The internet to open up the rural market, the Giants unanimously choose to brush the wall

As a simple and efficient means to enter the rural market, brush wall has been the IT manufacturers, home appliances manufacturers and operators are loved; But, when the big internet giants are also keen on the low-end of the brush wall, what will happen?

A few days ago, Jingdong Mall's official microblog posted such a slogan: "Not only can go abroad, but also to the countryside; tall up into the New York Times Square, grounding gas can be painted across the countryside red brick wall." "And with two photos: One is a huge advertisement in New York Times Square, while the other is a slogan painted on the walls of farmers ' houses with a red background and white paper.

The electric giant, which is worth nearly 40 billion dollars, is looking to the vast rural land. And in this battle on the battlefield is not a Beijing east, its biggest competitor Taobao in the last year has been in this area issued a voice: "Life to think good hurriedly Taobao." "Next door to this slogan is," Want to get rich, fewer children and more trees. "and" diligence is the right hand of happiness, thrift is the left hand of happiness. ”

Does it look a little bit like it? But with the gradual disappearance of the Internet urban demographic dividend, it is inevitable that the Giants will brush the wall.

It's the style that brushes the wall

In the recent Beijing-East caravan activities, Jingdong Mall CEO Baidu NetEase Technology, brush wall advertising is to promote the Beijing-East channel subsidence strategy of one of the market, the goal is to allow more 3~6 line of urban and regional users understand the Jing Dong. According to the Beijing-east side of the introduction: "At present, in Chongqing Tongnan, Fuling, Wanxian, Jiangjin and other 13 counties have brush wall ads." Beijing East said the project began in the 4 quarter of 2013, basically completed in March this year, has already landed more than 8000 wall advertising in 145 cities nationwide.

According to NetEase Science and technology, rural brush wall ads are mostly concentrated in fertilizers, pesticides, agricultural machinery and other fields, and the effect is quite direct. Clearly pegged to this area is not a Beijing-east, as early as last year, the internet has been exposed to the farmer's home on the big wall brush "life want to be good, hurriedly on Taobao" slogan. In addition, there are Baidu's "to market, find Baidu", Dangdang's "fellow to see the villagers, shopping to when", 360 of the "child only a good, safety only use 360" and NetEase's easy letter "with easy letter, province," and so on.

However, according to NetEase Science and technology, in addition to the Beijing-East high-profile propaganda brush Wall, the other several internet companies to brush the wall is not a high-profile, 360 and Taobao openly claimed to brush the wall and unofficial behavior, Taobao said the place to brush slogans should be "Amoy Bao" local residents spontaneous publicity.

How big is the market?

A natural question is, how big a market is the countryside to the Internet?

According to the 2008 Taobao report revealed: Two or three line cities, the Midwest region and rural network shopping, accounting for the total number of online shopping 73.2%. Also from Taobao data shows that in 2012, China's county area Internet users per capita online shopping cost nearly 6000 yuan. According to the CNNIC2013 year report, as of the end of December 2012, the size of China's internet users reached 564 million, of which rural netizens accounted for 27.6%, compared with the 2011 increase of 1.1%. As at the end of 2012, internet users in primary and secondary schools and the following 2.4% percentage increase to 10.9%.

And CNCC's latest report shows, "As of the end of June 2013, China's rural population accounted for 27.9%, the scale reached 165 million, compared with the 2012 a slight increase of about 9.08 million people." In the last six months, the size of rural internet users grew by 5.8%, slightly higher than the town. ”

These figures show that "the disappearance of the Chinese Internet population dividend" is more accurate to say that the urban Internet dividend has disappeared, and the rural internet has just entered a period of accelerated development.

China's vast territory has made many infrastructure slow in rural areas, but as the internet has gone down and smartphones have become ubiquitous, barriers have ceased to exist. In the eyes of internet companies, this huge crowd is like an untapped treasure, and almost all companies are drooling over the market.

Who is the painting wall attracted to?

In the last year or two, channel sinking has become the hottest topic for Internet companies, but it is a reminder to the Giants that China's cities are divided into two levels outside the one or two-tier cities.

First of all, the wall attracted to the core users: five-tier cities, six-level cities, that is, the traditional sense of county and even villages. NetEase technology from the understanding of the situation, the current part of the user's overall understanding of the Internet and use is still at a very early stage, the need for a lot of education costs. And although the five or six-line city overall combined market potential is huge, but limited by the local economic development and consumption concept, the average personal consumption potential will be very limited, the overall calculation, a single user's new customer costs will be higher.

In addition to this part of the user's acceptance of online advertising is not high, by the Giants repeatedly advertised the advantages of the smartphone is still in the implementation of the simplest phone messages + mobile QQ to see news function. At the same time because the city is too small, mobile maps, the public comments, such as difficult to have a living space, relatively speaking, network literature, online shopping, paid hand travel has some good prospects.

For online shopping, the logistics of level five or six cities is always an unavoidable problem. BEIJING-East with many years to build the self-built logistics system and pride, according to the Beijing-East public news shows: as of March 31, Beijing-East Logistics has covered 495 cities nationwide, accounting for nearly 75% of the number of cities in China. Jing-Dong also joined the Ministry of Agriculture led by the "information into the village" project, and plans in 2014 years to connect the country's 10,000 or so rural information service stations, as the network to purchase points, as well as rural logistics distribution station and self point. According to the Beijing-East prospectus information shows that the next 3 years, Jingdong will invest 1 billion-1.2 billion U.S. dollars continue to increase logistics construction, the goal is to make the country's vast county, rural users can also enjoy the convenience of online shopping.

However, this large number of numbers does not translate into a real user experience, even in the channel sinking caravan activities, there are still reporters to Baidu, said the user experience in their own home is not good. And according to NetEase Science and technology, most of the five or six-line city of Jing-dong is still in the distribution through a third party, very few jingdong own distribution business.

Baidu the answer is that Jingdong will not consider the cost of logistics can control, now the main way is to encourage employees to return to the home of the five or six-line city to start a business, the income and order number of the hook to mobilize the enthusiasm of the salesman.

Coincidentally, the domestic express giant shun Fung also tried to enter the five or six-tier city through this approach, there are shun Fung insiders on the technology of NetEase, Shun Fung face the map in the "last kilometer" exerting force, but the company just encourage shun Fung internal staff entrepreneurship rural outlets, and maintain direct battalion, not for the public recruitment.

In recent years, internet manufacturers are keen to play the rural brand, but in fact, the channel sinking is not as simple as imagined, to all the needs of household appliances, for example, the appliance chain giants still can only sink to the four-line city, really involved in the rural market few people.

For the internet giants, the three or four-line city is their most important point at this stage, they have one of the best learning object: The only product will.

King of the three or four-line city

In the past two years, the only product will have been "bleeding listing" into the field of China's electricity industry, the only product will be the biggest difference with other electric companies is that a large part of their users from the three or four-line city, while other electrical business users mainly from the one or two-line city.

As is known in the Internet field, one or two-line cities are often the focus area of the giant's services and the core area of revenue generation. In the three or four-line city, there are often certain user groups that the Giants have temporarily overlooked, or that they are temporarily not covered with precision. Only the user positioning of the product will be focused on the three or four-line city, to avoid competitors or giants challenge, to avoid the giant's core business areas silently deep vertical market.

Only the brand discounts of the goods will satisfy the user psychology of the three or four-line city which can not afford luxuries but still wear the brand name. It is satisfied with the three or four line of a certain economic strength of female users of a brand satisfaction and vanity. Such a simple business model allows the only product to receive more than 80% of the repeat purchase rate, but also to the market value of more than tens of billions of dollars.

The other three or four-line cities have also been ready to accept internet companies, in recent years fled northward to become a large number of people wandering in the one or two-line city, especially for many internet industry practitioners, many people have been put into action, back home to carry out a new life. This brings talent accumulation to the three or four-line city.

Compared with the one or two-line cities and five or six-line cities, three or four-line cities have a large consumer population, and have more substantial disposable income and exuberant desire to consume, but also have a huge market space. Perhaps in the future, there will be more only goods will appear.