Behind the storm: traditional industries and electric dealers encounter melee

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Daily sales amounted to 25 million yuan, monthly sales of more than 1 billion yuan of heavy direct electric business enterprise------------------------American cosmetics an unprecedented crisis of confidence--in 3 15, an Excel form in the name of "internal staff", "purchase List" was magnified again, known as the procurement details of Poly-Mei Excellent products , the post said that the product source suspicious and high profits, the move triggered a hot discussion of the U.S. electric business.

Although it was later confirmed that the poster has been convicted of false data fabricated by torture, but Poly-mei excellent product turmoil by a variety of media interpretation of the rapid expansion of the electric business industry has launched a big discussion. South reporters survey that, at present, to participate in the cosmetics network to purchase the main body is very diverse, including cosmetics "Amoy brand" Internet cosmetics brand, there are Pat, ebay, Cat and other Internet channel brand, and cosmetics traditional enterprises also involved in it. According to the Iris consultation, 2015 such online shopping transactions are expected to be more than 120 billion yuan, and that the next two years, cosmetics in the field of electric business will appear listed enterprises.

Market cakes are zooming in, and how can the consumer's confidence crisis be defused when consumers are questioning the authenticity of the electricity dealers? Our storm, in fact, is a business game, cosmetics electric dealers planning the history of blood and tears. "March 18, interviewed by reporters in South China," said Liu Huipu, senior vice president of the United States.

Do fast companies and they do this rapid marketing expansion

This is a real "fast Company", two years ago, this is a nameless company. Now, Poly-Mei excellent products for men may be a strange word, but for the female consumers proficient in online shopping, but is familiar with the ——— you can not know L ' oreal, but can not not know the Poly-Mei excellent products.

Founded in 2010, only spent two years, relying on the very prosperous group buying advantage, Poly-US excellent products quickly become the leader of Domestic cosmetics group purchase. Liu Huipu to the south, the reporter revealed that before March 1 this year, Poly-Mei Daily sales breakthrough 25 million Yuan, and March 1 after the sale began, sales burst.

Why can rapid marketing expansion? Liu Huipu revealed that Poly-Mei excellent product gross profit margin of about 20%, because the market costs and warehousing costs are relatively low, so has been realized profitability, which provides an opportunity for sustained marketing expansion. There are a lot of investment institutions in the process of engagement, "but in fact, we do not have too high demand for funds, not anxious to do too much financing." ”

In addition to directly do mining sales, poly-Mei also carried out a platform open, such as some Amoy brand, can be in the United States as a third party shipments, gathers the United States to provide flow. "We will take a very detailed assessment of the open platform cooperation brand and ensure that it is at least the Cat flagship store authorized." In addition, Poly-Mei adhere to do channel brand, but also began to dabble in a small number of own-brand products. Like Best Buy also has its own TV and other home appliances, hundred homes also have hundred homes licensing bulbs and building materials. According to the disclosure, the current poly-Mei introduced a cotton, cosmetic tools such as relatively marginal, ancillary products.

Liu Huipu Frankly, poly United States want to and brand together to jointly develop products, the introduction of Poly-Mei for products, the current joint product sales share has reached 10%, these exclusive products in the market will avoid price wars and other vicious competition, "I believe this part of the product share, to the end of this year can sprint 20%." We will not do daily promotions, only in a specific holiday and brand authorization to do the promotion, blind promotion price war on the industry has hurt, but also hurt brand value. ”

"In 2012, the United States sales of 2.5 billion yuan, this year's target is between 6 billion-10 billion yuan." "Liu Huipu predicted that if no accident, the second quarter of the United States monthly sales can reach 1 billion yuan."

But the accident really happened.

Electric Trader's "nonsense" scuffle disrupts rhythm

"Online sales of cosmetics 80% are fakes", a few days ago, beauty Li Makeup CEO Huang A word, the entire cosmetics electric business industry to the forefront. This is sensational, or the industry status quo, which is to do the U.S. makeup group buying electric business giant, has a very strong consumption misleading role. Authentic, fake, ill-made, parallel imports flooded the market, consumers how to distinguish?

And coincidentally, the former Poly Beauty Cosmetics procurement Commissioner for the title, known as "knowledge of poly-US procurement" in the Netizen Gu Sumau 17, said that 90% are fakes, and Excel form forged a "Poly United States purchase Orders" sent to Tianya, the price of the low, so that onlookers uproar. These forms are below the market price of more than 10 times times the purchase price, let the onlookers crazy ——— sold cosmetics than drug trafficking also make money ah? This post tens of thousands of reply was top to the Tianya hot spot, instantly spread over micro bo, watercress, school, became the hottest post. Reporter learned that after the verification is purely fabricated, the netizen was the local procuratorial agency for commercial defamation charges, is currently in the bail stage.

"To be a dealer, we take guns lying down as a routine. Liu Huipu to the South reporters frankly, in the cosmetics electric competition, the same kind of enterprises are often a life-and-death business. This is "black", unfortunately, the real situation of unknown industry audience is widely misleading, because ordinary consumers do not have such a strong ability to identify. "If you are a little careful, you will find that there are countless mistakes in the post, 30ml products only than 7ml of the supply price of 1 yuan, bottled is loaded and sample a price, and even cheap ... Like our big electric dealer, the purchase is the software system orders, does not use Excel. ”

"We obviously underestimate the power of rumors, and the bigger challenges are waiting for us," he said. A large number of blue V, Red V and other peer electric dealers have forwarded Tianya posts, to the United States to make a big deal. And some ulterior motives of the media, together to ask for questioning. Although we will be the corresponding authorization information and legal operation of the whole, but these agencies, still on the United States product sourcing, licensing, distribution channels, logistics system, and so on, launched a comprehensive question and slander. Liu Huipu reluctantly said. "Our flow began to rise, sales began to fall, in the team's assessment, we think all this is a big negative sign, because the return rate began to rise ——— we have been adhering to the 30-day unconditional return, a piece of Kaifeng products refund, so that the loss began to expand. ”

Li Junhong, a lawyer at Guangzhou and law firm, believes there is no winner in this negative hype contest between cosmetics dealers. Any vicious competition is an industry misfortune, the whole cosmetics electric business industry was malign, actually injured not only the leading enterprises. Liu Huipu also said, "Our new advertising planning brainstorming session, when someone proposed ' even though the black and blue, but also to live beautifully ' in the slogan, we unanimously passed." South all reporters learned that early this month, Poly-Mei excellent products launched the "301 Promotion", in the three-day activities, Poly-Mei excellent products have a total of 1 billion yuan. But after the end of the Tianya event was magnified again, the situation plunged.

Can cosmetics dealers continue to be "pretty"?

To regain the confidence of the women in the online shopping is a difficult problem for the cosmetics electric dealers. But it is clearly difficult to make a difference by one's own strength. Recently, under the support of Zhongxiaoxie, Poly-Mei excellent products began to return to normal operation of the track, United States to sign a number of brand name "China cosmetics electric Dealers Genuine Alliance self-discipline proposal", Liu Huipu said, we are committed to 100% authentic, if the United States to sell fakes, we now turn off the company. For me personally, if the fraud will be ruined. "We are the first in the United States to promote the electrical business of the original alliance of the Electronic Business enterprise, the first batch of response to more than 40 brands, each month has a new brand to join, we advocate the real, advocate first pay, and brand to fight together to serve customers." ”

South reporters learned that, in order to ensure credibility, now many cosmetics dealers have begun to work together cosmetics production enterprises, to build a common authentic anti-counterfeiting network inquiry platform. "Many brands have security code, such as the Silk Tower, a AA net." We have been thinking, only the establishment of security code, and then the official website to inquire about the way to truly solve the consumer's purchase concerns. "Liu Huipu thinks, gathers the United States is the electric quotient beauty makeup industry flagship, the user most questions the voice also most," From now on, gathers the United States will and the related cooperation brand, promotes the authentic Security Code Network Inquiry work together, the fake trader will have nowhere to hide. ”

Reporter observation

Who is playing the cover of "Cyber fakes"?

China electric Business Enterprise "soar" wonderful story, always with "fake rampant" of the suspicion accompanied. Taobao from the "microbial" evolution to the "big Dinosaur", all the soul-stirring almost all concentrated in the "gray interest chain" of the pinch rack. Jingdong Mall financing constantly at the same time, "fake rampant" gossip is constantly. This time, by public opinion pushed on the cusp of the Poly-Mei excellent products, is also "suspected of selling false."

At first glance, these stories seem to point to a conclusion: the sale of fake is an epidemic of online shopping. If you say more, the conclusion becomes conclusive. But further research will find that "fake rampant" is not unique to the network shopping channel special phenomenon, department stores ultra and other traditional sales channels are also difficult to be immune. However, the network shopping platform is a full of turmoil in the business world, a sign of trouble, people know all. A person complained, million people onlookers.

Of course, the virtual nature of the web does give the "counterfeit rogue economy" convenience. But an ironic fact is that Taobao, Jingdong Mall, Poly-Mei excellent products, such as the "sale of fake scandals," the more the more the flow, the larger the sales. Continue to enlarge the level of view, although the audience is convinced that "online shopping market fakes rampant", but netizens online shopping enthusiasm is soaring. China's E-commerce Research Center disclosed the latest monitoring data showed that 2012 China's online retail market transaction size of 1.32 trillion yuan, an increase of 64.7% per cent, is expected this year to reach the turnover of 1.82 trillion yuan.

Therefore, those from the Internet to peel off the surface of the prosperity of one or two layers of floating ornaments, to explore the source of online shopping products and profits of the "secret" is not enough to explain the "fake rampant" phenomenon of the true nature. To know that the market regulation has only "invisible hand", this "invisible hand" according to People's needs to guide the market. For consumers, there is a saying that the slogan is good, "only the right, do not buy expensive."

In fact, China's online shopping market after nearly ten years of cultivation, goods supply, after-sales service, credit construction and other consumer links have been quite mature, at this stage by the people of the "fake fakes", has been different from the early market flooded with "quality and shoddy" products, more is not licensed by the brand's formal licensing "channeling goods" products, Starting from its roots: that is, brand and channel, online channels and offline channels, electrical and electronic business between the eternal struggle.

LV, Gucci, Chanel, Lancome and other international brands have claimed that in China does not authorize any website to sell its products. That's because international big-name companies set the same high retail price for every channel that buys their wares and use a fixed discount tactic. If there is any channel to give a higher discount, they will stop supplying products to them. This approach and online shopping platform to pursue the "price knife" strategy is obviously inconsistent. As a result, the site's brand-name commodity sourcing problem has become a worldwide problem. and in order to maintain high prices, the international brands artificially create shortages, the use of "higher tax" marketing strategy. Porioni in Rogue economics, "the aggressive marketing strategy of Western companies has made counterfeit industries a big benefit, and the daunting price of luxury brands is at the root of the strong demand for imitation designer goods." ”

But now the situation has also changed subtly. Since 2012, more and more brands of American cosmetics began to do online channels, including the L ' Oreal group, such as the group of transnational giants such as Procter and Gamble. The first "shock" brand for its two or three-line brand, such as L ' Oreal and Maybelline in Paris, Procter and Gamble under the company's Olay and Misforda, but the future does not rule out a wider range of licensing. and in order to obtain international brand dealer's authorization, each channel business fights, Ming is engaged in the marketing war, the price war, secretly each other smear, is often the matter. It is no wonder that the senior vice President Liu Huipu, "Our storm, in fact, is a business game, cosmetics electric dealers planning The Battle of Tears history." ”

Obviously, this is a restructuring of the business forces, the new era of institutional change, the "forgery" problem can not be easily differentiated by right and wrong. The fulcrum of solving the problem should be put on how to establish a legal new business law, let the brand, channel, distributor and consumer benefit. Perhaps, under the support of Zhongxiaoxie, Poly United States excellent products combined with more than the United States to sign the brand "China cosmetics electric Dealers Genuine Alliance self-discipline proposal", is a useful attempt.

The change of Consumer-to-consumer and the proportion of the Chinese cosmetics online market in 2010-2011

b2c13.5%

c2c86.5%

b2c29.2%

c2c70.8%

Data Source: According to Iris Statistical predictive model accounting and estimate data