What is the price war between electricity dealers good or bad?

Source: Internet
Author: User
Keywords Electrical business

After a round of electric dealer price war baptism, people on the price war attitude seems to have a point, some people are still happy to look forward to the next electricity price war, and some people are quite disgusted with the mood curse the disappearance of the price war. Then the price of electricity business is good or bad? What has brought us, is pain, happiness or confusion?

Recalling the past: 8 15, double Xi., 6 18 Noisy

2012, August 14 Jingdong daiju East two micro Bo launched the fuse, and then including Suning, Gome and many other senior executives to participate in micro-blog response Liu, then with when, Xun and other enterprises "chaos into", the incident evolved into the entire domestic electric industry melee. September 2012, the National Development and Reform Commission found that the price war fraud of electricity dealers, need severe punishment. Beijing east after the apology.

Double 11, commonly known as Singles Day, is a single person to their own kind of self-deprecating, in Ma Yun and the cat's push, the unpopular festival became the most important position of the price war. 2012 Taobao only in 8 hours than last year Taobao "double 11" transaction records, according to the relevant information, November 11, the whole day, the cat's turnover amounted to 13.2 billion yuan.

At the beginning of June this year, the Battle of 6 18 prices was all over the world. June 18 This year is the Beijing-East ten-year shop Celebration Day, all the electric dealers in order to sniper the rapid development of Jingdong Mall, coincide in June launched a promotional campaign. Jingdong Mall for the store celebrates June 18, Taobao's Day Cat mall sent 40 million yuan red envelopes, suning easy to buy a "0 yuan buy" banner, Bowser, Dangdang, a number of stores have joined the June promotion. Jingdong Mall Store celebrates the first Chinese netizens shopping festival.

To see the battlefield: Electric dealers, consumers, physical stores who are passionate

The author from the 366EC e-commerce Marketing department to understand that the electric business battlefield of the dark war has long been blamed on the spread of the internet speed and influence, a hint of trouble, then panic, easy to trigger a huge "scramble". The treasure is entangled with electric merchants, consumers and the heart of the physical store, and to see each price war, who is the most brilliant mood.

The electric merchant is relies on the internet to grow up a group of businessmen, they have a vague cognition to the electric quotient, namely low price is equal to flow, flow is equal to scale, scale equals success. So, every price war is the electric businessman bigger and stronger to do performance point, this is also they are happy to create a holiday low-cost promotional power source, so whether it is the Beijing-East micro-bo, or double to encourage "off the list", or shop celebration Day War, electric businessman is always a pair of combative state of readiness.

Consumers are always trying to buy the best products with the least amount of money they must have when they need it. Although every price war has been a lot of the pain of deception, but there are always consumers still have expectations and expectations. This is also why every time a price war, there are still many consumers will spend a lot of hours on it.

Electric dealers did not appear before, the entity shop is the dominant body of consumption, after the advent of electricity, the face of the market sales face squeezed, the entity shop is also gradually aware of the price of the electricity business response, and even some on line with the same price of the strategic route, such as Suning. But 366EC marketing director told the author: "Price war entity shop more advantages, consumers are because online consumption is cheaper to move online shopping, if the real store can use good price war to do some promotional promotions, I believe that the quality of the demand for consumers are still more willing to go to the physical store consumption. ”

Sigh Sangyan: After the Guild Wars, who most hurt?

As we all know, price reduction, low price sales is a double-edged sword, on the one hand, it reduces the profit margins of manufacturers and sellers, on the other hand, increased consumer sensitivity to the price, weakened its loyalty to the brand.

However, the electric dealer repeatedly sacrifices "The price" the banner, really is the last resort. The reason is that the network consumption model and the offline entity shop competition price, compete with rivals price, and consumers in the heart of the bottom line competition price, only constantly pull down the bottom line of consumption, and constantly create a price war gimmick, in order to attract customers, to ensure that the site traffic stability and growth, flow into the probability of order is large, Only to find ways to play price war, a price war electric platform to maintain the relationship between suppliers, but also to consider the tens of thousands of customers experience the consumer, and finally to prove their strength to the world to smile gliding, difficult ah.

For consumers, every price war is to expose their trust, can always get the result of the difference with the expectations, the long run when the consumption of the credibility of the day, consumers may never change their mind. such as Netizen "where" in micro-blog said that the electric business every promotion, is thunder, rain, in the consumer's eye, but also hollowed out the consumer purse.

Price war is a sword, with good to kill the enemy, bigger and stronger, with bad will hurt others also hurt themselves. Electricity dealers have been placed high hopes that this innovative model will completely subvert the traditional retail, but the test also appears to be extremely grim. The frequent price wars began to put the electricity dealers into more passivity, and if the price war depended solely on it, E-commerce would probably go into a dead-end street. Industry insiders pointed out that if the electricity business is too dependent on the price war, ultimately can not escape the fate of being eliminated.

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