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The cost is 70 cents to 6 yuan! "The No. 1 TikTok" was actually "stolen" by a corn?

2022-10-05



In the past two days, live streaming sales have circled a real-life version of the "Farmer and Snake" incident.

The convenience involved in this incident was Oriental Selection. It turned out that it was Northeast Agricultural Sister, the supplier of Oriental Selection corn. The price of corn was reduced and the live streaming of goods was pushed to the hot search again.


1. A "bloody crime" caused by a corn


The source of everything is just a piece of corn.

Earlier, Simba, a anchor who started Kuaishou, bombarded Dongfang Selection's live broadcast room during the live broadcast, saying that corn costs 70 cents per piece, but Dongfang Selection sold it for 6 yuan per piece, and New Oriental's profit accounted for 40%, questioning whether the other party was really helping farmers.



In response to this, Dongfang Selected anchor Dong Yuhui responded:


Oriental Selected Corn is different from ordinary corn, and it is not expensive to sell for 6 yuan per piece. Most of the corn is not for food, but for raising livestock, so the price is indeed 40 to 50 cents per piece. But the raw corn we found comes from a good production area in Northeast China, and the cost is very high. It costs 2 yuan per piece from the ground.

On September 20, Simba came out and said that his way might be wrong and bowed to everyone to apologize: I am a small situation, I'm sorry for this company.

As we watched, the excitement caused by a corn ended. Unexpectedly, another "Cheng Yaojin" appeared on the way to calm down - Northeast Nongsao Food Co., Ltd.

Two days ago, Northeast Nongsao Food Co., Ltd. jumped out and said in its live broadcast room:

I am the supplier selected by Oriental. New Oriental sells corn at 6 yuan per piece, and my live broadcast room only costs 3.6 yuan per piece.



Now the netizens were in a panic, and public opinion once again came to a climax. Oriental Selection Live Room, which was attacked from both sides, chose to directly remove all products of Nongsao Food.


2. Netizens take the team to the east and select


Although some netizens believe that this kind of infighting can bring benefits to consumers, most netizens mock and condemn the backstabing behavior of Northeastern farmers . Many netizens believe that their operations are treacherous, destroy bridges across rivers, and forgetfulness when they see profits, and have no business bottom line.

Many netizens went to the live broadcast room of Northeast Governor's wife and scolded her as the "sword leader". Not only did the Northeast Governor's wife not sell it, but was forced to remove the corn products on TikTok.


Some netizens said:


That year, New Oriental stopped training classes, refunded all students' tuition fees, compensated the teachers for severance, and donated tables and chairs to children in poor mountainous areas. Just in these points, I support Teacher Yu and Oriental Selection. I have bought a lot of things in Oriental Selection, but have never been disappointed.



Some netizens also said that the OEM corn of Taoli bread is sold for 8 yuan per piece, and what's so strange about Oriental Selection selling for 6 yuan per piece?

After reading the comments from netizens, this year's netizens generally have a positive understanding of prices, so they went to scold the Northeast Farmer's sister-in-law instead of the Oriental Selection.

As of now, Oriental Selection has not made any response, but the orientation of netizens has been very clear.

Oriental Selection can be trusted in everyone's mind, and Northeastern Governor's move not only lost the trust of some partners, but also lost the recognition of consumers.


3. How should agricultural products be priced?


If there was no quota for Oriental selection, few people would know that Northeastern farmers' sister-in-law actually took advantage of her popularity and stood opposite to her partners, causing both losses. This is also the reason why she was criticized by netizens.

So how should a piece of corn be priced?

There are three types of corn on the market according to its shape and utility.

One is corn kernels, used as feed;

The second is to store corn, collect the corn and straw together, break it and ferment it for feeding cattle;

The third is fresh corn. The edible part is immature young and tender fruit grains. When the corn is in a tender state, it needs to be frozen and kept fresh or vacuum packaged. The nutrition and taste are different from the first two categories.



The fresh corn selected by the East is different from ordinary corn. After harvesting, the respiratory metabolism is vigorous and the nutrients are declining rapidly. If you want to complete the fast lock-up from picking to storage, long-term storage or annual supply market, the production process level is extremely high.

These are part of the cost of corn.

An industry insider said that after the factory purchases corn from farmers, it needs to be processed. The entire processing link, plus packaging, labor, etc., will have to increase the price by at least 30%-40%. Moreover, this does not include upstream buyers, transportation and other expenses. In the e-commerce field, the costs of the entire link are gradually added up. If the gross profit margin of terminal retail cannot be achieved by 40%, it is actually difficult to make money.

In the entire chain of a corn from the field to the hands of consumers, farmers are the upstream of the industrial chain, Nongsao Food is a wholesaler, and Oriental Selection is one of the retailers. Northeastern Agricultural Sister-in-law is responsible for the production and supply chain links such as early production and processing, storage of corn, while Oriental's selection costs mainly lie in e-commerce, labor, after-sales service, branding and marketing.

Even if consumers place orders and purchase orders in Oriental, they are more willing to pay for content and sentiment, but in fact, compared with the market retail price, they are not much more expensive.


4. Agricultural product sales require everyone to be wholeheartedly


It is undeniable that e-commerce has indeed made an indelible contribution to helping farmers. Although e-commerce is a middleman for agricultural products, it is also a real healing of agricultural products and bringing hope.

From the fields to the consumer's dining table, middlemen are needed and will always be needed. Because eliminating middlemen cannot eliminate price difference, eliminating middlemen means eliminating division of labor and profession, which will cause social instability.

In the past many years, agricultural products have always had problems such as low profits, low product standardization, difficult quality control, large logistics and transportation losses, and high customer complaint rates, which have also made farmers, middlemen, and live broadcasts feel that making money is not easy.



In the past three years of live streaming sales, agricultural products have always been in the marginalized category. The emergence of Oriental Selection has brought agricultural products back to everyone's vision, which is a very important contribution.

Regarding the ideal state of helping farmers, some scholars have put forward an idea - to make farmers the main profiter of agricultural-related links outside the production link. It should be that there is a farmers' economic organization to dominate e-commerce, rather than let e-commerce dominate farmers.

The realization of this goal cannot be achieved by the natural evolution of the market, but by the state's public policies. Before the goal is achieved, it still depends on e-commerce, and no industry can achieve it by itself.

To help farmers requires unity, rather than quarrels among themselves at prices. Everyone should perform their own duties together and achieve high circulation of agricultural products by opening up the agricultural industrial chain. This is to effectively help farmers.


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