On the opportunity and challenge of Jiuxian network

Recently participated in the CCTV Business Angel program recording, this issue is the CEO of the Jiuxian Network Shang, the topic is about wine products and development of the electric business. Founded in 08 to now, the current monthly sales of more than 40 million, and received tens of millions of U.S. dollars in investment, is expected to invest billions of dollars this year, is expected to lose 500.08 billion, to billions of sales scale.

During the festive season, I mentioned some serious threats and challenges:

1. Channel conflict
The conflict between the online sales channel and the traditional channel inevitably leads to insufficient support from the manufacturers, and can not get better price support. Traditional wineries rely on offline channels for decades of sales cooperation, it is impossible because of a third-party online sales channels and disrupt its inherent national sales channels.

2. Warehousing and distribution issues
With the sharp increase in sales, goods warehousing and distribution problems will be very serious.

3, warehousing problems caused by a large backlog of funds, capital turnover rate is low
A large number of purchases of goods, is bound to result in a large backlog of funds, capital costs increase, at the same time, the capital turnover rate reduced.

4. The threat of traditional brand manufacturers ' self-construction
Liquor consumers have a certain degree of brand loyalty, and brand manufacturers are entirely likely to build their own, using their own cost advantages and promotional advantages to carry out electric business.

5, liquor consumption habits change the difficulty
Most of the liquor consumption shows the characteristics of timely consumption, when eating and drinking in time to buy timely consumption.

6, the net buys the user and the liquor user coincidence degree is low
Most of the Internet users are 80, and the middle of the liquor and heavy consumption group is more than 40 years old users, their online shopping habits have not yet formed, and also has a certain purchasing power, most consumers over the age of 40 will not because of cheap and painstaking learning how to online shopping.

Because of the above reasons, most of the brand liquor purchase price can not have too great advantage, some small unknown liquor except, and the breakdown of consumer groups, doomed to its promotion cost is high, conversion rate on the low, resulting in ROI is not ideal, continuous loss.

How to solve these uncontrollable factors and find a more reasonable operation strategy?

I would suggest a single consumer into the depth of business-to-business and Taobao mall patterns, making it the largest liquor distribution site in China and an online platform for local distributors to shop online.

In this way, the first is to solve the channel dispute, the enemy as a friend
For brand manufacturers, to make up for the lack of traditional channels, will form a broader line of channels, and can use the Business-to-business platform for the information management of dealers, access to sales data, master the consumer market status, supply distribution inventory management will directly benefit.

And the opening of the platform of the Consumer Mall, will make the original hostile densely distributed in the residential areas of small and medium-sized dealers directly benefit, they can open shop, or provide information, the nearest to consumers to buy goods and distribution, can be the O2O but also.

And for small manufacturers, but also to solve the problem of channel and promotion, here do not repeat.

The second is to solve the distribution problem
It can be sold and distributed by the distributor of the shop.

Third, solve the problem of storage backlog funds

Four is back to do the wine industry distribution of the fundamental-distribution and intermediary, travel light

Coarse thought for a moment, welcome everyone to discuss together.