The electric business model of expanding electric quotient is more needed

Source: Internet
Author: User
Keywords Electric business Beijing-east competition seafood E-commerce

This weekend thinking about a problem, why Ali and Jingdong have become more and more closed? Is the openness of the peace-Taiwan economy not the opposite?

Ali's closeness has been a long-standing. Ali once blocked Baidu Link, to the shopping guide site also a stick dozen, to micro-letter the slightest blunt close, and through the Sina Weibo, such as a series of mergers and acquisitions, the formation of a closed business ecosystem. Jing Dong suspended the cooperation with Sina Weibo, clearly chose easy letter and fully gave up the cooperation with Tencent.

The closeness of Jing-dong is a sense of crisis.

First of all, Tencent caused the fear of the east, a big reason is the easy to attack violent, has been killed to the Beijing-East stronghold, that is, the Beijing market;

Second, Jingdong Mall is facing the real threat of Suning, Amazon, and Ali is also constantly pressure Beijing east. Beijing east from Ali Rob Merchant not too smooth, because the relocation cost of merchant is too high.

Third, the trend of mobile electricity business is already obvious, Jingdong Mall and Ali can feel, Tencent may be a potential opponent. And Baidu never give up the electric business Dream, the merger of Glutinous rice is a recent example.

There is also a trend that more and more platforms for standby power providers are starting to appear. The beginning is Wanda, then the bank of electricity, CCTV, then Huawei and other front-line enterprises also show the will to do the platform. Shun Fung to get 8 billion financing, it is not possible to do only logistics, electricity business is a better story for the capital. Thus, a new electric business platform than a warrior, have sacrificed a free strategy to compete for users and businesses. And Ali, Jingdong, such as a first platform than a closed, the results of multiple competition does not necessarily let consumers and the electricity business benefit, but may be more tangled, the whole network marketing becomes more complex, because every moment face "two choose one" game.

Recently saw a comment in Weibo: "E-commerce lack of online retail contact with people, so the demand for higher credit, brand more strong, is more difficult to do business." Platform between the "immortal fight" will let the electric business is disturbed, originally "platform kidnapping electric dealer" situation is very serious, the next sales rhythm by platform impact may be greater. Ironically, after Ali goes public, the balance of power in the electric business war will not be changed in a qualitative way. One reason is that Ali's Internet financial dream has moved offline banks and UnionPay's cheese, these Big Macs may fully support other electric platform and Ali competition, electric business platform war may be a protracted battle ah.

What to do? The platform is also painful, the electric business also suffers, the user is in the state of esthetic fatigue. This requires deep thinking, IBM to soft power once put forward a seven-force model, before I imitated the porter competitiveness of the five-force model also made a hypothesis, namely the internet economy "five-force model":

Attention Economy (portals and microblogs)

Influence Economy (HuffPo post, knowledge and titanium Media)

Relationship Power Economy (Facebook and micro-letters)

Matching power economy (Google and Baidu)

Innovation Economy (Apple)

Recently, it is also noted that the future of the Internet economy will be a free, public-funded, paid business model "ternary combination". With "Five Forces model" and "ternary combination" to rethink the electronic commerce, what kind of new ideas will be found?

The development of e-commerce is based on platform economy, and the theoretical description of platform economy is "long tail theory". Long tail products require more attention, more matching power, and attention and matching power is to pay. From a certain point of view, the long tail of the Ali system than Amazon, is a model of the platform economy, but attention and matching force cost is also higher.

Ali future changes, it must be open closed system, so that businesses regain the free flow of Ali department. At the same time, under the pursuit of authentic. It also requires an upgrade of Ali's management team. and the listing of financing for Ali to carry out this transformation has created a good condition, as long as sufficient funds, Ali can do a lot of things. But whether Ali can become a heavy asset company, logistics, data, finance, traffic, everything is the first. This needs to Haina Rivers, Ma Yun retired to Ali's big platform dream is not a good news.

Jingdong Mall is authentic long tail, in the face of the challenge of Ali, gradually chose to follow the following strategy, data and financial progress quickly, and traffic is a bottleneck. Jingdong's best choice is originally to cooperate with Tencent, but Chinese enterprises like to do one thing, not dislocation competition, but to the bit competition. Tencent has an easy to hear, and Beijing East also gun pick when. So there is a wonderful combination of jingdong and netease, assuming that Sohu and other considerations come in, the Beijing-East search engine will be further strengthened. However, Jingdong and Ali's business model is highly homogeneous, product category and Suning homogeneity, logistics system and Amazon homogenization, Jingdong Mall pressure will not be reduced.

Ali and Jingdong will also be in the fresh electric power, now 1th shop and the optimization has been in the fresh logistics layout. The problem for Jingdong is that there is fighting everywhere, and its allies and small partners are not Ali. Jingdong's advantage is that Ma Yun retired, and Liu in the front-line command operations, the east of the amoeba operation also has a pick-up.

The more painful is the independent electrical and regional electricity quotient group. In the platform layer has been completely unable to compete with Beijing-east and Ali. Silver Thai Network COO Lin Chen put forward a competition model of electric quotient, the electric quotient is divided into platform layer, retail layer and media layer, and it is believed that the independent electric business has no advantage in the platform layer and can exert force in the media layer. This involves the influence, relationship and innovation of the five Forces model. I think it is not the short tail theory that corresponds to the long tail theory, but the "Jianhai theory". "Jianhai theory" is an upgraded version of the Blue Ocean theory, with the following characteristics:

1. Mixed operation of standard and non-standard products: Select category, Build fast supply chain, try not to operate the same product category as large platform.

2, wholesale and retail of the mixed operation: pay more attention to the wholesale link, and the development of low-end market. And then into the retail link.

3, the establishment of a public platform to support creative e-business

This is the core of the "Jianhai theory". The key to the long tail theory is that in order to sell long tail products, a large amount of investment must be made in the construction of the electric business infrastructure, and the "Jianhai theory" is centered on the innovative economy, pursuing the simplification of product categories and maximizing sales, so that the pressure on the infrastructure is smaller, and the wholesale economy and standard products are supplemented by an enlarged cash flow.

4, using the media platform or from the Media Alliance to carry out a communication

Two spreads using microblogs and micro-letters. Keep in mind that the minimum feasible product principle proposed by lean entrepreneurship will be used as a marketing channel for products from the media platform, since the media platform gathers the most cognitive surplus and the most innovative people, and then uses the talent economy to spread it two times in micro-blogging and micro-letters.

5. Promote the internal knowledge management by using the electric business community

E-commerce is a knowledge-intensive industry, which is one of the biggest differences between electric business and traditional enterprise industry. Traditional enterprises are positive assets in cash flow and negative assets in Internet knowledge. The development of e-commerce industry needs a lot of knowledge-driven, and the update is very fast. The elimination rate of electrical products will be very high, on the basis of very high elimination rate, it is possible to form a "simple seafood."

6, the business model of Jianhai products is more complex, combining free, public and pay the three major models

The business model of the long tail product is relatively simple, it is a simple trading relationship. And simple seafood is a continuous process of knowledge innovation, process innovation and marketing innovation. Relying on large data to do the whole network marketing, this is a very easy to say, do it difficult things. Simple seafood first to find blue ocean, followed by the blue sea on the basis of continuous optimization, and finally focused on a small number of products. Simple seafood is also a value chain built around the core needs of a few users. Because it involves business secrets, there is no case here. But there must be a correlation between several core requirements, and then deploy the enterprise resources intensively to form a solid position. A few core needs, that is, a simple, and the core needs of the outbreak of the sea.

Long tail products have long tail product vitality, Jianhai products have simple seafood vitality. But strictly speaking, the quality of Internet products is the precision hit, long tail products are not accurate enough, not innovative. But I also agree with HTC founder Wang that innovation is costly. Not every user can enjoy the most advanced, the most fashionable products. For our developing country, long tail products still have a big market. However, e-commerce needs more business models to be a benign competition.

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: 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.