Hot-selling product strategies in the new retail era: How do Sam's Club, Hema, and Luckin Coffee create hot-selling products in the retail industry?

In the new retail wave, creating eye-catching and popular products that trigger a buying frenzy has become a common goal pursued by retailers and brand owners. This article discusses in detail how industry pioneers including Sam's Club, Hema, and Luckin Coffee have successfully created popular products in the retail industry by using data analysis, market insights, and innovative strategies.

In the retail industry, creating a hit product is the dream of every practitioner. A hit product can not only attract a large number of customers, but also enhance the brand image and market share.

So, how do you create those products that create buzz in the market?

Are there any mature methods or experiences in the market?

1. Creating a hot product requires a rational approach to methodology

I would like to remind you that creating a hit product is a complex process and there is no quick fix. Just like in the retail industry, although there are various successful cases to learn from, the success of each product has its own specific background and conditions. Don't blindly believe in the methodologies of experts and masters. There is no shortcut to creating a hit product. You need to explore and make mistakes in actual practice.

Take Luckin Coffee as an example. It launched innovative drinks by analyzing user data and used social media and online marketing to expand its brand influence. However, behind this is a lot of market research, product development and marketing investment. If you only rely on methodology without deeply understanding consumer needs and constantly trying new marketing strategies, it will be difficult to succeed.

Sam's Club collects consumer data through a membership model, conducts accurate product procurement and inventory management, and creates popular products such as roast chicken and Swiss rolls. However, this also requires keen insight into the market and long-term operational experience.

Hema Fresh uses the new retail model to analyze consumer behavior through big data and launch a number of popular products. This also requires continuous innovation and trial and error to find products and marketing strategies that are suitable for the market.

To create a hit product, you must constantly explore and try in practice to find the successful path that suits your product.

2. Share the key strategies for e-commerce platforms to create hot products

1. Insight into needs

In today's highly competitive retail market, it is essential to have a deep understanding of customers' preferences and shopping patterns. Through detailed user portrait analysis, e-commerce platforms can better grasp consumer needs and provide more targeted products and services.

For example, by analyzing consumers’ browsing history, purchase records, search keywords and other information through big data, the platform can understand customers’ preferences for different types of goods, price sensitivity, shopping time habits, etc.

In this way, the platform can launch products that meet customer needs at the right time and improve sales conversion rates.

2. Solve pain points

Take Luckin Coffee as an example. It used data to accurately identify the pain points in urbanites’ fast-paced lives, namely the need for fast and convenient coffee options.

In modern society, people's pace of life is getting faster and faster, and time has become a precious resource.

Luckin Coffee meets consumers' demand for convenient coffee in their busy lives by opening stores in every corner of the city and providing online ordering and fast delivery services.

In addition, Luckin Coffee continues to launch new flavors of coffee drinks through extensive data analysis to meet consumers' pursuit of diverse flavors.

3. Create a hotspot

Creating buzz requires innovative design and unique marketing campaigns.

In terms of product design, e-commerce platforms can launch products with unique appearance, functions or packaging to attract consumers' attention. For example, limited edition products or co-branded products launched by some brands can often arouse consumers' strong attention and purchase desire.

In terms of marketing activities, the platform can hold various creative activities, such as lucky draws, check-in to win prizes, etc., to increase consumer participation and interactivity. At the same time, it can use social media and other channels to carry out extensive publicity and expand brand influence.

4. Exceed expectations

Hema Fresh surprises customers with fresh food and fast delivery services.

In terms of food quality, Hema strictly controls the supply chain to ensure that the food provided is fresh and safe. At the same time, Hema's fast delivery service also allows consumers to enjoy great convenience.

Consumers can receive the goods within a short time after placing an order, satisfying their need for instant satisfaction. This kind of service that exceeds expectations can not only improve customer satisfaction, but also increase customer loyalty and word-of-mouth communication.

5. First impression

Knowing the importance of first impression, e-commerce platforms need to leave a deep impression of products in the minds of customers through exquisite visual presentation and attractive description.

In terms of product display, the platform can use high-quality pictures and videos to show the appearance, functions and usage scenarios of the products. At the same time, write vivid and attractive product descriptions to highlight the characteristics and advantages of the products.

For example, use vivid metaphors, interesting stories or user reviews to help consumers better understand the product.

6. Value Delivery

Sam's Club delivers value to customers by providing high-quality goods and exclusive discounts. Sam's products are known for their high quality, and it strictly screens suppliers in the procurement process to ensure the quality of the goods. At the same time, Sam's Club also provides members with exclusive discounts, such as discounts, points, etc., so that members can feel the real benefits. This way of value delivery can increase customers' willingness to buy and increase member stickiness.

7. High cost performance

E-commerce platforms such as JD.com provide customers with cost-effective products through methods such as "10 billion subsidies for factory goods" and "1 billion subsidies for live broadcasts". In a market environment with fierce price competition, cost-effective products can often attract more consumers. Platforms can reduce procurement costs by cooperating with suppliers, and at the same time use subsidies and other methods to reduce product prices, so that customers can feel the real benefits.

8. Market Segmentation

Accurately targeting market segments is one of the important strategies for creating hot-selling products. E-commerce platforms can tailor personalized products according to the needs of different consumer groups.

For example, we provide organic food and low-sugar snacks for customers who have healthy living needs; we provide quick-cooking ingredients and ready-to-eat foods for busy office workers; and we provide high-end kitchenware and household items for customers who pursue a high-quality life.

By segmenting the market, the platform can better meet the needs of specific consumer groups and increase market share.

9. Experience consistency

Through standardized products or services, we ensure that every customer can get a consistent high-quality experience. In terms of product quality, the platform must strictly control the supplier's production process to ensure the stable quality of the goods.

In terms of service, both online customer service and offline delivery must maintain high standards of service. In this way, customers can feel the professionalism and reliability of the platform when purchasing goods, and increase their trust in the platform.

10. Human temptation

Through strategies such as free trials and free delivery, customers can lower their threshold for trying and increase their motivation to buy. Free trials allow customers to experience the quality and performance of products without taking risks, thereby increasing the possibility of purchase.

Free delivery can save customers shopping costs and improve shopping convenience.

At the same time, the platform can guide customers to consume more by setting some conditions, such as purchasing a certain amount of goods or becoming a member to enjoy free services.

11. Seize the urgent need

Provide daily consumer goods and seasonal goods that customers often need to meet their rigid needs. Daily consumer goods such as food and daily necessities are essential commodities in consumers' lives. E-commerce platforms can meet consumers' daily needs by providing rich categories, high-quality products and reasonable prices. Seasonal goods such as air conditioners in summer and down jackets in winter are in high demand in certain seasons. The platform can prepare inventory in advance and launch relevant products in a timely manner to meet consumers' seasonal needs.

3. Case analysis of popular brands creating hot products

1. Luckin Coffee: Analyzing user data to promote innovative beverages and using social media to attract customers

Luckin Coffee has accurately grasped the taste preferences and purchasing habits of young consumers through in-depth analysis of user data. Taking Thick Milk Latte and Raw Coconut Latte as examples, Luckin found that consumers have a high demand for coffee drinks with a strong taste and novelty. Therefore, Luckin has continuously innovated in product research and development and launched a series of coffee drinks that suit the tastes of young people.

At the same time, Luckin Coffee cleverly used social media and online marketing strategies to rapidly expand its brand influence. On social media, Luckin Coffee promoted its products and spread word-of-mouth by cooperating with Internet celebrities and KOLs. For example, it invited well-known bloggers to conduct product reviews and sharing, which attracted a large number of fans' attention and purchases. In addition, Luckin Coffee also increased user participation and purchasing desire through online activities and coupon distribution.

According to statistics, Luckin Coffee’s raw coconut latte became a hit product in a short period of time after its launch.

2. Sam’s Club: Collecting data based on member data to predict category trends and create hot-selling products

Sam's Club collects a large amount of consumer data through member behavior tracking. This data helps Sam's Club to accurately purchase goods and manage inventory, ensuring that each category has star products. For example, Sam's roast chicken, Swiss rolls and other products are not only of high quality, but also competitively priced.

Sam's Club is very strict in product selection, with SKUs controlled at 3,000-4,000. Through careful selection, it ensures that every product can meet the needs of members. At the same time, Sam's Club also focuses on cooperation with suppliers to jointly create high-quality products. For example, the mustard-flavored macadamia nuts produced in cooperation with Jiangxi Ganyuan Food use an automated and mechanized assembly line production method to ensure the stability of product quality. In addition, Sam's Club has also improved the portability and hygiene of products through independent small packaging and other methods.

3. Hema Fresh: Big data analysis of new retail model, iterative new products and online marketing

Hema Fresh uses its new retail model that integrates online and offline, analyzes consumer behavior through big data, and accurately recommends products and manages inventory. Hema's hot product strategy includes rapid iteration of new products, such as small lime juice and German fresh beer, as well as marketing through social media and online platforms, creating a number of Internet celebrity products.

Hema pays great attention to innovation in product research and development, and constantly launches new and unique products. For example, the record bread launched by Hema in cooperation with Xiami Music combines music with food, attracting the attention of a large number of young consumers. In addition, Hema also cooperates with suppliers to jointly create high-quality products. For example, it joined hands with Henan local pre-prepared food companies to launch a series of new products, which captured the hearts of young consumers.

4. Creating hot products is based on a deep understanding of customer needs

1. Insight into needs: User portrait analysis to explore customer preferences and shopping patterns

User portrait analysis is an important means to gain an in-depth understanding of customer preferences and shopping patterns. By using big data technology, we can collect and analyze information such as customers' age, gender, occupation, income, interests and hobbies to build a detailed user portrait. For example, for young consumers, they may pay more attention to the fashion and personalization of products; while for middle-aged consumers, they may pay more attention to the quality and practicality of products. Based on different user portraits, e-commerce platforms can launch targeted products and services that meet their needs.

2. Solve pain points: Identify and solve urgent customer needs

Just like Luckin Coffee meets the needs of urbanites for fast and convenient coffee in their fast-paced lives, hot products can often solve customers' urgent needs. For example, as people's living standards improve, the demand for healthy food is growing. E-commerce platforms can launch low-sugar, low-salt, and low-fat foods to meet consumers' pursuit of health. For another example, during the epidemic, people's demand for disinfectants increased significantly, and the platform launched various disinfection products in a timely manner to solve customers' urgent needs.

3. Create explosive points: unique marketing activities create buying impulse

Innovative design and unique marketing activities are the key to creating hot spots. For example, hold limited-time discount activities to create a sense of urgency and encourage consumers to place orders as soon as possible. Or launch limited-edition products to stimulate consumers' desire to collect. According to statistics, when an e-commerce platform launched a limited-edition sports shoe, it attracted the attention of tens of thousands of consumers in a short period of time, and sales exceeded [specific sales data] yuan.

4. Exceed expectations: provide surprising services

Services that exceed expectations can surprise customers, thereby increasing customer satisfaction and loyalty. For example, providing free personalized packaging services can make customers feel special care when they receive the goods. Or giving customers a small gift after they purchase the goods can increase customer favorability.

5. First impression: visually catch the user's eye

Visual presentation and attractive descriptions can catch customers' attention at the first sight. Use high-quality pictures and videos to show the details and features of the product so that customers can better understand the product. At the same time, write creative and appealing product descriptions to stimulate customers' desire to buy. For example, the description of a cosmetic reads: "Silky and smooth texture, lightly apply, instantly glowing with charming brilliance." Such a description can make customers have a good association with the product.

6. Value delivery: emphasizing product value

Emphasizing the value of a product can increase customers' willingness to buy. For example, by showing the raw materials, production process, and quality inspection reports of the product, customers can understand the high quality of the product. Or by telling the story behind the product, the cultural connotation and emotional value of the product can be increased. For example, a certain brand of handmade leather goods can let customers feel the unique value of the product by introducing the exquisite skills of the craftsmen and the inheritance of traditional craftsmanship.

7. High cost performance: providing affordable products

Goods with high cost performance are always what consumers pursue. E-commerce platforms can reduce procurement costs by cooperating with suppliers, and at the same time use promotional activities and subsidy policies to provide customers with affordable goods. According to the survey, [specific proportion data] of consumers will give priority to cost performance when choosing goods.

8. Market segmentation: Targeting market segments to meet specific needs

Precisely targeting market segments can better meet the needs of specific consumer groups. For example, for the maternal and infant market, we can launch safe and environmentally friendly baby products; for sports enthusiasts, we can provide professional sports equipment and nutritional supplements. By segmenting the market, e-commerce platforms can increase their market share and create more targeted hot-selling products.

9. Experience consistency: ensuring high-quality experience

Standardized products or services can ensure that every customer can get a consistent high-quality experience. From product quality to after-sales service, high standards must be maintained. For example, an e-commerce platform implements strict quality inspections on all products to ensure that the products meet national standards. At the same time, a complete after-sales service system is established to solve customer problems in a timely manner and improve customer satisfaction.

10. Free temptation: lower the threshold to try

Strategies such as free trials and free delivery can lower the threshold for customers to try and increase their motivation to buy. For example, a cosmetics brand launched a free trial campaign, where consumers only need to pay for the postage to receive the trial pack. Through the trial, consumers have a deeper understanding of the product, which increases the possibility of purchase.

11. Seize rigid demand: meet daily and seasonal needs

Provide customers with daily consumer goods and seasonal goods that they often need to meet their rigid needs. For daily consumer goods, ensure the stability of supply and the reliability of quality. For seasonal goods, do market research and inventory preparation in advance, and launch goods that meet seasonal needs in a timely manner. For example, launch sunscreen products and refreshing drinks in summer, and launch warm clothing and hot drinks in winter.

5. Methods of combining user data with hot-selling products

1. Application of big data in hot product R&D decision-making: finding tracks and opportunities, segmenting the market, and guiding new product development decisions

Big data plays a vital role in the decision-making of hot product development. Through in-depth analysis of user data, potential tracks and opportunities can be found. For example, by analyzing data such as user search history, purchase behavior, and social interaction, it can be found that user demand for certain specific products or services is growing, which provides companies with opportunities to enter new markets or launch new products.

Segmentation is also one of the important applications of big data. Based on user portrait analysis, the market can be segmented into different areas, such as healthy diet, muscle building and fat loss, professional sports equipment, etc. Each segment has its own unique user needs and market characteristics. Enterprises can choose the segment that suits them for in-depth exploration based on their own advantages and resources.

In terms of new product development decisions, big data can provide strong support for enterprises. Based on user portraits, enterprises can develop product features that meet the needs of target users, determine market positioning, and formulate marketing strategies. For example, by analyzing user needs for product functions, appearance, price, etc., enterprises can fully consider user needs during the product design stage and improve the market competitiveness of products.

2. Retail is combined with market demand segmentation analysis of different customer groups: for example, different products are provided for the needs of healthy life, convenient life, and quality life.

In the retail industry, different customer groups have different needs. For customers who pursue a healthy lifestyle, companies can provide organic food and low-sugar snacks. According to statistics, the annual growth rate of the organic food market has reached 30% in recent years, which shows that consumers' demand for healthy food is growing.

Providing fast-cooking ingredients and ready-to-eat foods to busy office workers can meet their needs for a convenient life. For example, some brands have launched self-heating rice, instant noodles and other products, which have been widely welcomed in the market. These products are not only convenient and fast, but also have a variety of flavors to meet the needs of different consumers.

For customers who pursue a quality life, companies can provide high-end kitchenware and household goods. These products usually have high-quality materials, exquisite craftsmanship and unique designs, which can meet consumers' pursuit of quality life. For example, some high-end kitchenware brands have launched stainless steel pots, knives and other products. Although the price is relatively high, they are still favored by many consumers due to their excellent quality.

3. New product development decision: determine product features, market positioning and marketing strategy based on user profiles

New product development decisions need to fully consider user portraits. By analyzing user portraits, companies can determine product features, market positioning, and marketing strategies.

In terms of product features, companies can develop products with unique functions, appearance and packaging according to user needs and preferences. For example, for young consumers, products can be designed to be more fashionable and personalized; for older consumers, products can focus more on practicality and comfort.

Market positioning is an important part of new product development decision-making. Companies need to determine the target market and user groups of their products based on user portraits and market competition. For example, for high-end products, companies can target high-income people; for mass products, companies can target ordinary consumers.

Marketing strategy is also an important part of new product development decisions. Companies need to develop appropriate marketing strategies based on user profiles and product features. For example, for young consumers, companies can use social media, influencer marketing and other methods to promote; for older consumers, companies can promote through traditional media such as TV ads, newspapers and magazines.

4. Case analysis of market segments: "Super Lean Muscle Unicorn" focuses on healthy diet for fitness enthusiasts; "Combite" and "Notland" focus on the muscle-building market; Xtep focuses on the marathon running field and provides professional running shoes.

"Skinny Unicorn" has achieved success in the market by accurately targeting the healthy diet needs of fitness people. The brand provides high-protein, low-fat meal replacement foods, such as high-protein meat, whole-wheat baked goods, slow-carbon staple foods, etc. Through in-depth understanding of fitness people, "Skinny Unicorn" focuses on the combination of nutrients and the optimization of taste in product research and development. At the same time, the packaging design is more fashionable and convenient, meeting the needs of fitness people for healthy diet.

"Combite" and "Notland" focus on the fitness and muscle-building market, and help fitness enthusiasts achieve muscle-building effects by providing nutritional supplements such as muscle-building powder. These two brands focus on scientific formulas and the selection of high-quality ingredients in product research and development, and also pay more attention to cooperation with fitness coaches, fitness bloggers, etc. in marketing, and improve brand awareness and reputation through professional recommendations and word-of-mouth communication.

Xtep focuses on marathon running. By establishing the sports science laboratory X-Lab, it collects and analyzes the data of Chinese people's foot shapes and designs running shoes that are more suitable for Chinese runners. Xtep focuses on comfort and support in the design of running shoes. At the same time, it innovates in materials and technologies, such as using carbon plate technology and shock-absorbing materials to improve the performance of running shoes. In addition, Xtep also increases its brand influence in the running field by hosting marathon events and sponsoring running clubs.

By segmenting the market and gaining a deep understanding of user needs, these brands have successfully found their own position in their respective fields and provided users with valuable products and services.

The above is some of my experience in digital marketing in the retail industry, and I look forward to discussing it with you.