Do companies sell profits or sell sound to make money?

Internet stations, watching the news, see more is now the same as the company's corporate promotional ads, click to where all are unified style, a unified image appears, not surprised to sigh about the speed of e-commerce development of these portals brought new advertisers, At the same time, whether these enterprises have enough financial strength to such crazy advertising Khanyi, China Electronic Commerce Research Center reporter (hereinafter referred to as reporters) for you to tell another E-commerce enterprise selling benefits or selling reputation story.


background: Famous Show mall belongs to the shopping platform of the network, is committed to build the world's leading fashion brand discount online mall, focused on the Chinese women's popular consumption fashion, in the decorating network (information + Community + Mall) Innovative mode of cultivation, after more than a year of rapid development, Famous show has become a very influential shopping platform for E-commerce in China.


was asked the famous show has been on the home page of NetEase ads, investment return is to earn is deficit, decorate net CEO Hu Fei said NetEase high cost of advertising, through the existing product costs and current sales to calculate, advertising investment return is not high. Since not low, why still want to continue to put on, Enterprise's mission is to pursue profit, maintain the normal development of the company, Hu Fei to famous show such uncharacteristically advertising investment is not another intention, in the end what is the gourd inside the drug, profit or reputation? Hu Fei will answer one of the mysteries.


Hu Fei said: The development of e-commerce needs to be nurtured and precipitated for a long time, although many large business enterprise sales record record, but not a new profit, still in the development stage of a happy enclosure, famous show also need through a variety of marketing means to develop users, cultivate user loyalty. NetEase advertising in the launch of our conversion did not get maximum ROI, but from the user base, user satisfaction and users of the entire famous show mall recognition has been a very big upgrade, this is our pursuit of "profit", so that customers really feel the famous show to bring them is the brand price.


takes the user as the center, quickly shapes the brand


2009 CNNIC Network Shopping Market report that: Word-of-mouth is the main way users know about shopping sites, most of them through their friends and relatives recommended. Famous show will also focus on improving the user experience, Word-of-mouth spread. The first is the completion of the website Platform User Center of the comprehensive revision, increase product consulting, integration interaction, the use of experience to improve the function, followed by the optimization of shopping flow, to simplify. Now too many shopping malls require registration to buy, famous show actively explore the opening of fast shopping channels, with the major banks and third-party electronic payment tools to cooperate to provide a convenient and secure payment interface. Detailed classification of the website information, accurate and effective dissemination of product information, especially the user comments and use of ideas to organize and arrange the centralized display, and actively open complaints and suggestions channels to improve service levels.


continue to provide Low-cost brand merchandise, to fight the user's awareness, on the one hand, improve the credibility of their own shop to ensure that, at the same time through policy supervision, promote the purchase channel transparency, to consumers more channels of information. Actively participate in online shopping consumer rights protection services, such as: China Integrity 315 Rights Network.


not only pursue profit, but also pursue reputation


in NetEase advertising, just our marketing means a way, but does not mean that we give up profits. Because I also need to bear the healthy and stable development responsibility of enterprises, decorate net group's overall income enough to maintain several or several projects investment development. The famous show's operations team did not create the industry's most influential sales, but produced more than 300,000 of the loyal and active "show guests", the follow-up value they bring will be invaluable. At the same time, the concept of "famous brand" continues to magnify the impact of the pursuit of domestic front-line fashion brands with the manufacturers of giant cooperation, joint promotion or create their own brands to promote. By reducing the additional cost of intermediate channels, it is practical to realize the "famous rather than expensive product".


operations Director Liang announced the current operating data: The entire site's users, clicks and orders are the number of geometric speed rise. Up to now, the famous show more than 300 orders per day, each sales amount on average more than 300 yuan, repeat the purchase rate of more than 40%, gross profit reached 15%-20%. A daily turnover of more than 100,000 yuan. But we still keep a clear understanding, in the pursuit of profit at the same time, but also to pursue the reputation, and constantly put the famous show to a higher brand height, to bring customers a one-stop fashion shopping value enjoyment.


Reporter comments: Any enterprise to create a brand needs to experience many frustrations, not only money investment, more is the need to sincerely communicate with users, to solve the real needs of users, this is a long and time-consuming process. Decorate the network's famous show mall has been in the promotion of user experience on the road, but the need to adhere to the original ideal, not for the pursuit of profit and shake confidence, become a domestic female online shopping platform leader.