Su Ning easy to buy Li Bin: Electric business in 2013 will walk into the brand era

Li Bin, Executive vice president of Suning and Tesco

News and science and technology November 23-24th, billion power network together with the Chengdu Municipal Bureau of Commerce in Chengdu, the seventh session of China online retail conference, the theme of this conference is "turning", that is, the transition from the entity to the electric trader, the transition from the pure to the pan-electric trader, the madness to the rational transition, the hot transition from the channel to the brand, and the prospect of the development of the electric business. News and science and technology to this meeting to report the whole story.

Li Bin, Executive vice president of Suning and Tesco, said in a speech that the electric trader will enter the brand era in 2013 without the added value of the brand to be sustainable.

The following is a transcript of Li Bin's speech:

Distinguished leaders, distinguished guests, I am su ning easy to buy Li Bin, today is very happy to sum up 2012 here, looking forward to the 2013 China Electric Business Development, 2012 media talk is the turning point of China's electricity business, said the transition of the entity to the electricity trader, the turn of the pure electricity merchant to the Pan electric power, the turn of Channel heat to the brand hot transition, and so on, in fact, the electrical business industry every year in the transition, but its content is constantly changing, this time last year, we made it clear that the electric business industry will change, 2013 will have a new twist and new direction? Before I share my views with you, I would like to briefly introduce the present situation of Suning's Tesco.

Suning is the representative of the physical retail to the electric business transition, last year we were the industry as a dark horse, 2012 we have stabilized the first camp of the electric business industry, perhaps some people said that from the development of Suning easy to buy the scale of development or speed, we are the industry's leading, but we know that Su Ning Yi is a child, Often have users to ask us such a problem, reminding us of the need to constantly change, we have intensive retail industry for so many years, with tens of thousands of global retail partners, we have a solid background logistics service system, we have loyal customers, we have a retail business model understanding, We have decades years of retail experience, are our valuable wealth.

Next, I would like to combine the development of suning easy to purchase, the 2013 will come to some of the changes to talk about my views for your reference.

First of all, the first point of view is that the entity and the virtual body is the development of integration, now we often hear the argument that the electricity business is the new Economy (310358, fund bar) model, and the real business is the old economic model, the new economic model is replacing the old economic model, the old and new Others have supported this view with a double 11 sales. However, I think that although there are differences in the advantages of the real business, such as the richness of the display of goods, the timeliness of shopping and convenience, but the advantages do not think that overkill, not to the industry to form a one-sided misleading. Real business is the core of urban economic development, which integrates shopping, leisure, entertainment, experience in one, it is impossible to be replaced, at present, the majority of the electrical business to meet the demand for low-cost consumers, although the online shopping crowd in the expanding trend is very obvious, but we also have to note that the consumer's habits can not be a single, The world to see the majority of consumer demand or physical store satisfaction, both channels have their own attention to the user, the same consumer at different points of time shopping needs will have different changes, they can not completely replace the relationship.

In recent years, the trend of the development of the electric business has decided that the real business must embrace the Internet, this is the internet era of enterprise transformation and upgrading of an inevitable choice, otherwise their development space will be bound to be a certain limit, as a retail enterprise, is to do where customers appear, should appear in where, In the face of this type of consumer in the choice of diversification of shopping channels, the traditional business best choice is to embrace and adapt.

Recently, we talk about the transition from a pure electric to a pan-electric trader is also a hot topic this year, with the rise of micro-blogging, social networking, mobile interconnection, is setting off the next golden period of domestic internet industry, E-commerce is also with SNS, lbs and other new media forms to form a diversified integration, We've actually entered a ubiquitous e-business era, but we still have to be soberly aware that the essence of the electric business is retail, the retail enterprises if the lack of physical logistics service platform relies on, is not long-term sustainable, benign development, simply provide technology and flow support of the electrical business model, is not to establish consumer loyalty, so the line under the integration of virtual reality combined with the business model must have greater development space to meet the needs of more consumers, this is my first point of view.

The second point is that, in 2013, the electric trader will go into the brand era, without the added value of the brand can not be sustained. Before we talk about this, let's briefly analyze why a lot of real business and traditional brands, although attaches great importance to the electricity quotient, but has not been able to achieve rapid development in the field of electrical business, I think mainly because some of the domestic pure electric business enterprises to the so-called Internet gene concept in operation, to simple low-cost market, Even if the cost of low-cost dumping, pure pursuit of scale or profitability, so that the electricity business into a synonym for burning money and low prices, while playing a certain well-known price war, but can not change the reputation of the enterprise, no brand of electric business model, is not sustainable, The brand of electric dealer mainly depends on the service ability of upstream manufacturing enterprises and downstream consumers, is the relationship between the supply chain, information development system control capacity, is the logistics and services to enhance the capacity of those who do not have the capacity of the electricity dealers will fall into the same quality of the mire, is always unable to extricate themselves. Therefore, I think that the 2013 electric business industry must cultivate their differentiated service capabilities, to provide consumers with different value brand perception, only to feel the sustained development, the model of burning money to scale is gone forever.

The third point of view is that the optimal configuration of the electric business model is a shop for thousands of businessmen rather than thousand shops, business is the oldest industry in history, Suning is in this industry, business is based on a link between goods and users, it can never be replaced, business model is the ultimate better cost, better service experience, To have more efficient supply chain management capabilities, more convenient way of dealing, lower cost ability, better service ability, in the business model evolution process due to the different Enterprise Foundation, social external environment limit, will appear various branches, at present China's electric business model appeared in the pure platform and autonomous type, There are differences and convergence points, but is not outside the closed or open, their own or social division of labor to define, pure platform is to flow, technology and service-oriented, not involved in commodity research, procurement, operations, logistics and services, while the autonomous business more to provide a full flow of the overall service, In fact, these two electric business models and the early days of the real business development process of the big market and professional chain has a certain similarity, the big market is thousands of shops, of course, professional chain is more trustworthy, there are channels responsible for the operation of products and services, more than tens of thousands of businesses themselves to save resources, efficiency is higher, Truly embodies the professional division of the truth, this is also the main reason for the final demise of the big market, in this field, there is no our original big market and professional chain of the field so absolute, these two types of industry is not absolutely good or bad, pure platform is more suitable for conventional commodity management, autonomous type of business for the long-term standardization of products, Therefore, according to market demand, moderate integration is more suitable for our development.

Suning easy to buy in the service of good consumers and suppliers at the same time, we also build open our platform, our high-quality resources, excellent experience to share with suppliers.

Just now Mr. Guoqing said some of his own views, and I am here to say something about correcting, 815 electric business War, Lee always use a word is a false fall, in fact, I have been very disagree with this point of view, I think this is the direction of the media, the direction of public opinion is a certain relationship, I can publish a data, During the No. 8.15 period, suning easy to buy in the overall profit margin, electrical and 3C class to let the extent of 15%, if you are operating electrical and 3C This field, we will know its gross margin is how much, the so-called industry understanding of the false fall, may he did not on suning easy to buy experience, If there has been the consumer of Suning easy to buy, we know that the intermittent price is indeed relatively low.

Someone asked me 11 people a day quantity is your quantity, how do you feel? I say thanks to the peers, is that they created our growth space and catch up with the goal, today I say this is not a cliché, but we are the real idea, in the late 90, Suning first contact with E-commerce, although we had a network to sell goods to the customer's home idea, But at that time no matter is the Internet popularity degree, the Netizen contacts or the shopping habit, the logistics distribution and so on condition are immature, therefore we finally chose the Electrical appliance entity chain development, today we have stabilized this profession first position. With the rapid popularization of the Internet and peer enterprises in this field for many years of hard work, the current China's online shopping market is not yet fully mature, and not very normative, but with high-speed development of the state of space. This is the implementation of the scientific transformation of Su Ning, to create the combination of the business model of the actual situation laid the foundation, so we should thank the industry.

The second question is our internal supervisor asked me, at that time, a lot of departments for the 11 of the two basically continuous work three days and three nights, he asked me, we are so hard for what? To sprint for the year's goal? What are our values in the future? In fact, I understand his idea very much, let a group of young people devote themselves to work, not only to protect their physical needs, more importantly, I think we want to let them have a sense of responsibility and mission, or faith. In fact, the outside world is also concerned about this problem. What is the purpose of Suning as a electric dealer? Is this about building a real-business firewall? or in order to seize this emerging market to further expand and strengthen? For E-commerce, we always believe that this is just a commercial retail channel reengineering, is the original offline retail mode of supplement, is the internet age consumer shopping habits of a demand. And Suning as a customer service in the process of self-realization to realize the value of the enterprise, where customers? We're going to be where, what customers want, what customers like, what we offer. So we define suning as the eternal value of the channel, is to allow manufacturers to more accurately develop consumer demand products, so that intermediate circulation of operating costs to a minimum, so that consumers can be more convenient, faster, more favorable prices to obtain the products he needs, while access to a secure such a service, I think the above channel value we all understand and agree, but the specific implementation process is very different, ultimately whether the same, to be verified.

2012 is about to pass, the 2013 market pattern has become more clear, suning Tesco will be in accordance with our established strategic positioning and target path, we have to change the strain, quo, adhere to technological innovation, operating the founding of the same time, we service providers, customer service-oriented, I believe that suning Tesco will certainly bring this new feeling to everyone, at the same time we also hope for the Chinese electric Industry brand development, value route to make their due contributions, for a large number of physical commerce and the future transformation of the electrical business to provide more useful reference, thank you!