Details of the electricity business: Suning detailed on line or encounter agents boycott

Silicon Valley June 6, Suning recently announced that will be from June 8 onwards, all Suning stores nationwide, Tesco store sales of all goods will be with suning easy to purchase the same price, which is also the important step of Su Ning to run O2O mode.

How to achieve the same price online? Are investors and suppliers approved? Will the same price affect the margin? June 5, Suning held media communication, Suningyun vice chairman of the Weimin, Suningyun Business President Kim Jinming, such as Su Ning high-level detailed online pricing strategy.

How long has the same price been prepared for online?

Weimin: line with the same price, we planned for six months, starting from the end of last year brewing. Early this year, suning organization structure adjustment, determined the line under the integration of the development strategy. In the past, there were two channels, two brands and two operating systems on line. Now become a company, two windows (Tesco and offline stores), sharing back-end inventory, logistics, information and services.

In the running process, it is felt that the bottleneck of fusion is the same price problem. We and the supplier of in-depth communication and communication, has been most of the supplier's understanding and recognition.

Last August, the same price line was in Beijing pilot, but that is promotional type of the same price, local and local category of the same price, the way is artificial adjustment, is now the national advance.

Second, how to achieve the same price line online?

Suningyun Senior Vice President Jingun: June 8, the full implementation of the line under the same price, means that the background system is fully integrated, a procurement system, a customer management system, a set of operating systems.

Weimin: We clearly promise that in the same commodity inventory and logistics Radiation area, following the same commodity category 100%, commodity prices are 100% convergence, if there is inconsistent price, it is low high.

In the past, is only suning easy to buy the whole network parity, today, Suning's storefront also participate in the whole network parity. Goods, prices, services, price is a very large experience, if the price is not competitive, the whole network parity also has no value.

But for certain prices, Su Ning can not blindly follow. For example, not on the scale of the enterprise, the price of the state can not be judged; there are some limited-scale products of some size companies, probably as gimmicks and fishing, not necessarily to follow. In more than 90% of the conventional commodity management, Suning's price must be competitive.

What are the difficulties and obstacles in the process of online pricing?

Weimin: Most suppliers agree and understand the same price on line. Now suning distribution of goods accounted for more than 95%, these goods are not a problem. Some products have regional agents, channels exist regional cutting, there may be some problems, but accounted for a negligible. If there is partial boycott, will take the buyout way.

Whether the same price on line will affect the profit?

Weimin: First of all, the past offline pricing, often appear peak trough of the promotional pricing, weekend and holiday prices are low, we generally think that the price is cheap online, but in fact the real store in a specific time than the price of cheap examples abound, but is not the normal.

Second, objectively we do the internal calculation, the implementation line below the same price, the overall gross margin of the store will appear phased decline, but definitely not a substantial decline. Even if gross profit margins fall, the impact on overall profits is not necessarily a simple decline. Because of the decline in store prices, it must be accompanied by sales growth. Either way, it's not a fundamental thing. Because, if different prices, can not meet the needs of consumers, even if there is profit is immediate and unsustainable.

V. What role does the entity store play?

Weimin: Suning Future Entity shop, is no longer a simple entity shop, with sales, display, experience, service functions. Shop equivalent to another entity shop, just 24 hours of business, and physical store positioning is no different.

In addition to experience, service, display, even as a sales platform, physical stores also have advantages. But according to the traditional store development, there must be no advantage, must be optimized.

In the Internet age, how to open a physical store? One is to open a large shop, large stores can provide display, experience, service functions, many regional stores can not solve this problem, so to turn off. Second, the total number of stores will increase, we still have a lot of two market blind spots, three-level market gaps, these places further expansion.

Jingun: If the user orders, the attachment of the store inside the goods, will choose to ship from the nearest store. Maybe you are in the Office of the bustling office, 30 minutes to get the goods.

But stores are not all goods have, the future may be from nearby stores shipments, may also be from the nearest warehouse shipments. "Original title: Suning detailed line of the same price: agents or boycott the policy"