Will China be the birth of a fresh electricity dealer Farmigo?

Farmigo is the final round of the disrupt entrepreneur conference in TechCrunch, USA, in 2011. Farmigo name is very good, composed of farm, I and go three words, meaning that the site is connected to farms and users of the platform, of course, can also be understood as farm and Amigo condensation. Many domestic media have reported it, Farmigo by many media as "innovative online agricultural sales platform." Where is the innovation? The following one by one is announced.

Basic mode of operation

E-commerce has "heavy" mode and "light" mode. The so-called "heavy" mode, the most typical is Jingdong, the construction of their own warehousing and logistics, and even proprietary procurement of goods; Light "mode is Taobao mode, the core of the site is to build a link between the seller, home and logistics side of the platform, and around the provision of perfect network trading services. Judging from the model, Farmigo belongs to the typical "light" mode, Farmigo is the intermediary of connecting consumers and farms. For farmers, Farmigo is an online platform, a new marketing channel through which farmers can manage the production, distribution and distribution of their agricultural products. For consumers, Farmigo is an online marketplace where consumers can buy quality fresh produce directly from farmers.

Since Farmigo is the same model as Taobao (EBay), where is the difference and competitiveness?

Social electrical quotient

If Taobao is compared to a network department store, then Farmigo is even the high-end atmosphere of high-end food clubs. Taobao is a seller and merchandise as the center of the network display platform, goods dazzling, discount means strange, but are simple to commodity-centric traditional sales thinking. Ma Yun has been to walk the "social Electric quotient" route, also did not escape this rule. Farmigo unique place is to jump out of the commodity thinking, but people as the core of the real social electrical business thinking. This thinking can be summed up as "private customization." Farmigo creatively created the concept of a "food community" in which geographically close consumers are connected by "food communities" and local small farms. In the figure below, each red mark points to a food community.

Community

The Promoter applies to the website to create a food community, which is also the "leader" of the food community. Farmigo makes special shopping pages for every community, and then the lead person can add farm products to the community. Leaders need to invite at least 20 friends or neighbors to join the food community, the number of food communities is not online. The leader will issue a food demand collection every two weeks, 10% of the community sales will be rewarded as a leader, plus a food discount, and the leader will be motivated to motivate people to join the community. Can be simply summed up: Taobao mode is a business to play the life of consumers, farmigo consumers have played the life of consumers to consume.

Real Group Buying

What is the nature of group buying? In fact, Groupon, the United States and the group are at a very low discount sales to expect high sales, to achieve the purpose of profit. The discount is the means, the sales are the purpose. Farmigo, on the contrary, the sale of goods requires a minimum unit that is at least 20 people to spend, and then there will be discounts. That is, sales are means, discounts are the result.

This way, so that Farmigo in the supply chain management, not only let consumers get benefits, but also reduce the cost of the logistics of the farm. Specifically, Farmigo orders from the community and then sends orders to the farm. Members of the same food community can each week "order" on their community-specific farmigo pages, local farms will aggregate individual orders from the same food community every week, giving each food community a regular distribution once a week, followed by consumers retrieving the food they ordered. This method solves the biggest problem of the food electric dealer, the logistics cost and the storage cost. The cost of distributing once a week and distributing multiple times per day is obviously not the 1:30 point. Just imagine, if there is no such food Community model, any retail user orders must be timely response, and distribution, logistics and warehousing costs may eat the company's cash flow and profits. Through the food community, the equivalent of collecting orders, a week distribution once, their own need to retrieve, customers happy, farm satisfaction.

Farmigo can allow many people from the same location to enjoy local fresh fruits and vegetables, eggs, meat, cheese, even wine and coffee, etc. Farmigo The value of this model is that the promise of fresh food prices will be 20% to 30% cheaper than the average supermarket, and that it will be delivered within 48 hours of the designated location.

PS: Social power providers are focusing on consumers, rather than developing new discounts to push products.

Can China have its own farmigo?

In our life, the Chinese community aunt how to buy vegetables, a market or supermarket of the vegetable cheap, everyone told each other, together to buy. If this mode is migrated to the Internet, can replication be successful? Along with the children of all families have a family, a day can not be a meal on the outside to solve, their own cooking become necessary. Farmigo builds a community-oriented food system that connects consumers and farmers in the same geographic area, and everyone can buy fresh, local, affordable, healthy and sustainable foods and get fresh, inexpensive ingredients at home. This is very appealing to young people. But the Farmigo model is not entirely in line with Chinese consumption habits.

A small number of local farms and a lack of consumer awareness

Chinese farms are not as many as the United States, farms produce a variety of products not rich enough, consumers can be poor selectivity. Farmigo is currently piloting two cities, San Francisco and New York, and two cities with plenty of farms to choose from. Comparatively speaking, China has long been in the small-scale peasant economy model which the small peasant household sells itself, the farm operation mode has just started. Focus on the north-canton-Shenzhen first-line city surrounding the CSA farm is not mature enough. At the same time, organic and green food consumption awareness is not strong enough. Although the media every day will burst a variety of food problems, but faced with high prices of organic food and the frequent bursts of fake organic food news, consumers feel at a loss. Buy is not, do not buy is not. The organic consumer market needs a process of cleaning and washing, in order to embark on a healthy and orderly development path.

The structure of diet is complex

2013, "China on the tip of the tongue," the hot, so many cargo really big enough to a feast. China has a vast territory, so the Chinese diet structure is very complex. Sichuan's bacon, the northeast of the rice cakes, gannan navel orange, northwest of the Apple and so on, consumers prefer very special exotic food. At present, fresh food or agricultural products e-commerce is still in the initial stage, consumers are also holding a curious taste of the attitude of buying food. For everyday fruits and vegetables, a transition is needed to allow consumers to adapt to buying local food online.

Trust issues are hard to solve

Farmigo is selected by the leaders of farms and agricultural products, and other ordinary consumers are selected and purchased according to the farm and agricultural products chosen by the leader. The basis of this model is that the average consumer is very trusting of the leader, trusting the leader and the farm and farm products chosen by the leader. Farmigo does not have direct channels of communication between farms and ordinary consumers, or even the home page of a farm, the average consumer gets very little information about the food production process. For Chinese consumers, has been accustomed to talk with businessmen to establish a trust model, so that the face of a product is not clear where the purchase of business is difficult to do. Moreover, China's food safety environment is grim, consumer demand for food transparency is higher, operating in a less transparent way will not win trust.

Author: Natural state, concerned about agricultural products, please pay attention to my website natural state (micro-signal Ziranbang)