Network retailing: Opportunities and challenges of traditional enterprises

Source: Internet
Author: User
Keywords E-commerce traditional enterprise has

Press: Since entering 2008, constantly have the opportunity and many I admire the enterprise team together to make "shirt + mouse", "Broadband + sneakers" to continue their creation of rich myths of the access, chat more, on the inductive summary of occupational diseases as a PPT chat when the proposal, carrying, Many bosses boldly put their stores on the shelves of goods to the Internet, and made banner and button ads loudly sold up, began to solve the hundreds of millions of internet users to obtain profits from the E-commerce. Short name: Business-to-consumer.

Vivid to speak PPT, speak more on the inevitable dry mouth, simply change to make text, also make up a few months to repair the blog.

Economic development to a certain extent, in order to pursue higher efficiency, the business model of society will change some. From the beginning of last year's subprime crisis to this economic ebb, although the performance of inflation, economic development slowed down, financial crisis and so on, but its origin is the original economic model of efficiency is not enough to support the sustainable development of the economy. Therefore, the economic model must produce change. The changes in traditional manufacturing, especially in the consumer goods industry, which are closely related to people's lives, should be more rapid.

At present, some phenomena and topics in China's manufacturing industry: the large number of small and medium-sized enterprises in Fujian, Guangdong Province, Qingdao Yantai, a large number of enterprises fled, the United States as the representative of the Pearl River Delta Manufacturing began a large number of layoffs, all this shows that the current economic situation is not optimistic about the traditional

The immediate causes of these problems are:

※ The increasing cost of production:

Oil-represented energy and the rise in the price of raw materials have greatly increased the cost of traditional manufacturing. In addition, the state has improved the labor law, the enterprise's labor costs are also increasing.

※ Corporate Profit Decline:

On the one hand, the appreciation of the renminbi swallowed up most of the profits of the export-related enterprises, which was most affected by the Yangtze River Delta. On the other hand, the traditional manufacturing itself does not have any brand, and the cost of creating a brand is too high, can not obtain excess profits.

※ traditional channels and terminal costs are too high:

Take toys as an example: Shantou Chenghai-de road/YIWU-Regional wholesale market-Provincial wholesale market-regional wholesale market, from production to retail, the middle to pass through 5 links. Each link must leave a profit space, and too long channel caused the capital turnover rate is low, inventory pressure. and products to the terminal, a huge amount of terminal costs, and so also make the survival of traditional manufacturing worse.

So, in the face of this situation, Chinese entrepreneurs are thinking about how to change and find a new way out. Are thinking about how to reduce production costs, improve efficiency, how to reduce channel links and reduce terminal costs, how to create brands with lower cost, enhance the enterprise's ability to resist risk.

When you see some brands have successfully used the Internet to break through these difficulties, they seem to see a new hope, that is the Internet, E-commerce.

Today, China's e-commerce has gradually begun to improve, can not be said to be mature, because we are groping, China's national conditions and economic models are different from foreign countries, we need to establish an E-commerce model suitable for Chinese characteristics. Take a look at China's e-commerce development process.

First of all: when and outstanding as the forerunner of Chinese business E-commerce, summed up a lot of valuable experience. Especially in warehousing, logistics and consumer experience, it is worth our experience to learn quite a lot. They also cultivate a large number of Internet users online shopping habits, I believe that many people are from when buying books started online shopping. At present, while the market is growing, these predecessors have begun to change to the technology-oriented platform, hoping to better improve their own strength, to wait until the arrival of the torrent of business.

Secondly: when we review the history of E-commerce, we will find the name of the history of Taobao. Taobao's significance lies in its real large-scale cultivation of Chinese netizens shopping habits, I believe that China's current 80 million of the net to buy consumers, most of them are cultivated out of Taobao. Taobao also has a huge contribution is to solve the two major problems of E-commerce in China: payment and credit. Alipay has become the current Chinese online shopping mainstream payment means, the real realization of the "goods under heaven, sinks through the world", and Taobao created a credit rating system has also successfully established the trust between merchants and consumers, for the network shopping wide range of popularization, laid a solid foundation.

Finally: PPG and VANCL are also the development of China's e-commerce. They are the first E-commerce model into a real business, with practice to prove that E-commerce can solve the current Chinese manufacturing industry is facing the predicament, proved that the Internet can also create a brand, and the cost of creating a brand is lower than the traditional media and channels.

Each of the above reviews, E-commerce development is a small step, are in the solution of one of the problems of E-commerce, so today we look at E-commerce, inadvertently found that a large number of apparel, adult supplies, automotive supplies, men's shirts, and even home appliances, diamonds have been on the internet sales in full swing. Or we can think that the traditional industry into the internet retail, through e-commerce to promote the growth of enterprises have been the opportunity has come.

Now that the opportunity of E-commerce has come, we will carefully analyze China's current e-commerce environment.

※ First of all, the user base: 253 million of the Internet users, 80 million of the online shopping crowd, believe that in any enterprise, it is a huge user group can not be ignored. And the average income and expenditure level of these users is far higher than the national average level, under the impetus of the Chinese government, China's broadband infrastructure construction is more perfect, in the foreseeable future, China's netizens and online shopping crowd will grow exponentially.

※ The next is the network shopping environment, when, excellent, Taobao education, so that the network shopping environment has been improved a lot.

※ Again is the means of payment: Alipay became the mainstream payment tool, and all Chinese banking industry began to provide network payment services, it can be said that online shopping has no payment barriers.

※ Logistics to ensure the importance of electronic commerce: Express delivery system EMS, home emergency delivery, etc. have been set up throughout the country's express delivery system, the payment of goods to the support has also greatly facilitated the development of E-commerce.

Of course, there is also a very important link is the network to promote the environment mature, many sales alliances, such as the improvement of network promotion means, as well as personnel and institutions to improve the equipment, is to ensure that traditional enterprises to carry out e-commerce promotion of the necessary conditions.

So China's retail sales from 2003 to 2.8 billion, grew to this year will be nearly 20 billion, in 2010 is expected to break through the 46 billion mark, the average annual growth rate of more than 40%. And the global retail sales of the corresponding 203.7 billion U.S. dollars in 2003, this year can reach 940 billion U.S. dollars, the growth rate of about 30%. Therefore, in the face of China's such a huge consumer market, Chinese enterprises to carry out e-commerce opportunities is unprecedented.

Said so many e-commerce survival and development of the objective conditions, it should be said that E-commerce can bring to the traditional enterprise what.

1, reduce the circulation of products, create more corporate profits and let more of the consumer value;

2, no shop sales, reduce terminal costs and operating costs;

3, the network shop is 24 hours of open all-weather shop, consumers can buy any time any place, providing a convenient;

4, the network marketing cost is far below the traditional channel, the network obtains the customer the way to be more diverse, namely may according to the customer browsing custom and so on has the pertinence recommendation, may also deeply excavate the customer demand to carry on the deep marketing. At the same time for the old customers can carry out targeted marketing, enhance customer loyalty, to ensure the sustainable and healthy development of enterprises.

Of course, a large number of traditional enterprises have recognized these advantages, and gradually began to try E-commerce.

At present, the traditional enterprise's electronic commerce attempts mainly includes the following kinds:

Type one: settled Taobao and other consumer-to-consumer. Low-cost fast turnaround, as well as a huge user base, attracts a lot of traditional enterprises. But Taobao has his own shortcomings, the good and bad quality of goods to a certain extent affect the brand image, their own management of goods, shipments and other restrictions on the development and expansion of enterprises.

Type two: give to the platform of the same as, excellence and so on. The advantage of this is that sales are larger, but also more worry. But can not establish their own brand image, by the platform of the company's constraints are also relatively large. If one day when, excellent growth for Gome, Suning, the brand in the platform I am afraid to be bound.

Type III: To do Professional category E-commerce platform suppliers. such as Jingdong Mall and so on. The advantage of doing so is the same as the supply of a comprehensive platform for the purpose of being a.

Type IV: Set up their own network sales channels, their own network brand direct marketing shop. Although upfront investment is bigger, but can drive own brand, network channel and terminal all under own control, profit can guarantee, also can develop and grow. But it also faces operational problems. For example, the vast majority of traditional enterprises are very unfamiliar with the Internet, not only lack of e-commerce operating experience, there is no such personnel and technical reserves. And in the strategic positioning of E-commerce, Target and budget control, how to promote the fundamental touch, in E-commerce management and business development is confused. So many traditional enterprises in front of E-commerce is often prohibitive, can only envy and do not know how to retreat and networking.

In fact, can not be so, if the traditional enterprises can master the collection of E-commerce core issues, I believe the problem will be much simpler.

First of all, to understand your E-commerce project strategic positioning, improve business processes. What are you going to sell? Who is the target user group? Is there a sufficient interest point to attract consumers to buy your product? Product production, inventory, logistics is smooth and so on, these are the basis of e-commerce development.

Secondly, the development of e-commerce system and the establishment of operating platform. At present, the electronic commerce system has the specialized software supplier, in the product display and the shopping flow has been quite perfect, but the different product has the different characteristic, the electronic commerce enterprise needs according to own product characteristic to carry on the consummation and the optimization.

Third, the formation of E-commerce operations team. operation, technology, design, customer service, logistics is indispensable, and how to the whole team very good organization and operation is to test an enterprise's operational capacity, which is the key to the survival of E-commerce enterprises.

Finally, and most important, is the promotion. Bouquet is also afraid of Deep alley, in this era of information explosion, if you can not put your products and brand good promotion out, I believe all efforts will be in vain.

The network has its own rules and tricks, traditional media ideas and practices in the network generally does not work, if the traditional enterprises want to carry out E-commerce, may refer to the long extension of the interaction to provide a lot of you have seen on the network, more than one of those pioneers are being professional e-commerce marketing services.

※ E-commerce market research, Business planning consulting Services:

Network Sales target user research, product network sales selection and brand research; e-commerce business carding and business planning

※ E-commerce technical solutions and technical products:

According to business planning Consulting services, the establishment of personalized E-commerce website Internet e-mail marketing system platform;

Search engine Advertising Marketing tools (SEM), as well as Third-party search engine marketing consulting, purchasing and investment return optimization services;

User behavior, Web site traffic Analysis system, analysis of audience sources, browsing and trading habits to make optimization of the site structure, improve the effectiveness of the site;

SEO: To make the website suitable for search engine retrieval principles, so as to get included as many pages as possible, and ultimately to improve the effective traffic.

※ E-commerce operation and Marketing Consulting:

E-commerce Store planning and online sales management training, promotional models and accounting, old customer marketing and other marketing tools planning and training

※ E-commerce effect marketing:

For E-commerce advertisers to bring the advertisers want to see the effect of advertising, only need to pay for the effect, including the Order Payment Alliance (CPS), telephone advisory paid Advertising (PPC), click Pay Federation (CPC)

※ E-commerce network Advertising Media Services:

For customers to create, maintain and optimize the integration of integrated network marketing programs, including strategic solutions, creative production, media planning purchase.

including red children, VANCL and other successful E-commerce enterprises in Helong Extension interactive cooperation, you still hesitate?

Welcome to login: www.longtuo.com

Thank you for watching:

Related Article

Contact Us

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.

A Free Trial That Lets You Build Big!

Start building with 50+ products and up to 12 months usage for Elastic Compute Service

  • Sales Support

    1 on 1 presale consultation

  • After-Sales Support

    24/7 Technical Support 6 Free Tickets per Quarter Faster Response

  • Alibaba Cloud offers highly flexible support services tailored to meet your exact needs.