Electric business into the first half of PE/VC hardest-hit Internet investment heat transfer

Despite data showing that the TMT industry is ahead of other sectors in the first half of the year, the industry still waits for investors to "scoop up" the surface bubble, especially in the area of E-commerce, where capital has focused for the past two years. At a private equity investment forum that ended last week, investors were already seen as the hardest hit in the TMT sector when they talked about the current state of investment in the industry. From the relevant statistics, the first half of the year the number of investment case industry is still the internet industry, but the heat has begun to shift. As a result of earlier radical intervention, last year, particularly fiery e-commerce industry in the first half of this year "cold". "The first half of this year, not only our own investment in the company financing more difficult, large intermediaries also feel the same, last year and this year, if the electricity business enterprises can be cheap to melt the money is good news." "Ken, a partner of the Gobi Venture, believes that, as the development of the electricity market was accelerated last year, the industry has been adjusted this year, and many companies have slowly withdrawn." In order to increase the number of users, E-commerce Enterprises desperately hit advertising, advertising costs and traditional business costs tend to coincide. "In such a cost structure it is very difficult to have e-commerce companies in the healthy growth of profitability, so we hope to have the opportunity and the real core competitiveness, and competitors to open the gap between competitors." "Wang Yimin, Managing director of Walden International, said in his later investment in E-commerce companies." Jiang Haotien, managing director of the Arctic Light venture, pointed out that the domestic competition is too fierce, in order to be able to compete with rivals, electric business enterprises have to downgrade themselves, to reduce their position to make money and then compete with their opponents. And, these two years the flow cost of the internet rose very badly, the original e-commerce can more accurately transfer merchandise information to the right person, now inefficient, high cost, it is difficult to achieve precision. In addition, because the electricity business price war is more convenient than the offline, consumers see where there is a price war on which platform, so that the original electric business expected to the benefits of sticky consumers also become empty talk, these factors eventually led to the current financing difficulties of this state. On the capital side, Jiang Haotien pointed out that the electricity business before the acquisition of too much capital, the basic is holding the money of investors fighting. and the rapid development of the Internet also led to a good model is easy to find, a lot of entrepreneurs thinking simple logic, only to do the financing of the project, and therefore have flocked to the electric business industry.