Mediterranean hegemon
Chapter 123 Capital Feast (3)
After finishing his work as a special envoy, Contini will start the rhythm of buying, so from May, everyone has seen the rhythm of large-scale purchases by the United Group, which is called the May whirlwind, also known as the United whirlwind...
However, before the United whirlwind blew, Contini first built momentum for United Motorcycle. According to the requirements of 3-year mid-term improvement and 6-year upgrade, by 1928, United Motorcycle had launched the next upgraded product of speed and passion: S2! 2 has made more than 20 improvements on the basis of S1. Not only is the streamline of the whole vehicle more prominent, but the performance has been greatly improved. The most important thing is the introduction of two major improvements. The first is the use of the 500ml displacement engine of United Power, with a power output of up to 17 horsepower. This time, aluminum alloy components are boldly used, which is not only more powerful than the engines used by BMW in the same period, but also lighter and has better heat dissipation.
Now BMW can no longer say that United Motorcycle is a copycat of theirs. It is obvious that S2 is similar to it in appearance, but the connotation is completely different.
Of course, the weight saved here is added back in other places. S2 introduces hydraulic damping telescopic front fork, which is heavier than the leaf spring front fork used in the previous generation and the market popular products, but the benefit is obvious. When passing through rough terrain, especially in the mountains, the shock absorption performance is much better than the previous generation products. Although the cost has increased, the performance has also increased, and it is more suitable for the road conditions in Italy.
This performance improvement is more noteworthy than the increase in engine horsepower, because the current popular motorcycle competitions are mixed track roads, mountains and some off-road. This shock absorption device does not show a particularly obvious advantage in the road section, but it shines in the mountain and off-road sections, and even overwhelms the Harley motorcycles that enjoy a high reputation in the United States.
Today is the day when the S2 motorcycle is launched worldwide. Contini confidently brought the new product to participate in the New York Motorcycle Rally. The driver of the car is Italian champion Sergio. His appearance is also unique. When others are still wearing traditional swimming caps and goggles, he is wearing a low-resistance racing helmet made of resin material by the United Group and a one-piece competition suit. This cool look won cheers and screams from everyone at the scene, especially American girls.
When he got on the motorcycle, lowered his body, and the whole person and the car were integrated, all reporters' cameras were aimed at him without hesitation. After a command, he roared forward like a gust of wind. In the straight road section, S2 burst out with a strong momentum and broke the event record with a maximum speed of 187km/h. In the off-road and mountain tracks, it made full use of the shock absorption advantage. In the end, it won the championship 14 minutes ahead of its opponents. This is the first time that it has such a big advantage since the motorcycle competition began in New York.
At the award ceremony, Contini stood up and, at the invitation of the organizer, presented the award to the champion while enthusiastically shaking hands with Sergio. This is a retired brave man. After working in the United Group, Contini found that he had a talent for driving motorcycles, so he transferred him to the racing team. Now United Motorcycle has few rivals in domestic competitions in Italy and has repeatedly won praises internationally. This time, the S2 immediately suppressed the BMW S37 that was launched only last year.
The product launch, which was based on the championship, has caused countless gimmicks. At the end of the launch, Contini loudly revealed the price mystery to the enthusiastic audience: "Not 999, nor 799, but only 599 dollars. For only 599 dollars, you can take this champion motorcycle home! Enjoy the fun of dominating the track and traversing the mountains! Experience the joy of being one with the car! Starting from 8 o'clock tomorrow morning, the New York and Boston joint houses will accept reservations. For the first 1,000 subscribers, we guarantee delivery within 3 months, and for the first 3,000 subscribers, we guarantee delivery within 6 months!"
"In addition to the popular version, we will also launch a $999 version. Champion Edition, each one is signed by the champion Mr. Sergio and issued a certificate; a charity edition of $1,299 will be launched, signed by cultural celebrities in New York City, and the proceeds will be donated to New York charities; in addition, the company will also launch a special limited edition of $1,999, with only 12 units issued in the United States. All users who purchase it can participate in the listing ceremony of United Motor Company in September and ring the bell with us! Let this moment of commemoration and eternity be engraved in the history of corporate development! These special editions are not subject to scheduling restrictions, first come first served, while stocks last! "
Zakaria couldn't help laughing when he heard this: the president has used the gimmick of hunger marketing to the fullest. In fact, the champion signature edition is just a few more words and a beautiful certificate. The cost is $10 more, the certificate is $1, and Sergio's signing fee is $9, but the selling price can be $400 more. In order to make the $999 look less abrupt, 1299/1999 was launched. In fact, they are limited editions with very small quantities, and the essence is for advertising rather than making money.
What? You said you would line up to buy the popular version of $599? No problem! As long as you are willing to queue! Queuing is also a form of marketing promotion. The president said that before United Motors is about to go public, any move to shape the corporate image should be considered to boost the stock price.
So starting from May 12, there was a long queue at the entrance of the United House, and some people even lined up all night with tents. After seeing this scene, Contini smiled and said that he could now discuss the valuation and issue price with the investment bankers. For this effect, he repeatedly postponed the pricing negotiation meeting on the grounds of the special envoy meeting. Now he can talk openly.
As expected, businessmen have a keen sense of smell. They immediately saw the profit behind the new motorcycle. The "12 technological innovations", "24 experience upgrades", "158 patents" and so on are all false. Only the profits and orders are real. The first batch of S2 champion signed editions brought by the fleet has been sold out. According to the feedback from customers who received them, the quality is as good as ever, and the performance is indeed outstanding, worthy of being a new model.
The orders for the two United Homes in Boston and New York have reached more than 4,000. As for the orders from other parts of the United States, they are even more numerous. They estimate that they can sell at least 9,000 to 20,000 units in the US market. This is a price of 599, which is more expensive than a Ford Model T at the time. However, investment bankers have to admit that although Italian products are a bit more expensive, they are extremely cool in terms of both effect and shape. This feature is also reflected in Italian sports cars. Alfa Romeo and Maserati, which are controlled by United Group, are famous for their mid-to-high-end sports cars and have a good reputation in Europe and the United States. On the contrary, Italy's mid-to-high-end sedans sometimes need to be imported from Germany or the United States. For example, Contini himself owns bulletproof Mercedes-Benz sedans. He has 12 cars and can no longer distinguish between public and private use. The senior management of United Group (president assistant level) all drive Cadillacs, the middle management (company general manager level) all drive Buicks, and only department managers drive Fiats.
Even so, Fiat cannot complain. They do have a gap in the field of high-end cars. It is very generous of the United Group to buy a batch of Fiat cars as department managers' cars, because the United Group could have bought Lancia's mid-range cars. Contini decided on the Fiat 505/507 because of the relationship with Fiat. The managers of Fiat companies of the same level generally cannot afford this car. At the same time, during his stay in China, Contini, as the Italian national envoy, could not only focus on the United Group, but also brought several Fiat 509 cars to promote to the Chinese side. In the end, the purchase agreement was successfully reached. Although Fiat's products are indeed good, Contini's face is obviously more important, and Fiat is also aware of this.
So after Contini announced that he would expand the concession and set up the Shenzhen Special Economic Zone, Fiat immediately said that it would set up a sales center in the Far East to focus on promoting Fiat's products. At the same time, it also expressed understanding for Contini's decision not to use Fiat products. After all, the president is the boss of United Milan. If he rides in the sponsor's product of Juventus, Milan's biggest competitor, what will the fans think?
Contini has said that he will launch the United Group's own high-end sedan Admiral Class as soon as possible. Maserati is responsible for this task. The Admiral Class is to praise old Ciano. Last year, he was directly awarded the rank of Admiral by Mussolini for his "outstanding contribution" (although he is not in charge of the fleet and is at best a reserve). But he is still an admiral anyway, so the United Group also wants to praise the old man's face.
Italy's automobile industry is now very distinctive: Fiat is the mainstream of sedans, whether popular, family-oriented or mid-range, and Lancia has a small share; high-end sports cars are all monopolized by Alfa Romeo and Maserati, which are products of United; the market share of Fiat and United General is 6:4 for trucks, but because of the rapid economic development of Italy, trucks have been in short supply, so there is nothing to complain about; small buses are dominated by United General, and large buses are half each, and the overall competition is relatively stable.
In return for the goodwill of United, Fiat withdrew from the motorcycle market. Now the mid-to-high-end market in Italy is completely occupied by United Motorcycle, with an annual output of more than 30,000 vehicles, which are not only supplied to Italy, but also marketed in 17 European countries, the United States, and the East Asian market. There are United Houses in New York and Boston in the United States. In addition, there are United Houses in London, England, Paris, France, Antwerp, Netherlands, Brussels, Belgium, Berlin, Munich, Germany, and Vienna, Austria. The first one to open the market for United Houses is United Motorcycle.
Therefore, Contini set a high price-to-earnings ratio for United House: 57 times, or a valuation of nearly $200 million.
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