glutinous Rice net Shenboyang talk about group purchase, group buying industry will be changed greatly

First-line owners strive to win, the second line to seek prostitution, shuffle is in the video industry in full swing, group buying industry is also staged this scene. glutinous Rice Network general manager Shenboyang to Tencent Technology revealed that the group buying industry will be a huge change, some big group buying website operating status and did not speak to the outside as well, the next few months will likely be a desperate fight.

"The industry is at this stage and making acquisitions is definitely a wise choice." Like video sites, the first and second can be integrated, not to mention group buying sites. Shenboyang said, glutinous rice Network is with several group purchase website contact, as long as both sides for the future optimistic, the idea is consistent, do not exclude the possibility of integration. And the table on the group buying site only so few.

At present, the group buying website is farewell to The times of the Thousand regiments War. "Regiment 800" data show that as of the end of February this year, the real meaning of the domestic still maintain the operation of the group buying site only 943, compared to group purchase in the history of the highest record of 5,058, survival 18.6%. At the same time, large group purchase site's large-scale advantages gradually revealed to consumers and merchants to further enhance the influence.

Talk about the past year group buying market performance, Shenboyang pointed out that 2012 is the industry reshuffle of the year, there are still 5, 6 group buy sites, including glutinous rice network, reviews, the United States Regiment, handle, litters, plus high friends. 2013 will be a very critical year, and the rest of the group will likely fail 1 to 2 more, and last madness before the collapse.

In fact, the group buying industry, like the video industry, has been in melee and burning money. Despite the successful listing of Youku and Tudou, the newly established Youku potatoes still burn money and face challenges from Tencent, Baidu and other giants. Group Purchase website Situation worse, not a successful listed companies, 24 coupons burned eventually closed. Handle NET financing nearly 200 million U.S. dollars, Sprint IPO failure forced deep healing.

Sticky rice net in burning money on the road also can't "immune", everyone company in the fourth quarter of 2012 net loss of 21.1 million U.S. dollars, this is the fourth quarterly losses since 2012. In this quarter glutinous rice net loses 5.6 million dollars again. In the continuous loss of the case, sticky rice network is again questioned is a drag on everyone's financial results of the important culprits, test everyone CEO Chen a boat patient.

Does glutinous rice net have the value to everybody company? Whether has become the chicken ribs? Is it time for everyone to abandon the sticky rice net? Shenboyang's argument is clearly: NO. Not only is not a burden, glutinous rice Network also reposing the further growth of everyone's imagination space, can help everyone company pry O2O this huge market, everyone will continue to invest vigorously.

"The capital market to glutinous rice net is much better than everyone imagined, glutinous rice rivals are start-up companies." Although the glutinous rice net will continue to fight in the short term, but in the long run the O2O domain imagination space is too big. From this point of view, not only should not worry about glutinous rice net was cut off, opponents should be more worried about the company is not to increase the investment of glutinous rice net. ”

Earlier, Chen has publicly said that the size of the sticky rice net should be enlarged three times times, ready to invest 50 million of dollars. Chen said the consumer demand in the group buying market is still rising steadily, while the number of group buying sites has been greatly reduced, in last year's "Collapse Tide", the surviving group buying site will be like the seeds buried in the soil, spring to the natural germination, growth.

According to people familiar with the matter, to obtain more ammunition the sticky rice net has begun to move, the end of last year, glutinous rice net dug handle nets in Guangdong team, and acquisition a lot of American regiment was abolished team. The sticky rice net with more funds is waiting for the opportunity, through mergers and acquisitions of the way to further expand, to achieve the curve overtaking, or until finally, waiting for the Giants "favor".

Under the capital winter, the day of group buying is no doubt more difficult. For sticky rice nets, is to adhere to the end, not the future or whether the day after tomorrow is profitable, but to find ways to do larger scale.

In the United States Regiment, litters, full of these group purchase site announced the profit, sticky rice net loss obviously appears dazzling. However, Shenboyang said that the sticky rice net is indeed a quarterly loss, but should be horizontal comparisons, both Groupon and Amazon early losses, 24 coupons burned so much money eventually closed, but the sticky rice network is still alive very well, and there is a relatively healthy growth curve.

Sticky rice nets in housetops, each other in the dark. We have been talking about the acquisition plan recently, and found that each other's investors on the sticky rice network financial data than I know. "Shenboyang also said that there is no audit number of the so-called profit significance, in addition, we must see how the other side of the so-called profit is calculated, see whether these enterprises will staff to pay five insurance." 2012 American Group is the Black Horse of group buying industry, then, 2013, glutinous Rice NET will be group buying industry another black horse.

The following is an interview with Glutinous Rice Network CEO Shenboyang Record:

Tencent technology: Group buying industry in 2012 a lot of changes, such as 24 coupons and other web site closures, handle sprint IPO failure, a lot of group buying site began to transform, try to do O2O, how do you view the group buying industry over the past year of development?

Shenboyang: 2012 is the industry reshuffle of the year, there are 5, 6 group buy sites, including glutinous rice network, reviews, the United States Regiment, handle, litters, plus high friends. Group buying business began to return to the rational, the industry is not necessarily bad, before the industry has been blind expansion, we only see top line growth, did not look at the fund turnover.

Opponents should be more worried about everyone to increase the investment in glutinous rice net

Tencent Science and Technology: Last year, several group buying site claimed profit, glutinous rice network is relatively special, because it is a part of everyone, every time the results show that the glutinous rice network is a loss, why some of the group buy site will be profitable, glutinous rice net is still a large loss?

Shenboyang: This is very interesting, we recently talked about the acquisition plan, found that each other's investors on the sticky rice network financial data than I know, that we are in housetops, the other side in the dark. I can only say that the sticky rice net number is certainly the most real, sticky rice net five consecutive quarterly operating profit growth, loss narrowed, business situation is to healthy, benign direction development.

From a few dimensions to see some of the purchase site profit, the first of these sites published without the audit figures of the so-called profit is not significant. The second one depends on how the profit is calculated. For example, the report of glutinous rice earnings is one of the thinnest income, not according to the Commission generated this month, only when the user consumption that money, the middle of the service charge is our income. Comparatively speaking, we always have a lot of income in it. But I believe that our more conservative approach is what Wall Street likes to see, rather than having financial problems when Groupon goes public, and being called back to redo it.

As we all know, many startups are not formal enough to operate, go back to ask those who are the so-called profit-making enterprises have to pay the staff according to the Rules of Housing Provident Fund, according to the rules of five insurance, I understand the situation is that many of the site to many employees are in accordance with the minimum wage of 1500 dollars, in many foreign stations is a penny not paid. The glutinous rice net certainly does not do so. This one can account for 10% of the purchase site turnover of cheap.

For glutinous Rice NET, we buy the industry big development direction is optimistic, do not worry short-term profit, after all, we still think of ways to do a bigger plate, or not to the scale of profit is meaningless.

Tencent Science and Technology: At that time everyone dabbled in video site do Uume, did a period of time to find the video industry too burning money, Uume was laid off, after all the company has several layoffs, everyone company has always been a doubt, the sticky rice network support will be, now the capital market on the site is not optimistic Does everyone company dump sticky Rice this site?

Shenboyang: Each enterprise at different stages of development must do business mentality is not the same, Chen a boat to do chinare process experience, the most important has sufficient fodder, this is why large financing. We have now cast so much cash, I ask you, you see so many technology companies, in turn to see the business of everyone, you think which business imagine the largest space?

To be honest, the capital market to glutinous rice net better than everyone imagined, glutinous rice without a strong competitor, are start-up companies, we are a larger amount of capital. Although the glutinous rice net will continue to fight in the short term, but in the long run the O2O field which is involved is the biggest domain, the imagination space is too big.

From this point of view, not only should not worry about the sticky rice net will be cut off, competitors should be more worried about whether the company will increase the investment in glutinous rice, including Chen, we are willing to invest three times times in exchange for a greater market share.

will not be able to pursue a profit loss to horizontal comparison

Tencent Science and Technology: Everyone company is a listed enterprise after all, how do you look at every report after the loss of glutinous rice?

Shenboyang: To look at, the sticky rice net is indeed a quarterly loss, but should be horizontal comparisons, the early loss of Groupon to take out, the Amazon profit before the loss of comparison, to have a clearer interpretation. Do not need to go through the Internet to do how many horse rodeo, but when the rodeo do not put themselves dead, to do a very solid. 24 coupons In the past to finance more than 40 million dollars, handle melt nearly 200 million U.S. dollars, glutinous rice has been put into less than 50 million U.S. dollars, relatively, 24 coupons have been closed, handle encountered major turbulence, but the glutinous rice network is still alive very well.

From this point of view, can only say that group buying industry quite burn money. In a sense, glutinous rice is doing well, for me can improve the space too much. What's more, you go to see all the big companies inside entrepreneurial projects, especially group purchase sites, such as fairs, 58, happy Net, Sina, Sohu, at a certain point of time to do group buying attempts, or large or small, and finally basically have been poured out.

Tencent technology: We are more concerned about the sticky rice net when the real profitability can be realized?

Shenboyang: Doing business is the most important trend. In the case of plate enlargement, the trend is right, the problem of loss is not big. As long as the trend to make, a year to calculate the loss and the overall amount of money is almost negligible, sticky rice net actually more does not mean tomorrow or the day after next to profit, but more ways to do larger scale.

If the sticky rice net is very concerned about profit now, there will certainly be a lot of layoffs and other actions, such as the United States Regiment at the end of the mass layoffs, we did not do so, this is to hurt the whole team. Don't use this kind of streamlining to optimize others ' interests. The United States Group of many people are photography, editing and customer service, short-term does not affect performance, in the long run will cause to consumers and the quality of business services decline.

glutinous rice net more than 20% sales from mobile end

Tencent Technology: Many group buying sites are emphasizing transformation, especially in the mobile internet era, many people emphasize O2O, such as the United States and other sites are in the layout, glutinous rice net in this field what action?

Shenboyang: We do buy three years ago in fact, there is no O2O the word, later the word was invented, group purchase is the best form of O2O, can fall, the most visible, touch. Many other O2O patterns are not touched. So from this perspective, group buying is o2o a form of expression, we must be in O2O other business to do more attempts. Including our new business division, which announced the establishment of O2O a few days ago, has done a detailed layout, and this new business unit will later host our attempts to O2O other business models.

Wireless internet in a sense with the O2O relationship is not much, more is group buying from the PC to wireless transition must develop stage, which is also a lot of group buying site was dragged off the important reason. If a group buying site has not yet made great efforts to do the wireless internet, the group buying site in a sense is eliminated. At present, more than 20% of our sales are from the mobile end.

Sticky Rice net will push movie ticket client

Tecent Science and technology: can talk about glutinous rice net in O2O this piece concrete how to do?

Shenboyang: We will soon launch the movie ticket client, first from the movie ticket online booking, the next stage we are still in the layout, such as in the catering and other fields. Movie tickets have to be done because the Chinese movie ticket market is growing. I have lived abroad for 10 years, I know the foreign people will develop the habit in the end, the mainstream crowd 50% to the weekend will choose to see the cinema. There are many cinemas, the quality of the film is high, and the ticket fares down, the group buying site is very suitable to do.

These two years because of the impact of group buying, before the online booking of some sites, including net ticket network, including watercress film, Mtime are down, their biggest problem is to toil under the wiring of the Bureau, but no online user technology. Group buying site has a large number of online users, but also wired under the team, it is easier to do. This is possible in a similar field. But also must be careful, because many O2O's attempt did not solve the very important question, did not have the effect.

Tencent technology: A lot of group buying site before is a daily group, now become a long-term discount, how do you understand this trend?

Shenboyang: First group purchase website service and coupons are completely different, the biggest drawback of coupons is no way to track the effect. Group purchase itself is a closed-loop concept, the effect can be traced. Another point of view, China is not only my one group purchase site, from this perspective, a day many groups, a group of days is necessary, you have to meet the needs of consumers.

Glutinous rice has been in the north to build logistics will be involved in Sichuan

Tencent Technology: I heard that you have launched its own brand glutinous rice optimization, why to launch this category?

Shenboyang: glutinous rice is a group buying website with its own logistics system. When the user in the glutinous rice to buy products, a large part of the product is used glutinous rice box, through the cooperation with glutinous Rice logistics to bring over. Users to other group buying sites to buy products, almost absolute product through the third party trading company, and then through its express delivery, the quality of service effect can not be traced.

Tencent Technology: glutinous Rice Network from the construction of logistics in the short term will certainly increase the cost, how to reduce the cost of this piece?

Shenboyang: This is why we do not emphasize the reasons for short-term profits, the emphasis on short-term profits, this thing certainly should not do, because it will reduce the sticky rice net profit margin. The trade-off is whether it's more important to pursue the user experience, or whether it's more important to have a larger margin in the short term, and I think the user experience is more important in the long run.

Tencent Technology: Your own logistics in which cities have?

Shenboyang: We now have three large libraries, Beijing, Shanghai, Guangzhou, will consider Sichuan. The meaning behind logistics is very big. The biggest advantage is to avoid the phenomenon of fakes, but also to avoid the phenomenon of oversold, manufacturers are sometimes very smart, on 500 products, such as the purchase site to sell 1000 pieces of merchandise, the temporary production of businesses, resulting in consumers to get the product of the long time, group purchase site own logistics will not appear this situation, because there are 1000 stores to the library, Inventory system and online sales system, once sold to 950 pieces, the product automatically off-line, which can significantly reduce complaints.

Tencent technology: This business accounted for the bulk of the volume?

Shenboyang: Now the proportion of this business is small, less than 10%. I emphasize that as long as we meet the needs of consumers, we must do it. Group Purchase website Kind products and the biggest difference, may be prominent factory outlets, reduce intermediate links involved, merchants as long as the freight to the glutinous rice net of the library can be. We introduce professional procurement talent, glutinous rice has been more and more big brand sales.

This year's big group buying sites will be 1 to 2 fewer

Tencent technology: How do you think the whole development of this year's group buying industry, this year will shuffle it?

Shenboyang: This is a very crucial year for group buying, and in a sense one or two of the second quarter may be in a desperate fight to see if it's going to work or not. For us, on the one hand to expand market share, on the other hand can not follow these may soon collapse of home to do the last madness. For example, 24 coupons in the bankruptcy before the crazy, business as long as the signing, put the ipad, this year, large group purchase site will be less than one or two, the more now the pressure is greater, we have no retreat must be a stroke. For sticky rice nets, there is no problem of pacing, we have to rapid development, but also the opportunity to market integration.

Tencent technology: You said glutinous rice network to start mergers and acquisitions, can reveal the specific how the idea of mergers and acquisitions?

Shenboyang: This is normal. Market development to this stage, even if the development of group buying site is not necessarily very good, after all, accumulated a lot of users and brands, so this time to do some marketing of mergers and acquisitions is definitely a wise choice. Like the video category, the first and second can be integrated, not to mention group buying sites.

Tencent Technology: If it is true integration, you want to integrate what kind of group buying site?

Shenboyang: Now put on the table is these, we can guess, we have contact with several families, as long as both sides of the future promising, the idea is consistent, do not exclude the possibility of such integration.

Tencent technology: Chen said to invest three times times the energy to support the sticky rice net, how to expand this year?

Shenboyang: The most fear is the expansion of the loss of a rhythm, suddenly add a lot of people, or suddenly in a certain part of the enterprise run too fast, other parts did not follow. Although we talked about the sticky rice net to invest three times times, glutinous rice Network of human resources to grow, sales growth, market growth, really do it is still step-by-step, but not random to think.

Moreover I tell you, in the next few months buys the market to have the bigger change, this time if does some irrational investment, with some buys the website to be desperate, actually very dangerous. Some of the larger group buys may not be able to sustain, because each family's business situation is absolutely not so beautiful.