Return to Consumption Essence: How "Quality-Price Ratio" Reshapes Market Rules

Deep News12-09

Consumers are becoming increasingly savvy yet "too busy to calculate." Some willingly pay Costco's $299 membership fee because they can access high-quality steaks and premium daily necessities unavailable elsewhere—saving multiples of the fee while skipping complex selection processes. Others delete 4S dealership contacts after car warranties expire, turning to third-party platforms like Tuhu Car Maintenance to avoid hidden costs. These seemingly unrelated industries share a common logic: Costco connects directly with farms and factories, eliminating middlemen to maximize "anti-premium" pricing, while Tuhu partners with manufacturers to offer better-quality products at lower prices—even selling 500,000 tires in a single day during Double 11, dismantling auto repair "information asymmetry."

From retail shelves to auto workshops, Costco and Tuhu prove one trend: consumers now prioritize "quality-price ratio" (QPR). This shift reflects China’s maturing consumption mindset. Decades of economic growth transitioned the market from scarcity to surplus, where brand premiums once dictated purchases. Today, digitalization erodes information barriers, and younger buyers—raised in abundance—value practicality over logos. Economic pressures further fuel rational spending, making QPR the core metric for decisions.

**Costco: The QPR Benchmark** Since 1983, Costco’s membership model has thrived on "low prices, high quality." By curating limited SKUs and bulk sourcing, it slashes costs. Its Kirkland brand bypasses intermediaries, offering prices 20%-40% below competitors without compromising standards. Membership fees sustain profits, enabling consistent discounts while fostering loyalty through perks. Supply chain mastery and operational efficiency cement trust, creating an unbeatable value loop.

**Tuhu’s Disruption in Auto Aftermarket** China’s fragmented auto aftermarket—split between overpriced 4S shops and unreliable local garages—demanded change. Tuhu’s "direct supply chain + standardized service + digital ops" model redefines standards. Partnering with Continental, Michelin, and Shell, it cuts middlemen, delivering factory-to-shop products nationwide. Regional warehouses and real-time inventory systems optimize logistics, passing savings to users. During 2023’s Double 11, Tuhu sold 50,000 tires daily—a testament to its QPR appeal.

**Product Co-Creation: Beyond Cost-Cutting** Tuhu’s data-driven "reverse customization" tailors products to unmet needs. For EVs—heavier and quieter—it co-developed tires with Continental (XC7 Pro Max) featuring self-sealing and noise-canceling foam. With Doublestar, it launched high-load (HL) tires using velvet-sidewall tech for premium aesthetics. Traditional car owners benefit too; the "Peak Leap" series with Double Coin eliminated tread burrs for enhanced wet grip and quietness. Each innovation stems from granular demand analysis.

**End-to-End Quality Control** Tuhu enforces rigorous checks from factory audits to post-sale feedback. Suppliers face onsite evaluations of production lines and QC systems. Inbound products undergo dimensional and performance tests, with tires subjected to dynamic balancing. A closed-loop feedback mechanism ensures continuous improvement, while app-based service standardization guarantees transparency. Digital tools let users schedule, price-check, and rate services—elevating both product and service QPR.

**Conclusion** Costco and Tuhu exemplify a market-wide recalibration: QPR is the new currency. Winning requires genuine user-centricity—streamlining costs, ensuring quality, and delivering tangible value. In China’s evolving consumer landscape, those mastering this trifecta will thrive, regardless of brand legacy.

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