About making money or not, it's not something that these big electric business platforms are concerned about right now.

Ali in Qiantang River painstakingly set a discussion about whether the electricity business, completely by the Beijing East and Su Ning's "815" battle flooded.

but the battle to discard profits and pursue the scale of the price has clearly put the entire e-business at the other extreme. For those who have been on the crisis of survival of the electric business enterprises, in the past few years of the chase suddenly found, with a large amount of money to hit the flow, to fight low prices, the sacrifice of profits in exchange for the dead.

In the discussion of "Electric quotient making money and not" sponsored by Ali, Alibaba Group chief risk officer Shaoxiao made it clear that the company's blind pursuit of scale was the biggest flop in recent years, and the above trifles approach was entirely wrong.

Is the power quotient a paradox or a hoax?

Lok Tao Network CEO Bi Sheng began to constantly in various occasions to clarify their previous remarks. Bi Sheng's wisdom has evolved into a barometer of the electric business industry because of the two shelling of the industry.

Last year, in the China-EU alumni association, his electric-business scam, which directly took the operator to the electric business in the winter, now begins to claim that the electric dealer is not making money.

But Bi Sheng explained that two of these are vertical purchases and sales, not all of them. Because according to his cost estimate, the vertical purchase and sale type Net interest rate is minus 40%. "It feels like I've moved 500 million of boxes for Nike Adi, and it's been scolded by users ..."

But is there really no living space for the purchase and sale of the Business-to-consumer?

SK Telecom Venture capital investment fund vice President Jianjiang that the purchase and sale of enterprises in the premium space, margin and development speed and size requirements are contradictory, but does not mean a hoax. Vertical electric dealer to a certain kind of small user service is better, the loyalty is higher, the user is willing to repeat purchase, even pay even premium. Therefore, the next two or three years to achieve profitability can expect

But this assumption should be based on two premises: one is to have sufficient profitability, on the other hand, whether the capital is sufficient to support before making a profit. When the size of the enterprise is bigger, the positioning of the small user group is obviously unable to satisfy the enterprise and the investors behind the appetite.

Can make money the purchase and sale of the business type is not through large-scale occupation of the market, such a survival paradox, so that practitioners of the pursuit of profit greatly weakened. After all, buying and selling is difficult to establish competition barriers, but not the size of the channel its competitiveness can not talk about, being overtaken means death.

The leader of the benchmark Logistics logistics Wang is that business is to make money, do not make money business is often difficult to continue. But the business of making money is to be big or small, still want to return to the electric dealer's play and business model.

According to Alibaba's chief risk officer, Shaoxiao, such as the price war between Jingdong and Suning, has gone beyond the scope of the electrical business, competing with each other is not the electricity business, but the next three years after the supplier control. "Who controls the supplier's management, who can do the boss!" ”

However, such market opportunities for the purchase and sale of electric dealers, due to the exposure of too much of the supply chain out of control, so not everyone is eligible to compete.

The bottleneck of the trader is that the electric quotient environment is not perfect

Industry insiders pointed out that some of the electricity business, even if the profit, but can not get rid of small-scale economy, the root cause of the previous business model is too modular, leading to entrepreneurs in the electric business thinking mode is too single, that is, buying and selling thinking, and not from the buying and selling thinking to service thinking transition, resulting in the process of the electric business enterprise in the horse race, Ignores the pursuit of greater value space for the entire electrical and commercial ecosystem.

Alibaba Group executive vice president, chief of Staff Zeng pointed out that the root cause of the tangle, not only want to do vertical electric business, but also hope that the development of the platform, and the pursuit of speed and scale, but the current electronic business environment is obviously not enough to support. Therefore, in the process of development, the enterprise is forced to build infrastructure such as logistics, the cost structure and the return is disproportionate, and the flow of changes in sales opportunities and fixed costs can not match, resulting in the vast majority of vertical business dilemma.

such as the purchase and sale of electric dealers, drainage in the existence of huge variables, a company to buy how many keywords will fluctuate with the market price, conversion efficiency is also uncertain, but in order to ensure sales, store inventory stock must be determined, and this period involved in the promotion, supply chain, warehousing and other costs will be difficult to digest.

But unlike big platforms, they shape the heights that many vertical electric dealers cannot reach. What appears to be engaging in retail activities is actually earning a service charge rather than buying and selling spreads.

Before opening the price war, Jing Dong and suning first did the same thing, is the layout of logistics and services.

Jingdong's huge investment in the hope of plugging profitable opportunities into open platforms, including the openness and sharing of logistics decency, is likely to be the most potent value-added point in the future.

Similarly, suning in the National Logistics network and upgrade the operation system is not lost to Jingdong, it is also trying to rely on the open platform for the construction of the supply chain and logistics chain link integrated integration, through the supply chain and logistics services for suppliers to profit.

But most of them suffer from the inability to build their own set of ecosystems, but the cat, Jingdong, Suning, Amazon can, and even open their hands to the vertical to swallow in the hug.

At the present stage, the electronic commerce industry can not fully establish the complementary relationship between the Division and cooperation, and the electric business enterprise still acts as the competitive purchase and sale channel of homogeneous competition.

However, only when the ecosystem is more complete, can the electric trader focus on the fine operation, and provide the service and the core value in depth, thus obtaining the corresponding return and the more sustainable development.

"E-commerce is definitely not a way to put the channel on the internet to do something so simple." The so-called E-commerce is the Internet to the traditional business transformation, only the entire industrial chain platform to move to the Internet, E-commerce is formed. It was not a matter of making money or making money, but of making a lot of money because it was a re-creation of the whole value. "Zeng said.

Is the C2B mode?

As for the reconstruction of the value chain, as the chief of Staff of Ali Group, Zeng has other judgments, of which the C2B business model of personalized customization is repeatedly demonstrated on many occasions. From mass customization to the most personalized customization mode to meet personalized needs, many varieties, small batches, rapid response, C2B is described as the future of the electricity market, the most fat, the most brilliant, the most brilliant piece, will be the future of e-commerce catalytic radical changes.

To this end, Zeng suggested that electric enterprises should more grasp the overall demand, on the platform of E-commerce supply chain, to do on demand and to form a flexible supply chain synergy system.

Although a change in the position of the user in the retail business, but the concept of still remain in the castle of castles, the practitioners have not been able to paint a brighter future.

"Part of the user participation in manufacturing design, production and marketing will not be the mainstream, this is only a small audience performance." Maybe after five years or even eight years, the pattern of real c2b is less than 5% or 10%. Zeng in the elaboration C2b admits.

But this kind of smart supply and demand model, must be built in such a large platform such as Taobao on the basis of large-scale data, and then through accurate data mining to find the right people to grasp the user needs, improve conversion rate and ROI effect. In this respect, the electric business enterprise has the soft rib.

On the other hand, the abstraction and diversity of user requirements also determine the complexity and uncertainty implied by the C2B model.

Meng, the head of the olive oil, pointed out that the user in the purchase behavior before, often not clear their own requirements, only the business has nothing to do with the ability to provide products to the user. If the C2B model is adopted, the directivity of commodities is relatively vague.

At the same time, with the increasingly fine social division of labor, user consumption process also requires professional design or very professional services to solve their inner cultural aspirations, as well as brand guidance. "It has to be a very professional person, because most of the time consumers don't have the brand culture and consumption ideas that lead to their current state of consumption," he said. "Billion Bang Power network CEO Zhengmin said.