Cool network frequency, close the door, layoffs and other adverse news

Even if there is a luxury discount site will submit documents to the IPO of good news, but luxury goods sales in the Chinese market has repeatedly encountered bad news. A few days ago, Swarovski (Shanghai) Trading Co., Ltd. announced that the company has so far not authorized any website in China to sell Swarovski products, it can be seen that the channel between luxury goods manufacturers and electric dealers still impassability. At the same time, after a number of luxury sites have been laid off, after the collapse, yesterday again burst the domestic luxury electricity website Zun Cool network occurred significant personnel changes. Some people in the industry said that the current luxury goods online sales still have a few major problems: such as the supply is difficult to ensure that the profit model has not been found, logistics is difficult to control and so on are still China's luxury sites and other electric network luxury goods sales bottleneck.

Text, table/journalist segment Chen Group

Situation

50 percent, even low to 10 percent, relying on a huge discount, from the end of 2009, a large number of luxury sites, luxury goods such as consumer "aristocracy" gradually become the "darling" of China's electric dealers. According to incomplete statistics, the current domestic traditional luxury website has dozens of, including still goods network, walk show net, only goods will, cool, poly fashion, Jiapin Net, Five Avenue, global excellent products, such as dozens of, and in addition to these luxury sites, including Jingdong Mall, Sina, NetEase and other electric companies have joined the "luxury" network sales competition.

NET product net loses 100 million dollars last year

But so far, many luxury sites are still "burning money to make a yell." Data show that the only products that have submitted IPO documents in 2009, 2010 and 2011, only the net revenue of the goods will be 2.8 million U.S. dollars, 32.58 million U.S. dollars and 227 million U.S. dollars respectively, the net loss of the same period is 1.3807 million U.S. dollars, 8.3658 million U.S. dollars and 107 million U.S. dollars.

In the burning of money to make a yell at the same time, the development of a number of luxury electric dealers is not directly proportional to the pay. From the end of last year to this year, continued to burst the luxury website closed, shutdown and personnel vibration and other adverse news.

Frequent closures, layoffs and other adverse news

Yesterday, the news revealed that the domestic luxury electric website of the cool network recently occurred a major personnel shock. The original Cool NET Chairman and CEO Hou Yu Xinjiang has left the company, the company temporarily by the cool net former vice-president Wen Yi as CEO and management, while the company's overall team for layoffs and pay cuts. Reporter yesterday to visit the cool net to see, management team introduction, the CEO has been a cool network Wen Yi (English name Claire).

And before, has already burst netease still goods net closes, the Expiratory gateway stops, the product gathers the net to announce because the capital chain break cannot continue to operate. At the same time, some news outlets such as the show Network and other luxury goods dealers face layoffs, and the U.S. high-end brand coach closed last month in the day Cat Mall flagship store. Insiders said that from the end of 2009 swarmed, to the current bad constantly, luxury sites and the entire Chinese electric industry development with the rise and fall, and did not come out of a unique industry road.

Problem perspective

Supply instability

Some media quoted Shangxiang, a southern China electric trader, as saying that almost 100% of Chinese electricity dealers have not been authorized by foreign luxury enterprises. It is understood that some large luxury brands in order to protect the interests of physical stores, almost not authorized to sell the site products, so the source has become China's luxury electric business development of one of the biggest bottlenecks. There are insiders told this reporter, the current domestic luxury sites are most of the source of goods from the dealer, or overseas purchase, or buy brand tail goods, resulting in the luxury website source instability. Mo Dai, an analyst at the China e-Commerce Research Center, said that the problem of providing a good supply chain for discounted luxury sites is one of the core issues.

No mature Profit model

From the current situation, many luxury sites are relying on advertising to promote vigorously, there is no mature profit model. According to the China Electronic Commerce Research Center published in the "2011 China Business E-commerce Industry Research Report," the monitoring data show that by the end of 2011 China's luxury shopping market size of 10.7 billion yuan, growth rate of 67.2%, and to 2013 China's luxury net shopping market will reach 23.76 billion yuan. Although the market growth rate is fast, but because of the current marketing costs and other operating expenses, and the profit model is not mature, it will appear in the current domestic luxury sites are most of the status of burning money to make a yell.

Third party logistics is difficult to control

It is understood that at present many luxury sites do not have to build their own logistics channels, are adopted with third-party logistics companies to cooperate with the model. China E-commerce Research Center, said that luxury goods as a special commodity, in the logistics and distribution of higher requirements, if the luxury site using Third-party logistics for commodity distribution, so in the commodity packaging-shipments-to users and other links will be difficult to control and grasp, So the probability of the goods appearing in transit is greatly increased.

Academics: Online luxury goods should be combined with offline activities

For the plight of the current luxury website, Professor Chen, of the South China University of Technology, said that luxury is a very personalized thing, not suitable for online sales. Because of the lack of depth of service, the sale of luxury goods online does not allow consumers to experience a high level of consumption, Professor Chen believes. Professor Chen suggested that the first thing to make the site to let consumers feel very grade, let consumers first of all have a visual experience of high-end consumption, in addition to online sales of luxury must be closely linked with offline activities, in-depth service to consumers, improve consumer good consumer experience, thereby increasing consumer desire to buy.