Still, I Will Live As The Son-In-Law Of A Conglomerate [EN]: Chapter 219

219. 62nd. Explosive Marketing (1)

March 2002.

While a multinational force, led by the U.S. military, was conducting ‘Operation Anaconda’ in Afghanistan, mopping up Taliban and Al-Qaeda forces in the eastern mountainous regions, I was at Haedong Motors’ Hwaseong Research Center, looking at a new car.

“It’s finally here.”

The small boxcar in front of us looked like a hatchback, but it had a high roof like a minivan (MPV) and a high chassis like a sport utility vehicle (SUV). Geum Seok-ho, who was standing next to me, watching the car with a satisfied expression, said.

“Everyone worked so hard. Chairman Lee, you and President Jang from Goryeo Hotel as well, haha.”

This car, which would once again be called ‘Soul,’ started from the initial ideas of Jang Ha-yeon and me. Thanks to learning drawing from Jang Ha-yeon, this car, with an original design only I knew, was refined more artistically through her feedback.

“What price range are you aiming for?”

“We’re looking at 14 million KRW [Korean Won, approximately $11,000 USD] based on the consumer price. After deducting the cost of sales, about 2.5 million KRW will remain.”

I nodded at Geum Seok-ho’s answer that the gross profit on sales was 2.5 million KRW.

“The final amount remaining from that 2.5 million will depend on how well it sells.”

“That’s right. Manufacturing isn’t just about making good products, but also about selling them well.”

As Geum Seok-ho said, manufacturing isn’t just about creating good products. You need to maximize sales while managing the effort and cost involved in increasing sales to extract the maximum operating profit from the gross profit on sales.

All of that is determined by an efficient and innovative sales strategy and marketing. At this point, I can employ that innovative sales strategy and marketing.

‘Now I’ll feed those in-laws a bomb.’

That innovative sales strategy and marketing is also a bomb to shove into the mouths of those in-laws and detonate in their stomachs. Smiling coldly inside, I said to Geum Seok-ho.

“The World Cup is coming up soon, so it would be good to hold a new car event using the World Cup.”

“A new car event?”

“Yes. Although Taehyun Group has a hold on the soccer world as an official FIFA [Fédération Internationale de Football Association] sponsor, we can offer cars according to the number of victories in the World Cup games, with us covering all the taxes.”

“Hmm…”

Geum Seok-ho, humming, asked me.

“How many are you planning to give away?”

“2,000 cars per win.”

“2,000 cars per win?”

Geum Seok-ho, along with the surrounding executives, researchers, and designers, widened his eyes as if they were about to pop out, and swallowed hard.

“Then… if we win every game and take the championship, you’re saying you’ll give away 14,000 cars?”

The World Cup preliminary round is conducted in a group league format with 8 groups of 4 teams each, and the top 1 and 2 teams advance to the round of 16 knockout stage to determine the winning team, so Geum Seok-ho’s calculation wasn’t wrong. But my plan was different.

“No. From the round of 16 onwards, we’ll give away 8,000 cars upon advancing, and that number will double with each subsequent tournament advancement. We’ll also send cars to those who support Korea on foreign websites through a lottery.”

“Th, then…?”

Geum Seok-ho, his eyes wide, couldn’t continue, but I brought up the thought he couldn’t bring himself to say.

“If we win every game and take the championship, we’ll give away a total of 254,000 cars, haha.”

Unlike me, who laughed, Geum Seok-ho’s face turned bright red, as it was unlikely that Korea would win the championship.

“Don’t tell me you don’t like the car, Chairman Lee! Are you kidding me right now!”

“Kidding? Isn’t this the Soul that my wife and I designed and that you, Chairman, directed the development of?”

At my questioning look, Geum Seok-ho’s roar erupted once more.

“And you’re suggesting that kind of event? Are you out of your mind!”

That kind of event? Am I out of my mind?

At the harsh language I heard from Geum Seok-ho for the first time, I instantly wiped away my smile and put on a face as stiff as an Agrippa statue [referencing the stoic Roman general and statesman].

“It’s not ‘that kind of event,’ and I’m making this suggestion with a sound mind, Chairman.”

“Hoo…”

Watching Geum Seok-ho, who was only sighing with a dumbfounded expression, I continued.

“Think about it. The very fact that we’re doing this kind of event will become a global topic. What will happen when media outlets around the world report it on the news?”

“Huh?”

Geum Seok-ho’s expression changed in an instant, and I smiled.

“Announcing that we’re going to give away up to 250,000 units worldwide through a World Cup giveaway event to coincide with the launch of a new car is a huge provocation. Wouldn’t that be a huge feeding frenzy for media companies, regardless of their nationality?”

At my question, Geum Seok-ho hummed with a serious expression.

“Hmm… are you saying those guys will give us free advertising for our new car on their TV channels or in their publications?”

“That’s right. We’re using them for free.”

It would cost hundreds of billions of KRW to run ads on TV stations and newspapers around the world. Compared to that, the marketing I proposed was a noise marketing strategy where we would use the world’s media for free, or rather, an artistic aggro marketing strategy [aggressive marketing strategy].

“But it’s a double-edged sword. If it doesn’t work out, we’ll spend the money and ruin the image.”

“No. Whether they like it or not, whether they’re curious or not, the news covering our event will spread around the world, and Soul and Haedong Motors will be etched in people’s minds.”

Anything is better than no comments at all. More than anything…

‘It will be an explosive marketing campaign that starts as a third-rate comedy and ends as a grand documentary.’

Seeing my confident expression, Geum Seok-ho sighed.

“If the marketing is successful, the name of Soul will definitely be known. But we’ll be taking on trillions of KRW in losses.”

At Geum Seok-ho’s blunt answer, I blinked.

“What are you talking about?”

“If we give them away for free, won’t it all be our loss? At a maximum of 254,000 units, the cost of sales alone would be 2.921 trillion KRW, and based on the consumer price, it would be well over 3 trillion KRW.”

Looking at Geum Seok-ho, who was asking the obvious, I felt like I had to tell him about the secret plan I had prepared.

“Why would we bear it? We can just sign up for marketing insurance.”

After a brief pause, Geum Seok-ho exclaimed.

“That’s right, there was that!”

Large corporations that engage in sports marketing take out marketing insurance to prepare for increased marketing costs. Would they be crazy enough to throw all their money into an uncertain gamble?

Of course.

The Soul free giveaway event I proposed has premiums determined by the win rate for each group league match, the probability of advancing to each stage of the tournament, and the price and number of cars to be given away accordingly.

“If we pay the insurance premium, our burden will be greatly reduced, but if there are no results, we’ll be disgraced. Are you okay with that?”

Geum Seok-ho was still hesitant, although he was better than before, so I felt like I had to open my wallet.

“Since we have the advantage of being on home ground, we should at least be able to advance to the finals. And I’ll pay for all the marketing insurance premiums once the cost calculation is complete.”

“You’ll pay for all of it?”

“Who in Korea has more money than I do? I should step up at times like this, haha.”

Right now, no one in Korea has more official assets and income, including cash, than me. Geum Seok-ho chuckled as he looked at me, who was smiling.

“I forgot you were around. But what if the event fails?”

“If the amount obtained by multiplying the number of Souls given away in this marketing campaign by the price doesn’t exceed the insurance premium, I will cancel all the corporate bonds I’m acquiring.”

The executives’ eyes widened at the mention of cleanly giving up on receiving hundreds of billions of KRW. Only Geum Seok-ho laughed heartily.

“If the financier is willing to back it, there’s nothing we can’t do. I’ll leave the insurance premium calculation to you.”

“Yes, Chairman.”

If my memory is correct, the insurance premium will be pocket change for me now. Was the probability of Korea advancing to the round of 16 calculated by the insurance industry at 45 percent?

***

Back at the office, Geum Seok-ho called the key executives and told them about the marketing that Lee Seong-min had proposed.

“What do you think?”

“Ch, Chairman?”

Unlike Geum Seok-ho, who had calmed down, the executives were speechless.

These executives had never heard of such crazy marketing. Among the dumbfounded executives, Woo Young-ju, head of the marketing division at Haedong Motors, opposed it with a vein popping out of his neck.

“That’s ridiculous, Chairman! Even if Chairman Lee provides the money, if the marketing flops, Haedong Motors’ image will be dragged through the mud!”

Marketing is a show to promote the company’s existence and appeal. Even if Lee Seong-min pays for all the costs, if the show ends up being a mess, wouldn’t it leave an indelible mark?

That mark wouldn’t just remain on the Soul being released this time. It could spread to the entire lineup that has been reorganized over the years, causing the company’s image to plummet and sales to drop as well.

Looking at Woo Young-ju, who was breathing heavily, Geum Seok-ho asked.

“I also wondered if Chairman Lee was out of his mind at first. No matter how much money he has, it’s reckless to spend trillions of KRW carelessly. But if we utilize marketing insurance, wouldn’t the cost be much lower?”

That wasn’t wrong.

If Korean soccer fans heard it, they would curse him as a traitor, but the reality is that no one can guarantee Korea’s advancement to the World Cup finals. If the insurance premium is calculated in proportion to that, the marketing cost could be drastically reduced.

Geum Seok-ho’s question continued to Woo Young-ju, who kept his mouth shut.

“Besides, has Chairman Lee ever failed in business before?”

“Yes? Th, that’s…”

Lee Seong-min is a monster who has never failed in business. Even during the market crash caused by the 9/11 terrorist attacks, didn’t the 8 trillion KRW that the Cho Young-chan-Lee Seong-min duo poured into the U.S. and Korean stock markets through the Haedong Securities, Haedong Asset Management, and Haedong Merchant Banking trio grow to over 20 trillion KRW?

In addition, the current expansion and success of Haedong Motors and Haedong Group are the results of Lee Seong-min persuading the three elder chairmen, with Lee Dae-soo’s consent, and Geum Seok-ho in front of them. No one could open their mouths to the existing results.

“Still… Head Woo should meet with Chairman Lee and find out how our national soccer team is preparing for the games. Chairman Lee is not someone who pushes forward with vague feelings and money alone.”

Lee Seong-min, as Geum Seok-ho has seen him, is a born gambler who places full bets only on places where he can make money based on his own reasonable grounds. At Geum Seok-ho’s instruction, Woo Young-ju nodded.

***

While working in the Standard Capital office, I was meeting with the head of the marketing division at Haedong Motors in the reception room.

“Chairman Geum gave that order?”

“Yes. He said that Chairman Lee would never push forward with vague feelings and money alone.”

Woo Young-ju answered with a stiff expression, but I didn’t feel bad.

‘You can’t fool experience.’

Geum Seok-ho seemed to have a good grasp of me now. That I’m the kind of guy who only throws money at places where I can make money.

Apart from that, Geum Seok-ho’s order to investigate the Korean national soccer team’s game preparation was quite tricky.

‘I already know, but if I tell them as it is, I’ll be treated like a shaman riding a knife [Korean idiom for someone who makes uncanny predictions]…’

Tilting my head for a moment, the corners of my lips went up and my mouth opened.

“Do you have any brilliant ideas?”

“It seems like it would come out quickly if I asked a close uncle, haha.”

“A close… uncle?”

While Woo Young-ju was tilting his head, I quickly pulled out my cell phone.

“This is Seong-min, Uncle. Oh, how can Haedong Motors keep up with Taehyun Motors? Chairman Geum Seok-ho has been working so hard to reorganize the overlapping lineups while continuing the mergers, haha.”

Woo Young-ju’s eyes widened at my appearance as I laughed and talked on the phone.

‘…Chairman Myung Seon-gu?’

I nodded to Woo Young-ju, who cautiously asked even in lip movements, and smiled as I continued the call, looking at Woo Young-ju’s eyes, which had grown as if they were about to pop out.

“I’m calling because I’m curious about how the national soccer team is preparing for the games this time. Isn’t your younger brother the chairman of the Korea Football Association? No way? How can I, as your nephew, covet what you’ve already secured as an official sponsor? Yes. I would just be grateful if you could find out about the game preparation. I’ll invite you to our golf course later, haha.”

After finishing the call, I said to Woo Young-ju.

“He said he’ll find out soon, so let’s proceed with the insurance premium calculation first. Head Woo, let’s work on the marketing plan together.”

Woo Young-ju only blinked at me.

***

Myung Seon-gu tilted his head after finishing the call with Lee Seong-min.

“What is he up to…”

Asking to find out about the Korean soccer team’s game preparation… Myung Seon-gu felt uneasy about Lee Seong-min’s request, who boasts an undefeated myth among Korean business leaders.

“He’s watching my back, so I have to listen.”

There are countless ways to sever a relationship once a friendly shareholder turns sour. It was also a request from a friendly shareholder who could shake up management rights, so Myung Seon-gu sighed lightly and made a call.

“It’s me, Seon-jun.”

[What’s going on, Brother?]

“Are you preparing well for the World Cup?”

[So-so.]

Myung Seon-gu chuckled at the dry response from Myung Seon-jun, the owner of Taehyun Heavy Industries, a member of the National Assembly, and the chairman of the Korea Football Association.

“It doesn’t seem to be going well, hehe.”

[Don’t joke around, Brother. You know how much effort we’re putting into this World Cup, right?]

“I know. I know. You gave a car with a safe packed with gold bars in the trunk to secure the World Cup bid and hid 500 euro bills in bouquets to give to the wives of FIFA committee members, hehe.”

Lobbying is an essential element in bidding for international games. Myung Seon-gu chuckled as he recalled the memories of working hard with his younger brother before the Taehyun Group split.

“But our club’s front office is complaining that they’re going crazy with frustration. People from the KFA [Korea Football Association] are shaking their heads whenever the topic of World Cup preparation comes up.”

[Don’t even mention it. Hiddink, that guy…]

While listening to the requests made to the Korea Football Association, Myung Seon-gu diligently moved the fountain pen in his hand.

“Hoo, you’re preparing hard. Do you think you can do well?”

[I’m honestly not confident, but… shouldn’t I at least try? As our late father used to say, hehe.]

Myung Jin-ho, who passed away last year with a smile on his face only after seeing the first Haedong Motors Tico car coming out of the Gaeseong Industrial Complex.

A bitter smile spread across Myung Seon-gu’s face as he sent his father away without fulfilling his father’s wish with his own hands.

“Okay. I understand. Let’s meet in Cheongun-dong on our father’s memorial day later.”

[Let’s do that, hehe.]

After finishing the call, Myung Seon-gu picked up the memo with the hand that had put down the fountain pen.

“It’s worth calling it FC Korea [a sarcastic remark, implying the team is more about politics than football].”

Myung Seon-gu, muttering quietly, picked up the receiver to make a new call.