The purpose of the electrical business is only to increase sales. Is the electronic business just a channel strategy? The Cat is e-commerce? Nowadays, enterprises should avoid the following seven misunderstandings when they think about electric business strategy.
Generally speaking, China's offline traditional enterprises in the footsteps of electronic business, behind the United States about six or seven years. A 2006-year report by Forrester Studies says Best Buy (retailer) has 40%~50% in-store purchases that are affected by online inquiries, while Sears 40% 's online sales are in-store pickup; REI online sales, in-store goods accounted for more than 35%~40%, in the pick-up and 90 of dollars in additional sales.
Now everyone is talking about O 2 O and trans-channel (Multi-channels), but, in my opinion, the O2O is not enough to gain a specific insight into the new consumption patterns, more across channels or enterprise-oriented rather than consumer-centric. The society has evolved to the whole channel (Omni-channel) consumption era, the traditional enterprise needs to consider the electric quotient strategy and the logical layout from the whole. In recent years, domestic brand enterprises, channel business, commercial real estate business, commercial complex are actively thinking about the electric business strategy, but there are many misunderstandings.
1, the electrical business only to increase sales
I interviewed a lot of traditional enterprises: Why do e-commerce? The basic answer is two: first, if not to do the electricity business, the future of enterprise risk; second, in order to increase sales. This shows that the enterprise failed to understand the nature of e-commerce, the wrong direction.
What is an electric dealer? Enterprises to use electronic network technology and related technologies to create, improve, enhance, transform business processes or business systems, so that the current or potential customers to create higher value. In short, electricity is a method rather than a goal. This definition fundamentally redefined competition, far beyond domestic entrepreneurs ' perceptions of electricity, such as lower prices, faster speeds and more types.
Increasing sales is, of course, one of the most important goals, but it is by no means the sole objective of the electricity business. The traditional enterprise should realize that the electric dealer has five great value (Figure 1): Increase and customer interaction exchange, online brand development, increase service value, reduce cost, increase sales. If let sales blinders, it is very easy to fall into open shop, out more products, playing price war in the circle. Increase and customer interaction, online brand development, increase service value is the traditional enterprises to develop electricity Shangzhi, and increase sales and reduce costs is the result. Otherwise, the increase in sales is only source. An enterprise, the line is very large, but Taobao is not to do it. After the investigation I found that the online brand promotion is almost zero, and consumer-related brand news less, negative news is quite a lot, has not been addressed; Is it not reasonable to do Taobao well?
2, either conservative or radical
People often think that traditional enterprises are conservative, passive, refusing to change, in fact, the greater risk is not from "waiting to die", but the revolutionary "find death." The vast majority of traditional enterprises lack the internet gene, the traditional enterprise gain and loss of the old thinking to do electricity, so the strategy is not conservative or radical. Conservatives tend to be small businesses, and most activists are big entrepreneurs who have been betting on the market by instinct. Many well-known entrepreneurs have shouted "a few years of E-commerce to do 1 0" slogan. In my experience, the company's electric business is in danger. Entrepreneurial spirit of the gambling complex, as well as the impact of the frustration caused by the shock, it is easy to extravagantly hope to quickly transform the enterprise-heavy recruitment to dig horns, to speed-oriented mergers and acquisitions, the existing core business reengineering.
The mentality of "crisis crisis" is apt to lead to extreme practices, thus neglecting the advantages of traditional business and engaging in its own short board. Chinese enterprises operating capacity is extensive, management capacity and leadership by logic rather than intuition, "revolutionary" to transform the enterprise, rapid change business model, high fight, although entrepreneurs in the mind of high returns, but often get high risk.
You should use "milestones" rather than simple "sales targets" to start the electrical business. Instead of shouting slogans, it is better to do the relevant deployment in a solid phase. The first stage: Complete the Electric business strategic plan, such as electric business model positioning; second stage: Complete the investment of resources, such as website function, I t platform preparation, warehousing logistics, personnel team; The third stage: the completion of marketing strategies, such as product planning, channel marketing; Phase IV: Improve the user experience, such as service assurance, personalized recommendations.
The development of Belle Line business has gone through 6 stages: investigation, discussion, planning period, preparation test period, initial development period, rapid development period, electro-commercial + platform period, whole network marketing +B2C platform period. In short, Belle's online business integration is an "evolutionary" rather than a "revolutionary" approach, short-term return is not high, but the risk is low, is with the development of China's electric business gradually build the core competence of the enterprise electric business process, E-commerce is to integrate into the enterprise's existing core business rather than from the core business separation.
3, the electric business only for the channel strategy
A well-known clothing enterprises, offline 1 billion yuan less than, do electric business has been more than two years, but almost no growth. An important reason is that the electricity dealers only have the power to sell inventory, and have no right to plan the product line of the electric business.
This is the true portrayal of many traditional enterprises-the electric business strategy is equal to the channel strategy, thus only the quantity accumulation, difficult to have the qualitative leap. If the offline business only as the bottom of the channel sales strategy, rather than enterprise strategy, will certainly ignore the whole process of consumer behavior, consumer satisfaction, brand strategy, will despise such as advisory feedback, interaction, supply chain management, user experience, corporate image, Online value-added services, such as the core business and processes can bring fundamental changes in opportunities.
Anta initially appointed only one person to engage in the business of electricity, the basic responsibility is to clean up the stock tail goods. After a certain performance, please have experienced professional managers to the business. Until the end of 2012, the founder of the company directly to manage the business. Philippines last year "double 11" in Taobao, cat shop a total sales of 4 5 0 0 yuan, but the basic is the bottom of the line inventory. I asked the person in charge: "If there is only one chance to do better, what is it?" He replied without hesitation: "If the new goods can be sold through the electric dealer, the performance of the day is expected to reach 7 0 yuan." ”
Why can't we get the new product online? The fundamental aim of the electric business is not only to increase revenue, but also to be closer to the customer's channel, can understand what should be pushed what new products, what price, buy the most new consumers from what areas, can effectively help the line under the new products listed.
4, the electrical business products from A to B
Many business owners often confused with offline and online product conflicts, that must have differentiated product strategy-offline sales A, online sales B. The traditional enterprise is mainly a to a +, the use of E-commerce to line the product brand better, rather than immediately to push a new network brand. Of course, if the current offline and online products are identical, the price is also consistent, it is also debatable, otherwise online performance is difficult to promote short-term.
"Product line on the distinction between" there are five major methods: The network for products, different models, new goods pre-sale, sell offline inventory, push limited edition. At present, in China more successful upgrading of the traditional enterprises, the basic can let consumers feel "and different" (Figure 2). Therefore, should be in the middle of the mentality to do the electric business, exactly as well as completely different is not the best choice.
5, "The Sky cat, Jing Dong is the electronic commerce"
Think to do is Taobao (cat) and Jingdong, original own brand is not a big problem, but offline channel brand is another matter-the price is low, the line does not do, sell high, consumers ignore you. So early layout of the entire channel retail. The so-called full channel, is to use all sales channels, consumers in a variety of different channels of the shopping experience seamless connection, maximize the pleasure of the process of consumption. It has the inherent advantages of e-commerce, such as rich products, search, parity, community interaction, customer evaluation, but also cable the advantages of the store, experience, face-to-face consultation, better environmental atmosphere. Data show that a single shop than multi-channel retail 20% less performance, multi-channel and 20% less than the whole channel.
A single channel go Era has gone, the future mainstream is the line under the coordination of online, the same price is the general trend. Consumer purchase decision is the process of building up demand, finding resources, building trust, clarifying value, choosing products, negotiating, trading, obtaining service and re trading. Therefore, before the pre-sale to investigate, to order, payment, after the transaction to logistics, services and so on. Set up different channels for consumers to switch freely to purchase, smooth seamless full channel shopping is a necessary rather than extravagant requirements.
6, internal and external does not realize synchronization
The traditional enterprise cross channel management will encounter 3 basic obstacles: (1) The different channels are isolated, which leads to the conflict between the assessment standard and the target; (2) The process and data are redundant in different channels, resulting in inconsistency; (3) There is no platform to integrate multi-channel to support multi-channel interaction.
The men's brand, which has a good performance on the line, has previously invested in multi-channel retail I t system, centralized management of e-commerce activities between consumers and distributors, capturing and analyzing customer purchase information, hoping to provide a good experience with consistent contact points. System capability is guaranteed, but offline team concept has not been followed, the actual operation, offline can capture online consumer information, but not the other way. Comparatively speaking, most of the traditional enterprises have not done the integration of I-T system deployment. And some bosses talk about the importance of I T system, few people will listen to you. Synchronization is not to introduce the same language between enterprises and customers and between different departments in the enterprise, but like simultaneous interpretation, so that different channels and different departments can complement each other to create the best customer experience as the goal to coordinate action.
"External synchronization" means that companies have to be consistent with their customers, regardless of what they buy, how they buy and how they choose. Internal synchronization requires the establishment of a unified database to store all customer and product information, can not be stored separately in different business units, regional departments and functional departments, to break the functional departments, product agencies, business units and regional departments of the inward boundary line, to promote business synergy efficiency.
For a traditional enterprise, synchronization is far more important than speed. Enterprises need to think about basic questions: How do customers buy? And how to think about problems? and to change products, business units and geographically oriented organizational structures. A famous case is 3M company. When not synchronized, 3M to product-oriented, there are 50,000 kinds of products dispersed in various websites, data is not integrated. After the business synchronization, customer demand-oriented building a global database: storage of all products, departments, regions of customers, products, sales, inventory and financial data, the site using a single registered account and search engines, and all 3M members directly browse the database records. After synchronization, 3M company to serve customers in a consistent look, products and services to customer-centric free combination.
7, the physical store is just a place to sell goods
Motorola's 2 012 Retail Vision Survey found that 76% of retailers did not know when consumers would arrive at stores, 8 5% could not customize their store visits, and 8 9% could not link consumer online activities to shop activities; 80% of shopping time was wasted on looking for goods, 40% Respondents said this was the main reason for their dissatisfaction.
According to PwC's report, the future retail trend is "bigger stores, smaller stores". On the one hand, a class of physical stores can be transformed into large exhibition halls, brand flagship store, so that consumers feel the atmosphere, advice to experts, experience products; On the other hand, there is a class of physical stores can be transformed into small transaction pick-up point, because customers have learned from the Internet research products, purchase in the website, and to the physical store delivery. Centralized trading at Headquarters is the future trend, the regional centers have been developed, online stores provide information flow and capital flow, while C RM will deliver the delivery order to the nearest entity store, which is responsible for distributing and collecting rebates, acting as a logistics role to achieve seamless docking.
Therefore, enterprises to reduce physical store inventory, in more cost-effective areas to build larger warehouses, build more intelligent distribution system and customer data integration System. At the same time, the entity store should provide more personalized, more accurate retail services, such as the implementation of video display, interactive applications and provide personalized counseling, so that consumers better experience, such as the use of mobile search, navigation, store shopping flow, path remodeling, social network integration and so on. While store sales are still welcome, the mechanism is different, with 66% of consumers saying they will buy more when they can help (rather than cheat). Staff should be equipped with intelligent communications equipment, strengthen training, through voice and text collaboration, to generate more unplanned purchases.
While store sales are still welcome, the mechanism is different, with 66% of consumers saying they will buy more when they can help (rather than cheat). Staff should be equipped with intelligent communications equipment, strengthen training, through voice and text collaboration, to generate more unplanned purchases.
Author profile "Guansuge, founder and CEO of Slow Guest Island live independently, do not conform to the crowd; Eric College's core lecturer, next to the chief consultant of the Electrical and Electronic Business Association, China-Europe Council.