A department store old man's introspection: mobile Internet and O2O to the department store industry in the past failed to redeem the role?

Business, Wu Xiaobo said, is essentially a game of survivors, and for entrepreneurs, failure is part of a career. Unfortunately, although the traditional department stores in the starting line, but many traditional retailers do not want to admit in the last round of competition failure. However, just like the emperor's new clothes, there will be "naïve" people to pierce the false, tell the truth.

In a well-known department store in Shenzhen, an old man, mobile internet and the arrival of O2O, can not play a role in the past failure to redeem. Even ignoring the attacks of the electric dealers, department stores have not grasped the nature of retailing for the past more than 10 years and learned to manage and operate commodities. Traditional retail not willing to accept the stubborn idea of trial and error, in the pursuit of "escape" in the race, by the internet groups left far behind.

Will the advent of mobile internet and O2O be a redeeming function of the past failures of the Department of Industry?

Give up the original advantage of relying on the line of human learning ability faster

Billion Power network: Department store people in fact very early began to contact the electricity quotient, but can not establish the real internet thinking. Compared with electric merchants, are people, really so difficult?

Deep Throat: Even if it takes a lot of time to eventually build up the electrical business channel, but the real ability to decide whether to survive with the new model, is you willing to give up on the original operating advantage of dependence.

In a comfortable area, your learning ability, business ability, business awareness, business model, will affect all traditional corporate vested interests. The whole channel time has come, how does our organization use the new channel? What is the change in the organization system? What should we do to make changes in our ability to do business? Again, such as O2O, the former owner of the physical shop, now requires every shopkeeper to operate line two shop. May give the shopkeeper the space and the channel is limited, for example to a micro-letter platform, but must develop an online operation consciousness and the ability of the line operation.

To talk about a fun thing, we do a mental test and form a team that allows you to sell a product in a social way within 24 hours. We found that each team will use the internet means, such as friends circle, brush face various methods to sell, but when this method has been exhausted, they will invariably think of the store expansion, the last moment sent a team to O2O this module. And then look at the store staff to do similar expansion, found that the offline people playing online, began to grope for a long time, but soon the line of the wave son play Shun, you can do.

The O2O barrier is especially large when the people on the line walk down the line. Because the traditional retail business logic is very complex, but the electric quotient logic is relatively simple. Offline people in the traditional field for nearly 30 years, as long as there is this awareness to change, cultivate online business awareness and online management ability is very fast. For two or five years, the children of the electric dealers do not understand the actual retail sales, they do not know the O2O, even the path and doorway are not clear, this is the hardest thing. So, before we want to O2O, we have been thinking about how to expand the line to the line, now, in turn, O2O is the line to the line path, this path is smoother, the learning cost is also the lowest.

A lot of traditional retail and micro-credit collaborations are actually helping micro-letters understand each industry. Tencent's people even understand the rules of the game online, but he does not understand each entity industry. Really able to combine these two businesses, is the online people to awaken, using the online business very deep understanding, you can again online means to combine business. In fact, in each industry, there is a special need for bridge-type talents, each business owner can do bridge-type change, the idea of such a bridge to implement, will help the industry. Traditional retail access to the Internet, mobile internet era, if there is no such bridge-type talent or enterprise to do pioneering, always find a suitable path and way.

Billion power network: O2O to the pure electric business enterprises do not have a direct help, but is to the line of these traditional enterprises some corner overtaking opportunities.

Deep Throat: Micro-letters on the line will be very light, they can control the world, can be dancing in the place, once to the line, walk more heavy.

The following people are willing to look up, the above people also get a chance to fall, I think it is a win-lose. With Alibaba is the same truth, he online a lot of large data, if there is no physical store to do the application scene, this data is always a can not cash the wealth, but with us a lot of interaction may be cashed, large data is valuable.

O2O can not make up for the essence of electric quotient short board is to enhance efficiency

Billion power network: Some people say that the essence of traditional retail is efficiency, O2O is only the means to enhance efficiency. Looking at five years, how to judge the success or failure of the department store to do electricity? To survive is to succeed, as long as can continue to survive, O2O is only auxiliary means, is added sub-item. Do you agree?

Deep Throat: I also think it is efficiency, the beginning of the concept of O2O just come out with this industry simple try, we will feel that this is a gimmick, everyone is empty ectoplasms, there is a sense of illusion and vanity. By the time they actually landed, they would have thought it was efficiency. I think in this transformation, who first completed all the business transformation, based on the new platform, technology, store Internet, I think this is very powerful.

We have a common problem, the idea of the earliest, but can not be guaranteed by action? How's the speed? The efficiency of service can not be improved, and it is impossible for customers to create greater value.

Billion Power network: micro-letter payments do not think they can subvert the industry, the ultimate value is reflected in efficiency. How to solve the problem by using micro-letter payments to stop consumers from queuing up for checkout is itself a matter of increasing efficiency, I think, from a retail perspective.

Deep Throat: When starting to do the moving end, all the design is not to see what is now popular, but follow another path, the offline process open all look, we have a number of pain points, what kind of pain is using the current mobile internet can be solved, all product design is around how to solve these pain points to design, This is closely related to the line business. If the product really can be molded, it must be based on the logic of solving problems and improving efficiency. It has a very good foundation at the beginning of its establishment, and can have the space to live.

Billion Power network: department stores in the PC era of the transformation of the electricity is not too successful, can see the news is usually the benefit of the decline, profit decline, close shop ... These are the pain points of department stores. Now, O2O and mobile bring new opportunities, can you turn back the passive past?

Deep Throat: One side is the impact of the electric dealer, while the new opportunity to move. I think there are two problems, B is not solve a problem. Even if I use B to solve a, I think the impact of the electronic business on the entity, in fact, should not be said to be the problem of the electricity quotient, not the entity, but the problem of consumption patterns. Even if I use mobile solution today, it is impossible to reverse the consumption habits of customers, and can only adapt to the habit of change.

Obviously, whether the Internet or the mobile Internet, I can not restrain the electric operator to the offline replacement process. Just put the big cake, the original pure line of people in operation, now put one of the pieces, the offline people to share. Therefore, the line under the electricity dealer's cake certainly still expands continuously.

In part, this cake is not created in the original sales model. I think this round of change is definitely not about defending the share of the original model, but about you in this new program, you can build new patterns of consumption, interact with customers, and then fight for those shares below the line. Originally two pieces of cake absolutely independent, I was sold out with my mode, you sell with your model, now with a new model can sell to my customers, in your module can also go to sell my cake.

Physical stores are impossible to close, the experience of the guarantee, authentic positive price guarantee, the channel itself this is valuable, will not perish. If the future to symbiosis, just these two paths are not the qualitative changes? It is impossible to try to protect the customer in the physical store by adding a little bit of mobile technology.

After the line online is definitely not such a completely fragmented two competition mode, it must be blending. Just like the game mentioned just now, the ability of the online people down and the ability of the people under the line, which is easier to cultivate? People who can see the bottom up can be trained and have the ability to learn quickly, and if each company is willing to spend a lot of effort, they can eventually turn these offline business capabilities into online business capabilities.

Billion Power network: Traditional corporate bosses will have a mentality, they do not want to lag behind the internet companies. For example Wanda, Wang from the richest man into the fourth richest, this gap prompted him to speed up the pace of the electric business. So a lot of people will think, from the outside to graft the Internet, faster than the time cost of their own cultivation, but, slowly, the traditional retail industry will find that the grafting model may not be appropriate.

Deep Throat: After the grafting person arrives, can only help you to build this channel.

Like we have a lot of people from outside, what we can do with us is to do the products and channels well. But who is ultimately going to use these products and channels? or the original ones.

Therefore, we will feel that the channels can be copied and mutual plagiarism, but ultimately who can really use it, really have the ability to operate, this is the core. Now, if the traditional people do not wash their brains, they will find that after three years of the monks who have been invited from outside, they cannot pry the big cake from you. Internet people to our company, think must be done overnight, he may experience two or three days later feel unbearable, this process is too long, can not wait, so it is impossible to go on. On the contrary, from this enterprise originally out of people, feel that this is a mission, this is a certain way to go, we must convince behind the big elephants to wake up and learn to dance.

No farewell to the second landlord model can not be close to the core of retail

Billion power network: In the past stage, it seems that the electric business has changed the traditional retail business, but if the comparison between China and foreign traditional retail development path, in fact, the difference is quite large, especially the department store, "two landlords" business model (commercial real estate model) has not developed to foreign retail industry so efficient. Assuming that the electrical business, the traditional retail is also like the current path to develop?

Deep Throat: A large number of foreign retail trade are mainly buying hands.

I think the electric dealer is speeding up this journey. I bet you, the first two years when the department store industry at its peak, the department store has a strong voice on the brand, assuming that all the department stores turn to become self-employed, such as the purchase of brand-bought goods, perhaps now the electrical business impact on the department is not so big. Because the department store has the unique commodity, is the electric business company forever cannot replace, moreover has the price right of speech.

Now more and more brands are under the control of large suppliers, and its voice is very strong, in fact, this time the department store woke up too late. First, the department store did not control the goods, followed by the failure to retain customers, will find themselves into a dilemma.

I really think that the electrical business has exacerbated this process of awakening. If the department stores always do pool, never control the merchandise, it will never be close to the core of retail. The core of the retail business is to operate goods, why the supermarket by the electric shock is very small, because there is a strong self-control, very clear how to make real-time changes in accordance with the market, so to be able to deal with the electricity business, can also do online business. For example, we develop electricity business, the fastest development is the part of the self-supermarkets. On the contrary, the "second landlord" model of the department store is difficult to develop, and we have been doing it this year.

Billion power network: You are in transition to self-owned?

Deep Throat: That's for sure, we have to control the merchandise, at least know what to sell.

Billion power network: This process is very long.

Deep Throat: Very long, but we can not fully control, if like Yintai, there are 40% control of goods, already have a strong voice, this need to cultivate the retail industry. Whether online or offline, the ability to operate a commodity is the core competency, transition from the landlord to the operating commodity.

The Japanese department stores were similarly hit by the electricity dealers ten years ago, and now the pattern is basically stabilized we have done a lot of communication found that Japanese department stores in the market segments do a particularly good job, each department store their own commodity ability is very strong, they buy from the hand to the offline display, then to marketing, the entire line is very complete, like Ito, do a particularly good job. Itochu is not doing well, but they do well in supermarkets, and they continue to operate and control the merchandise in Japanese retailers.

Billion power network: Very senior retail people said, even if the Beijing-east, Alibaba listed, the current mode of electric business is still a very extensive platform model, and the past twenty or thirty years ago the initial stage of retail is similar. It is said that the department store in the refinement of management, commodity control competition, who can first grab a commanding heights, may have a turnaround.

Deep Throat: you're right.

Billion power network: Now the cat in the big name to clear the barriers, in the introduction of more luxury brands, which means that the cat first of these rights to get the right?

Deep Throat: Relatively high-end point of the consumer is recognized offline purchase path, if the cat really do this thing, may be a shock. But I think it's still the same, the cat can talk about all the brands to open the flagship store, Jingdong can also talk about, all department stores also have cooperation, he future into which platform is entered, the platform is still ultimately not control merchandise, just offline two landlord mode jumped to the line of two landlords, may survive three years five years, But it will also be a new mode of elimination, in the final analysis still want to operate goods.

Billion Power network: department stores first to have the ability, coupled with the electrical business, its competitiveness is reflected, even do not do online competitiveness has been.

Deep Throat: Yes. Return to the essence of the ability to operate goods, to provide customers with the most needed goods ability, in fact, is so simple, the rest are added, are channels, are forms, are appearances.

We are also doing a lot of attempts, specializing in brand agents, Brand buyout. Maybe the model is not the same as the Yintai, Yintai network began to try to buy the system online, we may try to buy the system online, and our own independent to operate many categories, many brands.

Billion power network: Silver Thai Network has been transferred to the line shop, landing to Chaoyang City, the model of self-procurement to do the line under the category Killer shop, such as Silk Orchid, settled into a lot of department stores or shopping malls.

Deep Throat: The collection Hall of Agent brand will rise gradually. Yintai's Shen boss Strategic vision and executive Power did not say, do silver Thai network, can set up a division to do alone, to give enough support, at the beginning does not require a certain with offline interaction, the requirement of unconditional support under the line, but do not require the line must bear the burden of the line under the line to save. This is the question of a and B just now. Many traditional retail fall, see move, as a lifeline. On the contrary, Yintai has been able to get enough space in these years to save the offline partners when it is strong enough.

I reckon that in this round of transformation, many of the department stores ' Electric Chambers died because they started carrying a big iron ball and pressed their wings, too early to carry the burden of energy.

Don't want to try it wrong only nine die without a life

Billion power network: Silver Thai network with the previous two years of the electricity quotient dividend, for those who have missed a good opportunity of the department store?

Deep Throat: There is no earlier time to learn the proprietary goods is the key. Like Jingdong to do self, standardized products self, I think the difficulty is not so big. But like Yintai such as the Department of Self-made electricity is very difficult, especially for all commodities, this business ability and pressure is far more difficult than others, this attempt is really forward-looking. And it caught the best time, you are now training, may have been struggling, has not got up has been killed, so the department store is very difficult, if not very hard, basic difficult, even if learning, follow his steps are difficult.

Billion power network: This is "escape".

Deep Throat: Yes, if there's a future world, they've got some tickets. And this ticket plus the Alibaba added a seal.

Billion power network: You are the traditional retail of the elderly?

Deep Throat: I am in the traditional retail, maybe I did not plunge so deep, at the marketing level for seven or eight years.

Billion power network: Do you think the traditional retail to become "escape" in the "health" of that one, the biggest barrier is what?

Deep Throat: You know, the Internet's trial and error is very normal, I invested 10, as long as there is a success, I proved to be successful. But offline is not the view, not allow trial and error, must be on the right, because the traditional business is not the case, one, pull, there is no uncertainty, there is no control, they are afraid of runaway, but the internet is often a runaway state.

Billion power network: Yes, this trend and more and more obvious.

Deep Throat: The traditional retail in the process of transition to the Internet, the need to face is a very realistic problem, big guys can accept trial and error, 10 times, may have nine times is to fail, but does not mean that you fail in the Internet, as long as a decision to do the right, there is a product done right, you may come out will be very different.

Billion power network: Wu Xiaobo said that business in essence, is a game about survivors; for entrepreneurs, failure is part of a career. This is a regrettable but not shameful thing, and failure is often accompanied by great innovation and adventure. But in fact, the bigger the business, the harder it is to lose, which is a century lesson.