Original Cool NET Chairman and CEO Hou Yu Xinjiang has been formally dismissed by the investors questioned the effect of advertising

March 12, the domestic luxury electronic business site of the cool network of major personnel changes, the original cool net Chairman and CEO Hou Yu Xinjiang has been formally dismissed, the company temporarily by the cool net former vice-president Wen Yi as CEO and management. In an interview with the media here, Hou said his departure was because investors questioned its effectiveness in advertising, and that the cool net did not meet the expected goals.

"This belongs to the management is forced to retreat, irregular." "Hou said, the cool net of all media, including Baidu frame part of the launch, and beautiful said cooperation, and so on, fully in line with the rules of E-commerce operation," in this circle who can not say "no" word.

According to angel investors Zhihihe introduced, the Hou Yu Xinjiang and the Board of contradictions, the main reason is that the company believes that the business behavior, market costs and logistics costs than similar companies too high, resulting in the procurement of the advantages of the company can not play. At the same time, it is not in line with business logic that the budget is unable to obtain financial support from the company, which is based on continued large-scale advertising-driven sales.

It is reported that the board of directors last December after an evaluation of effectiveness to reach a verbal unanimous decision to stop advertising, do not sign new advertising contracts. But Hou Yu in the way by email confirmed to continue and mediav advertising, and the board to conceal continue to advertise. It is claimed that the ROI reached 1 through MEDIAV, and according to the relevant professional analyst, the luxury goods industry, other customers large-scale launch effect of more than 1.5. The analysts believe that, in the context of the advent of the electric business in the winter, in the portal advertising ROI only about 0.5, so irrational market strategy completely deviated from the industry nature of the electric business. At present in some portal site home page position still continue to advertise, most of them are similar to the best of all the advantages of such a good purchase of the power of the electricity business. On Weibo, there are many professionals who question the possibility of a covert operation in advertising.

According to the introduction, after being dismissed, the company has given him two choices, the first is to let him continue to serve as Chairman, but must be in accordance with the resolution of the Board, adjust the current company's development strategy, to standardize the operation; the second is to resign, but wait to resign, but the board of directors proposed dismissal. The company had wanted to buy back its holdings and the offer was 10 times times the return on investment, which was rejected by the company. The most recent venture in the shareholder meeting came from loans from two employees within the company. It is the real reason why the board of Directors is unable to tolerate the cheating of investors and employees on behalf of each other and the existence of concealment and deception in the business.

There are electric business observers pointed out that the contradictions between the Hou Yu Xinjiang and investors, but also highlighted the electric business industry in the cold winter under the CEO helpless choice. Look ahead, knowingly dead, some have opted for a firm insistence, selling their own cars for sale, such as a cluster of nets, while others are considering the company's financial security and corporate security, such as cotton now, while some CEOs are starting to think about their personal interests and their passions are starting to swell. All these strange status, mapping out in the capital of the winter, the behavior of many electric operators have begun to deviate from the nature of the industry.

According to the current CEO of the Cool net, Zun-cool will reconstruct the luxury electric business strategy. The company will play the company in the brand, buy the upstream resources advantage, focus on high-end customized services, through the wardrobe consultant, such as online service, the introduction of quality Life Club, to provide users with a better experience, realize the line on the business interaction, to create high-end community, hoping to achieve a light transformation.