815 Electric Business War

Today is August 15, seems to have smelled the fragrance of moon cakes, can occur in last month round night of the 815 electric business war, seems to have been forgotten. In fact, this is caused by the saliva of the electrical business group incident, enough to be included in the annals of Chinese business development.

815 Electric Business War will be the history of China's E-commerce, divided into two stages: 815 electric business before the war, is the development of E-commerce in China, at this stage, the development of E-commerce in China like Stormy, gongchenglvede, unstoppable; 815 electric commerce after the war, marking the development of China's E-commerce has entered adulthood, Less noise and passion, a bit more rational and reflective.

This article, by tracing back the 815 electric business war as the breakthrough point, through to the past year China Electronic Commerce big event retrospect, attempts to reveal the Chinese retail industry and the Chinese electronic commerce industry future development trend.

A sudden war.

August 13, 2012 night. Suning announced that the proposed fund-raising 8 billion, for the electricity and supply chain construction. That night, Liu released Weibo: "Tonight, inexplicably excited." "Believe it, Jingdong has plotted the next day's action." On the morning of August 14, Liu directly to suning Gome through personal microblog: "nationwide recruitment of 5,000 price intelligence agents stationed in Suning gome" "Jing dong everyone electricity three years 0 gross margin, all of us electric guarantee than Gome, suning chain cheaper than at least 10%" naked provocation is obviously a time to the Su Ning Gome dozen Meng, Until 4 o'clock in the afternoon, Suning easy to buy Li to return: "Suning easy to buy all products prices must be lower than Jingdong, where the price is higher than the east, we will immediately adjust prices, and give twice times the difference to pay." "The next day, both sides of the verbal confrontation more intense," Jingdong all big home appliances prices than suning line cheaper, if Su Ning dare to sell 1 yuan, that Jingdong must be 0 yuan "" shareholder said, we have nothing but money, you can rest assured hit it, to die! " and Suning easy to buy the response has been soft in the band just, "market competition is not to be able to, the energy to continue to provide consumers with more cost-effective products and services to the king!" Did not respond positively to the provocations of Beijing and east.

From the use of media proficiency, suning and Jingdong is not a magnitude. When Jing Dong 618 store celebrates, the popular micro Bo uniform replaces the Beijing East Shop celebrates the red logo, hit; then July, through the tomato event, with the help of Liu Privacy, big fry a "fresh channel" on-line, become the focus of the moment. But the developments are clearly beyond the expectations of both sides, with Gome, when, Xun and so on joined the battlefield, the industry, and even the social concerns and disputes are rapidly warming up, the industry's saliva war, gradually evolved into social events, and finally to the NDRC intervention, each dozen 30 big plates and the curtain.

From the event itself, there is no real loser. After the war, Jing dong everyone to reduce the gap with Suning, Suning easy to buy the First World War fame, industry visibility is second only to Beijing east, and riding the car when Gome and Xun, also scored a cup of soup, consumers in this consumer feast, is to obtain unprecedented concessions.

From superficial tactical to deep strategic competition

Over the past year, Liu has been silenced for a whole year. A year ago, Liu said: "The price war will never end the day" "to recruit 5,000 retirees when the price intelligence officer", a year later, 5,000 price intelligence personnel into a joke, Jingdong also changed the price of the butcher's role, to "self-cultivation" of the face of the people.

In fact, in the past year, the pace of the Beijing-east is not half slow. In one year, the BoE completed two rounds of financing, successfully financed 1 billion dollars; in October 12, Jingdong fully acquired Third-party payment company online, layout independent payment system; in November, the Beijing-East logistics service system platform opened to the outside; this March, announced with the Chinese Super League hand, become the Premier League level partner; Beijing East officially opened JD.com domain name, renamed to Jingdong, replacement logo;4 month, Jingdong announced the registration of users breakthrough 100 million, May, the Beijing-East business Super Online, June, 10 anniversary of the month, turnover doubled, July, the establishment of the Financial Group;

Liu once said, annual sales of 60 billion is a safety line, so the past year, the changes in the style of Jingdong, can be judged from several aspects: first, the sales scale to achieve the expected, the position of the initial stability of the industry, can slow the radical rhythm; second, although the successive years of explosive growth, but always failed to profit Need to have an account, to blood transfusion more to blood; third, the high degree of consumer recognition, has formed a stable passenger flow and sales curve; Four is imminent listing, the need to optimize the long-term growth brought about by the huge bloated institutions and management omissions, improve the refinement of the enterprise, standardized management. Five, as the autonomous consumer domain overlord, need to learn to "calm", do not easily be chased by the provocation of success.

Over the past year, Suning's changes have been more thorough. Last September, Suning announced 66 million U.S. dollars wholly-owned mergers and acquisitions of red children, to undertake "red children" and "Plantronics Purchase" two brands, a comprehensive upgrade suning easy to buy mother and child and cosmetics operation. This is the first purchase of suning in the field of electrical business, for Suning "go to the electrical" business and suning easy to purchase category expansion, the scale of promotion is of great significance, but also opened the electric business industry integration screen. 2012 Suning Easy to buy more successively online business, drinks, food, insurance, group purchase, E-books and other new channels, with the open platform on the line, where guests, le bees, excellent purchase and other vertical electric operators, as well as the success of the acquisition of Red children, have led to the growth of Suning easy purchase SKU February 2013, Suning completed organizational structure adjustment, "Suning appliance" renamed "Suningyun Business." Since June this year, Suning implemented the "two-line price", the traditional retail peers forced into the transformation of the one-way road. This September, Suning easy to buy open platform on the line, will be large-scale introduction of clothing shoes, hats, department stores, beauty makeup and other categories, at the same time will become its financial business backing.

In the past year, Jingdong style in the transformation, it is to their opponents suning learning, less to do, low-key forward; Suning's style is also changing, from the original slightly rigid culture, become more and more open, this open from the four years after the experience of the electric trader self-confidence. 815 Electric Business War, let the Electric business giants, become more calm, and rational.

E-commerce is the Savior of entity retailing?

Retail business, has a millennium history, but the modern retail industry, the history of less than a century, China's modern retail industry in the 90 's large department stores, so far but more than 20 years of history. Although the time is not long, China's retail industry can be comparable to the rich in the Western developed countries, at present, China's retail industry covers department stores, supermarkets, large integrated supermarkets, convenience stores, warehousing stores, professional shops, stores, shopping malls, e-commerce platform, etc., but the coverage and depth of China's chain retailing industry, But with advanced countries far apart, the United States chain sales accounted for the national total retail merchandise more than 60%, Japan is also as high as 40%, and China is less than 3%, can be estimated that with the development of information and logistics, chain layout coverage, the change of people's consumption concept, China's chain retail industry also has a huge development space. Therefore, even in the context of the relative saturation of home appliance chain retailing, Best Buy, Yamada Motor and the city of Wanda are still in the Chinese market, want a piece.

Everything changed radically in 2012. As a bellwether for retailing, Wal-Mart's sales and net profits were below market expectations in 2012. Wal-Mart's first-quarter revenue growth this year was only 1%, with net profit growth of 1.1% per cent. In the Chinese market, foreign retail giants such as Wal-Mart, Carrefour and Tesco have slowed, shutting down stores and even rumours of a transfer of Chinese business; Chinese retailing is following the US: growth in China's big retail companies fell below 10% in 2012, compared with 20% in 2011, China household appliances chain retail benchmarking-suning earnings, 2011 revenue 93.8 billion, an increase of 24.35%, net profit 4.821 billion, year-on-year growth of 20.16%, 2012, suning revenue 98.3 billion, year-on-year growth of only 4.78%, Net profit of 2.676 billion, two years, suning year-on-year growth and profits are the first significant decline, you can see, although in the chain of retail sales still in the rapid development of today, 2012, the real retail industry suffered an unprecedented winter.

In 2013, the situation has not improved, and in February, the vice president of Wal-Mart finance and Logistics said: sales since February was a "total disaster", his worst month in seven years.

Bad luck is far from over, China's retail chain, the cost of 30%-50% for rental costs, and the expiry of the increase in the rent is staggering. In order to make up for the shortfall, domestic supermarkets usually collect "channel fee" from the supplier (including display fee, bar code fee, festival fee, etc.), a category year charge can be as high as millions of or even tens of millions. At the same time lengthen the account period, sedimentation funds flow as its way (such as real estate). This not only weakens the core competitiveness of China's retail industry, but also makes 0 contradictions, retailers ignore the commodity management, the business tends to homogeneity. China chain and supermarket development period of about 2002-2004, in accordance with commercial real estate rental period of 5-10 years calculation, 2011 before and after the national business to usher in the lease expiration of the peak, some million square meters of the store, the annual rental rose to more than 10 million. In 2012, the proportion of average rent in China's business industry was 57%, the labor cost was also on average up 15%, and the overall profit of the hypermarket fell to 5% to 8%. Over the same period, the Government's attitude towards the profit model has shifted from acquiescence to repression. Since 2011, the Ministry of Commerce and other departments began large-scale clean-up and rectification of large-scale retail enterprises of the illegal fees, strict control of the passage fee collection, this will seriously affect the profit of the retail enterprises. And in the past two years the government intends to reduce the proportion of the business procurement, ultra performance worse. At the beginning of 2011, Best Buy Chinese stores closed down collectively (in the Chinese market there is still a holding of five-star appliances), this March, the last store in Wan City closed, May-July, Yamada Motor Nanjing and Tianjin shop have closed (only the rest of Shenyang store), can be foreseen, once the scenery of foreign appliance chain, Basically have been annihilated. I think, in addition to acclimatized, foreign appliance retail sales of the Chinese market, and the real retail industry worldwide downturn is consistent, but in the more competitive home appliances chain, this trend to behave earlier and more fully.

The long-term deformity development, makes the Chinese retail industry development maturity is very low. The first is the lack of scale, China's top 100 retail enterprises accounted for less than 10% of the total retail sales of consumer goods, followed by low capital efficiency, the average annual turnover rate of Chinese retail enterprises is 2.4 times, while the same enterprises in developed countries are more than 20; Finally, the result of the first two--the low profit margin of the enterprise, The overall profit margin of the national supermarket industry is only 1%. It can be said that the plight of China's physical retailing industry is a comprehensive result of the general trend and its own ills.

Contrary to the dismal physical retailing, China's online retailing is developing at a high speed. By the end of December 2012, the size of China's online retail trade reached 1.3205 trillion, an increase of 64.7%. China's largest two electric business enterprises, Alibaba 2012 turnover breakthrough 1 trillion (2012 Society 0 total of 21 trillion), Beijing East sales breakthrough 60 billion, the growth of nearly 200%. Day Cat Double 11 promotion day sales 19 billion. McKinsey predicts that online shopping will reach at least 4.2 trillion in 2020, accounting for more than 20% of the total retail sales of consumer goods. The shift in consumption patterns has accelerated the dilemma of traditional retailers: physical stores are often reduced to fitting rooms and experiential shops, where consumers pick up goods in stores and turn around and buy from the Internet.

The popularity of electric dealers is not only the change of the development of Chinese retail industry, but also the development and penetration of Internet in China, the Internet has already begun to have a profound impact, even in the beginning to dominate China's economic development. Tencent's share price has risen 100 times-fold in the past 9 years, and Tencent's market capitalisation has soared this year, first surpassing Facebook, surpassing the combined market capitalisation of CMB and Societe Generale last month, and successfully overtaking Sinopec for as much as HK $660 billion in two days. and has been a stir of Ali, listed valuations also as high as 100 billion U.S. dollars! In such a context to talk about business, has not been said to touch the net, do not do e-commerce problems, but how to touch, how to do the problem.

The chance for China's real retailing to be reborn is only electronic commerce, but it is more difficult for Chinese traditional retailing industry to transform E-commerce. The traditional retail industry in the United States is extremely efficient, IT systems and logistics are very mature, so the traditional U.S. retail enterprises can quickly copy the previous experience to the business. In such a premise under the impact of the electrical business, traditional retailers have not caused a fatal blow, and even most of the transition success (occasionally closed, such as Circuit City, etc.), the data show that in the top ten of the U.S. electric power companies, only one seat, the other nine are traditional retailers transformation. China is on the contrary, the top ten of the electric Business enterprise, pure electricity quotient accounted for 8, traditional retailer transformation of only two (Suning Tesco and Gome online).

E-commerce is China's most important future retail business, this is no objection; The consumer will gradually replace Consumer-to-consumer, become the mainstream of the development of the electric business, this is from the domestic and foreign trend in recent years, also basically has no objection; The controversial question is, who can represent the future of China's E-commerce (and also the future of China's retail industry)? is Ali platform type of the cat, is the autonomous type of the Beijing East, Or the line under the fusion of B2C+O2O-style Suningyun business?

The future of China's retail industry and E-commerce Road where

At present, there are a lot of electronic business model, but we are optimistic about only three kinds: first, Alibaba's open platform + eco-system model; second, Jingdong Mall's independent operation + open platform mode; third, Suning's O2O mode.

Cat mode

2011, Taobao split into a Amoy net, Taobao, the cat; in May 2012, MA cut off Alipay and Alibaba Group agreement control relations; July, Ali Business-to-business privatization ended. In the same month, Ali Group adjusted for 7 business units: The Business Department Alibaba international division, Alibaba Small Enterprise Division, Consumer-to-consumer Trading website Taobao, E-commerce search engine a Amoy network; Business-to-consumer Trading website Day Cat, group buying site and Aliyun. 7 Division Plus has been independent of Alipay, Ali has set up to maintain their own ecological chain of the Triple dimension: information flow, capital flow and logistics.

The first is the flow of information. In recent years, the concept of cloud computing and large data has been very hot, and the impact on various industries has spread. From the data push and integration, such as cloud services, to the security of the payment platform, from the storage warehouse of it operating system, logistics and distribution of information services, to user preferences and other large data analysis, all aspects of the electrical business is inseparable from the support of information flow. To some extent, the core idea of recent popular social shopping is to use data analysis on social networking sites for shopping, but this past is more of a human push, and will be increasingly done by cloud computing and large data.

Next is the capital flow. Data show that 2013 Q2 China's third party mobile payment market volume of 106.41 billion, the chain growth of 64.7%. Alipay, with a 60.7% per cent market share, occupies 75% of the market share in the mobile internet payment market segment. Alipay in the domestic electricity business funds flow war, has taken the opportunity.

The third dimension is the logistics problem of the electric dealer. The current situation of China's logistics is the excessive development of trunk logistics and the extreme shortage of feeder logistics. Feeder logistics not only as a short plate testing the overall level of logistics, but also with the electric business to the two or three-line city and township layout closely linked. In the logistics of information, data, 5 years ago, the cat has announced with EMS, Shun Fung, Shentong, Yuantong, Qualcomm, Rhyme Tatsu, home urgent delivery, the day, HNA, such as nine major express companies to reach strategic cooperation, and jointly build the new standard of social logistics, the day cat and express enterprises to achieve a full range of logistics data sharing. After a year, this year 5 years, Ma Yun and Yintai group more combined Fosun, Fuchun, Shun Fung, tee one Tatsu (Shentong, Yuantong, Qualcomm, Rhyme Tatsu) together to form a "rookie" social logistics platform, the goal is to establish the next 5-8 years of rapid and efficient logistics service network covering the country. In logistics, the future of the cat is also worth looking forward to.

From the information flow, the capital flow, the three dimensions of logistics, Ali Department of the entire electrical chain of the layout has been preliminarily completed, and Aliyun, Alipay has been in the corresponding industry, the construction of logistics Informatization has a solid foundation. But the entire electric business system ecosystem chain consummation is one thing, the day cat inside from Taobao's savage ecosystem is another matter. In the long run, the unique platform of the cat is the only way to make it face the system on the way forward.

2005, Yahoo announced and Taobao cooperation, MA said publicly: Taobao will continue to free 3 years. At the time, his rival, ebay, had to levy a 2%-3% service charge on the sellers. In 06, Taobao briefly launched a bid ranking called "thriving", which quickly came off the shelves under the unanimous protest of sellers.

April 2008, Taobao introduced the concept of "Taobao Mall", mall sellers need to pay 10,000 yuan margin and 6000 yuan service charge, at the same time, sell every item, Taobao to extract 5% Commission. The same year September, Taobao shielded Baidu's search, once the "thriving" in early 2009 changed the identity of the "Through Train" in the name of the lake. 2010, Taobao adjusted "seller service quality" in the search ranked weight, further forcing the seller to do the through train, put ads. At this point, Hangzhou's Taobao headquarters have been part of the sellers "siege."

Renamed "Day Cat", Taobao said, the future of the cat and Taobao will present two different types of development: Taobao is Consumer-to-consumer sellers and small business merchants, is the incubator of entrepreneurs, and the cat is the development of the industry, the company can hook up with the whole Alibaba Group brand new, for more mature merchants. But in fact, the cat and Taobao "want to say apart is not so easy." We look at Taobao's main source of revenue-advertising. Data statistics, Taobao 2009 advertising revenue for 1.5 billion, 2010 to 4 billion, 2011 up to 8.79 billion, 2012 up to 17.2 billion, over the past few years, Taobao's advertising revenue doubled, and the size of the merchant's revenue and survival status, whether it has also complied with such momentum?

October 2011, Taobao Mall released the new rules, service fees from 6000 yuan to 30,000 yuan and 60,000 yuan two grades, the commercial premises of the liquidated damages from the previous 10,000 rose to 50,000, 100,000, 150,000 range. Many from Taobao fair to Taobao mall sellers overwhelmed, which triggered the "October siege." February 2012, Taobao will be its most important advertising business "through Train" a two, a new day cat through train, as the cat's exclusive advertising services. At the end of July 2012, the cat again to the search function of the modification, "popularity sort" position was adjusted. Some businesses said, "Before the cost is a relatively cheap channel, before many people on a good deal is to explode money, through the explosion to attract more traffic." "But by changing the" popularity ranking ", it greatly weakened the effect of the cost of the promotion, is tantamount to forcing businesses to spend money to buy other more expensive promotion.

As far as business model is concerned, Taobao's advertising revenue model is being played to the fullest in the sky Cat. The cost of opening a shop in the sky is much higher than the other platform has been the consensus of the electricity business, there are sellers pointed out that the Beijing-east, Cat and Amazon and other Third-party open platform, three years do not want to make money, especially in the days of cats. What's more, from the two years of C-class, small B-class business of the previous "riots", we found that from the platform of the use of fees, security, advertising costs three aspects are showing the growing trend.

The intricate, nearly thousand kinds of charging tools, at every turn thousands of of diamond booth, golden seconds kill, but also breeding a hotbed of corruption. Merchant revealed: The first in accordance with the reputation ranking, Taobao small two delete the bad comments have reached every 150~200 yuan; relatively cheaper to gather cost-effective, Taobao small two easily can be pocketed.

Third-party businesses are increasingly overwhelmed, platform use fees, margin, deduction fee is second, more and more expensive advertising costs, its costs can only be transferred to the manufacturing industry and consumers. Today, the cat is flooded with fakes, piracy, renovation is no longer the news, if the genuine can not be guaranteed, then the cat is not only in the platform system, and business model on Taobao, but never go too far away from the "wash the white" road.

The cat backed by Ali, has a perfect electric business ecological chain; At present, whether it is b2c+c2c, or alone, the cat still retains the advantage of market share. But from the vast number of internet bosses bloody lesson, the cat should be vigilant: a good ecosystem, not only for themselves, rely on the myth of creating rich, reselling traffic, the number of millions large and small businesses played in the applause of the "good days", but also how long can continue? After all, only the banker makes money for the bubble, and finally exploded the day. How to rely on Ali this tree, and years of established flow, merchandise, trust, the dividend, as soon as possible to establish a "common prosperity" of the health of the ecological chain, is the day cat, and even Ali urgent problems to be solved.

Jing Dong mode

Jing Dong openly said that the object of his study is Amazon. Let's look at Amazon, the forerunner and benchmark of the global electricity business, and its development and status quo. Amazon opened its business in July 1995, growing at a light-years pace, from an obscure online bookseller to a giant of more than 200 million active users. Over the past 5 years, Amazon has been buying a variety of footwear, daily necessities and baby supplies websites, bought robot maker Eva Systems to increase the speed of online deliveries, and recently heard rumors of a 250 million dollar takeover of the Washington Post. Bezos led the Amazon Empire in recent years in the continuous transformation of the global retail ecology. Electronic commerce is being swept by leaps and bounds, where global sales topped 1 trillion dollars last year, while Amazon accounted for more than 5% per cent (Amazon sales amounted to $61 billion trillion in 2012).

But the madness of expansion and change is the last 8 years of huge losses. After listing in 1997, Amazon lost $ tens of millions of a quarter, a total of 350 million dollars in 1999, and a 972 million-dollar loss in 2000. It was not until the fourth quarter of 2001 that Amazon's quarterly earnings topped $1.12 billion trillion, with the so-called "standard accounting rules", to achieve a profit of 5 million dollars (of course, there is actually a gimmick, interest expenses, restructuring costs and other financial projects are not counted, Amazon now has a debt of 2.1 billion dollars. And at the expense of growth, income grew by 13% in the year to 69% in the previous year. 2003 was the defining year, when Amazon was still losing money in the first two quarters of the year, but in the third quarter Amazon made its first profit during the non-holiday season. Amazon has struggled to profit margins for the past decade, and Amazon has lost again this year, with Amazon's second-quarter earnings showing a net loss of $7 million trillion, with an average loss of $0.02 per share, while Amazon's net profit for the second quarter was $7 million trillion, averaging $0.01 per share.

From the BoE teacher Amazon, we can see a history of the giant, but has been on the edge of food and clothing struggle and struggle, we can define its theoretical success, but still failed to see its qualified transcripts. The teacher is so, where is Beijing East road?

Over the past decade, with an average of 200% of the compound growth rate, the 6 rounds of financing accumulated 2.3 billion U.S. dollars, relying on a steady stream of blood transfusions and its own hematopoietic capacity, the decade of Gongchenglvede, with a ride of the dust, continued to lead China's autonomous Chinese for a decade, and the situation continues. 2010, the Beijing-East sales of tens of billions, become China's first billion-scale network retail enterprises, 2011 sales broke 20 billion, 2012 sales broke 60 billion, (Beijing-East officially released figures, the letter), 2013 sales target is 100 billion! This number has surpassed the current chain boss- -Su Ning (Suningyun Business 2012 revenue 98 billion).

In the continuous creation of the myth, is about to become the Chinese Amazon when the mouth, but a change to the former "fighter" style, suddenly become low-key. After the 815 electric business war, Liu "disappeared" for almost a year. Even this year 618 Beijing east, Liu did not appear. Over the past year, Liu completely devolved, and in the past year Jingdong's business was largely held by 20 senior executives. It is said that Liu this year has been in Europe and the United States, mainly in the U.S., on the one hand, to consider the Beijing-East strategy, on the other hand to learn some management courses, and visit the "High Man." Until this month's Beijing-East open platform assembly, Liu back to the people's view.

BEIJING-East Open platform October 2010 on the line, the current overall strength after the cat, ranked second in the country. The number of Beijing-East open platform sellers has risen from the original hundreds of to 30,000, with a quarterly composite growth rate of 60%. Commodity varieties expanded from tens of thousands of to about 11 million, with a quarterly compound growth rate of about 70% per cent, above industry growth.

At this month's Open platform Partners Conference, the BoE proposed that the open platform should be committed to become the "seller's overall solution provider" and issued a technology, logistics, services, financial four specific support programs. Liu in the meeting stressed that, based on E-commerce platform, the BoE will form the development pattern of electric business marketing, logistics service, information technology, Internet financial services four platforms.

Financial platform, the biggest change is the Beijing-East payment system online. Jing Dong revealed that the end of the year, the BoE payment system will be online. At the end of last year, the BoE received a third party payment licence indirectly through the online acquisition of the net bank. Now, the layout of the financial sector seems to be nearing completion. In addition, the Internet finance is the future of the Beijing-East business direction. Jingdong will combine sellers, suppliers of various types of partner needs to design products, development systems. Beijing east to continue to rally partners to the cooperative camp. It is said that in the third quarter of 2013, Jingdong will realize the public payment and automatic invoicing, the first quarter of 2014 will realize real-time settlement and synergy platform.

Logistics is also the Beijing-East focus on the field of exerting force, according to the plan, by 2016 total total turnover amounted to 110 billion, warehousing logistics open platform business will account for half. Under the latest open platform policy, the "Asia One", which covers an area of about 120 acres, will be officially open to third parties and is expected to be put into use by the end of the year. By the end of 2013, the warehouse area of Jingdong will be more than 1 million square meters. Liu said that after the Beijing East will be redundant logistics and distribution capacity to its open platform for businesses. In Liu's view, logistics is expected to become one of the core profit models of Beijing-east.

Liu set up a scale of hundreds of billions of enterprises, which many Chinese entrepreneurs have done, but no one can stick to nine years of unprofitable but still let the enterprise maintain high-speed growth. Liu has been walking on the wire, repeatedly narrowly. By abolishing existing rules and challenging rivals, he is known as a "destructive intruder".

Entrepreneurship for more than nine years, with the growing size of enterprises, Liu in the management and cultural deficiencies also gradually emerged. His internal authority, but no effective management methods, between quietness and decentralization, control and uncontrolled between the wandering, which will become his new round of challenges. Reason tells Liu, must delegate.

In the past two years, he has introduced many professional managers, the establishment of the CFO, CSO, CHO, CMO, COO, each line of business to a CXO responsible, but the company insiders believe that more decentralization will not be able to resist the dilution of its early system, the surface is the system, behind the anxiety, he directly and business lines of communication, Let CxO Management Authority dispensable. Liu once said that the success and failure of enterprises is mostly because of people, "I do not think of a second factor." And he also said without any taboo, Jing dong needs fresh blood, leaving one or two senior executives belong to normal phenomenon, usually do not meet the value of Jingdong Mall can leave, has always been old arms and old legs.

However, the resignation of Jingdong executives has been difficult to call the normal phenomenon. Since the beginning of 2011, Beijing East began to introduce a large number of professional managers, it is said that the vice president has more than 20 people. However, in only 2012 years, including B-Soil month, Jiang Haidong, Shengchang, Wang Yaqing, and other senior executives left, while the airborne executives acclimatized, management decision-making loopholes and corruption issues, the East Beijing personnel system has been questioned.

Every time, behind the changes in Jingdong executives, almost all have a "East elder brother unhappy" story. Previously responsible for pop open platform business Zhangshouchuan was rumored to leave, there are media said its business development general and was removed, of course, Zhangshouchuan finally did not leave, but to be responsible for group buying business. Similarly, in February this year, Cheng Junyi was "rotating" the pop open platform to replace Zhangshouchuan work, the anecdotal deduction has been rampant. It is said that the reason for the transfer is Liu's dissatisfaction with the process.

In addition, Jing-dong has been "authentic low-cost distribution timely" concept based on the field of electrical business, but with the acceleration of the Beijing-East platform strategy, the number of Third-party sellers has increased, while the third party has brought considerable orders and sales, but a disproportionate amount of complaints, especially against the third party in the east to Beijing's complaints have been growing, This is devouring the Beijing-East is proud of logistics, merchandise quality, after-sale efficiency.

Liu said in an internal speech that the team's rapid expansion in the last three years, the number of people increased five or six times times, but the reputation in the industry is not as good as before, the entire team compared with 10 years ago, the overall quality of the decline. "Among the criticisms against our staff, one of the things I am very worried about is the attitude of service," he said. There are suppliers and sellers reflect, in Jingdong, whether it is investment, operation or finance, some people feel very cattle, as if they are in the tube supplier, service consciousness is very poor. ”

Relative to the mature vendor management system, the rapid expansion of the Beijing-east of its third-party sellers of the supervision is obviously somewhat inadequate. "For the third party after-sales service and evaluation system, Jingdong did not come up with a set of excellent rules of the game, and no Alipay guarantee transactions." ”

At the beginning of this year, Jingdong Mall proposed to "repair" breeding, style varies, this is from the "grassroots" into a "giant" after the adjustment must be made, after all, free food, there is always the end of the day. More than 10 years, foreign teachers are still struggling in the mire of loss, is about to usher in the 10-Year-old Jing-dong, how ashore?

Suning mode

In the presence of electric dealers, traditional retailing is not a problem of transition, but a question of how to transform it. China Chain Management Association data show that more than 60 of the retail enterprises in the hundred have launched a business. Wangfujing, Yintai department stores, Guang Bai goods, Wanda and so on have tried to water the electric business. And because of large volume and the transformation of Resolute, Su Ning became a transformational representative, driving a huge upstream and downstream partners to participate in the transformation, affecting the entire traditional retail enterprise pattern.

At present, the traditional retailer transformation in the groping forward, forming three kinds of mainstream models: the first is the line of the same price, experience plus shopping and logistics, on behalf of enterprises such as Suning; the second line is online under the different goods, online services under the line to display, experience-oriented, such as Yintai department stores, Wangfujing department stores, the third to the great Yue City, Online do not trade only marketing, using information technology means mining data to meet consumer demand.

In preparation for more than a year, Wangfujing Online mall was launched in January this year. The time for carrying out electric business in Wangfujing is not short. As early as 2007, Beijing Bi-an shopping mall, Changsha and Guangzhou Wangfujing have respectively opened three online shopping malls, but its product delivery, after-sales service and distribution process is still relying on physical stores, limited shopping experience. After a lapse of five years, Wangfujing department store plan to launch the electric business again, and before the electric business to the physical store based on different, new online shopping mall independent of the entity shop outside the operation. But from the products have been on line, involving clothing, beauty makeup, shoes, jewelry, such as more than 20 common online shopping category, including some luxury brands, positioning for white-collar groups, and wangfujing entity shop Customer group similar.

March 2013, Yintai Department Store (Group) Co., Ltd. changed its name to Yintai Commercial (Group) Co., Ltd., forming three major retail commercial distribution---------------------------------------- Silver Thai Network is not the group's profit and performance growth focus, its function is through the consumer Behavior data collection, analysis and guidance, so that Yintai as a high-end shopping experience in the PC, wireless and offline shop. According to Shen's conception, Silver Thai Place is responsible for prophase development, later operation to Yintai department store, Yintai net closely follow consumer behavior, give accurate online or offline services and marketing. Yintai Commercial group will eventually form a complete retail service closed loop. This and Alibaba's service platform type electric dealer, has the similar place, only is the silver-Thai to have the offline experience.

Unlike the Silver Taihe Wangfujing department store, the big Yue City did not enter the online sales area, but its active layout of large data, also in the use of information technology to change retail services. For example, Chaoyang Big Yue City through the shopping center 200 passenger flow monitoring equipment to obtain consumer behavior data, and then change the location between shops, to achieve the goal of promoting sales. 2012 Chaoyang Big Yue City single store sales of nearly 1.5 billion, an increase of 40%, and achieve a profit of about 100 million yuan.

And Wangfujing, Yintai, Yue City test water type of exploration, Su Ning to the electrical business transformation, but is not successful and the momentum of martyrdom, from top to bottom completely subversion.

Traditional enterprises in the transformation of electricity, mostly out of risk control rather than active input, under the hand, is likely to delay fighter jets, strategic wavering Gome is an example. How does Su ning face the retail industry challenge and crisis? In February this year, Suning Jindong said at an internal meeting that, in line with this trend, all retail companies will lose their profits and viability over the next decade. Soon, Suning will start a thorough transformation, Suning Appliance officially renamed Suningyun Business Group, from the company model, strategic layout, organizational structure and even brand image have been restructured and upgraded. Its idea is: Under the line opens the Super shop, the flagship store, the Life square and so on, provides the consumer to display, the experience as well as the shopping delivery, the line sells the electrical appliances, the daily necessities, the book and so on commodity as well as the finance, the business travel and so on various At the same time vigorously develop an open platform to attract traditional merchants to enter the line under the membership data, payment, after-sale, logistics and so on all through.

This model will be with Alibaba and Jingdong to form differentiated competition, its core is to Su Ning to create a O2O platform, line the same price, online access to consumers and take him to the offline store, and offline stores can not only provide services and shopping experience, but also become a logistics distribution point, that is, the location of 1705 stores nationwide, Complete the distribution of the surrounding area orders. For Suning line last kilometer distribution, save time and cost.

The original matrix organization is divided into business groups, to "localize" series through the line of the next two layers of business, the determination to shock the industry. June, Suning launched the announcement of double line Price, the entity retailer pulled into the same competition with the pure electricity business platform, this unprecedented move is even more shocked. After the introduction of Su Ning's "booming" Rob Refrigerator, Rob 3 C, Rob Mother and child line under the linkage promotion activities, the history of the sales record to make other retailers realize that the same price with the electric dealer is imminent. Suning same price warning peer, can't do warm water frog, must face and actively join the same price ranks, can change the passive situation.

It is rumoured that next month, has been brewing for more than a year of Suning open platform, after repeated arguments and rigorous closed-beta, finally to uncover the mystery of the veil. On the eve of the Chinese Internet conference, Suning Weimin said that the future Suning line two platforms will open the way to operate the platform, Suning will be through an open platform to achieve real Internet transformation.

If this is true, it means that Su Ning will be fully open to its own line, from the closed proprietary retail, the transformation of the Open Internet retail ecology, the future of services, finance, technology and large data will become Suning's new profit point.

818 is suning Tesco store celebration, last year because of the 815 war received extensive attention, a traditional electric business to Su Ning launched the challenge caused by the electric business industry's largest price war, Suning easy to buy a war fame, and offline also occasion made the largest sales growth. After a year, we reflect on the war, it brought to Su Ning's greatest value is three alert: first, the line of the same price of urgency. At that time, Suning still exist line under the price is not uniform, and the opponent is to seize this point launched a propaganda offensive, trying to strengthen the user on the line of the impression of lower prices, rob more market share, Suning launched a full network of store prices of promotional measures to consolidate the line under the position, But as soon as the unified line under the price of this became Su Ning from the top to the next consensus. Secondly, the necessity of the whole category moat. Last year, Suning's Super electric strategy has not made breakthrough progress, online opponents on the initiative to burn the Flames to Su Ning's strong position-traditional home appliances, trying to small broad, but ultimately Insunin strong procurement scale, bargaining power and supply chain efficiency and a complete defeat, but also reminded Suning needs to improve the line immediately under the full category layout, Build a more solid moat. Thirdly, the importance of Word-of-mouth marketing in the internet age. The industry known as "a micro-bo caused by the war", but also let suning preliminary taste of the internet marketing sweetness, how to attract users, find users, the use of Word-of-mouth marketing means to form the final purchase, has become the future of Su Ning to try and explore new topics.

Su Ning's determination and the change power all have, but the process is not smooth. Suning easy to buy three years, in the brutal price of the fighting, swallowed the profit of the line store contribution, and suning easy to buy and the gap between Beijing and east from 2011 to 15 billion widened to more than 40 billion.

This year, Suningyun reported that the first 6 months, the realization of revenue 55.454 billion, year-on-year growth of 17.51%, profit 837 million, the year-on-year decline of 61.51%, attributable to the listed company shareholders of the net profit of 732 million, down 58.24%. Among them E-commerce business commodity main marketing income 10.613 billion yuan, an increase of 101%. Suning reported that: "With the offline chain platform and online business integration, as well as the effective promotion of sales to increase promotional efforts, the company's gross profit level has brought impact." Suning Weimin also talked about the impact of online business on profits. He said that the implementation of line after the same price, the overall gross margin of the store will appear phased decline, but definitely not a substantial decline. Even if gross profit margins fall, the impact on overall profits is not necessarily a simple decline. However, Weimin also stressed that suning line on the same price determination: "If different prices can not meet the needs of consumers, even if there is profit is immediate and unsustainable." ”

Jindong is good at strategic layout. Suning's super electrical and from the line down to the line, seizing the strategic commanding heights. The bureau is beautifully woven. But it's also a risky game. Su Ning's attempt to create a model that even Americans have not created is admirable. But it remains to be seen whether this model can be put into practice.

The implementation of the same price to promote the establishment of industry norms. The electronic commerce provides the new channel for the supplier, but also destroys the supply system, the price system which has been established for many years. How in the game with suppliers, the two sides to achieve mutually beneficial balance of interests, build a good relationship of 0, Suning is still groping on the road.

In a traditional enterprise will inevitably enter the era of electricity business, from the strategic layout, Suning has embodied the advantages of the forerunner, this may be a maximum dividend.

Written in the last

The history of the 815 electric business war has gone away, but its historical significance to China's retailing industry and China's e-commerce industry is far from being underestimated. 815 Power Business War, the development of China's e-commerce is divided into two stages: youth and adulthood; it also divides China's retail industry into two stages: the dominant period of retail sales and the dominant period of traditional retailing. It broke the traditional retail industry cling to the illusion under the line, the end of the pure electric business enterprise leading the pattern of E-commerce in China, Suningyun Business has played a leading role. Three kinds of electric business model competition, finally who can grasp the trend of industry development, the supremacy of the retail, need time to verify.

In this article, farewell to the passing of the electrical business of the green years, and more looking forward to the new chapter of Chinese E-commerce.