Aggregation mode: How electricity dealers destroy traditional business models

Chairman of Beijing Tin en Enterprise Management Consulting Co., Ltd.

All the traditional enterprises, whether it is Vanke, such as real estate enterprises, or Haier, such as consumer electronics enterprises, their strength is based on one of the most basic elements, that is, scale expansion. Today's electricity dealers are destroying traditional models of scale expansion, just as millet is destroying domestic handsets and Tencent is destroying mobile unicom.

The millet pattern may not be perfect, Tencent may still be naïve, but if you do not understand the aggregation of millet and Tencent Model (aggregation)-Alibaba also known as C2B mode, then, now has the wealth and status, will become flying in the wings of gold, become a burden of your fall.

The competitive mode of traditional enterprises:

Bigger is the only option

Many people believe that the biggest value of scale expansion is economies of scale, in fact, the scale effectiveness of traditional firms has long been hedged by its bureaucratic management. The advantage of large companies is that they control the channels, such as Vanke's size allows it to easily access land resources, Haier's size can make it easy access to the market.

When I was speaking to EMBA students at Guizhou University, I said, "the best business complex in Guiyang, all the products sold are not Guizhou?" I do not object to the opening of the market, I would like to explain that in the industrial revolution, the so-called market opening results, is the Big Mac enterprises to the "store" monopoly, the distribution channel monopoly, this monopoly makes small companies more and more difficult to start a business.

I think, no matter what standards you use, if small companies more and more difficult to start, then this market environment must be against the market. Without a large number of small companies to start a business, large companies can lie in the brand monopoly of the credit books to sleep.

More importantly, where is the customer? No matter how big companies advertise customer-centric, essentially customers are "investigated" Objects: survey you, understand you, and then "Hypnotize" you, this is called "The Art of War" in the "push-style" marketing game, consumers are always the object of marketing. The reason is very simple, large companies control the transmission channels, to see the value of CCTV standard King, understand.

In my contact with the Chinese entrepreneur, the most vigilant "scale worship" is Wang Shi, when proposed Vanke 10 years of billions of strategic objectives, he was disgusted, because in his mind Vanke is a promotion of humanistic spirit of the company. But in the traditional development model of real estate, big is the inevitable choice, this year Vanke is clearly one of the pronoun of real estate scale.

At this point, Li know more clearly, he often put the slogan is: "Big not necessarily strong, but not, doomed not strong." This is the truth, speak out the essence of the development of traditional enterprises, that is the industrial revolution is a "space scramble", who has the most resources, occupy the largest space (physical space and communication space), who is the boss.

The so-called electricity quotient is actually a simple business phenomenon, that is, business is done through the Internet.

What are the characteristics of the Internet? is to completely subvert the limits of space. Internet enterprises from the birth of that day onwards, there is a revolutionary spirit, that is, not like Vanke, Haier and the same emphasis on the possession of space resources, but like Apple, the emphasis on customer time resources of possession.

In other words, companies such as Google and Alibaba, they do not have any space size, they have a customer's time to occupy: Because customers save time to use the company's products, Google saved time to get information, Alibaba saved time to buy, and consumers can use anytime.

Especially mobile internet. Mobile internet allows businesses to "0 cost, 0 time to reach customers", no matter where you are, mobile Internet can be connected to you in an instant, I call this phenomenon "instantaneous connection"--instantly can connect any person on Earth.

For example, the FBI released the "10 Wanted men (Ten Most wanted)", via mobile internet, 10 seconds later, a Central American resident found one of their neighbors, and then immediately "letters" to the FBI, half an hour after the arrest.

Charles Martin, the famous American network strategist, Chack Martin this phenomenon as "global thinking", and I call this phenomenon "instantaneous aggregation", that is, the "police and people's 0 cost contact" caused by the way of information transmission, thus completely changed the mode of "police catching bad guys"!

Chack Martin (Charles Martin), more than 10 years ago, in the digital Empire (the digital pence), said that the ability to understand beyond the space to see the problem is a leap of thought, and in the network of the Borderless empire, aggregation is far more effective than the brutal competition.

Yes, the focus on the limited space resources called competition, the vision of the infinite combination of customer value is called aggregation, from the competition of limited resources, to the aggregation of global resources, which is the biggest electric dealers to the traditional industry subversion!

Millet mode: Why Millet can easily beat domestic mobile phones

The story of the American FBI wanted to explain the truth of the electric-business revolution, which is that no matter who, suppliers, manufacturers, consumers, or even channel business, no matter what the person, whatever, can be "instantaneous aggregation (Aggregation)", mutual aggregation of objects.

This is essentially the principle of millet mobile phone mode, regardless of the results of millet, lei do is a new internet model!

The core of this pattern is that he uses very low cost in Weibo and online communities, "instant aggregation" of a large number of loyal customers, and then "instant aggregation mode" To do the phone supply chain, in theory, he can access the world's best suppliers, the quality of such suppliers even "may" exceed the apple.

Why? Excluding operating systems, Apple's suppliers theoretically can become a supplier of millet, millet in the "mobile phone" on the defeat of Apple is entirely possible, of course, the strong Apple is not in the "mobile phone", and in the "Content platform", which is also millet will never become the reason for Apple!

Although millet can not become apple, but Millet beat Tcl mobile phone, beat Lenovo Mobile phone, beat the Haier phone is lightly loose, the truth is very simple, this is the two ways of thinking and business model of the contest, domestic handset manufacturers are completely Motorola era of products, but also stay in the traditional supply chain (survey-design-mold-manufacturing-channels- Service), play the most original size game.

The most clearly known aggregation pattern,

is Alibaba

The most clear understanding of this business model is Alibaba, Ali Research Center proposed "C2B" is the mature model of the Internet, which is very insightful (insight) conclusions. This conclusion simply says, is the internet mature business model, is "Order + consumer participation product Customization + electric Business platform".

Millet is in fact the representative of this model, the only regret is that millet company on rice noodles "circle culture" understanding is not enough. Lei is an excellent entrepreneur who has insight into the spirit of the Internet, but he clearly does not understand the principles of sociology, that is, any power and culture combat, Victory must be culture!

Back to C2B mode. Familiar with Toyota's JIT model, the Toyota JIT model is C2B, which is the ultimate in the traditional manufacturing system, the so-called "flexible manufacturing". But Toyota is too difficult to learn, and today, every company can through the instant polymerization of the electric business model to achieve "flexible manufacturing", the realization of Toyota JIT, orders first, completely without the flexible production of inventory, which is what I said, the electric business is destroying the traditional commercial model.

Nokia is close to death, Motorola fragmented, the Chinese favorite two brands of the decline is not accidental, because the mobile phone field, the Internet is the most competitive battlefield, so the traditional giants fall the fastest. I am a faithful believer in Drucker and a follower of his theory, and according to Drucker, destroying giants is not technology, but a changing client.

Without electricity, then no business-

All wars are fought for customers.

I want to ask all of you to think that the electrical business has nothing to do entrepreneurs or employees who have nothing to do with their own industry remember, do not look at the industry and products, to see your customers, as long as he is on the phone every day to get information on the Internet to find the answer, then, you are in the industry has been electric business, because, Your competitors are likely to be "instantaneously connecting them" and "aggregating them" through the mobile internet!

Isn't it? All wars are fought for customers, and the winners of all wars are the companies that have succeeded in acquiring customers. And all the customers are people, all the people are changed by the mobile Internet, now, you also say, you are far away from the electrical business?