The nightmare of electricity dealers

The electricity merchant dies the water in the east, the capital is scouring the hero. is the success or failure of the empty, electric business is still in, several times sunset red.

Advertisement Express Jiang Zhu, accustomed to see the sale of goods. In future, if the business encounters, the electrical business heritage, all pay a joke.

Periodically "bleed", this is the inevitable fate of entrepreneurs.

"There are always companies that are going to fall, including the possibility of mergers and acquisitions," he said. I know the valuations of many companies, to tell the truth, to reduce the 20%-30% is not bad, some companies lost 50%. " in an interview with the entrepreneur, the former vice president of Jingdong Mall, the current hundred Li Group's corporate website excellent purchase network (micro-BO) chief market Officer (CMO) Xu, further confirmed the round of the electricity business shuffle," they basically have to ensure that they can survive, The game of valuation is no doubt at a disadvantage. The

What does the valuation of 50% indicate? One industry personage explains: For example, the original electric business enterprise valuation 200 million U.S. dollars, in the first half of 2011, an investment agency to 40 million U.S. dollars into the 20% shares, if the electric business enterprise valuation 50%, then only 100 million dollars, The 40 million dollars invested in $20 million were halved to 20 million dollars, and the investment manager who invested in the project was expected to lose his job. ”

Investors and founders will be around the continuation of the financing of the fight: the low valuation "bloodshed" continued financing means that investors in the early investment failure, low-cost financing enterprises may not carry the collapse, the investors lost their money ... It's a dilemma! And some investors who want to buy Low-cost, the organization naturally want to pick up the cheaper the bigger the better. This is the end of the 2011 "Electric Business Scam", "electric business in the winter" and other reasons for the failure of the electricity quotient.

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It can be said that just walked and also stood in the continuation of financing the door of the electric business enterprise, has the right to speak and the initiative to the capital. These enterprises are no more than four ways:

1. Alongside the Giants, the heart is sure, full borrowing power giants financial resources, manpower and even management experience, gearing up, want to take advantage of the opponent weaker machine to give a fatal blow, smile proud. The challenge, however, is for the founders to not be "assimilated", "overhead" or "fully digested" by the Giants. Group Buy station F group alongside Tencent, the United States Group Network (micro-BO) alongside Alibaba (micro-blog), the two in the field of hegemony intensified. There are footwear manufacturers good lok buy, travel electric business with the network, luxury electric Shangkolan diamonds are also in the capital after the investment, in the cold winter, bucking the trend, soared.

2. Melt money hopeless, only through emergency downsizing, contraction front to greatly reduce costs, mobilize all resources to make money, the result may be finally difficult to survive, but in various forces under attack, has been helpless to fall out of the line camp. Regiment treasure, full, 24 coupons, the Dunhuang net may be this ending. There have been gory cases in the video industry before: 56 Network (micro-Bo) in early 2008 also with Youku, potatoes showed pillars, but before the financial crisis did not get large financing, opponents got, Youku, potatoes in December 2010, the August 2011 listing, and 56 net in Sohu Video, odd art video, Sina Video and other giants under siege, reduced to the industry's third camp companies, had to 80 million dollars in September 2011 to sell Renren (Weibo).

3. Low prices sold to large companies, the founder fled the abyss of misery, the result may be the enterprise in the process of integration by large companies, people think move, how a "disorderly" word. Department Store electric Dealer No. 1th Shop (Micro Bo) 80% stake sold to China Peace, and then with Wal-Mart "Cooperation", Mai Lin sold to Sina, Macaulay is not founder Beichun (Weibo), and the 1th store CEO Gege Although still in power, but the media have speculated that its departure is only a matter of time. This precedent is not without: by former Sohu editor-in-chief shanyou (Micro Bo) single-handedly founded 酷6网 (Micro Bo) has been ranked video site industry top three, November 2009 to about 45 million U.S. dollars (public reports) sold to the Grand Group curve after the listing, Shanyou and other core team has left, 酷6网 also a transformation, the controversy continues.

4. "Deadly" listing. In the second half of 2011, handle, litters group (Weibo), Fank want to be in this round of capital before the cold winter IPO, in the end because of the stock by hunting, shorting and other reasons can not be, their fate will also change: Every customer may end up selling to Jingdong or Alibaba; handle, litters Regiment rely on "heap people" Rob listing, "Chop people" Also become the first decision to make after the failure of the IPO, the ability of their capital and resources to be able to fight again. The story of potatoes and Youku is likely to play out in the electric business: the same video site, the strength of the same, the same at the end of 2010 to apply for the IPO, Youku was listed, the market value as high as 4.3 billion U.S. dollars, and potatoes until August 2011 only listed, the market value of only 725 million U.S. dollars,

After 2011 years of elimination, China's electricity business has basically formed Taobao (Ali) platform, pure business platform, Traditional electric, group buying four forces separatist pattern, Taobao, Beijing-east, Suning easy to buy (micro Bo) and the United States regiment initially laid their own leading position, they are the real winners. And the electric business enterprise that falls behind them, the capital is tied hands and feet, after more new strength player enters, will face serious challenge.

"Electric dealers" constantly, "bleeding" more than. This may be the main theme of the 2012 electric business. Hopefully, we guessed the beginning and couldn't guess the ending.

Jingdong Mall CEO Liu: Some people lost 9 years just to make money said that the electricity business should not be operating losses; some of the loss ratio of nearly 10% still scold the loss of the peer should not burn money, some investors in order to drive down the value of the electricity quotient of the company, some people know nothing but posing as experts questioned electric business model Bo eyeball. The above 4 kinds of people are liars! Electric business peers don't be afraid! A business model that brings convenience and money to many users will not fail!!! (December 12 12:24 from Sina Weibo)

Send the founder Kongkong: Good multimedia friends asked me how to see VC scold electric business entrepreneurs do not think how to profit, you know the money to make VC. I sigh three: 1. Investment this matter, not all is your love I wish, can also overlord it? really cheated, 2. Even if you take a lot of money, the entrepreneur is not a high salary, 230,000 monthly salary, unless there is sneak. 3.2012 should be some investment friends will be very embarrassing!

List of death of electric dealers

List of death of electric dealers

10 methods of death for electric dealers

1 "" "" to do the food and money, to hit the market, Chong sales, in order to obtain a higher valuation, and then the next round of financing, keep the market time to the premise, once the "weather", continued financing, will collapse! Like a rice net.

2 "No way" some of the traditional enterprises to do the electric business, booming online, quietly closed, do not want to invest money, such as the United States and the United States Online Mall.

3 "Management fight Death" and the investment side, the founder was driven out, investors themselves play not turn, such as printing net.

4 "category die" some of the category is doomed to not be suitable for electric dealers, such as snacks, the first selection of the wrong category, closing or career change is the inevitable outcome, such as cimetidine nets.

5 "Internal agreement death" is not famous, the internal fight up, then who also don't play! For example, Sarah-La flower net.

6 "Fake die" many electric business enterprises because of sales fraud or false publicity and lost, which is the most serious group buying site.

7 "Giants die" standardized category it's hard to have vertical and subdivision one said, the giant will be able to push the small electric dealers to death.

8 "Advertising killed" Baidu keyword, 360 navigation, Taobao recommended ... Advertising prices by the electric business giant higher and higher, small and medium-sized electric business enterprises with the bar to find death, not to die.

9 "Speed killed" the Internet only fast and not broken? Also not necessarily, run too fast electric dealer like an express train, category, management, supply chain ... Any problem can be "hit" to death.

10 "Environment" poison "die" some of the breakdown of electricity business, the market is not mature, the enterprise how desperately to hit advertising can not have a good harvest, such as Ralphie organic Life Network.

2012, traditional enterprise electric business carnival

2012, take advantage of the light power business and group buying shuffle, they will be in the field of electric business carnival and unique lead.

2012, take advantage of the light power business and group buying shuffle, they will be in the field of electric business carnival and unique lead.

Wen/Sinorama reporter Lu Xucheng

"2012 years will be a good year for the traditional enterprise electric dealers." "Xu, the former vice president of Beijing east," said CMO, the chief marketing officer of the company's corporate web site. Traditional enterprises to do electricity in the brand, supply chain, or the structure of goods, in fact, there are some light power business enterprises (Jingdong, Fank, etc.) do not have the characteristics, These characteristics in the capital surges in the tide is not shown, this year we are seeking stability in the case, they even slow, or more than pure electric business enterprises more easily to do.

Plainly, this is in the competition to complement the "short plate" speed and skill: light power business enterprises proficient in how to obtain traffic through large-scale advertising and online shopping users, the traditional electric dealers in the brand, supply chain management, goods and other aspects have advantages, the former master is "fast Kungfu", the latter is "slow Kungfu". In this round of capital in winter, the pure electric business enterprises can only slow down the pace, the evil complement fine management (supply chain, warehousing, category, etc.), trying to make their own blood to endure to the spring. Traditional electric dealers in 2010 and 2011 followed the light Power business Enterprise Carnival process, has quietly to make up their own short board, for example, founded in 2009 by the Suning group's company, Suning Easy Purchase 2011 3 Quarter has become China's second only Taobao Mall and Jingdong Mall, the third largest enterprise (according to Iris), It was a dark black horse in the 2011 electricity market.

Xu Analysis, a group of second-line enterprises or companies to drop, or lower valuations (off 50%) change, or be bought and purchased will leave the market opportunities for the traditional electric operators. Happy People Online Pharmacy (Happy People chain Pharmacy is a major shareholder) Managing director Swanloo further analysis that the net buys the crowd in 2011 the capital with buys, the Jingdong, Fank and so on cooperation, is the advertisement cultivation and expands; pure electricity business and group buying industry shuffle also let 2011 the first half of the year the human cost of the mad rise to return to reason, The influx of talent into the traditional electronic business. More importantly, the traditional enterprises to do electricity, the parent company good cash flow so that its operations do not need to be like a pure electric business enterprises rely heavily on VC, PE blood transfusion, a long breath.

Timing, geography, people and, this opportunity is not every year.

Happy Person Online Pharmacy 2011 has been the revenue to achieve 6 million yuan per month (official data, industry first), Swanloo 2012 target is 200 million yuan, twice times more growth, the staff also plans to expand from 140 people to the end of about 360 people. Suning easy to buy 2011 monthly advertising in Baidu up to tens of millions of dollars, its general manager Li bin to the "entrepreneur" revealed that 2011 Suning sales target is 4 times times of 2011 (30 billion yuan), which means that the launch will also increase synchronously. Xu hopes that the July 2011 online Average daily order can be increased from 3000 in 2011 to 10,000 orders in 2012.

But Xu and Swanloo also remind those traditional companies that want to swarm in as electric dealers:

First of all, the enterprise must want to understand the business positioning and future expectations, only the upper level to clear, the lower levels in the financial, hiring and other rhythms of control will be good; financial aspects to be prepared, the electric business profit cycle and the way unlike traditional enterprises.

Do not necessarily have to do independent platform, Taobao is a good barrack, it helps the traditional enterprises understand online, offline consumer product selection, price development and service differences.

Traditional business leaders do not necessarily have to do the Internet or do electrical business origin, but must have the Internet and electric business thinking, this talent structure is more suitable for traditional enterprises: Taobao people responsible for the traditional business of the entire electric business, while in the key positions he can ask some more reliable to do the electricity business people, He bears the role of buffering or adding value to traditional corporate bosses.

There is no retail experience online (just Yahuo channel experience) of the traditional enterprises, can be accumulated through the electrical business, should not come up to learn light electricity business enterprises hold high hit the practice, "even the water did not understand, go to swim, swim to find that it is not so." "Xu said.

Observer view

NTA founder Shenyin

The future is the Liu era, Ma Yun has become a past time

The era of Taobao as a pronoun of China's electricity business is gone forever, the consumer will become the leader of online retailing, the core reason is that the users and consumers are growing and changing constantly, and the change is that they need more personalized and professional services, and their expectations for the environment and services are different. Taobao is impossible to achieve this level.

"Electrical Business hematopoiesis" is a pseudo proposition, because they have been in the blood, but their own requirements to increase the speed too fast, want to use speed to drag down the followers behind. Now everyone is watching each other, see the industry leader (Jingdong, Fank) can slow down, on the contrary, they are also looking at the back will slow down, if the followers can not run, Jing Dong, Fank and other leading natural will slow down. This time the competition is whose cash flow can support longer.

Even if there is such a problem, but its F-round financing (with CITIC Industry fund) that the investment sector to continue to support it, so every customer will not die, but at present unhealthy, not listed is a real problem. Where customers do not have the possibility of platform, the category too much lead to focus, reduce brand value. All guests in the mobile internet have a decent performance (10% of orders from the mobile phone). Its biggest competitor is actually the United States Granville, please Li Yuchun endorsement in fact is to fight the United States Granville, open the two or three-line city market.

Shangxiang, representative of the Southern Dispatch power

There will be a big shuffle in 2012

"The electric dealer is a scam" the phrase of Bi Sheng CEO is a turning point, led to a reflection of the entire electrical industry, such a situation to the end of more and more, Citis (SoftBank partners) reviews E-commerce has been imaging the tulip-like drum flower investment game, the electric business and VC blame each other.

The end of the end of the end will be eventful. and the current group buying and the field of business has a bit of the Red Sea flavor, 2012 will be a big round of the business shuffle. At present, China's business sector in the field of the industry can not support a large number of enterprises, according to the first three to survive, small will be eliminated. Mainstream vertical electric business industry, such as apparel industry ranked in order to be a guest, a good buy, the name of the shoe library, Lok Tao may be eliminated. Cosmetics first three for the Le Bee, Poly mei Excellent products, shopping every day, the rest may be eliminated. At present, each category of the top three have been basically determined, China has the value of E-commerce enterprises up to 15, only these are the last to survive.

China's e-commerce is not a cold winter. In terms of sales, the electricity quotient accounts for only 2%-3% of the total social retail sales, with only 1% of the busy line on the traditional electric business. From an investment point of view, the 203 billion dollar investment looks very big, compared to the total number of social investment is dwarfed. This, however, does not represent an optimistic outlook. In order to not be eliminated, it is necessary to solve the problem of profitability, which investors also very much value.

Electric Business Observer Ruzenwang

The traditional electric dealer is a big bright spot

By the first half of 2011, the whole electric business of the impact of the fiery environment, such as Belle, Suning, Gome, such as the line of giants, have entered the electric business industry, rapid exerting force, has now preliminarily established their position in the E-commerce industry, changed the original pattern.

The traditional electric dealer itself and the external advantage make it a bright spot:

1. Supply chain advantage. Many traditional enterprises are industry giants, compared to pure electric business enterprises, has a mature supply chain. This determines that they do not need a larger transformation, only to complete the line of online conversion.

2. The net buys the market to form preliminarily. Many traditional enterprises, Belle, Li Ning, TCL, Konka and other online sales compared with offline sales, the former accounted for only 1% of the latter. Traditional enterprises to enter the electric business industry also choose to burn money, which is caused by fierce competition, on the other hand, in order to nurture the market, the current market has been preliminarily formed.

3. High degree of informatization. Traditional enterprises, such as Suning, Gome, from the level of information, they even want to surpass foreign e-commerce companies, Suning has cooperated with IBM for a long time.

4. There are more mature available platforms. Taobao Mall in 2011 The biggest change is the integration of many traditional brand manufacturers, and in turn the traditional brand manufacturers also through the platform Taobao quickly into the electric business industry, both sides should be said to have made a total win.

In the future, more and more traditional enterprises will certainly enter the E-commerce industry.

The founder of the Generation network

A small and beautiful electric dealer

The electric business industry finally is the breakdown, in fact today's competition is not intense enough, this also causes the entire profession not to be fine. Each electric business enterprise should find its own position in the industrial chain, to understand that not all enterprises are suitable for listing, can finance, but small enterprises have the space and necessary. Small and beautiful electric dealers are also the future trend of the electricity business choice. Small enterprises can choose to supply the platform, or choose Taobao, Pat, Jing Dong Shop, electric business platform is the lowest cost of learning place, more suitable for cut.

But the vertical industry of the business, the direction of choosing the right premise, the choice of category is very critical. Some categories may be suitable for the independent of the Business-to-consumer, some categories just bring you a certain flow and stickiness, but not necessarily to bring profits, so it is not conducive to long-term development.

Generally speaking, the higher the standardization of the category, the greater the difficulty. The future development of the subdivision industry, clothing will be a very good category: Huge market, extreme differentiation, category tolerance is relatively high; but books will become difficult, because it is extremely standardized, there is no geographical difference, the only competition is price and service, to do such a category is more need scale.

In addition to the direction and category, in the choice of the timing and way to pay attention to: one is to see the whole category at present in the time;

Their life-style

Wang CEO

Capital to create God, in less than two years, group buying experienced a great leap forward development, now, the rest of the king, the King is the "entrepreneur" at the end of 2010 predicted the 2011 most worthy of the entrepreneurial figure-Wang and his United States network.

Wen/Sinorama reporter Yin Yi-jie

From the first interview with the United States Network CEO Wang, has been 1.5 of the time. The United States Mission Network Office address from the initial five crossing Hua Qing garden after 3 times moved, the final set in the Shenzhou mansion, the staff from 30 people to expand to today's more than 2000 people.

So far, Wang has completed the B round of 50 million dollars of financing, he still did not carry out offline advertising. In the litters group rapid mergers, acquisitions bigger, in the handle net pile of people rushed to the market, Wang more is to stand on the sidelines. 1.5 ago, when the reporter interviewed him, he said, hope that more peer up, so conducive to jointly cultivate the market.

The purpose of Wang is achieved. Even if the group purchase site bones, but the consumer and merchant buying habits gradually established, the market did not shrink, he is acting as the remainder of the king's role: The United States Regiment net sales in November 2011 has exceeded 200 million yuan, ranked group purchase station first.

According to group buying navigation website Group 800 released the latest data, October 2011 Because the page can not be accessed, stop more new products, business transformation and other reasons are considered as the outage of the total number of group purchase site 1017, Group buy site the first few negative. The group's 800CEO Hu Chen said that despite the shrinking of group buying sites, total sales in October and November were still growing. "The total sales in October is about 1.2 billion yuan, November broke through 1.4 billion yuan." Hu Chen told the entrepreneur. Not only that, from the 2011 Spring Regiment 800 released reports that one or two-line city is still the town of group buying, but from the two-month report, the number of two or three-line city group buying is rising.

Buy this market, like a lotus leaf, just beginning with a lot of dew, they are scattered, now the dew is merged, its own volume and total is still in.

Amoy Brand: The heart of what?

Chong, CEO of Korean clothing house

To consolidate the status of the river, Taobao Mall at the cost of attracting more traditional enterprises to settle in, this year will only strengthen the strategy, and Taobao growth of Amoy brand before the Wolf Tiger, Dilemma, the heart of what?

Wen/Sinorama reporter Yin Yi-jie

Amoy brand will be pushed to the spotlight before the "Occupy Taobao" incident, this is the 2011 China Electric Business Landmark event. This class C sellers dissatisfied with Taobao raise fees threshold, and the conflict between the platform to the apex passed on to Taobao Class B sellers of the war, inevitably occurred. "Platform grew up, must have the right to speak, this is my first day into Taobao, I realized." "Taobao Mall clothing month sales of the first shop in South Korea, the CEO of Chong said." In the "Occupy Taobao" incident, the Han are the most attacked by the number of B-class businesses, because the lockout, a day of loss as high as 900,000 yuan.

Still, Taobao's determination to shift to the Consumer-to-consumer model has not wavered.

"Occupy Taobao" incident let Chong anxiety, but will not "Amoy" strategy has never wavered: "In the core indicators of E-commerce, to flow x conversion rate x customer price is most important, and then to repeat the purchase rate." Many electric dealers die in the conversion rate, especially from the interior of Taobao after hatching to do independent of the brand, because the subdivision area can choose too few varieties, on the one hand conversion rate is difficult to do, on the other hand, the flow price is rising. ”

Chong mentioned is actually "Amoy Amoy outside" Electric quotient environment game. Happy People online Pharmacy managing director Swanloo said that the advertising price outside Amoy is doubled in a year. For example, Web site navigation station hao123 Home text chain advertising has now risen to nearly 400,000 yuan/month, and a few years ago, only need 60,000 yuan/month. An old electric businessman said his company spends millions of dollars on Baidu every month. Such burning money speed and scale, for Amoy brand, difficult to get involved. And this is Taobao as a chance to recover a innings, Taobao mall advertising fee to maintain 20%-30% annual growth, in order to attract more brands to settle, and Amoy outside independent to contend with. Swanloo that Taobao Mall can attract more brands to the return and settled in: First, the user is still here; second, the user access cost is low; third, the external advertising market input and output ratio is getting worse.

And independent of the first from the beginning by the capital of the ripening compared to the Amoy brand is not so lucky, it must find the shape of the profit model, Amoy brand in sales did not reach 100 million yuan, investors do not rashly enter. Recently, the wind cast hot Amoy brand, such as wheat bag, seven, the Sportica for American casual men and so on, have accepted up to tens of millions of dollars level of investment. Seoul has also received two rounds of financing. Jingwei Venture partner Zhang Ying believes that Amoy brand relatively robust, but whether it can be difficult to market, Amoy brand model can be recognized by foreign capital market, but also to be verified, but Amoy brand by the traditional brand or large of the purchase will be seen in the future. "For example, where customers will be the same type of Amoy brand mergers and acquisitions, the formation of brand matrix." Zhang Ying gave an assumption.

The size of the traditional company to kill into, will be Amoy brand's biggest competitor. Amoy Brand set up the company's time is not long, too fast growth, behind the hidden management crisis, not only the lack of supply chain, but also including corporate governance, human resources, brand planning and other capabilities.

"Traditional companies have a strong market ability, they will spend money in a very effective place, whether the e-commerce market is winter or spring, the competition will be more and more fierce, because consumers are growing, so this is a very big scramble for cakes, since the cake is placed there, others fell down, there will be rushed to scramble for the people. Chong recognized his own short plate.

Han Clothing Homes 2010 years of the key words are brand building, 2011 is a talent reserve, 2012 will be fine management. Supply chain management is a big worry, compared with the traditional brand, Amoy brand supply chain Chong, coupled with the previous two years too rapid development, the foundation has yet to be compacted, "2012 our sales target is doubled, unlike the original pursuit of higher growth rate." ”

Live slowly with a "boil" attitude

West Meter Network CEO Liu

Most of the electric business enterprises, whether it is not in the capital of winter, doomed to no flowers and applause, only small and beautiful, with "endure" attitude "slow" survival, this is the normal business.

Wen/Sinorama reporter Yin Yi-jie

Group Purchase website at the end of November 2011, reporters set foot three Li Tun Soho found 24 coupons office has been closed. Across the luxury network shopping platform-the Fifth Avenue luxury network to fancy their free office, due to staff expansion, the urgent need to expand the office area. Five Avenue CEO Sun Yafi witnessed 24 coupons and drums to enter, rapid expansion, and finally suddenly folded. She had worked at an investment bank and, facing the Hugh of capital, Sun Yafi had guessed the end of the 24 coupons from the start.

So far, Sun Yafi has not yet funded, leisurely card. The five avenue "slow" can survive is the high margin, strong control of marketing costs, so far, the five avenue cash flow health, and continue to profit.

On the homepage of the Fifth Avenue luxury net shopping, it is obvious that the price advantage is not big. This can also prove the plight of the luxury industry from the side, once the site to price-oriented, so that the formation of user groups to pick up the mentality of cheap, even if the sales rushed up, but the company has no value, but the need to brand-oriented play, retain 20% of the high-end crowd, the formation of loyalty, increase two times purchase rate. At the back end, the brand has the absolute right of speech, sourcing has been a problem.

"We need capital, but capital is a double-edged sword." Its entry is required and may be diluted if the requirement is not reached. "There have been a number of top VCs and Sun Yafi contact, always difficult to talk about, the reason is that the Beijing-east and every passenger such a platform model of 10 billion yuan sales scale, and the five avenue only hundreds of thousands of yuan per month sales revenue, in the luxury retail industry, A molded luxury group 10 years precipitation also nothing but only 3 billion yuan sales.

to VCs: It's too slow. On the other hand, for Sun Yafi, if you want to achieve the expectations of VCs, we must expand the category, "sourcing is fundamental, not because of the sales and the heart of luxury sales direction." "Sun Yafi know the pressure, once the supply is not up to, luxury network to buy a night to become a famous mall case is not rare, go show net, Jiapin net from the original selling top-grade brand to become a department store merchandise gathering.

Sun Yafi would rather slow down the pace, but also to maintain the "quality" of luxury online shopping, especially in this industry has not reached the point before the outbreak, can not rashly take the wind, Sun Yafi feel "boil" is inevitable. At present, Sun Yafi focus on the one or two line with the brand to establish a broad and strong licensing cooperation, has 240 brands have established a license to sell the cooperation to ensure back-end sourcing, front-end consumer experience.

and Sun Yafi have the same understanding, is operating supplies to the Spring Hall CEO Shudegang, the Spring Hall has been in the sex goods industry in the top.

"We may refuse to take the money next year because if we do this we will have a positive profit and there is no need to burn money," he said. "There has been VC and contact, Shudegang not urgent, in the market is not 50 million to 100 million yuan scale capacity, VC will not be easy to sell, and Shudegang to a solid industry position."

Of course, the "card" in the low margin, blood supply of the case also has-the West meter network. The West meter net 1 months ago, from the white-collar snack class to convert to the on-line ordering meal, has not had the VC.

In the West meter net Sunshine 100 office address, see its CEO Liu, a 100 square meters resident room, only three employees. The West Meter net is Liu in January 2009, invests 8000 yuan to establish, after two years sales reach 30 million yuan, in the South four ring rented 1000 square meters warehouse. But for exactly two years, Liu is in the midst of a lack of money.

"Wrong category, margin too low." "Liu in the transformation of the West Meter network, customer unit price only 60-80 yuan, and snack transport, each kilogram will cost 30-40 yuan, and can not be rushed to the consumer to collect freight, and finally a huge loss, but also let him feel that the fault is not to pinch on time machine into Taobao platform, the formation of multi-channel sales. Finally, because of its size is too small, in contact with the more than 10 VCs, do not do small, margin is too low to finance even in the need to get money before the day, the resolution was not dropped.

But there is a point, Liu always adhere to the establishment of its own brand, in the West Meter network to sell snacks, he and the market on the retail store and then to cooperate with the merchant to pick up their own brands. "The food industry must be its own brand, if the channel, the competition is completely homogeneous, only the price war ended." In addition, snacks are very good to attract traffic and users of the category, but not a suitable for independent to do the category of the consumer. "Liu feel that to enter the electricity business, from the category choice to consider the issue of Maori."

Liu began to turn around in time to see the online ordering of the blue sea market, and began to intensive cultivation. In the existing 3 million members, bit by bit. Use this attitude to do electric business, perhaps a "small but beautiful" entrepreneurial story.

No fallen group buying site in search of new ways.

October 2011, the litters group announced its "55 Life Mall" officially online, handle network also in the group to join the local Life Service mall elements, on November 8, 2011, the formation of the "traditional buy + Life service Mall" dual-engine mode.

But there are two big challenges to such a model. In Hu Chen's view, the mall model on the one hand changed the behavior of group buying users, from the past from the website pushed to the page, the consumer from passive acceptance into active search, which will make a return visit flow decline; On the other hand, in the mall model, the interests of merchants, who on the first page, who in the next page will be a great obstacle, This is likely to cause the loss of the merchant.

Wang that the transformation to the mall itself is wrong, this is not a group buying mode, the United States will continue to go "technology + Service" model. From the whole group buying industry, is facing two transformation: first, group purchase from 20 percent-30 percent of the state to 50 percent-70 percent coupons and package mode change, so that the business discount is not too large, and through mobile phones and telephone certification discount voucher payment system, to avoid the risk of eating orders. Second, from the PC Internet to the mobile internet, according to Wang introduced, the United States Network Mobile client growth rate is very fast, every day added million registered users.

Wang that the e-business model will continue to be cheap is the main theme of the king, which requires the United States to improve efficiency. "How to improve efficiency?" with human flesh and computer, you have to have a good plan to attract the right people. "November 2011, Wang will be the former Alibaba sales vice president Canga Wei dug to serve as the United States Mission Network chief operating Officer (COO), mainly responsible for the United States Regiment line under the network construction. Wang, known as "Canga Wei", worked for more than 10 years at Alibaba, "he may be one of the best people in the country to find." Such a join let has been considered not good long-term business Wang relieved, next year, several times the revenue growth target also said lightly.