This article is to study the methodology of creating hot sales products for the company.
The two documents are the Extended Research Proposal and Literature Review, both need to be modified according to the comments.
Please make the research goals clearer.
About Literature Review, please divided into theoretical and practical parts.
Research aims and objectives
Research the methods of creating hot sales products, improve product quality, and
create profits for the company. The specific goals are: to study how to divide the market
and analyze consumer needs to help companies create products in a targeted manner;
to change the companyÃ¢â‚¬â„¢s product concept to avoid producing unrecognized products,
resulting in waste of resources; to be able to produce better Consumers provide highquality services, and at the same time improve corporate competitiveness and profits,
and promote products to keep pace with the times.
Provide ideas for enterprise product development. As a company, regardless of scale,
it needs to provide high-quality products or services. However, there are many
companies in reality. Although they have very good R&D teams and manufacturing
capabilities, they have not been able to create products that meet the needs of society
and the people. This article hopes to study The principle of explosive products enables
companies to have the correct thinking to understand the needs of consumers, so as to
create products that meet the needs of the people.
Enterprises provide services to the society and people. The emergence of hot sales
products shows that the product meets the needs of society and people. Creating
explosive products can promote in-depth research on the subject, improve the industrial
design level of enterprises and society, and can also bring more profits to enterprises
and realize their growth.
The society has gone from material scarcity to material abundance to the present. It
is in a stage of excess productivity. What society lacks is not the ability to produce
products, but to create hot sales products that meet consumer needs through excellent
industrial design. To study this field, understand the changes in consumer habits and
needs, bring benefits to enterprises, create jobs for the country, and improve the quality
of services for the people, which is in line with the needs of social development.
Research Method and Design
Case analysis: Through studying the successful cases of different industries,
understanding the research and development process and final results of their products,
and seeking common points through case comparison, so as to find the ideas and
methods of creating products. Summarize the method suitable for the company’s
Functional analysis method: By analyzing the functions and functions of things and
then understanding the characteristics and internal structure of things, using this method
to study the changes in consumer mentality caused by the development of technology
(such as the Internet) and culture, in order to capture the needs of consumers.
Quantitative analysis: based on the statistical results of the population of a specific
research object. This article collects consumer preferences, styles and other data to
make a basic plan for product design to make the product meet the needs of a certain
number of people.
Qualitative analysis: According to the attributes of social phenomena and the
contradictory changes in sports, research things from the internal regulations of food,
and predict and analyze the needs of future consumers through this method to help
update and iterate products.
Literature Search and Overview
Mainly use Discovery and Google Scholar to search and read papers on keywords, and
assist with the search on CNKI (which can be understood as the Chinese version of
Discovery). Because related topics are hot topics in China, there are more attention and
related papers. Therefore, it is necessary to search the Chinese and British paper
websites at the same time to obtain more information collection and help establish a
more complete argument and argument.
1 RodrÃƒÂguez, Ismael, Rabanal, Pablo and Rubio, Fernando (2017) Ã¢â‚¬ËœHow to make a bestseller: Optimal product design problemsÃ¢â‚¬â„¢, Applied soft computing. Elsevier B.V, 55, pp.
178Ã¢â‚¬â€œ196. doi: 10.1016/j.asoc.2017.01.036.
The author of this article advocates selective production of products and increased
product features to maximize the number of customers, and extensive collection of
public opinion, product development and research based on consumers’ true preferences.
Some algorithms are used to speculate on consumersÃ¢â‚¬â„¢ purchasing needs and obtain the
greatest common divisor. This is an advanced application of quantitative analysis.
Consumers need great help in thinking about how to use quantitative analysis.
Moreover, this book not only puts forward opinions, but also conducts experiments to
prove the correctness of the author’s thesis. It has a certain reference significance for
creating hot sales products.
2 This article focuses on the principles of explosive products, and attaches importance
to the cultivation of corporate product awareness. The goal is to provide a complete
design method for explosive products and help analyze how to create explosive
products from different angles. This article focuses on how to use modern products in
the mobile Internet era. Technology promotes product publicity, and proposes concepts
such as creating different user stories based on different product characteristics and
publicity stages, and more specific ways of telling publicity. In addition, some overview
of popular products can help you have a clearer understanding of the difference between
this type of product and other products. Reading this article will help you understand
how to analyze and understand the hot sales products from the perspective of the
3 Krey, N. and Rossi, P. (2018) Back to the future : 1st ed. 2018.
This article records the cutting-edge arguments of contemporary marketing and the
minutes of the 2017 AMS conference, focusing on the development of social media and
big data to help create marketing hotspots. Proposing the establishment of a marketing
theory centered on mobile applications can help create social hot topics, thereby
promoting the creation of explosive products. The question analyzes the collision of
people’s needs in different cultural backgrounds. Therefore, it is necessary to adapt to
local conditions and create products in line with local characteristics and culture. It
helps to develop ideas in product design and create products that meet people’s needs.
4 Stock, A. and Balachander, S., 2005. The Making of a Ã¢â‚¬Å“Hot ProductÃ¢â‚¬Â: A Signaling
Explanation of MarketersÃ¢â‚¬â„¢ Scarcity Strategy. Management Science, 51(8), pp.11811192.
Discuss whether the scarcity strategy can create popular products, analyze the pros and
cons of the method and the applicable conditions, believe that high-quality products or
luxury goods can use hunger marketing to create a sellerÃ¢â‚¬â„¢s market, but low-quality
products or new products do not Suitable for this method. Because the marginal cost
difference between high-end products and low-end products is small. More should
improve product function selection, appearance design and product quality. This article
provided ideas for creating hot sales products and deepened my understanding of the
5 Schneider, M. J., & Gupta, S. (2016). Forecasting sales of new and existing
products using consumer reviews: A random projections approach. International
Journal of Forecasting, 32(2), 243-256.
Provides a way to use consumer reviews to create new products. It reduces the amount
of manual processing of text data in the past and reduces the cost of data collection.
They approach uses a bag-of-words method that requires minimal pre-processing and
parsing, making it efficient and scalable. It provides ideas for using mathematical
models to study consumer needs and preferences. It provides reference opinions for the
design and function selection of new products to help the products be loved by more
Vaishnani, H. B. (2011). Effects of sales promotions on consumer preferences and
brand equity perception: with specific reference to FMCG products.
Neelamegham, R., & Chintagunta, P. K. (2004). Modeling and forecasting the sales of
technology products. Quantitative Marketing and Economics, 2(3), 195-232.
Porter, M. E., & Heppelmann, J. E. (2015). How smart, connected products are
transforming companies. Harvard business review, 93(10), 96-114.
Niazi, R. (2008). Online sales promotions for consumer products.
Fu, F. Q., Richards, K. A., & Jones, E. (2009). The motivation hub: Effects of goal
setting and self-efficacy on effort and new product sales. Journal of Personal Selling
& Sales Management, 29(3), 277-292.
Chong, A. Y. L., Li, B., Ngai, E. W., Ch’ng, E., & Lee, F. (2016). Predicting online
product sales via online reviews, sentiments, and promotion strategies. International
Journal of Operations & Production Management.
Fader, P. S., Hardie, B. G., & Huang, C. Y. (2004). A dynamic changepoint model for
new product sales forecasting. Marketing Science, 23(1), 50-65.
Hasson, A. (2005). U.S. Patent Application No. 10/780,434.
Ogawa, S., & Piller, F. T. (2006). Reducing the risks of new product
development. MIT Sloan management review, 47(2), 65.
Retseptor, G. (2005). 40 inventive principles in marketing sales and advertising.
Research hot sales product creation method, improve product quality, create profit for
the enterprise. The specific objectives are to help enterprises improve service quality,
reduce resource waste and develop targeted creative products by studying how to divide
the market and analyzing consumer needs. The purpose of this paper is to discuss the
relevant literature, through the comparison of different literature ideas, can establish a
better ideological framework. In section 2.1, the definition of hot sales products will be
discussed, because only with a sufficient understanding of the nature of hot sales
products can we understand how to build products. In chapter 2.2, the status quo of hot
sales product theory will be analyzed, and the understanding and case study of hot sales
products will be improved by comparing the differences of different hot sales product
building methods. In chapter 2.3, through understanding the complete research methods
of hot sales products under different theoretical frameworks, a macroscopic theoretical
framework is established, and the most suitable theory is selected through comparison.
At the end of the paper, the literature review is briefly discussed, the key points of the
paper are displayed, and the main research objectives and directions are indicated.
2.1 Definition of hot sales products
The hot sales product is a product with strong demand that solves users’ pain points
functionally and is attractive. Hot sales products can be Internet products as well as
ordinary items — pens, wallets, shoes, light bulbs, desks. Hot sales was once a product
of marketing tools, promotional campaigns, and copycat phenomena. When consumers
choose products based on word-of-mouth information and product sales volume, hot
sales can increase consumers’ trust in products. Nowadays, consumers’ trust in products
originates from the enterprise spirit conveyed by the brand, which can meet their
emotional needs. Therefore, hot sales products that satisfy consumers can only be
created centering on the emotional needs of target consumer groups. As for hot sales
products, they can solve users’ pain points in terms of functions and are commonly used.
They should be differentiated enough compared with similar products to increase the
added value of products and enhance the attractiveness of products from various aspects.
Hot sales products have elements:
1. Non-replicability: Different from similar products on the market, it has certain
2. Subversive: It has subversive functions, shapes and materials, etc.
3. Identification: It is particularly distinctive and has a strong identification.
4. Attractiveness: More attractive to consumers.
2.2 Case comparison of hot sales products
2.2.1 Founded in 1971, starbucks 48, the world’s largest coffee chain, has more than
20,000 branches all over the world, including more than 2,000 stores in China alone,
with a success rate of nearly 100%. It can be regarded as a hot sales product. Below is
a detailed analysis of its building process.
The development strategy of Starbucks in China is: first layout, then site selection. First
of all, in terms of layout, Starbucks’ strategy is to develop from first-tier cities to second
and third-tier cities. According to the economic and geographical factors of Chinese
cities, Starbucks divides the Chinese market into five levels, expanding from big cities
to small cities. First settled in Beijing, Shanghai, Guangzhou, Shenzhen and other firsttier cities, and then continue to expand to second – and third-tier cities when certain
popularity and influence are formed. The strategy is to select cities and then select areas.
Starbucks will consider whether to enter a city from the following two aspects: On the
one hand, the target consumer groups of Starbucks are mostly middle and high income
groups with higher education, so it will first analyze the urban population and then
decide whether to enter. On the other hand, after selecting the target city, the city should
be divided into several regions according to its geographical features and urban
planning, which is called mini-market. For each mini-market, Starbucks will further
subdivide into multiple business districts and functional areas, and finally select the
location according to the priority order.
1. Pay attention to customer flow and find the right customer gathering point. When
selecting a location, Starbucks will calculate the customer flow of the store location and
draw the flow curve of the stream of people. It will identify the customer gathering
point through calculation and set up stores near the customer gathering point.
2. Identify the target group. Target high income people with higher education. Starbucks
targets young and middle-aged people between the ages of 16 and 50. When the
consumption level and quality of life of consumers in a certain area meet certain
requirements, Starbucks will select a location in this area.
3. Pay attention to visibility, window is the best signboards. According to Starbucks,
the best way to get customers in a store is through Windows and signs. Although the
starbucks brand is highly recognized by the general public, competition in the coffee
industry is fierce. Good brand presentation can better attract customers.
4. Pay attention to traffic convenience to create more sales opportunities. Store location
and convenient transportation are important factors for customer choice. The area of
the business district, the number of parking Spaces and the convenience of parking are
all issues that Starbucks seriously considers in order to ensure the rate of customers
entering the store.
5. Set up shop centrally to reduce delivery costs. When Starbucks was founded, it
opened two stores across the street from each other. Although this may affect the sales
of the two stores, it can guarantee higher profits, because many products have relatively
high transportation costs. Although the turnover is lower than that of a single store, the
operating cost is also lower.
6.Mature markets bring long-term stable returns. Starbucks believes that the stores need
a mature and stable market environment, because the mature and stable market
environment can bring long-term stable earnings, so as to ensure the stability and
growth of corporate earnings. Therefore, Starbucks pays special attention to the
maturity and stability of commercial economic development near its stores.
7. Brand building based on innovation. There are mainly product innovation, channel
innovation, service innovation. Product innovation is reflected in creating a variety of
food products, not just limited to coffee products. Channel innovation is reflected in the
introduction of products into supermarkets to reduce the company’s logistics costs and
2.2.2 Deli, as a traditional shower brand, crowdfunded 10,000 sets of hot sales product
series shower rooms designed by famous Italian teacher luca rossi on the Internet in
just one month, which is a typical case of traditional enterprises creating hot sales
products. Deli’s ideas for building products are as follows:
1. Create explosive points by adding new topics to the old platform. Through a series
of interesting advertisements, Deli selected the eye-catching “Yang Guifei” as the entry
point to launch the crowdfunding on The Southern Metropolis Daily, which perfectly
touched the communication point of new media and successfully achieved the eye
2. Celebrity endorsements and the popularity of the public to create explosive products.
Although deli brand is located in the shower room market industry first, but the brand
recognition is not high. This time, through celebrity endorsement and the launch of
crowdfunding, a hot sales product is designed to be tailored for mass consumption with
low cost. It is expected that this hot sales product can improve brand awareness and
expand market share.
3. Loyal users plus price feedback is the way for a brand to attract fans. The goal of
“10,000 people crowdfunding” of Deli is about to be achieved. Taking the story of Yang
Guifei out of the bath as a breakthrough point, deli USES Internet thinking to cultivate
loyal fans of the brand, and then, through interaction with fans, the price can be reduced
to a level acceptable to consumers.
2.2.3 Xiaomi ecological chain as hot sales product building case is the most appropriate.
Xiaomi ecological chain is divided into three layers, the first layer is hardware, the
second layer is video content industry, the third layer is cloud services. The first layer,
called the new national goods, includes intelligent hardware and life consumables.
Intelligent hardware refers to electronic products combined with APP. Consumables
refer to articles for daily use, such as clothing, food, housing, transportation, etc.
Xiaomi Ecological chain company is invested by Xiaomi Group Company. Up to now,
there are more than 200 million rice fans. Through investment and incubation of
ecological chain company, Xiaomi creates new national goods with the highest cost
performance, and USES big data to achieve precision marketing, making supply equal
demand and truly realizing zero inventory. It is a classic case of hot sales products.
Xiaomi Ecological chain is an incubator for hardware innovation and entrepreneurship
in the Internet of Things era. Its uniqueness lies in its reverse operation logic. In the
traditional incubator, the operation logic is generally positive, and the general process
is to create a team first, then determine the business direction, then design a plan, then
organize production, and finally operate and sell. This process has many disadvantages
in combination with the reality of entrepreneurs:
1. The entrepreneurial team cannot find the right direction;
2. As a small team, it is difficult to find the supply chain;
3. There is no platform to sell the product.
In contrast, the reverse logic of Xiaomi ecological chain just solves these drawbacks.
The reverse logic of xiaomi ecological chain products is illustrated from the following
The reverse logic of the first product build is: first there is direction, then there is team.
With pertinence and purpose, you can find a team with the relevant experience.
Sometimes, the direction of the team is vague when it comes in. Xiaomi and the
entrepreneurial team work together to find the right direction and define the product
The second product creation reverse logic is: supply chain first, then design scheme. In
the process of building products, Xiaomi does not look for the supply chain after
completing the design scheme. But in the early stage of product building, we start to
look for supply chain, determine the supply chain first, and then carry out scheme
The third reverse logic of product creation is: first there is the channel, then there is the
product. For Xiaomi, it is itself an e-commerce platform, which has certain popularity
both at home and abroad. Xiaomi will also cooperate with other e-commerce platforms,
which will make its sales channels more diversified.
In a word, Xiaomi has achieved entrepreneurial success by relying on products to create
reverse thinking. Xiaomi’s internal incubation and external innovation and
entrepreneurship have achieved great success. Instead of splitting its internal staff,
xiaomi introduces external resources into its own ecosystem, which is also an important
reason for xiaomi to successfully build hot sales products.
2.3 Latest research theory of hot sales products
In 1995, Clayton Christensen, professor of Harvard Business School, proposed the
theory of disruptive innovation for the first time in his book Harvard Business Review.
His core view is that disruptive innovation is based on the traditional meaning of
innovation, innovation, easy to use, low energy consumption and other more human
design to lead the design trend. His subversive innovation theory really subverts the
traditional innovation theory. Subversive innovative products are bound to become hot
sales products, to win the market for enterprises. How to achieve disruptive innovation
requires a set of efficient new product development process, a reasonable and efficient
development process can greatly improve the enterprise product development cycle. In
recent years, many excellent product development process models have been put
2.3.1 BAH model: BAH model developed by Booz, Allen, and Hamilton in 1982. BAH
model consists of seven basic stages, describing activities at all stages, from initial
product conception to later marketing.
The first stage: explain the basic strategy of product development, focus on user needs,
screen more commercial value user needs, so as to develop products more in line with
The second stage: propose concepts, conduct in-depth research based on conceptual
products, and screen out products more in line with the strategic development of the
enterprise; The third stage: further screen the concept products to find the concept
products with higher feasibility and more commercial value;
The fourth stage: production cost analysis, according to the purchase, production,
packaging, transportation, promotion and other aspects of the cost analysis to further
Choose to ensure the maximization of product benefits;
Phase 5: Product design phase, where the concept product is transformed into an entity,
which involves a number of test methods and design standards to ensure the
functionality, safety and technical feasibility of the new product;
Stage 6: Conduct testing and evaluation, systematic testing and market validation of
product models to ensure that products can meet market demands;
Stage 7: Product packaging, transportation and marketing.
2.3.2 U&H Model: In 1993, Urban and Hauser proposed a new product development
process called U&H model. Specifically divided into five stages:
The first stage: looking for business opportunities, through market research, looking for
market gaps, and carrying out conceptual design for market gaps;
The second stage: design stage, in-depth analysis and study of user needs, based on user
needs to develop products;
The third stage: test stage to verify the feasibility of the product and ensure the
completion of the product;
The fourth stage: sales promotion, product packaging, advertising and other
The fifth stage: product life cycle management, real-time monitoring of product market
dynamics, to ensure that the market can respond to changes quickly make the
corresponding decisions. The advantage of U&H over THE BAH model is the lifecycle
management proposed in the last phase, which shows that product design cannot be
separated from other phases and should be closely linked to other phases of product
2.3.3 “Stage-gate” model: Cooper developed a series of new product development
process models — “stage-gate” model based on BAH model in 1984, 1994, 1996 and
1998. Cooper refined and updated this model constantly, and finally formed a set of
more complex new product development process models. Similar to the BAH model,
“Stag-Gate” is also divided into several stages. It is worth mentioning that Cooper’s
new model puts forward the concept of “Gate”. Gate is a different part of the design
phase. At each gate, there is a Gatekeeper that analyzes the product and decides whether
to proceed with the project. A “Gatekeeper” is a management team of resource providers
and gatekeepers, which has the benefit of facilitating rapid production completion.
2.3.4 Ma Yue, co-founder of Koala Look at it, mentioned in her book “Crazy Thinking”
that the Internet has destroyed the established business model and reconstructed
business thinking. In the era of mobile Internet, creating popular products that can
attract users’ attention and even generate huge social influence has become the pillar of
enterprise competition. From the phenomena-level apps such as WeChat and alipay,
which occupy almost all people’s mobile phones, to haidilao’s maowu and marvel’s
superhero movies, all of them are explosive successes. Facts have proved that many
enterprises “into also burst, failure also burst.” Only the establishment can continue to
build explosive system, is the key to win the enterprise.
2.3.5 China Europe international business school, adjunct professor of entrepreneurship
of our in the model community: the nature of the Internet thinking points out the
traditional business model is facing an unprecedented commercial war, the fierce war,
the traditional business model is difficult to survive, even if such a giant nokia also fall
prey to traditional enterprises and Internet enterprise collide fusion, thinking of the
influence of the traditional enterprise Internet is more and more big. In such an era,
when products are constantly updated and iterated, there will be more opportunities for
entrepreneurial enterprises. Once the opportunity is grasped, an enterprise can achieve
success with only one product. Ofo Shared bike is a good example.
2.3.6 By product marketing experts Shi Xianlong product alchemy Ã¢â€¦Â how to create
best-selling products “provided in 17 kinds of weapons,” smart “involved in different
stages, different size, different industry enterprise full demand for products. It is
mentioned in the book that enterprises should have two basic attitudes in manufacturing
any product: first, do not launch products without strategies; Second, you can allow
trial and error with products that are not well considered.
Principle refers to the essence of some objective thing and its basic law of motion. The
principle of product building is the basic truth formed by scientific analysis and
summary of the content of product building. It is a highly comprehensive and summary
of the elements and construction methods of product building, so it has a general
guiding significance for all product building activities. In this paper, through the case
study to learn about different enterprises to build hot style products. Starbucks builds
its brand through a series of store selection, packaging and constant innovation. Deli
with the new network marketing strategy and star publicity has attracted the attention
of customers; By establishing the product ecological chain, Xiaomi has realized the
bundled sales of its products. From the perspective of different cases, each company
has its own way. Through comparison and research, it is meaningful to find common
characteristics among successful cases and establish a relatively perfect methodology
for hot style products. The third chapter will focus on the search for commonality and
the establishment of methodology.
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