Big Park's new investment bid farewell to scale game: control marketing spending

Author: Changyan As a start-up, the new investment in the park is considered to be one of the signs of a rebound in capital. Park network start-up, positioning in the brand of the textile network has just closed. Park from bedding, towel products started, but also began to embark on the road of Brand electric business. Last August, the big Park online line, now just eight months later, the park announced that the largest local investment institutions Ding Hui investment under the Ding-Hui capital of a round of financing. The market and business model of the team to attract the capital electric quotient are very clear, the value of the team is very important. Zhiquan, founder of the Great Park Network, told the China Business News reporter, as early as last July, before the park online line, Ding-hui venture to find the big Park on the initiative to invest in the park, the two sides in the investment amount, share ratio, return expectations and other core issues agreed quickly after the agreement signed. At first, Zhiquan didn't want to take the money so quickly. His mentality is to talk with the wind first, did not think of their own conditions, Ding Hui readily agreed, so both sides quickly entered the financing process. In the project, the market, the business model and the team are the three elements that the venture capital considers. The market and business model of the electric dealer are very clear, the value of the team is very important. The reason why the park is being chased by capital is due to its luxurious entrepreneurial team, according to a pioneer investment banker. In the early stages of development, the electric business industry due to the lack of experienced management personnel, investors in the investment more value "mode", and after years of development of the electrical industry has accumulated a large number of talents, many operating models have been relatively mature, then the capital investment will certainly choose experienced team and founder. In the Great Park's entrepreneurial team, the team members have the field of electrical business experience. Zhiquan 2006 set up a team to create a century electrical network (renamed as Bowser Network), and finally successfully sold to the United States, one of the partners Shonyong has 18 years of home textile industry work experience, is one of the U.S. National textile brand Holland's China general manager, home textile industry and products at hand. The network team of many people have been Bowser network vice president, team members have cooperated for many years, established a good tacit understanding. These are the elements that capital throws at a start-up. In addition, the park is China's only positioning in the high-end group of home textile business enterprises, for a segment of the population to provide high-quality products and services to meet the trend of China's consumption escalation. Farewell to the scale game to get the first investment of Ding Hui Venture, Zhiquan is not going to spend a lot of money on marketing. He believes that the park should focus on improving product quality and service levels at this stage. In the last round of financing in the electric business industry, the greed of capital makes many electric enterprises which should develop according to their own rhythm into blind expansion, and some enterprises even get out of control because of speeding. To do channels or to do the platform of the electric business, speed and scale may be a competitive weapon, but for the brand electric business, the blind pursuit of speed is very dangerous. Faced with concern, Zhiquan said the big Park does not exist under the capital pressure urgently need to expand the scale of the problem. Ding Hui Ventures in the framework of investmentThere is no demand for the performance of the park, and the idea of the quality of the park and do not rush to pursue the pace of development of the scale of recognition. In addition, the park's entrepreneurial team had a year to do billions of yuan performance experience, so there is no excessive desire and curiosity on the scale. With Wang, "the scale of the game has been seen." Because of this, we will be very rational to restrain the impulse of scale, and can withstand loneliness. Otherwise, it must be used in low-end products to scale, blind expansion category. Practice has proved that this route can only bring short-term prosperity, and brand-making route is contrary. After getting the first investment of Ding FAI, Zhiquan is not going to spend a lot of money on marketing. He believes that the park should focus on improving product quality and service levels at this stage. Although the park has a very good product, but there is no "works", that is, signs, signs of products. In the future, Park will strive to find good designers and design companies to cooperate in the production of its iconic products. In addition, fine operation is also the next step of the network need to invest in the direction. For example, the new product on-line SMS marketing, General Electric Business Enterprise's practice is to send text messages, but many products have seasonal and regional characteristics, users also need to discriminate. For example, September Quilt online, at this time the Northeast weather has begun to turn cold, consumers have produced shopping needs, but the southern weather is still relatively hot, consumers do not need to buy, at this time if the text message will not only cause waste of resources, but also to some consumers caused harassment. Therefore, before the short message marketing, the electric business enterprise should at least do a geographical analysis first, determine which areas of the first notice of consumers, and then inform which areas of consumers. This is just a simple case, and to achieve accurate communication, fine marketing, but also to build a strong CRM system. In this regard, Zhiquan said, the network will be in the CRM to increase input, and users to achieve more accurate communication, rather than spend money on the surface of marketing promotion. Products are still not out of the bedroom to select suppliers, do fine refinement operations, Zhiquan is going to spend money in the invisible place. In his view, once the brand from quantitative to qualitative change, scale is natural. Despite the support of capital, the network is still very "slow" in category expansion. "We now have only 300 SKUs, although the category has been expanded to underwear, slippers, storage products, you will find that our products are still not out of the bedroom." "Zhiquan said. Zhiquan thinks, the electric business enterprise wants to obtain the success first must locate accurate. The park is the first to determine its core user groups: Focus on quality of life in high-end consumers, and then product layout and category expansion. The current network of products mainly 8 categories, in order to meet the high-end consumer demand, all goods to safety and comfort is headed to pursue the goal. "The sales we set for ourselves this year are 30 million yuan, which is a very low performance for the electric business." Zhiquan says the low performance is to keep the team focused on quality. It is often difficult for a start-up to work with a large supplier, but the quality of a small supplier is not guaranteed. To ensure productionProduct quality, the big nets initially in the towel, bed products are the choice of large suppliers, but also tasted sweetness. Recently, Zhiquan and a well-known European underwear brand supply to discuss cooperation. Large suppliers need a big investment, underwear as an example, the supplier of single monochrome will be 5,000 set. However, not all products require large suppliers. Such products like socks can choose some of the domestic quality of good medium-sized suppliers, because large suppliers are using machine sewing socks, socks head is relatively hard, and medium-sized suppliers sock head part of the use of hand-stitched, sock head soft, so that socks wear comfort greatly improved. Select suppliers, do fine refinement operations, Zhiquan plan to spend all the money in the invisible place. In his view, once the brand from quantitative to qualitative change, scale is natural.