The goods will skyrocket by 32.44% to 169.21 dollars.

March 5, only goods will (Nyse:vips) jumped 32.44%, closed at 169.21 U.S. dollars, the market value of 9.418 billion U.S. dollars! The frenzied performance of the capital markets has benefited from the Better-than-expected four-quarter earnings and annual report of 2013. How stunning these two reports are, we might as well figure it out.

Total revenue: 651 million U.S. dollars, up 117.3% from a year earlier

Active Users: 5.7 million, 119.5% more than 2.6 million people a year earlier

Total orders: 17.7 million, up 102.4% from 8.8 million a year earlier

The above three indicators, only the goods will be compared with the same period, are 100% of the growth rate, and, only the goods will give 2014 years Q1 net revenue growth of 106% to 108%, still more than 100%! For the only product will, the author has written a lot of articles before, to this day, I think the real can be summed up, or analysis of the nature of the goods will be business, is the meaning of this article.

The three essentials of this business

The essence of business: China's retail is underdeveloped.

The real achievement is only the product will, in addition to the right business model, Shenya team execution force in place, I think the most important objective condition is China's natural backward retail environment. Only the positioning of the product will be "a special sale of the website", popular can be understood as online outlets. Outlets at the core of the two elements are: Brand + discount. Think about it, in China's 345-line cities, especially in remote areas of the county, Nike, Adidas stores are very rare. And only goods will be able to use the Internet way, not subject to geographical limits of radiation nationwide. For the only product will itself, the line is more explosive than the traditional Otis, the increase is greater. For consumers, with the only product will, we all of a sudden be leveled. A consumer in Guangzhou can Rob Seven Wolf's windbreaker on the only product, Gansu, Inner Mongolia can also.

The nature of business two: do a group of people's business.

Many people are willing to make the only product will become the vertical electricity quotient. In fact, and selling shoes, selling books of the electric quotient than, the only product will really not calculate vertical electric quotient. Selling shoes, selling books, so-called vertical, is the vertical category: Sell the same item to all. And the only product will? Although clothing sales accounted for 50%, but only the goods will be 75% of the shopping crowd female. This part of the population has a lot of common characteristics, such as 75% of women in 50% from the three or four-line cities, have a certain consumption capacity, care about the brand. According to the user division, the only product will be a vertical user-oriented electrical business. So, you see only products will be on line beauty channel, home textiles, parent-child, these are around his user design. Besides buying clothes, women buy cosmetics and buy bags. Women with a family also buy baby clothes, pee, etc.

The best business in the world is to do all the business for a group of people, not to do business for everyone.

The nature of business three: repeat the purchase rate.

In the electric business, the repurchase rate should be regarded as one of the final indicators, the only product will disclose the repeat purchase rate of 90%! Only many users of the product will be able to buy seven times a year. Such numbers can only be described with horror! And, the only product will achieve this high repeat purchase rate, or in the absence of large-scale advertising on the premise. High repeat purchase rate, can reduce the only product will get new customers pressure. When you buy a new customer, you will be left with the goods.

The ceiling and the imaginary space of the future

The ceiling, it seems, is the most popular word for electricity dealers and retailers. For example, when when books, books a year's sales of less than 50 billion yuan, is all be when accounted for, the profit can be seen how many. Will there be no ceiling? I think it is impossible and unreasonable to say that there is no ceiling. Only the ceiling of the product will, depending on the future only product category structure design. For example, clothing accounted for the proportion of sales, such as new products accounted for.

After the only product will be reported, CEO Shenya answered Deutsche Bank analyst "future only product will be to the mixed mode of development", the answer is "only the future will insist on clothing, shoes package as the main category." "From the Shenya's answer, you can see that only the goods will be in the short term, but also in the clothing, shoe bag within the intensive cultivation." The ceiling of discount clothing, I think it is very difficult to meet in the short term. China's clothing tail market is about 400 billion yuan, compared with less than 5% of its current share, the US investment bank said in an inquiry.

In 1-2 years, only the quality of the ceiling, I am very difficult to see.

Finally, I would like to say that only the goods will share price things. I think the main thing is that Wall Street can understand this high valuation and high rise in the product. Another reason is that, since the IPO, the revenues, margins and net profits of every quarter have almost exceeded the expectations of Wall Street analysts. Only the four-quarter U.S. trust certificate diluted a profit of 0.49 U.S. dollars, beyond the Wall Street 5 analysts expected. Only the goods will be limited by the special sale of the discount economy, the United States cable zulily (8.3 billion U.S. dollars market value), Offline has TJX (market value of 43.7 billion U.S. dollars). In contrast, the old beauty is easier to read.

Perhaps this society does not have demon stock, just can not understand too many people.