Li Sell the Bee NET is the best choice

Li, a media man, sold his own music bee net on Valentine's Day. On that day, the biggest competitor of Le Bee Net--poly Mei Excellent product CEO Chen Au on Weibo on the speech: The war is over, Victory, just a new departure! Both sides of the war of words with the Lok Bee network attributed to the only product will be suspended. For the entrepreneur Li, it may be a good choice to sell the bee net at this time.

February 14, Beijing Street selling flowers constantly rendering the atmosphere of Valentine's Day, and more than 2000 kilometers away from Beijing, Hong Kong, a pair of "lovers" officially announced a combination.

The special sale website only will announce, will invest 112.5 million dollars, buys the Lok Bee net 75% of shares. "This is a strategic investment, not an external guess that the Lok Bee Network was sold or bought," Li, founder of the Lok Bee Network, said in an e-mail to employees. But the 75% equity passed also shows that Li in the Lok Bee Network has lost control.

Sell and not sell, for the entrepreneur Li, its heart is doomed to be mixed, have regrets, also have harvest, have disappointment, also have new hope. As Yu Jinhua, a former executive at Le Bee Network, said, "If I were a Li, I might be happy--because she finally had a chance to repay the old employees who trusted her."

From the computer "small white" to the electric business players

Li used to be teased by friends for not knowing what IE browsers were for. However, this is the computer "small white" founder of China's influential cosmetics electric business platform-Le Bee network.

Time back to 2007, this year is a year of Li, but also a year of my own transformation. Li founder of the Oriental Popular media under the "Super Visit" "Beautiful Woman" "emotional equation" and other programs, only by content sales and advertising, the annual profit reached nearly tens of millions of dollars.

The performance of the Oriental Fashion Group gained capital attention. At a dinner, Li met the founding and executive partner of Sequoia Capital China Shen. As the world's largest VC fund, Sequoia Capital on the internet industry, especially the electrical business areas of particular concern, only the goods will, Lok bee nets and poly-Mei excellent products of these three electric enterprises have been invested in Sequoia Capital. Have the industry analysis, the Lok Bee net and the only trade is also sequoia Capital behind.

Shen to the Oriental popular conducted a number of research, to Li put forward a very attractive valuation scheme, and the future of the trend of Oriental fashion comb a framework: to the content of the program as a support, the development of private brands and E-commerce.

With the help of capital, 2008, the Oriental Popular group has undergone great changes: from the original film and television program production, distribution, advertising operations, entertainment activities, television packaging, artist brokers extended to the Internet, private brand manufacturing and E-commerce and other fields, create a music bee network.

However, the media Li is not familiar with the business operation, so she came to the traditional retail industry has rich experience in Wang Licheng, responsible for the management and operation of the Lok Bee network.

Wang Licheng has in hundred homes, Home Depot as a procurement and store operations, as a traditional retail industry for many years, Wang Licheng know how hard it is difficult to make money, so be sure to break through the brand.

2009, the first private brand of the Lok Bee online, thus forming the Oriental Popular group, the eastern popular, Lok Bee network, static good three business sectors. The essence of the Oriental popular is to do the market, the essence of static is to do products, the essence of the Lok Bee Network is to do channels.

"China Business newspaper," reporter learned that in the Lok Bee Network and the only product will announce cooperation at the same time, Le Bee Network CEO Wang Licheng will also leave at the end of the month. To this news, the Le Bee network related person does not respond. "A lot of details haven't been set yet, and the company is temporarily not responding." Le Bee Network related responsible person told the reporter.

The beauty and sadness of the talent economy

2008 is the rapid rise of China's electricity business year, the data show that the number of Chinese network in this year has exceeded 50 million, and 2004, this data is 4 million.

Faced with the rise of various competitors, how to avoid the vortex of disorderly competition, which is placed in front of the music Bee Network a major issue. With the Oriental popular media resources, Lok Bee Network to open up the economic model to obtain user attention. In addition to Li itself has become a stable fan group of stars, Le Bee Network signed Linda, Lis Yu, Wang, small p, such as dozens of entertainment stars, beauty skin care Tatsu, in the Lok Bee network launched its own brand.

In Li's view, Le Bee network will no longer be a simple online channel, but evolved into a brand operating company, a platform. Category is not limited to cosmetics, but also including apparel and other female fashion supplies. However, le Bee Network expansion category has its own logic, that is, according to the signature of the human characteristics, the introduction of the corresponding products.

Star Tatsu people to join the Lok Bee Network in the short term to obtain a large number of users and popularity. Data show that 2009 years of Lok Bee Network registered members of 1.71 million people, 2010 to 2.71 million people, May 2011 has broken through 3.2 million people.

"China Business newspaper," a reporter for dozens of users of Lok Bee Network survey found that 60% of users said that in the Lok Bee network to buy cosmetics is the star of the impact of people.

Although star Tatsu people can quickly gather popularity in a short period of time, but whether they can keep these consumers, it is also testing the Lok Bee Network products, services, channels and other capabilities.

"In the internet age, the talent is really worth paying attention to, it brings a huge reputation at the same time, it is difficult to grasp." Because star Tatsu people can choose to develop their own brands here can also choose to open shop in other electric dealers, there is no exclusivity. In addition, whether people's own influence can be converted into purchasing power, has yet to be tested. "said one electric trader.

In fact, there has been analysis that the sale of the Music Bee network is a big reason is Li worry about the benefits of the economy attenuation. "Le Bee network sales have a large part of the cause of the ' People's economy ' effect, relying on Li personal influence and the United States to promote the promotion of people to carry out, so the operation behind the risk is very large, once the people have reduced effect on the whole sales will have a major trauma. "said one of the people inside the network.

In addition, the Lok Bee network to star talent too much reliance on so that it deviated from the core of the electricity quotient, so that the whole company strategy repeatedly swing. "Le Bee network from the birth of the beginning of 2008 there is a problem, what is the location of Lok Bee network?" This is a few of the things that are easy to copy, from the cosmetics franchise shop to the Chinese women to provide a beautiful solution, to not live. In fact, the Lok Bee net never understood what to do. And as the business chain expands more and more long, the first is the media company business, followed by the Lok Bee Network, and then the system a huge independent brand. "Le Bee net former executive Yu Jinhua said.

It's time to go in.

Deep into the cosmetics electric business for many years in France MedSpa China representative Li Cheng regrets: Cosmetics electric dealers more and more difficult to do. Put aside raw materials, manpower, office and other costs of the rise does not say, the core is to get customers more and more expensive. "The cost of getting a customer in 2009 was about 1 yuan, which rose to 2 yuan in the first half of last year, and in the second half, it took 3 yuan to get a client on average." "Li Cheng said.

Sack, the whole cosmetics electric business environment is increasingly harsh. On the one hand, the day cat, Beijing-east and other integrated platform of the growing maturity of the electric business further squeezed the cosmetics vertical electric quotient of living space. For example, the cat launched the beauty makeup, after the spring Festival sales of this category of steady growth. It is understood that the days of cats want to play it as a platform, and Beijing East also to big beauty makeup category, cosmetics channel structure will usher in change.

On the other hand, from the Lok Bee network itself, it and the United States excellent product competition has fallen into the leeward. Relevant data show that Poly-mei excellent product sales in the 2013-year scale of about 9 billion yuan, and Lok Bee net 2013 years of sales are about 3 billion yuan, about Poly-Mei excellent products one-third.

"The competition for cosmetics dealers is nothing more than two means, one is the PR war, the other is the price war." In the public relations war level, the Le Bee and gathers the United States each has the characteristic, is equal, but in the price war aspect, because gathers the United States to have the better purchase channel, moreover its technique also more ' rivers and lakes ', this is also the Lok Bee net in the later competition process defeated the main reason. An electric business person told reporters.

And right now, the pace of the IPO is also accelerated, once the United States excellent products listed successfully, to obtain more funds to expand the strength of the Lok Bee Network will be more passive. "Vertical electric dealer brand concentration is more and more high, the Lok Bee Network is to the" in the "time. "Yi Tao Food CEO Zhang that the Beijing-east, the cat and other integrated Electronic business platform of the continuous maturation, further squeezing the Lok Bee network such a vertical electric business survival space." At this time to choose with the only product will be cooperation, is undoubtedly an optimal choice.