The Brand Benefits Spurred by Luo Yonghao’s Criticism: A Vivid Lesson in Crisis Public Relations
Hello everyone, I’m your financial observer. Today’s news might seem like another instance of Luo Yonghao being critical, but in reality, it’s a profound reflection on how brands should face public scrutiny.
In simple terms, Luo Yonghao tried the “Mr. Wildman” ice cream at the airport and found it to be both unpleasant and expensive, and he also reminisced about the now-defunct brand “Zhong Xuegao.” Surprisingly, instead of reacting, Mr. Wildman’s “cold treatment” led to a 400,000 increase in followers within three days. The core point of this article is quite sharp: Luo Yonghao could be considered the “unofficial examiner” who has contributed the most to the brand public relations industry over the past 15 years.
Why can criticism actually help a brand gain followers? Why do some brands fail when criticized, while others become stronger? Let’s break down this news into four aspects to explain the underlying business logic in plain language.
---
1. Being Criticized as a Form of Certification: Luo Yonghao as a Brand’s “Free Quality Inspector”
First, we need to clarify a misconception: Being criticized by Luo Yonghao is not a misfortune; rather, it’s a rare opportunity for exposure.
Why Luo Yonghao?
In the era of social media, ordinary consumers’ complaints can easily get lost, and media investigations have a公关 buffer period. However, Luo Yonghao has tens of millions of followers, and his criticism is often based on real experiences, not rumors. This means brands can hardly legally counter him; they can only respond with their products.
It’s like a “zero-cost stress test” for the brand. Is your product really good? Is the price inflated? Are there any service issues? A single tweet from Luo Yonghao can expose the most discerning consumers in China.
Why Did Mr. Wildman’s “Cold Treatment” Work?
When Mr. Wildman’s complaints emerged, the official customer service simply replied, “Feedback has been recorded,” without issuing any statements, engaging in a debate, or playing the victim card.
- Public Response: “Don’t respond, don’t respond, don’t respond.” (This echoes the theme of *The Three-Body Problem*—the more you explain, the worse it gets.)
- Result: This non-confrontational attitude made the brand seem confident and credible, even arousing curiosity, leading to a 400,000 follower increase in three days.
Comparison with Tragic Cases: Xibei and Zhong Xuegao
- Zhong Xuegao: When faced with doubts about the durability of their products, founder Lin Sheng tried to argue, claiming it was pseudoscience and using fake followers. The result? The brand’s value dropped from 4 billion to just 21.1 million in a bankruptcy auction. The problem was that the more they defended themselves, the more people believed they were hiding the truth.
- Xibei: When Luo Yonghao questioned their prepared meals, Xibei’s owner Jia Guolong chose to fight back emotionally, turning a rational discussion into an emotional clash. This not only failed to clear their name but also exposed their huge losses and store closures. Jia Guolong later reflected, “If I had to choose again, I would never fight back.”
Conclusion: Luo Yonghao’s criticism helps brands expose their weaknesses early. For Mr. Wildman, the criticism might have been unpleasant, but it’s better than discovering problems only when sales decline and reputation plummets.
---
2. The Achilles’ Heel of Business Models: The Battle Between High Prices and Value
Luo Yonghao’s criticism that Mr. Wildman’s ice cream was bad and expensive pointed out a common issue in today’s market: high prices must be justified by high quality.
The Paradox of Mr. Wildman’s “Restraint” and “Expansion
Mr. Wildman (formerly Wildman Ranch) took 13 years to open less than 100 stores, but in 2024-2025, they exploded, with over 1,600 stores opened, growing by more than 200%.
- Support: The cost of domestic equipment dropped from 500,000 to 50,000-60,000 yuan, making Gelato (Italian ice cream) scalable for a chain.
- Risk: Their average price of 28-38 yuan is twice that of DQ and Boba Ice Cream.
- Core Issue: When the label of “freshly made” can no longer justify such high prices, consumers ask, “What am I getting for my extra money?”
Luo Yonghao’s criticism asked this question on behalf of all hesitant consumers. If the product really tastes average, the high price is unjustified.
The Lesson from Zhong Xuegao: Zhong Xuegao’s failure wasn’t due to a lack of sales but because of inflated prices, ineffective marketing, and a weak model.
- They sold 66-yuan “Ecuadorian Pink Diamonds” ice cream, but consumers found no significant difference in taste.
- They invested heavily in marketing rather than optimizing the supply chain.
- When the economy changed and consumers stopped paying for “stories,” Zhong Xuegao’s bubble burst.
Insight: For emerging brands like Mr. Wildman, product quality is the only defense. Luo Yonghao’s criticism highlights the fragility of a brand’s value proposition. The faster you expand, the more vulnerable you become if the product doesn’t live up to the price.
---
3. The Evolution of Public Relations Thinking: From “Controlling Information” to “Responding to Concerns”
The most profound insight from this article is that Luo Yonghao has forced the public relations industry to shift from “putting out fires after the fact” to “preventing problems before they happen” and to redefine the way they engage with the public.
The Failure of Old Public Relations: Many brands (like Xibei and Hua & Hua) tried to control the information flow and define what “prepared meals” were, using technical terms to override consumer intuition.
- Hua Shan called Xibei the “ceiling of the catering industry,” trying to use authority to suppress doubts.
- Result: Luo Yonghao’s simple statement, “By normal human standards, this is prepared food,” shattered this facade.
- Reason: In an era of information overload, consumers no longer trust brands’ self-explanations. When brands use technical terms to dismiss common sense, it fails.
The Success of New Public Relations: Luo Yonghao’s effectiveness comes from standing with the consumer’s common sense.
- He doesn’t talk big; he just says, “I think it’s bad,” “I think it’s expensive.”
- This represents the voice of millions of ordinary consumers.
- Mr. Wildman’s silence is a sophisticated form of response: They didn’t try to educate Luo Yonghao about Gelato or control public opinion; instead, they recorded and provided feedback, signaling, “We hear you; we’re improving, but we won’t argue.”
The Case of Luckin Coffee: Luckin invited Luo Yonghao to promote their “super-large” drinks, reminiscent of their famous “medium” cup campaign.
- This wasn’t a crisis response but an active embrace of the “stress test.”
- Luckin realized it’s better to use Luo Yonghao’s influence to turn the controversy into traffic, expecting a 2 billion yuan in additional profits.
Insight: Future public relations will focus on “listening, improving, and being transparent.” Brands should realize that consumers are not enemies but partners. Luo Yonghao’s criticism provides valuable insights from the audience.
---
4. The Double-Edged Sword of the Founder’s Personal IP: Personal Emotions vs. Brand Interests
Finally, let’s discuss the issue of the founder’s personal IP.
Jia Guolong’s experience serves as a warning to all entrepreneurs:
- When the founder gets involved, it often escalates the crisis.
- Xibei’s case: Jia Guolong’s emotional response only made the company’s problems (huge losses, store closures) more noticeable, lowering public goodwill.
- Zhong Xuegao’s case: Lin Sheng’s argument only backfired.
- Jia Guolong later reflected, “I won’t build a personal IP in the future; I’ll focus on the business.”
- This means the founder can represent the brand, but personal emotions should not override brand interests.
- When public opinion hits, acting like a victim or fighter only makes the situation worse and loses public sympathy.
Luo Yonghao’s Role: He is both an examiner and a mirror, forcing brands to mature.
- He makes brands question their products, public relations, and the professionalism of their founders.
Conclusion: In an era of transparency, “sincerity” is the best public relations strategy. Brands don’t need to be perfect, but they need to be genuine. Luo Yonghao’s criticism, though harsh, reveals brands’ shortcomings and the direction for industry improvement.
---
Summary for Everyone:
1. For Consumers: Don’t be afraid of negative reviews; they can help you avoid mistakes.
2. For Entrepreneurs/Brands:
- Product Quality is Key: Don’t rely on marketing and stories to sustain high prices; quality is essential.
- Be Sincere in Public Relations: Don’t try to control public opinion; listen to it. Silence can be more powerful than defense.
- Be Restrained as a Founder: Don’t let personal emotions affect crisis management; stay professional and calm.
3. For the Industry: Luo Yonghao is a catalyst for change, raising the bar for public relations and pushing brands towards a user-centric approach.
In one sentence: The sharper Luo Yonghao’s criticism, the more brands learn. Because only brands that can withstand public scrutiny have a chance for the future.