Suning Tesco and Gome Bowser are heading in different directions. October 31, the official sale of Suning easy to buy books, which means that it has taken a step towards the development of the whole category. and suning easy to purchase different, Gome's Bowser network CEO Zhiquan is disclosed, Bowser network will focus on household electrical appliances class E-commerce, will not take the development model of comprehensive type of electrical business. In the traditional market, Gome and Suning have been "close close" to the way competition, even in the field of electronic business such as the major decision-making, "US-Soviet" is also a step by step. But the two giants appear to be having big strategic disagreements over whether the company is diversified or home appliances alone. As the traditional home appliance channel business Two "overlord", Gome and Suning in the electronic commerce business aspect is establishing the different development pattern. Why should one "synthesize", one to "focus"? What does it mean for them to have different paths to development? Gome, Suning "parted" "with the domestic nearly hundred state-owned publishers and more than 300 private publishers to establish a cooperative relationship, at the end of October, a line of about 600,000 books. "Su Ning Tesco general manager Li bin in the daily economic news reporter interview, as to introduce the company's book online." The goal of Suning is to make a comprehensive transformation into a network life platform based on this. This means that the company is no longer a pure household appliance enterprise, but covers home appliances, digital, books, clothing, shoes, hats, watches, jewelry and other categories of comprehensive shopping platform. "Book channel on the line is the established strategy of Suning easy to buy, and the development of the whole category is suning easy to buy the beginning of the development of a molding plan." "Li Bin said that the book is the origin of E-commerce development category, is a tangible product and intangible products highly integrated embodiment of a profit space." With the popularization of Internet and the rise of E-commerce, China's online book retail market transactions scale is expanding, according to Analysys International published in the second quarter of 2011 China Online retail Market quarterly monitoring data show that the network book sales growth of 84.5%, the book has a high standard, a large readership, Suitable for the characteristics of network retrieval, so suning easy to purchase also entered the book market. Suning easy to buy for the next 10 years of vision is: the composite growth rate of 50%, sales reached 300 billion yuan, accounting for the domestic network of 5% of the market, registered members of 100 million people, covering more than 90% of the country's cities. In addition, Suning will continue to expand the product line, and strive to develop the whole category, Su Ning's network life platform, become an important part of the transformation of Wisdom Suning. Gome Bowser has different logic. Recently, Bowser Network CEO Zhiquan said, Bowser network will focus on electronic commerce, will not take the development model of comprehensive type of electricity, although the current furniture channel has been on line, but limited to small pieces of composite plate furniture, and a short period of time will not involve other kinds of goods. In this respect, Bowser network vice President Pengliang in the "Daily economic news" reporter interview, said Bowser future to create a "family-household goods" product camp, andOut of a professional vertical manufacturers of the value of the construction of the road. Bowser now in addition to home appliances, there are car supplies, outdoor supplies, household items, recently also on the line of building materials. "These categories are built around the Modern family-home life. We will do more articles around ' home '. "Continuation of this train of thought, Bowser building materials channel first step mainly around the large household appliances sales lamp, toilet, kitchen lighting lamps, bedroom ceiling lamp, bathroom supplies, wooden flooring, TV racks, switches, multi-function sockets, speed regulator and other products. Gross margin competition "compared to household appliances and other products, some other categories of higher profits, the account period longer." "Space Network president, China Electronic Commerce Association senior expert Zhong in the daily economic news reporter interview, said that the general supplier of household appliances products will be more powerful, resulting in the channel of weak words, which may make the channel future growth and limited earnings." Zhong analysis says, take the book as an example, first, the gross margin of the book is higher than the household appliance class product, and low unit price, easy to generate buying behavior, which means that consumers will soon be able to experience the services of Suning easy to purchase; Secondly, the book in the process of selection of stay longer, so as to enhance the cohesion of the site; third, the back end of the account period is longer , the general checkout cycle in six months to one year, which enhances the flow of corporate capital efficiency. and walk Show Network operations director Li Jincheng also told reporters, department store average profit in 20%-30%, and home appliances profits only 5%-6%, if the high-end cosmetics, shoes and other luxury items in the department store, the former gross margin level higher. For example, he used his own luxury group-buying website, although the show group net monthly about 300 kinds of commodity goods services launched, gross margin can still be maintained at about 15%, "even if this level of gross margin, if the fixed cost target is also set in the same, compared to household appliances and other standardized, comparable products to make money more difficult." The so-called "comparable" is an important factor in gross margin differences. Home appliances and other electronic products are highly standardized, the comparison effect is strong, users can easily in different sellers than price, so this area of the gross margin is very low. The general merchandise industry is characterized by low parity effect, consumers can hardly find the same clothes in two businesses, even if true, it can be said that the work is not the same, so the gross margin is relatively high. Not only that, the whole category is still a huge space for the enterprise. "There is no such thing as Amazon in China, which means that there is still a whole category of opportunities in the area of E-commerce," he said. "Zhong analysis said. and relative to the line department store product sales, online also has a lot of advantages. To sell shoes For example, suning if in the physical store sales, must open up an area, each district at least two rows of shelves, so that each store needs 200 pairs of shoes, Suning 1000 stores is 200,000 pairs of shoes, the absolute number is very large, but for consumers, each store 200 pairs will feel very little, there is no room for selection. And E-commerce is anotherOutside a scene, 200,000 pairs of shoes can be completely 200,000 shoes, and even no shoes, there are orders directly to the manufacturers to ship over. In China's e-commerce market, there seems to be no shortage of pattern contention. Taobao Mall and when the "platform" and "proprietary" mode has not been seen, in the "Self" mode, Suning and Gome electric business site Strategic logic differences, in Li Jincheng view, is the horizontal model and vertical mode, that is, suning easy to buy horizontal expansion to the whole department store, while the bowser extends to household items. He said that, in fact, not only is the traditional home appliance chain, such as the Gome, Jingdong Mall, such as the original electronic products to start the electric business giant, but also continue to reach the tentacles of Books, department stores and luxury goods. "Jingdong Mall's luxury site will soon be online." "So, since many categories of expansion have so many advantages, why Bowser the professional field?" Pengliang that, focus on the cause of electronic products, on the one hand, Bowser team is very familiar with and focus on the home appliance industry, home appliances sales chain, such as procurement, distribution, after-sale and so on very understanding; On the other hand, because Bowser received gome 48 million financing, with a strong supply chain as a guarantee, In the procurement of a lower than the competitor's cost price, logistics after the sale of Gome also has the support of the United States, so have the strength to continue to fight price. The implication, Bowser self-confidence around the household appliances category "Can Do" and "can make money." In fact, the whole category looks very beautiful, but the challenges will be more serious. Li Jincheng said that the platform model to face more procurement, sales, logistics and distribution, after-sales service and a series of problems, the difficulty must be greater. Analysys International analyst Shou sent also told the "Daily Economic news" reporter, the threshold of many categories is very high, the current electric business is mainly a single business sector mainly. Of course, aside from the relationship between profit and category, experts in the industry tend to think that the difference stems from their different positions. Shou sent to believe that Suning easy to buy the whole category and Gome Bowser specialization are at this stage of the different positioning caused. Li Jincheng also said that Suning intends to develop another business through E-commerce in the original home appliance business, while Gome is more focused on strengthening its position in the field of home appliances. Pengliang that the two models have their own strengths and are typical of success, but now most of the problems of the electric business is simply the pursuit of sales growth, product homogeneity of the phenomenon of serious, in the amount of growth at the same time to give up the pursuit of differentiation and personality, so no matter what kind of model need to take the road of differentiation, to maintain continuous innovation, The formation of their own value system, the expansion of many categories can not blindly covet all-inclusive, focus on home appliances needs in the professionalization of the full effort, plowing, increase customer cohesion. Responsible Editor: NF045
The content source of this page is from Internet, which doesn't represent Alibaba Cloud's opinion;
products and services mentioned on that page don't have any relationship with Alibaba Cloud. If the
content of the page makes you feel confusing, please write us an email, we will handle the problem
within 5 days after receiving your email.
If you find any instances of plagiarism from the community, please send an email to:
info-contact@alibabacloud.com
and provide relevant evidence. A staff member will contact you within 5 working days.