The root of business survival is profit, and the source of profit is cost reduction and efficiency. If you want to help enterprises reduce costs and increase efficiency, you have to understand the cost structure of enterprises.
Figure 1-3 cost mountains of Chinese enterprises: product cost + labor cost + marketing cost
Cost reduction is constrained by core factors such as the rise of raw materials, it is more difficult to reduce product cost and labor cost, and it is more likely to reduce marketing cost. And marketing costs usually occupy more than 15% of the enterprise, and the key to reducing marketing costs is to reduce the cost of customer acquisition.
The most likely increase in efficiency is the promotion of each person's efficiency, especially the promotion of each person's visits.
So the core purpose of creating private domain traffic is: it can help enterprises effectively reduce the cost of customer acquisition, increase the effectiveness of each person's promotion, and the end result is to bring profit growth for enterprises.
Figure 2-The significance of creating private domain traffic