scandal the moment things were exposed.
Wen Xinya said in a mild tone, “Actually, it is very common to use an ad bombardment strategy. Many enterprises did the same in previous years, and all of them ended up being legally charged for false advertising, violation of advertising rules, etc. Nevertheless, they are still around. None of them collapsed from their scandals.”
In Country Z, the public relied on advertis.e.m.e.nts to learn about a product or brand. It was the subconscious opinion of everyone that the bigger and flas.h.i.+er an advertising campaign was, the more reputed the brand must be, which in turn meant a higher product quality.
So, in recent years, ad bombardment had become a must-have weapon for a company’s marketing efforts.
This tactic was indeed effective in the short-term.
But at the same time, there was a fine line to be toed, and not everyone had the knack for it. If a company failed to use its products to capture the consumers’ hearts even as they saturated the market, the company would very quickly fall off their pedestal.
T-K Group was the best example.
Ling Qingxuan gave Wen Xinya a thumbs-up sign. She was completely awed by her tactical maneuvers. “T-K Group is not like the other local companies in Country Z. Thanks to their ability to launch a ma.s.sive advertising campaign, their products managed to overtake the market in such a short period of time. However, they forgot that they are still an outsider, and must first gain a stable foothold within Country Z.”
There was no way they would be able to firmly take over the market if they never had a stable foothold in the first place.
It would be very easy for others to pull them off their pedestal.
Only Wen Xinya was smart enough to think up of such an indirect attack strategy.
It was truly brilliant.
Wen Xinya nodded. “T-K Group was fated to lose the moment they launched their Traditional Chinese Medicine health supplement product.”
A Traditional Chinese Medicine health supplements brand was not something that could be done as and when one wished to.
Lanxin Company had been operating for five to six years before finally attaining a stable foothold in this market, allowing its product to steadily gain recognition among the people’s hearts. Did T-K Group think they could make use of the Traditional Chinese Medicine trend set off by Lanxin Company to conquer the market just like that?
They must be dreaming.
Zhou Tianyu sighed. “A mighty corporation like T-K Group being played like a defenseless fool in your hands. Tell us honestly, do you still have more tricks up your sleeves?”
T-K Group had been in deep trouble over their violation of the advertising regulations. They had lost their top sales position, but this didn’t mean they were completely defeated.
With Wen Xinya’s character, it would not be surprising if her best moves had yet to be played.
Wen Xinya smiled. “You will know in another two days’ time.”
She was being purposely vague.
When she was at the health supplements a.s.sociation earlier, she had made the grand claim that she just needed seven days to defeat T-K Group.
Five days had already pa.s.sed.
There were still another two days.
Xu Tongxuan pulled Wen Xinya over by the neck. “Why are you so smart? As your friend, I feel so much pressure to keep up with you now. I finally understand the saying that an overly smart person will not have any friends.”
She recalled how after reading today’s newspaper headlines, Grandpa commented that Lanxin Company’s success was a.s.sured. T-K Group’s glorious reign had reached its end. It was inevitable they would also fall off the global compet.i.tor stage into the dust below.
The power of one tiny company had managed to topple over such a behemoth. In life, things were constantly being replaced by better and newer versions!
Very few people had received such high praise from Grandpa.
Wen Xinya was not one of them.
Wen Xinya had been speechless.
Ye Feiyu said, “I already told you they are not your typical folks. Xinya and Ninth Si are truly a match made in heaven. Ninth Si… tsk, tsk, tsk, tsk…”
She even suspected that Ninth Si was the one who had taught Xinya such shrewd and ruthless tactics.
It must be said that Ye Feiyu was close to the truth.
Wen Xinya hurriedly cut in. “Eh, stop it. Don’t lump everything on him. He has not done anything to offend you.”
According to past experience, nothing good ever came out of their mouths whenever they talked about Ninth Si. They threw out all sorts of impudent and obscene jokes, all of which just made her head ache.
Han Mofeng smirked as he noticed the faint love bites lining Wen Xinya’s collarbone. He reached over to pull at his own collar and smiled teasingly. “Remember to wipe your mouth after sneaking a bite!”
Everyone instantly understood his meaning and immediately glanced toward Wen Xinya’s collar. They all smiled knowingly.
Wen Xinya blushed deeply when she realized she had love bites. She hurriedly pulled her collar close and stated self-righteously. “Who was sneaking a bite? I ate right out in the open.”
Si Yiyan was her fiancée, why would she need to sneak a bite?
“Ooh…”
Everyone hooted riotously.
Wen Xinya realized how overly blunt her words sounded and instantly blushed an even deeper red.