The frequent trading war, whether it is beneficial to the development of the industry

Source: Internet
Author: User
Keywords Electrical business

Bachelor Power Saver, who is the last winner?

Just the past November 11, was nicknamed "Singles Day" by netizens. In traditional shopping malls, the marketing value of Singles Day is not big, but on the Internet, very dynamic and entertainment spirit of netizens to the concept of commercial value completely released. This business opportunity, the electrical business will not let go, the major electric dealers resorted to all the means, ahead of the preparation of a variety of trading concessions, to attract the attention of consumers.

Among them, the day of the cat deal is to brush out a new world record at zero yesterday, "Day cat 1111 Shopping Carnival" kicked off, only 2 hours 19 points, Alipay total turnover has more than 3.37 billion yuan, refreshed last year Cat "Singles Day" of the whole day turnover, 13 hours deal on the breakthrough 10 billion yuan, refresh the United States " Online shopping Monday "record, the end of the day attracted 213 million independent users to visit, through Alipay completed total sales reached 19.1 billion yuan, is 3 times times more than last year.

Just the past 11th this day, in addition to Alibaba under the day cat and Taobao outside, Suning easy to buy, Gome Online mall, Bowser Network, as well as Jingdong Mall, Amazon, Dangdang and so on the number of the war, also achieved a decent turnover.

In terms of trading volume, the cat is the biggest winner, but the days of trading behind the transaction, who is the winner of the profits, it is the secret of the major electric dealers.

Price war, consumers buy in the phase of cheap goods at the same time, public opinion is also in the reflection, although many prices of goods have actually reached more than 50 percent, but the discount price of some goods than the October discount rate is actually not small, and the Web page paralysis, payment difficulties, the shortage of goods and other old problems

Frequent trading wars, in the end is the industry's development is advantageous, who is the final winner of the price war?

The price war is a common phenomenon in all walks of life in China, but why is it so frequent in the field of electric business? So many war businesses? The competition is so fierce?

The previous electric business war is once a year, at most times, now is at least one months, and even the trend of the daily war, and the volume of transactions has been constantly refreshed, too many electric dealers involved in it.

The frequent cause of the electric business War lies in the limited profit space of the industry, only through the price war, defeating other competitors, the enterprise has the space of survival and development. But too frequent price competition, the root cause of the electricity business model is congenitally deficient.

E-commerce, which is now often crowned with high technology, but in-depth analysis, compared with the traditional mode of commercial transactions, is nothing more than the traditional physical space of the trading platform to move to the virtual network platform, free from the traditional geographical space on the trade restrictions, the variety of transactions more rich, consumers have more choices on the Internet, The speed of the transaction, to consumers more convenient and convenient experience, in short, consumers are the biggest beneficiary, especially the frequent occurrence of the price war, so that consumers are reaping the benefits of the price. However, the function of electronic transactions has not changed, are through a certain platform to achieve the sale of goods, the model of profit has not fundamentally changed, the way to profit or from the commodity transactions.

Electric dealers set up trading platforms, engaged in online trading business, and traditional businesses, the source of profit is also dependent on the exchange of goods traded spreads, trading commissions, and accompanied by the exchange of some derivative income, such as advertising revenue. Among them, the most fundamental basis of the power business is the size of the transaction, without a certain scale of trade, all the profit model has become a castle in the wind. In particular, the network trading platform, eliminating the traditional trading platform for time and space restrictions, the scope of the transaction coverage is broader, the expansion of transaction capacity and speed of promotion, objectively also lifted the size of the transaction restrictions. These characteristics are determined, compared with the traditional trading platform a large number of features, the network does not need too many trading platforms, network transactions have a win-take-all characteristics. This determines that the electrical business in order to survive, it must be on the one hand to enrich the trading varieties, on the other hand, regardless of whether the electric dealer is willing to, in the era of highly homogeneous trading varieties, but also through the launch of frequent price war means to achieve the expansion of trading, replacing other trading platforms. Here, the price war is the electric trader washes the dish, realizes one net to snare the world the means.

It can be expected that the future of the electric business war will also extend to all aspects of network transactions, including logistics and distribution. Like the Sky Cat in order to speed up the delivery speed, the first use of charter delivery. In the future, all have the strength of the electricity quotient, in order to ensure the distribution of goods, will set up their own logistics system, or with logistics enterprises to establish exclusive strategic partnership.

Electric Business War, the final winner must be those who have the advantages of the platform, such as electric dealers, such as large dealers, trading threshold is relatively high, trading varieties with the characteristics of the electric dealers, and have the advantages of logistics distribution of the electric business, may become the future of the electric business win.

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