O2O is the mode of marketing not business?

Recently to help a family called "Wood Park" in the furniture to sell more than 20,000 yuan in a week of bed, chairs and sofas, the customer unit price nearly 3000 yuan, I began to doubt whether O2O can become a business model! Especially for the new brand, this is called "Wood Park" furniture, no physical store, but relying on the top three of the national solid wood furniture Enterprise "China Day" processing production, China Day group itself online has more than 900 entity stores. This small case reminds me in 2003-2004 years in Taobao shop selling mobile phone experience, a year more than 2 million of sales performance one did not pass Alipay, two I can not open the entity shop, the customer unit price of more than 1000 yuan.

10 years ago and 10 years later, the difference is the same category is the sale of the way. Questioned 10 years ago, 10 years later, is still questioned, 10 years ago can not do any response or need not respond to only meet the needs of online shoppers in the price and service demand; 10 years later, the response is a bit tired, only through practice to verify O2O can become a business model? 20,000 yuan is not enough to support this assertion, perhaps only to 20 million or even 200 million will be persuasive, but anyway, this is a beginning, an incredible beginning.

Now let's see what it takes to become a O2O business model.

First is the cable on the mall (or on the platform on the shop) and offline entity store (can be independent also can open in commercial real estate), and online shopping malls and physical stores can normally sell goods or services. On this basis, two things need to be done:

One is the same price, the other is inventory synchronization.

First, same price: online on this o price system, pricing and price adjustment has been fully electronic, the result of this electronic adjustment is very easy, including the price of the approval authority and approval of the whole process of electronic, the entire price setting and price adjustment are transparent and controllable traceability. This aspect is ahead of the line that O's advanced for a century. Under the line of the price adjustment system limited by the "price tag" and the corresponding ERP system, on the one hand is unable to do real-time high-volume price adjustment, on the one hand can not be reflected in the system quickly, but also can not visualize the embodiment, only through SKU code single identification. So if you want to achieve the line below (020) of the same price, the line must be replaced by "electronic price tag", at the same time to replace or docking the electrical business ERP system, to achieve the synchronization of prices and changes. The cost of electronic price tag if according to 0.2 yuan calculation, each shop 100,000 SKU, a total of 1000 stores, that cost is 0.2*10 million ~1000=2000 million. This is just the price tag fixed cost (of course this cost is likely to be reduced), other price tag replacement costs and maintenance costs are not counted. That's why electronic price tags are harder to push forward in the world.

If this is a retailer, then the same price strategy needs to cooperate with the brand, how to butt the brand under the line of ERP system, online online shop backstage, and set up a good approval permission becomes very complex things. If it is also related to the purchase of goods (the retailer Pricing authority) and merchants to open shop goods (the retailer has no pricing authority), as well as retailers low pricing authority, the issue of the same price becomes extraordinarily complex.

Second, inventory synchronization, this aspect is involved in the line of the entity shop, retailer warehouse, Brand warehouse three entities, followed by the brand of multi-channel inventory management, these channels include commercial real estate retailer entity stores, independent brand monopoly entity stores, Joined the brand of the entity store (including independent and commercial real estate retailers open shop); There are online retailers platform, Third-party open shop platform, Flash purchase and other supply platforms, which constitute a multidimensional inventory matrix, this inventory matrix will be distributed in a number of systems for inventory management, and retailers, network Third-party platforms, Brand operators in the management of the inventory system can not be unified, in such cases, to achieve O2O inventory synchronization, it seems that "the maintenance of world peace" is almost as difficult.

The same price and inventory synchronization are two aspects of whether a business model can be set up with the most basic things, if these two things do not go through systems, processes and systems in the way of retailers, network platforms, brands and consumers, it is difficult for consumers to enter this O2O closed-loop business model, Then there will still be online and offline sales, this is the network of retailers on the line of crazy marketing innovation and linkage-type price war driven by the inevitable consumption transfer. The development of this trend has left the physical stores overwhelmed by the cost of operating, and will begin to close the store before the same price and inventory are synchronized, because the experience in many categories is not a necessary link.

Second, the O2O business model is the return of goods, physical stores and online shopping malls to implement the same policy and the same as the convenience and quick, for the entity shop, whether the nearest principle to the consumer home to take goods returned to the goods to become a very critical part, This part relates to the entity shop Clerk's function change as well as the corresponding cost rise, the entity shop clerk who takes the sales as the KPI examination becomes the Post-sale service personnel whether from the incentive mechanism or the function adjustment, all will face the huge pressure and the cost investment. And as a pure electrical business, courier personnel's responsibility is very clear and single, in addition to delivery can also door-to-door pick-up, as for the goods to be sent or returned goods, processes and incentive mechanisms can be met. Either way, it's good for a pure electric company. Then in the return link, the line O has occupied a clear advantage, especially for the construction of the logistics of large-scale pure electric business platform. On the one hand, the consumer has been purchased, on the other hand, is also in the service of the potential demand for express customers (if the door-to-door return goods to be satisfied with the delivery of their own or the company has to send a courier will certainly be the preferred courier service).

and offline entity shop in this function adjustment can not be achieved overnight, in the absence of implementation still exists as a result of the rapid occupation of the share of the real store sales decline, the cost of further increase after the closing May.

Once these two core reasons for the entity shop can not be integrated into the online system, as a service provider, then O2O closed loop can not be formed, closed loop can not form a business model is difficult to set up.

O2O business model can not be established in the case, O2O as a marketing way is a good choice, but this is only a short period of time to strive for physical store evolution of the above, after all, "the World martial arts, only fast not broken!" ", the electrical quotient and the entity spell" the speed "already lets the line to be behind!