Suning's cloud business retail model was announced yesterday

Su Ning, a traditional retailer, accelerated the pace of transformation in 2013. Following the announcement of the February 20 night, the "cloud Trader" retail model of Suning was officially announced yesterday after its name was renamed "Suningyun Group Co., Ltd.".

"Cloud business model can be summed up as ' shop + Dealer + retail service provider '." Jindong, chairman of Suningyun Group, said in an interview with the first financial daily that: after years of operating accumulation, Suning has built an internal staff management cloud, supplier-oriented supply cloud and consumer-oriented consumer cloud, and gradually promote the "cloud services" model of the overall market-oriented operation.

Expand the whole category of cloud business

"The restructuring will form the line under the two open platforms, three major business groups, 28 division." Mengxiangxie, vice president of Suning Group, said that the Suningyun business model would build a new retail value chain with virtual platform integration and whole category expansion.

2009, Su Ning put forward "the marketing change", try the whole category management, whole channel expands. According to previous planning, to 2020, suning to become a trillion-class enterprises, of which the electric business channel sales 300 billion, physical store sales 350 billion.

In the "Suningyun business" model, Suning accelerated the "go to electrical", the introduction of solid products, content products and services products of the whole category of goods. Suning has set up a department store and the use of goods in 2012, based on two major businesses, in 2013, and set up a department store business, Daily necessities department, maternal and Infant Cosmetics Division, Book division, in the future will be further in this area to refine Suning's business department.

Online goods include physical goods management, life services, cloud services, financial services. and E-commerce platform will increase the introduction of retailers this year. The newly established network Shopping division and mobile division will be the open platform for the full introduction of all the entity merchandise stores to provide consumers with a full range of services.

In this regard, China E-commerce Research Center Network retail Department analyst Mo Dai, Beijing East recently disclosed that the 700 million U.S. dollar D-round of huge financing, as well as Alibaba Group's overall IPO approaching, will greatly aggravate the network retail market competition. In this context, Suning accelerated the "go to the electrical" reorganization of the structure imminent.

Suning "Cloud quotient model" strategy proposed, means that the electric quotient in Su Ning's position upgrades, the line on-line integration intention is becoming more and more apparent. This also means that suning is easy to buy or no longer as a branch or independent company operations, but with Suning group, the two together, the Su Ning this ship tied to the electricity quotient, the layout of similar "Wal-Mart + Amazon."

Building three management levels

In order to match the "cloud quotient" model, Suning has already initiated the internal architecture adjustment.

"In the whole group, will focus on the construction of Headquarters management, Headquarters management level, regional implementation layer." According to Mengxiangxie, the first level-Headquarters management will have five major management headquarters, responsible for strategic planning and standardization of construction, including the chain of development and management headquarters.

The second level of the headquarters management layer is the key to the restructuring, set up a chain platform operating headquarters, E-commerce operating headquarters and commodity management headquarters. Specifically, the chain platform operating headquarters is responsible for "offline", that is, Suning flagship store, Suning Super Shop, Suning Life Plaza, Suning Plaza, all entities store platform management.

E-commerce Business headquarters is a new launch of a department responsible for suning online business management. It is noteworthy that Su Ning put the business unit of Logistics Division in the Department of E-commerce Business, the first realization of the line under the logistics unification.

"A very important change is that every business unit will realize the full integration and management of the mining sales under line." "Mengxiangxie said.

The third level of the regional level, Suning proposed "flat vertical management, localized self-management", which is the biggest feature of the structure adjustment. 2013, Su Ning will "big district-subsidiary-Operation Department" three level operation, reduced to "big district-City terminal" level two management, and greatly expands the large area and the city terminal quantity, enhances the regionalization operation and the localization service ability. It is understood that the number of suning at home and abroad will increase from 44 to 60, the city terminal from more than 100 to more than 200.

On the basis of this framework adjustment, Su Ning's core decision-making system also appeared new changes. In the operating system of the three new operating headquarters, responsible for E-commerce business headquarters of the Li Bin, responsible for the chain platform operating headquarters Tian Rui promoted to the President of the Office. The relevant person responsible for the important area is also promoted to the president's office.

In 2013, the market pattern of the electric quotient of the kingdoms of the two or three-line was looming. "Mo Dai Green Forecast: Since 2013, the domestic network retail industry, will become more than tens of billions of big guys can play the" capital game ", Alibaba, Beijing east, suning three major electric dealers," Tri-Kingdoms "market format has emerged, become the consumer industry" first Echelon ", the entry threshold further elevated. and Tencent Electric business, where customers Prudential products, Amazon China, Gome online and other retail business, will become a "second echelon."

Three challenges of Su Ning's "Wanda Type" electric business innovation

Su Ning put forward a grand concept, but it is not easy to implement.

Su Ning is to explain the concept of "cloud quotient": the so-called "Shang", "store + Electric quotient + retail service provider"; The so-called "cloud", using cloud computing technology, will store the data flow of the chain and the electric trader to get through, integrate, the user demand instruction synchronization. For example, you in Suning Electric network under a single product, Suning store computer terminals can also see. If you have door-to-door service needs, Suning will send its service team to give you door-to-door solution.

Suning sketched the concept is also known as O2O (online to Offline, from the line to the line), the difference is, Su ning by virtue of their own stores, can also Offline to online (from the line down to the line). Su Ning put this kind of network stereoscopic retail model system to call the future technology retail. In the sale of product content, Su Ning said will "go to electrical".

Why does Su ning change so? From the channel, the rising cost of the store (including rent and labor costs), the emergence of new internet channels, which makes the original store scale expansion mode of efficiency is lower; in terms of product content, subject to the global economy and real estate constraints, and other factors, home appliance sales growth slowed, People's demand for more goods cannot be met. and "Cloud quotient" and "go to electrical", it is from the channel and content of targeted changes.

In fact, Suning's concept of change is similar to that of Wanda's boss Wang earlier.

A Wanda insider said, Su Ning's O2O is the offline store and the electricity merchant is connected, Wanda's O2O is the commercial real estate and the electric Commerce link. Suning's offline stores, selling other brands of electrical appliances, mother and child products, Wanda Commercial real estate, installed in various brands of store counters. Suning insiders said that Su Ning also in the low-key layout of commercial real estate, the current total area has exceeded Wanda. This part of the business by Suning Property completed, and Suning home is not installed in Suning appliances listed companies.

Su Ning and Wanda have put forward the magnificent O2O play. Interestingly, Wang also took 100 million and Ma Yun to bet 2020 whether the electricity business can occupy half of the gross social output. Su Ning Chairman Jindong also stood on the side of Wang, that the future retail should be led by the real economy, rather than the virtual economy.

But the question is, Su Ning, Wanda's "cloud quotient" O2O how to achieve?

Suning's transformation has three big challenges: first, difficult in time waits for the person, needs to complete the integration quickly in the short term, not behind the Jing-dong, and strive to stabilize the domestic electric business structure of the front row seating; second, the difficulty in the seven boxing will not hurt themselves, this to the internal management and implementation, all bring great challenges; Iii. how to balance long-term goals and short-term benefits , rather than letting shareholders worry about short-term profits.

Suning insiders revealed that the future of Su Ning's online, offline synergy, how to collaborate, the rules are what, have not been set down. In other words, the current "cloud quotient" is still in the conceptual stage.

It is reported that the future of suning each large area of sales assessment indicators, will be according to the region's offline sales, coupled with the total sales of electricity dealers in the region will be determined. But the indicators have been issued, the promotion of the electricity business is not decentralized to the various regions, the regional competition between how fair?

Second, online and offline procurement after integration, online prices will tend to purchase price, and offline prices will be lowered, but offline and online cost structure is not the same, after the integration of online and offline profit How to measure? In addition, Alibaba, Jingdong every year in the IT system investment billion, but still will appear "double 11", "8 15" To promote the collapse of the situation, and suning to complete offline and online cloud computing, and how much money and time costs will be spent?