Absrtact: Recently, Taobao and the general administration of Industry and Commerce on the sale of fake racks caused many concerns, although the end of the two sides shake hands, but the Chinese electric business in the outbreak of growth, barbaric development in the process of new trends and a series of problems have to let people think: in the user War,
Recently, Taobao and the general administration of Industry and Commerce on the sale of fake racks caused attention, although the end of the two sides "shake hands", but China's electric business in the outbreak of growth, "barbaric" development of the new trends and a series of problems have to let people think: in the user war, price war, logistics warfare, Brand war, capital War and other "infighting" Below, the small and medium-sized electric business operating costs soaring even overwhelmed sell fakes, big electric business Bat (Baidu, Ali, Taobao) with "users" make the princes continue to play the game of burning money, quickly carved up the world and the trend of the Three Kingdoms. Under the law of the jungle, how far can the small and medium electric power companies go to redeem themselves, and the gongchenglvede of the internet era of the "Berlin Wall" is a blessing for consumers and the industry?
Operating costs seem light but heavy
Small and medium electric business
For the electricity business, low price, save money, has been its in with the line under the traditional retail competition frequently resorted to the "killer." However, as competition intensifies and operating costs continue to improve, the days of small and medium-sized electric operators are getting more and more sad.
From "Double 11" "Double 12" to "drop Red packets" "1 yuan Tickets", throughout the electric business "rivers and lakes" in various network marketing promotion, will not leave the basic factor of low price. 48% of consumers choose to shop online because of price factors, according to Eric's consulting agency.
Nanjing Wisdom and Confucianism Investment Management Co., Ltd. Chairman Zhu Yi that the biggest difference between the electric dealer and the traditional retail is that it has no physical stores. In this way, at least labor, rent, depreciation amortization, utilities and other costs are saved, thus providing a possibility for low prices.
Mengjia Taobao shopkeeper operating a foreign trade clothing store has been 5 years. In her view, online things are cheaper mainly supply chain is "short-circuit", intermediate operating costs are reduced. Mengjia said, she is more willing to open shop, one is compared to the entity, the margin is higher; second, "Never close" online shop can achieve 24 hours of real-time transactions, so she can take care of the Nanjing University Audit Professional Postgraduate study. "But now the business is getting worse, the threat of new opponents, the difficulties of exotic buyers ... These all require a lot of labor costs, in addition to participate in the ' Through Train ', ' Diamond Booth ', ' poly-cost ' and micro-blog, micro-credit public accounts and other marketing spend a lot of money. The cost of electricity seems to be ' light ', in fact ' heavy '. ”
China Bank International 2014 published the Retail Industry research report, regardless of domestic and foreign, the electricity merchant expense rate in the initial stage is far higher than the traditional retail. Some data show that in recent years, the average synthetic gross profit of traditional retail industry is about 20%, net profit margin is about 4%, the average synthetic margin of the electric quotient is more than 10%, the net profit margin is negative.
"The electric dealer is not without cost, but has produced the new cost." "Huatai Securities retail industry researcher Xu Shigang said, for vertical electric business, at least to bear the cost of logistics distribution, technology research and development, advertising sales. The cost of platform electric business also includes the cost of the platform transaction, the cost of acquiring new users, the marketing promotion of the portal, the cost of order fulfillment, etc. "After the explosion of the 10, the Internet buyers slowed to below 20%, and the flow dividend plummeted," he said. In the future, the price elasticity space of the electricity quotient becomes very limited, and the cost of electric quotient is rising. ”
Ming fight for dark war play "Burn Money" game
Capital is a "pit"
From 2012 Jingdong Mall announced "three years 0 gross margin" and sword refers to suning appliances, Gome high profile declaration of war began, the price of electricity dealers gradually upgraded to "burning money" war, especially since 2014, to bat and segment industry leading electric dealers as the representative of enterprises by virtue of capital advantage frequently, mergers and acquisitions and equity participation in the movement, Several major strategic camps in the initial formation, electric business market segments into the Warring States era.
Recently, "Quick Taxi" has completed the D round of 600 million U.S. dollars financing, the investment side is Ali Capital, Tiger Fund. By contrast, its competitors "drop a taxi" has already completed, including the Tencent industry win the new round of 700 million U.S. dollars financing, began a large-scale "burning money" to promote special cars.
According to incomplete statistics, from 2012 to 2014, an average of more than 10 business enterprises in the company received tens of millions of dollars in financing.
"' Fast ' and ' drop ' in the Ming race, Ali and Tencent are dark wars. "Lu Wei, an associate professor at Nanjing University Business School, said that the Giants ' hands made the market for the highly competitive segment become more jittery, and the Giants were so caught up in the mud that they were" burning money "and the reality of" bone Feeling "had to be confronted.
Xiaoping, founder of the Foundation, said: "The Internet competition cost is very large, after several rounds of shuffling, 90% of the small and medium-sized electric power provider died." ”
Look at the annual report of the listed electric companies, Alibaba 2014 fiscal year income of about 52.5 billion yuan, of which domestic retail accounted for 85.96%, the growth of marketing revenue slowed down, the proportion of the decrease has been the approximate rate. In the three quarter of 2014, Tencent net profit of 5.66 billion yuan, down the chain 3%, the performance is slightly lower than expected, Jing Dong Net loss of 164 million yuan; where to go net after the second quarter net deficit 422 million yuan, the third quarter and the loss of 566 million yuan;
It seems that the electric dealers are not more than money to start "burning money", the electricity dealers frankly, the capital against the reality is to "occupy the pit." "Have a ' pit ' and talk about profit." "Lu Wei said, at present, drip and fast" burning money "effect has already been beginning to show, mobile interconnection of the entrance almost monopoly, user habits basic nurturance, with the user stickiness further enhanced, the electrical business will eventually be divorced from this unhealthy business development behavior. But in the short term, domestic electric dealers are still difficult to get rid of the "Zaguomaitie" with profit in exchange for customer flow, "lose money to make a yell" of the circle.
Giants Happy Rodeo
Build the "Berlin Wall" of the internet age
In recent years, China's e-commerce on the one hand explosive growth, "barbaric" type of development, on the one hand, the "Spring and Autumn Hegemony", "the Three Kingdoms scuffle." Does e-commerce enter the oligarch era? "Immortal Fights", is implicating or let the people benefit?
Taobao look at a commodity, want to share with Tencent Micro-letter to friends, click on the link to jump after the screen will tell you, browse request "blocked." The two mobile apps that sit on hundreds of millions of of users are sweeping China Mobile's internet, but it's like two parallel spaces. Browsers with a thick PC age imprint are the gateway between giants. Some people call this the "Berlin Wall" of the internet age.
Often at this time, senior net buy "Chop Hand Party" Liu accustomed to and boudoir Honey Exchange network Purchase Experience Way: will be with Taobao name Interface screen, back to micro-letter, the picture to each other, on Taobao search.
If it is under the line to go shopping malls, this is not smooth to the home, online shopping is difficult. The Industry Analysis report published by the Analysys think-tank shows that the cat occupies half of the domestic market, with a three-fourths share of the Beijing-East partnership.
If the field of consumer electric business is already a giant, Taobao in Consumer-to-consumer personal shop in the field of a higher share, almost become a synonym for personal shop-although Taobao has been reiterated that the convergence of millions of sellers of the online shopping platform can not simply be regarded as a business. And as for the network to share the Exchange tools, regardless of Alibaba riveting enough to promote the "contacts" or mobile version of "Wang Wang", micro-letter has always been in the mobile social field of a single big, difficult to find opponents.
After the Giants frantically mergers and acquisitions of "enclosure" in 2013 and 2014, the region of China's Internet has become increasingly clear. A typical day for mobile internet users may be: out of the mobile phone, from out of the taxi, contact work, booking reservations booking tickets to watch the news, map, listen to music, watch video, play games, and even buy vegetables and laundry to find the domestic, around to escape from the Giants under the various applications.
The September 2014 mobile app rankings published by the Analysys think-tank, the top 10 9 belong to the bat camp, the remaining one Sogou input method has been Tencent shares.
Mergers and acquisitions have become increasingly "in the competition", followed by accelerated fragmentation of the pattern. Taobao shielded Baidu's search crawl, shopping in Jingdong can no longer pay treasure payment; Taobao and micro-letter shielding each other; for Ali High hopes of mobile social software "dealings", micro-letter to shield; Ali's fast-moving taxi in the micro-trust platform to share the red envelopes failed, The same as Ali's Sina Weibo subsequently shielded the micro-letter public number in the promotion of micro-blog.
Grassroots electric business is difficult to start
Beware of the oligopoly that drags the industry forward
Whether the electric business industry has formed an oligopoly, the government, enterprises and experts disagree. However, some just past the start of the start-up of the electronic business site but really feel the electricity quotient under the structure of another kind of pressure. Xiaoping, founder of the Fair, believes that the most worrying is not from the market oligopoly, but not market factors.
"I think the internet has become an oligopoly, but it will be temporary," he said. "Guangzhou Fertile Information Technology Co., Ltd. general manager Chen Yan said," I often think, if you open a physical store, in the road at least can be seen, on the internet could not find. The better the sales, the higher the weighting of the search, and the small electricity business does not have resources, just starting a business and not to participate in various activities on the platform, was searched are not found. These can be said to be the hidden rules of the platform. But there is no way, the platform is the main channel after all. ”
Poly Mei Excellent product CEO Chen Au that in the oligarch era, if you are a subset of others, it will be very uncomfortable, more frightening is capital injection, will bring vicious competition. The big price war, it looks like the people short-term benefits, but will suffer, because the whole industry has been impacted, and has not been benign development.
Some of the more optimistic respondents said that the electronic business sector formed today's oligarchy, is the result of rapid development in recent years, market competition, but also by the characteristics of the Internet economy decided. The internet is characterized by low-level centrality, such as the possibility of a user using eight chat software at the same time. From the global Internet industry, the high level of market competition will form the continuous change of giants, compared to many other areas, the Internet is still relatively fair.
But some start-ups have just passed the initial stage of the start-up of the website frankly, they feel the electricity quotient under the structure of another kind of pressure. Mother and infant type of vertical electric business website "Honey Bud Baby" last month announced the completion of the C round of 60 million dollar financing. Liu, founder and CEO, said, "Honey Bud" in the start-up period received a proposal from a large business network purchase platform, "or let me invest in you, or I will hit you." ”
From the shopping guide started to transform to do electricity, 2013 of that field "Taobao block Mushroom street, Beauty said, such as shopping guide website link" For a moment to become the focus of the industry. Mushroom Street co-founder and CEO Chen that today he would rather be more positive to see this matter, "shielding or not, technology is not the most critical problem, the transition is sooner or later to do." My concern is that consumers are satisfied with me? Is my business satisfied with me? ”
For entrepreneurs in the field of electrical business, the fragmented pattern of internet giants has more far-reaching effects on them than on users. "Grassroots network business difficult to start" "small sellers survive difficult" in recent years, the voice began. Although the Giants said that business has never been good, but want to in the trillion-scale network shopping market, after the Ali Department, Tencent and other giants of several times after the war, the shop flow into the entry step by step tightening, concentrated in the hands of the platform.
"Does not form an oligopoly. "Entrepreneur" chairman New Wengwen that capital and technology is profit-driven, mobile. Only the administrative monopoly will form a real monopoly, but in the electric business industry, the administrative monopoly does not exist. Capital likes to profit, while oligarchs grow relatively slowly, so capital will look for other forces to nurture new creative power.
Pangu Ji Library Director Yi Peng that the internet's charm is constantly cross-border, under the rules of the game, the government should create a more fair and open market environment, to encourage large and small electric dealers to carry out more incremental innovation.
"What worries me most about China's internet is not the oligopoly of the market, but the non market factor." The constant influx of competitors creates a huge innovation effect. "The Honest fund founder Xiaoping said.