Online dealers have been testing water physical stores, to build their own O2O mode

If you want to count the number of business stars in the last few years, the electricity dealers will not be missed. At present, almost the whole industry is talking about the transformation of traditional enterprises to the electricity business, the future can not exist purely online or offline companies have gradually become a consensus, online dealers have also tried to water physical stores, to build their own O2O mode.

If you want to count the number of business stars in the last few years, the electricity dealers will not be missed. At present, almost the whole industry is talking about the transformation of traditional enterprises to the power of the topic, but it is noteworthy that the online dealers have started to test the water entity shop, to build their own O2O mode.

Now, there is no way the future of pure online or offline companies has gradually become a consensus. The shift from traditional enterprise to Internet is based on the change of consumer's consumption habit, on the other hand, the reason of the online Electronic business entity is mainly focused on the following 4 points: 1, the need of the brand landing; 2, the requirement of the logistics distribution network, 3, the realization of the offline experience, and the consideration of the development of the multi-mode operation. However, for whatever reason, online dealers face the choice of price strategy and business model in the manifestation.

Price strategy: Cut into the market with low price

It is a well-known fact that the electric trader is entering the market by price. A network cable, connecting the world, so that the electricity business enterprises no longer need a large number of offline channel laying, but also eliminates the distributor and sales terminals and other channels of profit loss, so that the consumer market for electric enterprises than traditional enterprises have a greater space for concessions. This is a huge advantage in the start-up phase of the electric business enterprise, however, once to the brand landing, online experience, such as the gateway, the price has become the biggest constraint factor. At present, the price strategy of the entity has three kinds: line on the same price, line under different sections, online only to do the display experience.

Middle and high-end men's Massamasso is the domestic early start to try to manifest the operation of the electrical goods card. In 2010, Massamasso opened the first and only online experience shop at the World Trade Center in Beijing's central business Circle, and two years later, the experience shop was shuttered. Massamasso Experience Shop test water, line online price strategy is the culprit. In order to establish the high-end image of the brand, the site is located in the top of the Massamasso experience shop, customer unit price 300~500 yuan less than the same business district merchants 1/6, and millions of of the operating cost is not affordable. Medium and high-end electrical goods brand entity needs to match its own brand positioning, store location and operation team requirements are higher, and the high operating cost of the lower profit space seriously restricted the number of stores under the line of expansion, the scope of the radiation population is limited, can not meet the offline brand experience and display the original intention. Therefore, the line on the same price pricing strategy, at least in the high-end electrical commodity licensing is not feasible. Of course, the category of the electric business brand, if you can have a more unique selling point or brand value, do not have the possibility of parity, online shop and offline entity shop, in the same time to maintain a unified price, but also still have a good profit margins, furniture customization industry Shang Curtilage is one example.

The same as the clothing category of electric goods brand Han, followed by Massamasso, in July 2012 opened the first offline store. Korean Clothing house store and shop operation separation, store independent operation, take the price strategy is, line online under different sections, to avoid price conflicts. Now it seems that the Korean clothing House store survival situation is better. Although there is no detailed information, but on the Baidu map of the search "Korean clothing homes" keyword after more than 50 site feedback, all concentrated in the coastal and central capital cities. Korean Clothing House of the entity price strategy looks beautiful, but basically already with the traditional clothing industry brand stores no different. Under the line store is completely reduced to the South Korean clothing the line expands the new channel. and rely on online brand support line store sales, network brands under the influence of limited support, restricting the national layout of stores. If through a large number of offline advertising, open up the market, line under the two-pronged approach to establish brand image, in the network marketing costs more and more close to the traditional channels now, the pressure on the capital is not in the market share of the industry is still small role of the electric business enterprises can withstand.

In the Electronic business entity to try more boldly, is the other side of the ocean clothing brand bonobos. The high-end men's brand, at first resolutely do not touch the offline store business. But in the Seattle of the online experience shop really pulled up the customer unit price, and the store has a slight surplus, the experience shop from the beginning to expand to dozens of. However, Bonobos's offline entity stores do not sell goods and offer only experience services. It has been reported that bonobos "shop area is small, avoid the bustling business district, the number of shop assistants, only to accept the appointment, 45 minutes each time; In this mode, the line store is only the extension of the online shop experience, the final transaction is still completed through the line, forming a o2o closed loop, completely eliminate the line under the price conflict. However, the end of the offline experience, but not immediately after the payment of the strange business model merchandise, the customer experience is very bad. And bonobos does not expect the experience shop to become an important sales channel.

The dilemma of business model

Price strategy is the problem of the entity of the electronic business, and the choice of business model is in fact the same as the dilemma of traditional enterprises transferring to the Internet. Proprietary, or through existing traditional enterprise channels?

Self-employed, the electric business enterprise will encounter with the Massamasso in the manifestation attempt to encounter the same problem: 1, the price strategy is in a dilemma; 2, the line store shop rent, personnel costs and other operating costs is to light assets to win the power of a small burden; 3, the business logic of offline operation is also different from the electric business, Need to form a new management team, within the enterprise, at the same time running two sets of different management and marketing system. This is a great challenge to the management and operation ability of electric business enterprises.

And in the traditional channels of borrowing, the best channel is already formed a network of chain convenience stores. But this piece of seemingly fine fat, want to eat to mouth, need to the convenience store's information system to carry on large-scale transformation with the electric business enterprise to carry on docking, simultaneously also must integrate the chain convenience store enterprise and the electric Business Enterprise's supply chain, does not have the corresponding strength, is unlikely to reach the cooperation. So the small electric business enterprise basically hopeless. And the real big moves in this area are Jingdong, March this year, the Beijing-east announced with including fast passenger, good neighbors, friends, every night, people, the United States and so on more than 10 chain convenience store brand to form a partner, the integration of offline resources, the intention of its transformation into the Jing-dong offline distribution outlets and stores. Jing Dong so the focus of the layout is still logistics distribution, the biggest bright spot is expected to form the realization of 1-hour delivery, 15-minute speed and timing up the speed of logistics. But the convenience store is the city product, in order to satisfy the city dense population's irregular occasional shopping demand, only the larger metropolitan city coverage rate is relatively high, the small and medium-sized cities almost extinct. And Big city is the most developed area of electric business logistics construction, large electric business enterprise logistics can achieve the day up. For YOUYANJIANGCU tea and other daily consumption, 15 minutes delivery of the speed of logistics, market demand is not big. Life is more likely to be, even if cooking found home without oil salt, immediately downstairs in the floor of the convenience store to buy back, the time spent will not exceed 10 minutes, and to avoid waiting for anxiety, time is also more controllable.

In addition, in the capital and prefecture-level cities and even counties and rural areas of the broader market, how to build a store network? depend on the grocery store? They are not like the big city chain convenience store, has a relatively perfect information management system, light solution shop Management system popularization and docking with the electric business system, it needs a large number of offline resources, funds and technical support, Does the electric dealer really play?

In this regard, the long-term cultivation line under the traditional enterprises have a natural advantage. Haier's Japan and Japan Shun as an example, according to public news reports, Japan and Japan logistics in the country has 9 shipping base, 90 logistics distribution centers, at the same time has established more than 7,600 county-level stores, about 26,000 township stores, 190,000 village-level liaison stations, and in the country More than 2,800 counties set up a logistics distribution station and more than 17,000 service providers outlets. Three or four line city and the astonishing permeability of villages and towns, let such as Haier such channels sink the traditional enterprises, online network under the distribution of electrical quotient can not match the advantages. The construction of the offline channel, not overnight, as a traditional enterprise strengths, and will not be able to compromise on the later electric business. In fact, I think in the three or four-tier cities and villages and towns market, electric business enterprises can only rely on the construction of a third-party platform to improve the efficiency of logistics and distribution and brand visibility.

Line online under the fusion of the O2O mode has become more and more mainstream, although the Electronic business entity is not easy, but ultimately, regardless of the form to be achieved, will be for the development of the electric business enterprise to earn the opportunity.