No. 1th Store will sink

Abstract: Electric merchants have become aware of the potential opportunities in lower-line cities. Recently, Jing-dong to the form of caravan into the country more than 100 three to six line cities. 1th Store Chairman Gege also recently said that early in the regional expansion is not radical enough to focus on one or two lines of business

Electric dealers have become aware of the potential opportunities in lower-line cities. Recently, Jing-dong to the form of caravan into the country more than 100 three to six line cities. No. 1th Store Chairman Gege also recently said that early in the regional expansion is not radical enough, only the business focus on one or two-line cities, should be more quickly layout of three or four-line cities. In the industry's view, large electric dealers have their strengths in the one or two-line city, a firm foothold, but in the three or four line or even lower line of the city's visibility has yet to be improved, which is their opportunity, but also very expensive, especially in the logistics and distribution.

"The proportion of Jingdong in the one or two-line city is already very high, but the three or four-line city will grow faster." Jing Dong CEO Haoyu believes that the three or four-line city's GDP growth is rapid, but in jingdong sales accounted for is not high. According to the introduction, from this month, the Beijing-East caravan will be divided into three roads, into more than 100 cities, to enhance consumer awareness of Jingdong brand.

Haoyu said, "The previous offline activities are relatively small, mainly by products and Word-of-mouth pull, this year, has done in more than 100 cities under the promotion, such as in the second-line city bus body advertising, three or four-line city of the wall advertising." In the view of these people, unlike traffic ads can be real-time monitoring to the conversion rate, but from the overall sales, offline promotion is very effective. According to the introduction, "Channel sinking" is the Beijing-East 2014 years of major development strategy, Jingdong from two aspects to promote the channel subsidence strategy, including the three or four-line urban logistics and distribution services to speed up, as well as through the form of landing ads to increase the Beijing-east brand in the promotion of these cities.

Data show that China has more than 2,860 administrative counties, these three to six lines of the city's brand awareness of the electrical quotient is still in a very vague stage, online shopping in these areas is basically equivalent to Taobao, other electrical commodity brand is not high visibility, these potential purchasing power is actually a consumption bonanza.

Gege recently to the media that the number 1th shop in the undertaking also made a lot of mistakes: early in the regional expansion is not radical enough, only the business focus on one or two-line cities, should be more quickly layout three or four-line cities.

At present, there has been a taste of the electricity business. Electrical Business "Demon stock" will be the target group defined in the three or four-line city, in the only product will see, three or four-line cities are not developed, many brands can not buy, only in the provincial capital to buy, the site has no geographical restrictions, the availability of goods to improve.

However, the potential consumption power must be supported by logistics, to the three or four-line city to become a common choice. Haoyu said that by the end of March, the Beijing-East distribution station has covered 495 cities nationwide, this year will vigorously expand the three to six line cities, expand the operating network.

According to Beijing Business newspaper reporter understand, Jingdong has covered more than 1700 counties, more than 90% of orders by their own distribution staff. However, for small county, small rural areas, Haoyu Blunt, orders can not reach, there is no way to establish their own distribution, only with the third-party cooperation.

No. 1th store In addition to the north to establish a large warehouse logistics center outside, Wuhan, Jinan, Quanzhou and other areas have also been opened, in addition, Guangdong Dongguan Hong Mei Town Warehousing Center has also been built, and continue to find suitable for the city positions. Only goods will be through the landing with the company to achieve the village without blind spot coverage.

For Suningyun, logistics can rely on its existing offline retail outlets, but Suningyun is not involved in county-level areas. "The future county-level market will be the focus of Suningyun business." For example, Jiangxi, Hunan, Hubei and other regions of the county cities do not have Suningyun store, but this market is very large. "Suningyun said.