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Health care products companies, do not change it must be a dead end!

Author: Famous brand marketing expert in Fiji

Health care increasingly difficult ......

More than once heard such a voice.

The author believes that there are five major issues affecting the development of China's health care industry.

First, low-level repetitive serious. According to statistics, 50,000 enterprises, a total investment of 100 million yuan more than in large enterprises accounted for only 1.45% of the total, a total investment of 50 million to 100 million yuan of medium-sized enterprises accounted for 38%, 100 million or less 100,000 yuan more small businesses accounted for 41.39%, less than 10 million yuan invested enterprises accounted for 12.5% of workshops.

Second, over-reliance on advertising and promotion. Some companies advertising costs up to 30% of sales, from the outset into the research and development of low-input, high advertising investment cycle.

Third, product development is weak. Currently on the market more than 90 percent of health care products belong to the first and second generation products, less rigorous scientific proof. Product features similar phenomenon is evident in the Ministry of Health and SFDA granted 27 declaration of health functions, with enhanced immunity, anti-fatigue regulate blood lipids and function of products accounted for two-thirds of all.

Four is difficult to face competition from foreign companies. There are currently more than 20 internationally renowned multinational health care products through acquisitions, mergers, leasing and other forms, set up a branch in China. China's health care industry is facing unprecedented competitive pressure.

Fifth, industry regulations are incomplete. Currently health care industry has no uniform centralized management of administrative regulations, health, medicine, industry and commerce departments fragmented, not developed a workable industry standards as well as standardized and unified testing methods, review procedures and management practices. Some illegal operators to take walking a fine strategy to enter the health care market, is a major cause of the proliferation of fake and shoddy products.

"Heavy propaganda, light products, short-term profit," which is the abuse of health care products on the market in the past. Companies use a lot of money on advertising, on the goods and services, product development and brand planning and the lack of any capital investment, which is the product Cusi market the root causes of this phenomenon is even seriously affected the development of the whole industry, the attendant come only are the two inevitable results:

First, the small business inferior brand instant scenery, earned away;

Second, a good product by its brand implicated, reeled.

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