My Realistic Simulation Game

Chapter 233 The Ultimate in Marketing
Unlike the noisy media and onlookers at the entrance on the first floor, the second floor of the bank lobby was a completely different world.

The crystal chandelier cast a warm and bright glow, and melodious classical music flowed through the air.

Politicians, bankers, and up-and-coming businessmen from the streets gathered in small groups, holding champagne or red wine, talking in hushed tones, their faces bearing formulaic yet warm smiles.

Amidst the interplay of light and shadow, people from different factions and backgrounds seemed to temporarily set aside their positions and immerse themselves in this rare social feast.

However, the Western bankers who were invited to the event had the most complicated feelings.

They were fully aware of the true nature of Far Eastern International Bank.

They had just jointly lent them a huge sum of 15 billion rubles, and then they set up a bank to compete with them for depositors and market share. How could they be happy about that?

Representatives from several smaller European banks looked visibly gloomy.

However, representatives from top banks such as Citigroup's Williams, Morgan Stanley's executives, and UBS's Herrick appeared calm and even somewhat condescending.

The reason is simple: the two sides are targeting completely different business areas.

During the preparation of Far East International Bank, Williams and others had in-depth exchanges with Qin Yuan and were very clear about the bank's positioning.

Its main purpose was to facilitate settlement for the Far East Group's own international trade, the group of middlemen scattered throughout the Soviet Union, and to attract ordinary Soviet citizens who were excluded by the low interest rates of state-owned banks and the high thresholds of Western banks with high interest rates.

To put it bluntly, it's about doing business in the "lower-tier market" and the "internal ecosystem".

These established Western banks served the emerging capitalists in the Soviet Union, the middle class with foreign exchange reserves, and privileged classes eager to transfer their assets overseas.

These are two tracks that almost never intersect.

Moreover, these core banks also hold about 5% of the shares of the Far Eastern Group. In a sense, Far Eastern International Bank can also be considered an "affiliated enterprise." Its establishment and growth may not be entirely a bad thing.

“Herick, how many fearless people do you think will come to open an account on the first day of business?” Williams took a sip of red wine, his tone slightly mocking.

Herik adjusted his gold-rimmed glasses and smiled faintly: "Deposit money in a Chinese-owned bank? Forgive my bluntness, William, but in the financial field, do the Chinese... know how to build credit and manage risk?"

His contempt was undisguised.

“Haha, that’s true.” Williams laughed and swirled his wine glass. “But I’ve also heard that this Mr. Qin has invested a lot of money in publicity for the opening. The Chinese people handing out flyers on the streets are quite a force to be reckoned with.”

Herik nodded, unconcerned: "No matter how much marketing hype there is, it won't shake the core base."

"Moscow residents either keep their money under their mattresses or deposit it in state-owned banks like the Moscow State Bank for safety."

“Those with some assets and knowledge would naturally choose us first. Who would entrust their life and fortune to a newcomer like the Bank of China?”

While they were leisurely enjoying their comments, the ribbon-cutting ceremony in the lobby downstairs had already ended, and the media Q&A session began.

The number of reporters at the scene had doubled since then, and their cameras and microphones were all aimed at Qin Yuan on the stage.

The lineup of guests participating in the ceremony continues to surprise and delight reporters.

Volga plant director Kadanikov mobilized almost all his connections, bringing in a host of powerful figures within the industrial system.

The "Labor Collective Union" behind him wielded enormous influence, covering almost all the major factories throughout the Soviet Union.

Berezovsky, not to be outdone, gathered with emerging private entrepreneurs and traders who were on good terms with him.

The fact that a Chinese-owned bank could simultaneously receive support from both the Soviet Union's traditional industrial system and emerging capital forces is itself a highly explosive news story.

The reporters eagerly fired off their questions, creating a noisy cacophony:
"Mr. Qin! The Labor Collective Union is the most influential industrial organization in the Soviet Union. Does the arrival of Director Kadanikov and others mean that the Far Eastern International Bank is about to reach a deep cooperation agreement with the Union?"

"Mr. Qin, we heard that the Ten Banks recently approved a loan of 15 billion rubles for you. Where will this money be used? Do you think the Far East Group is worth so many assets?"

"Regarding the rise of the Far East Group in Moscow, do you think similar companies will emerge in the future? What is your opinion of the city of Moscow?"

……

Problems came at us like a barrage of bullets.

With a smile on his face, Qin Yuan calmly pressed his hand down, and his powerful aura quickly quieted down the noisy scene.

"Dear friends from the media, thank you for your enthusiasm. Today is a joyous occasion for the opening of Far Eastern International Bank, and we cannot discuss other business details here."

"However, I can give a brief answer to a few questions that everyone is most concerned about."

He first looked at the reporter who asked the first question: "First of all, we have always maintained good communication and mutual respect with the working class represented by Director Kadanikov. The workers are the greatest and most solid foundation of the Soviet Union."

"I am honored to announce that Far Eastern International Bank has reached a preliminary agreement with the Labour Collective Union to provide convenient account opening and financial services to workers in more than 500 industrial, transportation, trade and service companies in various constituent republics in the future!"

boom!
This news shocked everyone instantly.

Even the bankers and celebrities who were leisurely chatting on the second floor stopped talking and looked down in disbelief.

Williams' glass froze in mid-air, and the contemptuous smile on Herik's face instantly vanished.

Workers from 500 factories opened bank accounts en masse?!

What a huge and stable base of depositors!

This means a massive amount of salary transactions and idle funds!

All eyes immediately turned to Kadanikov. Everyone understood that without the strong support of this industrial giant, Qin Yuan alone would have no chance of achieving this.

"As for the second question that a reporter just raised."

Qin Yuan's voice rang out again, drawing everyone's attention.

"The majority of this 15 billion rubles will be invested in the new Volga plant and the development of new vehicles. A significant portion will also be invested in the Far East Group's new business expansion."

"In industries such as beverages, clothing, trade and logistics, and automobile manufacturing, Far East Group still needs to do more and invest more so that everyone here, both Soviet and Chinese, can use higher-quality Far East-made products."

Qin Yuan smiled and held up the kvass in his hand, saying, "Just like this bottle of Tsar Kvass, we will launch more types of kvass drinks, and even cola drinks."

This is yet another sensational piece of news.

If the Far Eastern Group were to enter the cola market, it would undoubtedly face direct competition with Coca-Cola and Pepsi.

Previously, kvass and Coca-Cola could have been rivals, but because kvass was backed by national righteousness, it quickly expanded its market throughout the Soviet Union.

However, this is based on two different beverages, and kvass is a beverage native to the Soviet Union.

But cola is different.

The reporters were once again in an uproar, quickly taking notes on this ambitious declaration.

Before everyone could finish processing the information, Qin Yuan had already moved on to the third question.

"Regarding the rise of the Far Eastern Group," he said sincerely, his gaze sweeping across the room, "I believe it is entirely due to the courageous economic reforms being carried out in the Soviet Union, and is an inevitable result of the bursting of market vitality."

"The Far East Group was just lucky to be in step with the pulse of the times."

"As the Soviet Union's policies became more open, more and more companies like the Far East Group and Far East Trade emerged."

"And Moscow is the best place to cultivate such enterprises! Here, I must especially thank the city's outstanding managers—Mayor Tatav and Deputy Mayor Luzhkov!"

He pointed to the two mayors in the guest seats, and the camera immediately followed.

"It is under their leadership that Moscow's security has fundamentally improved, gangs have been effectively eliminated, and the business environment has become increasingly fair and transparent. They have effectively protected the legitimate rights and interests of us law-abiding businessmen!"

"The fact that I, a foreigner, can achieve even a little bit of success in Moscow proves in itself that Moscow is a city capable of miracles."

"It is a land where the 'Soviet dream' can be realized!"

Qin Yuan remained calm and composed, and sang a hymn with great passion and fervor.

In the audience, Mayor Tataf's face was beaming as he watched the countless flashing cameras and rapidly taking notes. Luzhkov's face was also full of smiles.

Qin Yuan, that kid, really knows how to behave.

TASS, Pravda, Izvestia, and other Soviet mouthpieces were all present, along with global news agencies such as Reuters, Associated Press, and Agence France-Presse…

These words, disseminated through their pens, undoubtedly constituted a substantial political asset for him and Tataf.

Williams and Herick exchanged a glance, both seeing a hint of seriousness in each other's eyes.

They suddenly realized that the young Chinese man downstairs, chatting and laughing, might be plotting something far grander and more profound than they had previously imagined.

Just as Qin Yuan's effusive praise of Moscow was still lingering and the atmosphere at the scene was electric.

Among the group of reporters, a reporter with gold-rimmed glasses and a sharp demeanor raised his hand high:
"Hello, Mr. Qin. I am an AFP reporter in Moscow, and this is my credentials."

He showed his credentials and said quickly, "You just answered three questions from our friends in the Soviet media, which was excellent. But as a journalist from an international media outlet, I would like to ask a few more questions about your bank's specific operations."

"Please speak," Qin Yuan said with a smile.

An AFP reporter adjusted his glasses and asked the core question: "According to your bank's extensive prior publicity, the Far Eastern International Bank offers annualized deposit interest rates as high as 20% to 25%. This figure is not only far higher than the 3% to 5% generally offered by Soviet state-owned banks, but also significantly exceeds the 8% to 12% interest rate range offered by our Western banks in their Moscow branches."

He paused, then emphasized, "My question is, does such a significant increase in the cost of capital constitute a disruption of the Soviet Union's normal financial order?"

"More importantly, how can a newly established bank prove that it has sufficient capital and long-term credit to support such high interest payments?"

"In other words, where does the credibility of Far Eastern International Bank come from?"

This question was extremely pointed, instantly silencing the entire room and drawing all eyes to Qin Yuan.

The somewhat noisy conversation on the second floor abruptly stopped. Williams, Herik, and the others walked to the railing, looking down with scrutinizing and curious expressions, wanting to see how Qin Yuan would deal with this heavy punch.

Pan Shiyi stood behind Qin Yuan, his palms sweating slightly.

This question hits the nail on the head; a poor answer could render all previous publicity and promotion futile.

However, Qin Yuan still wore that calm smile on his face, as if the other party's doubts were already part of his script.

"Mr. AFP reporter, your question is excellent and points out the most fundamental difference between us and other banks."

Qin Yuan's voice, clear and steady, resonated throughout the hall through the microphone: "The core of our advertising slogan is 'Hedging against inflation and preserving and increasing value.'"

He looked around the room, his tone becoming serious: "I would like to ask everyone here, and all Soviet citizens who care about their wealth, compared to the ruble's continued and potentially accelerating rate of depreciation in recent years, is the interest rate offered by my Far Eastern International Bank really high?"

Instead of directly answering whether it was disrupting order, he cleverly directed the criticism at the Soviet Union's most sensitive economic pain point at the time.

Inflation and currency devaluation.

"As I just said, the Far Eastern Group is a lucky one of the times. It is thanks to the Soviet Union, a land full of opportunities, that it has achieved its modest success today."

"It is this land and its people that gave me, a Chinese person, the opportunity to create wealth."

"So, we should give back to the public, so that ordinary people can safely store their savings in one place, and truly achieve the goal of resisting inflation and preserving and increasing their value."

"That was my original intention in founding Far Eastern International Bank!"

Pan Shiyi listened from below the stage, his heart filled with emotion.

Look at President Qin's acting skills; he spoke so sincerely that even I almost believed him.

If it were me on stage, I'd probably be exposed in less than three sentences. I don't have the composure of President Qin, who remains calm even when Mount Tai collapses before him.

Meanwhile, Williams, Herik, and the others on the second floor looked at each other, their faces showing bewilderment and confusion for the first time.

They were a bit confused.

In their eyes, Qin Yuan was an exceptionally intelligent and shrewd business genius.

But why would a smart person do something that seems like a "loss-making but publicity-gaining" move?

They would understand if they were offered interest rates similar to those of Western banks, but this deposit rate of over 20% is almost on par with the interest rates they offer for loans!

This completely violates basic financial logic!

But regardless of whether it was true or not, the Soviets at the scene really believed it.

The applause rang out again, even more enthusiastic than before.

The crowd waiting in line outside to open an account cheered, and the tail of the line grew even longer.

Seeing the atmosphere reach another climax, Qin Yuan seized the opportunity and unleashed his final "trump card".

"Furthermore, in order to truly repay the trust and support of the general public,"

Qin Yuan raised his voice, making sure every word was clearly heard by everyone, "Here, I solemnly promise: all customers who successfully open an account on the opening day of Far East International Bank today, regardless of the amount of their deposit, will receive an exclusive shopping voucher from 'Auto Union'!"

"With this voucher, you will have priority access to purchase a car at our car alliance stores located in major cities!"

The scene was in an uproar!
Cars were a hot commodity in the Soviet Union, and a purchase voucher was quite valuable!
But this is not over yet!
Qin Yuan continued, "Furthermore, for every 10,000 rubles your savings exceed, you will receive an additional 100-ruble cash voucher!"

"This voucher can be directly deducted from your purchase at 'Jeanswest' clothing stores, 'Auto Union' stores, and thousands of merchants within our 'Cherkizovo Market'!"

boom!
The entire scene erupted in cheers!

This isn't just about offering high interest rates; it's practically giving away money, privileges, and consumer benefits!
genius!

The person who came up with this is a fucking genius!

This is not only a frenzied effort to attract savings, but also a clever way to channel bank depositors' spending into the entire business ecosystem under the Far Eastern Group through these shopping vouchers and discount coupons.

This created a perfect closed loop of "deposits-consumption," revitalizing all businesses!
However, this is not over yet.

Just as the crowd was going crazy for shopping vouchers and discount coupons, bank staff began moving boxes of pre-prepared gifts to a prominent position at the entrance.

Inside were none other than the daily necessities most needed by ordinary Soviet citizens:

Bottled kvass, canned beer, large loaves of rye bread, Riddos sausages, pickles, and all kinds of canned meat...

In later generations, domestic banks would offer rice and oil as incentives to attract deposits.

Qin Yuan has now perfectly replicated this in the Soviet Union, and he's even sending out more local and popular hot-selling foods!

Anyway, he brought all these supplies back from China.

He acquired several food factories in Qiulin in Northeast China and is now supplying them with all his might.

It can be said that Qin Yuan thoroughly mastered the marketing principles of later generations.

For the Soviet people, this was something that had never been used before.

On the second floor, there were Western bankers who had just been mocking the Chinese for their lack of financial knowledge and their disdain for the future of the Far East International Bank.

At this moment, I am staring in disbelief through the huge floor-to-ceiling windows at the long, winding, densely packed, and seemingly endless queue of people on the street below.

Williams completely forgot to put down his wine glass, and the arrogance on Herik's face had long been replaced by unbelievable shock.

They stared blankly out the window at the "ocean of capital" formed by the throngs of people.

For the first time, they clearly felt that a savage yet efficient business force, which they could not comprehend, was growing wildly on this land.

(besides)
(End of this chapter)