The integration of household distribution channel in the era of electric business

(This article is published in the "East China Furniture" magazine.) ）

Nowadays, the development of electrical business is not a problem, the problem is how to develop electricity business.

The vast majority of home enterprises may be the first choice in the days of the Cat Jing Dong opened shop as a development of the electric business start. This is relatively simple work: the establishment of an independent electric business sales department, to take out a few of the network of special products, to the Internet for sale.

I refer to this kind of electric dealer sales as the "dual track" of the development of electric business. The question is: Is this dual-track is the direction of household enterprises to develop electricity business? If not, what should be the direction of the development of electrical business in home enterprises?

A． The fundamental goal of the development of electric business

The first question to answer is why do we have to develop the electricity business? Just to add a promotional or sales channel? Of course it's not that simple.

The fundamental goal of the development of electric business in household enterprises is to enhance the competitiveness of the core market in the new electric business environment. From this goal, we may be easier to find the direction of business development: with the development of the Internet, the consumer habits of household consumers have changed. They are willing to spend more time online to browse the relevant information, from other netizens to learn from the experience, and through the credibility and parity search, to find more cost-effective businesses and household goods.

Consumer behavior in the home is fundamentally changing, so the household enterprises to meet the consumer's new behavior and habits through the development of electricity quotient to satisfy the new demand of consumers. This is the home enterprise electric business development motivation and direction.

More than a year ago, I put forward the "home electric business Marketing chain" concept, although the original is directed at the traditional home channels, but also basically apply to our home enterprises.

The yellow circle is the traditional home channel marketing function, while the green Circle is the development of the Internet for home consumers to provide new marketing functions. I in the "Home electric business channel marketing chain Analysis," a article, did this analysis: "The internet is expanding the home building materials industry Marketing system connotation and extension." The change of the extension is simply manifested in the change of sales channel and mode, and the change of intension refers to the fundamental change of the marketing mode. Network Marketing will be home building materials marketing links from the traditional sales and after-sales service to expand to provide pre-sale shopping information, so that it becomes a closed-loop marketing chain, this is home electric network marketing in the marketing model of the fundamental changes. "(full text can be read by Baidu)

Household enterprises to develop electricity business, should be closely around the home electric business marketing chain to expand, fully expand the marketing function of enterprises to meet the new needs of domestic consumers, so in the fierce market competition to occupy the advantage.

Two． Line under the Tangle

has begun to implement the electrical business of home enterprises have experienced the basic line of the distribution system is not the integration of the tangle, which is generally taken offline under the line of product price dual-track reasons.

Compared with other industries, household goods have such two major characteristics: a non-standard large standard products, consumers need physical experience; second, after the sale of goods need follow-up distribution installation Services. Therefore, household enterprises to develop electricity, is unlikely to run online, but also need to line the original distribution system support.

On the other hand, the traditional distribution system generally has such a few characteristics: one is not price, the other is not the national unity of prices, the third is the high cost of the channel. These characteristics, so that online and offline sales coordination is almost impossible: online sales price is much higher than the line, and the line adopted is the national unification of prices.

The above conflict is only superficial, deeper conflicts, the traditional dealers from home businesses to the electric dealer's instinctive resistance. The vast majority of traditional dealers to the electric business development as the invasion of their own interests, so the domestic enterprises related to the line under the distribution of the policy generally adopted a boycott of the behavior, so that home enterprises to try to use the original distribution channels to solve the sales of physical experience and after-sale distribution installation Services failed.

On the one hand, the sales of electric dealers need to support the original distribution system under the line; On the other hand, the traditional distributors of the company regard the development of electric business as the invasion of their own interests and instinctively resist. This is the household business development of the electricity business faced by the line under the tangle, but also the enterprise to take line under the product price of the two-track two-tier root cause.

However, the development of the dual-track electric business is not a long-term plan. Because the line under the product price division, will eventually lead to corporate brand in the consumer mind division.

Three． Integrated Product Marketing Service System

With the development of time, online consumers will eventually become a whole. By then, the line will gradually blur the lines of the blurring until the disappearance of the enterprise's marketing behavior is finally integrated into one. Imagine: If the consumer in the Suning offline entity shop with a mobile phone in the purchase order, this is online sales or offline sales?

When consumers do not line down to buy household goods, home enterprise countermeasures should be taken online under the integration of integrated marketing strategy, to provide domestic consumers with online integrated product marketing service system.

Here we need to focus on the O2O model, this is about the home electric business is almost unavoidable topic.

The so-called O2O, is the English online to offline abbreviation, meaning is from line to line business extension. In the household electrical business, people are accustomed to line and offline relationship, called O2O. For example, home building materials Network Group buying is "online call, offline display and sales" of the O2O mode, cat love honeycomb implementation is "online sales, offline experience and service" O2O mode. Note that the O2O pattern is only a general term, and its contents may be completely different. So, is it not the same thing that the usual O2O model is integrated with the line we're talking about here?

The answer is NO.

Briefly analyze the difference between O2O mode and online integration.

Generally speaking, O2O is a business process: From line to line business links and extensions, and even from the line back to the line of the process (so-called O2O closed loop). If we analyze carefully, we will find that this is mostly from the original line of electrical business to talk about the development of the electric business: from the line to the offline. For the pure electric business, from the pure line to the line to the line of business extension, this is an inevitable trend, so very important, so O2O also very hot. To this end, has begun to the pure line of the electric dealers called the traditional electric business.

But O2O mode is not the same as online integration. Online integration is aimed at the traditional enterprise development, because the traditional enterprise development of electricity business, is not to design a line from the line to the business process as simple as.

I have said that the traditional enterprises should consider the development of electricity business as an organizational change. In essence, it is the concrete embodiment of the organization change to build the integrated marketing service system on line. The content of this organizational change includes at least: more attention to the user experience of the corporate culture, to adapt to the marketing chain business structure, the corresponding operational organization structure, business cost structure and profit distribution structures and so on. The above content can not be analyzed in this one by one, but the results of organizational change is very straightforward: is the line under the Integrated Marketing service system.

One thing is clear: consumers will not be the way we design in the purchase of household goods in the process of distinguishing between online and offline. In the psychology of consumers, whether online or offline, are the same brand to provide sales and services. To educate consumers to deliberately distinguish between the enterprise line and offline sales service is definitely not an easy thing, so for home enterprises, may be the only choice is the implementation line under the Integrated Marketing service system.

So, what is online under the Integrated Marketing service system? Perhaps a word is hard to say, and with the development of the electrical business of the concept itself is also constantly improving. I'm here to help you get a good idea of this concept through a series of questions:

--Enterprise customer service system is online under the integration of the line?

--Does the enterprise's brand propaganda and display fully consider the integration of line?

--is the marketing function of the enterprise a unified implementation plan under the wire line?

--Is the product development of the enterprise wired online under the Unified Division of planning and implementation?

--Is there a planned deployment of the integration of the product price line?

Whether the organizational structure of the enterprise fully reflects the idea of integration under the line, the electric dealer is no longer an independent sales department, but the function of the integration in each department?

Does the cost structure of the product be readjusted according to the need of the new electric business marketing chain? Is the profit distribution of the relevant interest in the marketing chain reasonable?

Have you considered incorporating the traditional distribution system of the enterprise into the new integrated marketing system?

......

The above is just a guide to some of the home enterprise line under the integration of some implementation should be considered factors. Hope that interested friends to continue to explore together.

Four． Dynamic Channel Integration Strategy

The development of home electric business is only just beginning, the current line of the online home Platform channel Development situation is still very uncertain, therefore, household enterprises must be based on the line under the dynamic development of household channels integrated channel integration.

From several aspects to consider the future of the development of household channels of uncertainty: 1 days of the Cat Jing-dong for the representative of the online platform can be successfully incorporated under the remaining traditional channels to build line under the integrated platform? 2 How does the online platform of traditional channels develop? Including the Red Star of the United States and Kai Lung, the traditional home channel a lot of the electric business platform, but almost no success. Incredibly electric Dealer 11 online, is said to be the first to adopt the line under the integration of ideas, the results are still to be verified; 3 to Haier Day and day shun home services as the representative of the third party household goods distribution installation Services to the intervention will change the competition pattern of home marketing channels? 4 with the Internet Information integration technology and the development of 3D cloud technology, the sale of household goods can be a revolutionary change? 5 The continuous development of Internet technology so that affect the enterprise's integrated distribution system?

In short, the home enterprise in the line to build the integrated marketing service system, must have the vision of dynamic development, the habit of changing the marketing channel environment, and make optimal adjustments in a timely manner.

Home enterprises should pay attention to two points: first, data analysis and application. Although the current hot big data and home enterprises basically have nothing to do with, but enterprises in the construction of integrated distribution system, the need to be based on data collection and analysis, to guide enterprises in the dynamic change of channel development in time to optimize their distribution system deployment. With the development of electric business, the role of data analysis in strategic decision-making is becoming more and more important; second, fully understand and grasp the social micro-marketing tools (such as micro-bo, micro-letter, etc.) in the establishment of enterprise line under the integrated Marketing system, the initiative to master first-hand user resources and direct contact with users, In the dynamic channel changes should be variable.

The importance of integrated integration under the line of distribution system in the electric business environment may not have been clearly demonstrated yet, many home enterprises also set up the sales department as the development of electricity business in the focus of the work, but those involved in the development of the dual-track of the electrical business of the home enterprise electric Pioneer, Must have felt the necessity of building an integrated distribution system under the line of enterprise, recognizing that this is the core task that the enterprise must complete.

Tang people, home electric business practitioners and explorers, focused on the traditional household enterprises in the development of electric business strategy and implementation.