Electric dealer: Winter Comes, spring is approaching?

Time: December 1, 2012

Scene: 2012 annual venture Capital and 100 year award ceremony

The 2011 electric Business explosion, the 2012 electric Business War, 2012 "Double 11" to create an astonishing number 19.1 billion, China's electric business has always been very lively. Where is the doorway?

If you do not take the road of the brand, vertical electric business has no future?

Good buy founder Li Shubin: Good music buy is online focus on selling shoes, but 2011 years we also have clothing. We want to do a comprehensive department store that is related to consumer attire. In fact, everyone is talking about, now who shopping on the Internet? We have always believed that, to this stage, is the mainstream people to buy mainstream products, the cat is also the idea of the need to put the brand under the line to the Internet, to be a large-scale enterprises. It is unlikely that anyone will buy only Internet brands, or buy luxury goods online and buy cheap brands on the Internet. So in the future, what people buy online, what they buy online. There are most people in the department store who buy the most, we sell this, to provide users with such a service.

The market for shoes is large enough, and the recognition of corporate brands is particularly strong in sports shoes. If one day, Nike problems, it can sell Li Ning, sell Anta, we are to provide users with the choice of products platform, but not responsible for the brand itself.

Wine US CEO Luide: We look at the whole development of the electrical business, fundamentally speaking, the electricity quotient is the business of this piece. It started out as a channel, and when it was selling books with excellence, Amazon started selling books. What is the low cost of the online electric dealer compared to the tradition? In fact, the core is the line can be unlimited amplification, and the line of the traditional stores are limited, vertical, channel of the electrical business in the future in a sense must expand the category.

What is called e-commerce? From this platform, it must be the same as the traditional stores, must be based on the expansion of the category, by the scale of the promotion to reduce costs, so as to low-cost, high efficiency, compared to traditional stores have an advantage. So what will be the future of the electric dealers in the Channel class? My point is that we must win by scale. In fact, the so-called brand, such as every customer, including Taobao, Cat inside the Amoy brand, in fact, has left the scope of the electrical business.

around the wine industry, we felt it should be done deep in the beginning. The product itself from upstream resources integration, to the downstream depth of excavation, including to do our own wine, really do vertical, but not necessarily electrical business. So, the vertical electric dealer either does expands, the category is more, the cost drops down, either extends the industrial chain to make the own cost control.

Electricity dealers don't make money, because competition spends money on advertising?

Yi Ma Online founder Kosching: The first, already publicly listed companies, whether or only the goods will be, their cost structure inside, marketing costs are not. When more than 4%, only goods will be 6%. So say 20% this thing is no electric business industry common sense people say.

Different companies, different stages, the data displayed is different, but we have thousands of customers because of cooperation, so we can obtain industry data, 2012 we gave the electric dealer about 30 billion of the order amount, but we received less than 4% Commission, that is to give us less than 4% of the advertising fee, I believe this level is very low.

We get the money and we pay for the media. In any case, the sales we bring to them are within their margin. Of course, if you want to make a profit, you must not only advertise. From our calculation, the general marketing cost of gross profit should be 20% to 30%, is to achieve the balance point of profitability. Even from this point of view, I do not think that the marketing costs of the electricity quotient must not be reduced, and how to decline, each company has different ideas. So spending more than just a relative proportion, the total increase, the proportion of lower.

In our words, in 2012, the electric dealer entered the stage of both internal and external repair, whether internal operations or external marketing requires refinement of the stage, the original idea is to rely on their ability to grow, now the idea is more and more to find a good partner, division of labor structure, how to let professional partners to play the advantages of data accumulation, Similar company marketing optimization experience, this difficulty is improving every year. Electric business is to pull a table to drive the development of related industries, not only to stare at their own money, this is the road, but also the electrical business is facing the transition. The biggest turning point is from competition in the industry to changes in the big industries.

How to achieve sustainable development?

Edersch founder Leipeng: Today for all of China's electric business enterprises, the big profitability of how to build up, this is the biggest challenge. Before the capital market is relatively hot, we actually put the profitability in the second place. The first step is to rob the scale, platform, the platform after the support of the capital, with the continuous transfer of funds. The second step like logistics to do all aspects of the construction, from before the extensive, Rob Scale, Rob Platform, in-depth to seriously calmly thinking about corporate profitability, shareholders, staff this is the mission. The third step, some electric business enterprise rapid transformation, some start layoffs, control the cost of marketing, control logistics expenditure, and even no longer do separate logistics. In the 2012, similar actions were taken by families like eight. After such a transformation and action, how should the remaining enterprises develop and find a new impetus for growth? We have never lost confidence in the continued growth of the electric business, but the biggest challenge today is to be able to do what we can and have a foothold in such opportunities and trends, which is the core.

First of all, to improve the financial management capacity, financial management capacity is not established, then you are no other aspects of the use of fresh. Second, from the macro-market perspective, capital investment in the competition is so fierce, what is your differentiation? The establishment of differentiation is ultimately beyond the same time on behalf of the company's key, these two are done, the other regardless of technology, warehousing, logistics, do a good job in China is not missing.

Yi Ma Online founder Kosching: We are accustomed to the electrical business into four categories: the first category is the pure electricity quotient, does not have any traditional industry background, the second kind has the traditional retail background, belongs to the traditional electric business, the multiplex channel electric dealer, for example Su Ning; the third category is the brand electric dealer, only sells own thing; the fourth category belongs to the service electric quotient, Provide virtual products and services, no logistics, do not consider the logistics link.

First of all, the pure electricity quotient 2012 presents the Matthew effect is more and more obvious, now many vertical electric quotient or the small and medium-sized electric power merchant already disappeared, but other traditional electric power quotient, the brand electric quotient, the service electricity merchant grows extremely fast, this is the industrialization very obvious trend. Second, the mobile Internet must be able to produce a new type of mobile electric business model, not now such a simple seller of goods. Mobile phone across the line, carry, have the attribute of precise localization, this will create a lot of new life style, net buys form and business model, simple, it will become the bridge of O2O, who think through this business model thoroughly, that new type of mobile electricity trader can produce bigger business. 2012, everyone in a variety of ways to test water mobile internet, although small, but the growth rate is very fast, 2013 is expected to retired, which is worth attention.