Why did Wang win the Battle of the Thousand?

Guide: A lot of friends, wandering Map, network, Rice No net, domestic network, the United States ... Behind these sites are a name: Wang. Ten years of entrepreneurship, the current United States network to become the king of O2O. This article tells us how the network won the Shiji.

Mason in Chicago in November 2008, the name of the site was a combination of "group" and "coupon" to provide users with ultra-low discounts in the form of a daily offer (one deal a day).

In October 2009, the company financed 30 million of billions of dollars and became the star of tomorrow in a cluster of tech companies in Silicon Valley, and Mason began to think about internationalization, and he faced a proliferation of shanzhai companies in Europe, in Canada and in China.

On the other side of the Pacific, the morning of hope is not a long time for rice to see, and this allows Wang to start thinking about what the team should do next. At this time, Wang has been immersed in the internet for many years, quantitative changes caused by qualitative change, his theoretical level by leaps and bounds. On the small whiteboard in huaqing garden, he drew a four-and-three-transverse picture of his companions:

The mobile Internet was still in its infancy and could not be seen particularly clearly. Wang Groupon into social and business intersections. From the later development of the United States, the network is more suitable for the network of mobile internet and business intersection, this is something.

On this basis, he continued to explain the profit model of group buying: the development model of Internet marketing, the first stage is the portal site, the profit model is to display ads, the target customers are able to put expensive advertising large enterprises. The second stage is the search engine, services to small and medium enterprises, as long as you have tens of thousands of dollars can buy keywords, advertising, a sudden drop in the threshold of a lot of, precision is also high a lot. The third stage is to buy, through the transaction to the consumer more accurate promotion, service businesses are local small enterprises. This constitutes the pyramid, the tower is the business of group buying services, the spire is a portal service business, the middle is the search engine services business.

The profit model of group buying is to reduce the advertising investment, this part let out, so that consumers accounted for a part of the profit, group buying site can also share a part of the profits.

Wang to group buying profit Model view is the foundation of the Operation theory of the United States, in the thousands of melee in this guarantee the United States network always walk in a right way, no offense to the direction of the blunder.

Stay to stick to the meal no net team feel Wang the whole model think very clearly, think this thing is reliable, began to do. Website to do very quickly, February 2010 has been ready, considering the spring Festival may be due to the user home caused by the heat drop, until March 4 until the official online.

Zoo, the former marketing director of the group, was the first employee in Groupon's China area and went to the American network in early 2011. He was at that time with a circle of people talked, think or Wang to buy the essence of understanding the most profound.

American Group Network of Teachers, buy the originator of Groupon believe that the first business, consumers second, in the business to obtain value, gross margin as high as 40%. The United States Group Network is that consumers first, merchants second, in the consumer to obtain value, low margin, must rely on a large number of consumers to maintain this model. Gaumauli's Groupon can hire McKinsey, the investment bank, to pay a high salary to grow quickly with extensive management, but the low margin of the American network must be refined management. Talking about the difference between Groupon and the American network, Wang said: "Groupon spends too recklessly." At high speed growth, you in quality, cost, speed of three two, to abandon one.

Groupon abandoned the cost, but from frugality to extravagance, from extravagance to frugality, then cut off some of the cost is difficult. We do not have any magic formula, is to recognize the long-term pursuit of low cost and high efficiency. ”

Following the "Four longitudinal three horizontal" "Pyramid" theory, 2012 Wang proposed group buying "three low" theory, his understanding of group buying more in-depth layer:

Back to the order of value: Customer first, customers are divided into consumers and merchants at both ends, both ends are very important to serve good, if there is a conflict between the two, the choice of consumers in the first place, if there is no consumer, the merchant will not use us.

First of all, what does the consumer want? Always have low price and high quality. Secondly, how to achieve low price, high quality? What does this have to do with operations? To be efficient, low-cost, only to do this, you can let go.

We give consumers the price must be the merchant to our price plus our operating costs, can operate at low cost, there is no need to increase a lot, low cost is conducive to achieve the previous said low prices. How to improve efficiency, can not rely on everyone to work overtime, there is a limit, but also need IT system technology to improve management efficiency, the need for High-tech. But High-tech is not necessarily high margin, Apple is a typical high-tech, high margin, but there are other typical, Amazon is High-tech, low margin. This requires a large scale, and if the low margin is small, there is no commercial value, and if it has a huge scale, even low margins, it has huge commercial value. Amazon proved it.

This set of statements is in the operation of the United States network gradually formed, this paragraph on the understanding of group buying, it is the United States and the network is different from other group buying site root causes. This passage can be said to be a ruler, used to measure the company's operations encountered in various problems and treatment, used to rectify the problem. Each time the slight difference of rectification, finally let the American network and other competitors accumulated moat Gap.