The present situation and future of e-commerce development

December 3, 2010-4th, by the billion Bang Power network, Chengdu Municipal People's government, Sichuan Province Business Hall jointly sponsored the "WO Business 2010 China Online retail annual meeting and 2010 China online retail credit brand TOP100 award Ceremony" in Chengdu Century City new exhibition center Jiao Son Conference Center.

Economist Lang Ping, Jing Dong Liu, New egg Gu Jianching, today's capital Xu and other economic, electrical and commercial sector of the big guy and the domestic e-commerce industry practitioners about 800 people attended the meeting. The speakers gave keynote speeches on the current situation, trends, bottlenecks and strategies and methods of future development, and interacted well with the participants.

The agenda for the whole two days, mainly around the three aspects of the discussion: first, the current development of e-commerce status quo, the second is the future of E-commerce prospects, three is the actual operation of E-commerce experience Exchange. Some such as Jingdong Mall, Xidan shopping malls, new egg nets, today's capital, the two-child straw, etc. from the line, the traditional department stores, traditional manufacturing, capital and other aspects of the in-depth analysis. According to the sharing of guests and the audience, the current e-commerce market is mainly characterized by the following characteristics.

First, from the perspective of development, the Conference mainly deals with the profitability, entry threshold and business strategy.

From the perspective of profitability: E-commerce Consumer-to-consumer mode of profitability is relatively strong, but the formation of less brand awareness, this aspect is mainly Taobao, Pat, have AH for the representative. However, the profitability of the commercial platform-level integrated mall is weaker, but the brand effect is gradually forming. Like Jingdong Mall, Dangdang, new egg nets, in fact, profitability are very weak, such as the new Egg China president Gujianchentan said the current annual sales of a billion of yuan, has not been profitable.

From the entry threshold: whether it is consumer-to-consumer Taobao platform class or vertical consumer of the independent brand or the integrated mall, the entry threshold is constantly increasing. This limits the opportunity for new users to enter the platform for competition, while in fact it is also an increase in the cost of existing users. For the business, the entry of capital is the main reason for the high threshold, for the big VC capital to carry out crazy expansion of the giant, small and medium-sized enterprises want to get involved in the competition, the pressure is naturally huge.

In terms of business strategy, there is still a large number of small consumer-to-consumer still a profit-making short-term main goal, while the not-yet-profitable business-to-business or vertical companies generally have longer-term plans. For example, the annual sales of the Jingdong Mall, although the profitability of the current weak, but they still have the main financial resources, focus on the supply chain to build. At present, 4 1-level distribution and 10 2-level distribution centers have been built nationwide, and this data will continue to expand.

Second, in terms of future trends, the participants mainly talked about the future market share, business model, development direction and so on.

For 2020 years of E-commerce market share, the scene of several guests from 6% to 60% of the various forecasts, the views are extremely inconsistent, but also to the audience surprised. But from a different standpoint and the understanding of the nature of E-commerce to analyze, in fact, can also be justified. This on the other hand also requires that the operators of electronic commerce still need to grasp the essence of e-commerce in order to seek a breakthrough in business itself. For example, if E-commerce is simply understood as the proportion of online sales to total trade retail, then it is true that the most likely to reach 5% or 6% is good; but if E-commerce is understood as the extent to which Internet technology is involved in business, the 2020 60% may not be any exaggeration.

Business model, the participants said that China's e-commerce is still in the Warring States era. And Dangdang COO is to the participants a basin of cold water, that is the traditional enterprise to do business, will die no doubt. In fact, this is a shocking but very realistic embarrassment, the key problem is that the business is not important e-commerce model itself is too important. For example, Consumer-to-consumer, business vertical, integrated, or pure E-commerce enterprises, manufacturing-oriented e-commerce enterprises, as well as traditional department stores E-commerce enterprises, in fact, are not alone. Pure electronic commerce does not understand the product, pure manufacture does not understand the electric commerce technology, therefore this is an embarrassment, however is not an irreconcilable contradiction. Professor Lang unquestioning in the interactive, E-commerce only as a link in the industrial chain in the integration played a role, and the ultimate goal is to regain the terminal pricing power.

On the future direction of development, most of the participants said that the temporary dare not too much prediction, but most of the optimistic attitude. For example, 2008 few people predicted the hot, but today is everywhere, and the future of group buying is also unpredictable. When COO Huang Jo an analogy, e-commerce and traditional business is equivalent to the relationship between DVD and cinema, although the same is the movie, but after all, different feelings will bring different choices. It's also like e-books and traditional books.

Third, from the practical operation level, E-commerce should focus on the user experience, conversion rate, and other things.

Although these things for the current chaotic competition, short-term profit-oriented Internet market, does not have a great guiding significance, but this is a future development trend, but also customer-oriented theory in the application direction of extension.

The efforts of the user experience, Jingdong is a good example. Jingdong Mall President Liu said that at present its "211" project in the country's four and warehousing cities operate well. The connotation of "211" is to realize the logistics distribution standard between 2 11 points in the 4-tier warehousing city, that is to say, if you are in this 4-tier warehouse city, then you will be able to receive the goods by 11 o'clock the same day, and if the order is to be received in the afternoon, Basically, you can get the goods by 11 o'clock tomorrow. This kind of user experience is definitely not the same as a single week or longer experience with a courier.

The conversion rate is a frequently overlooked problem for the Enterprise KPI. But with the price of traffic soaring, the conversion rate has become an increasingly critical issue. White Jay share data that the current E-commerce market, the average price per IP is 0.4-1.8 yuan, and next year is likely to double. It is also said that if there is no effective improvement in conversion rate, then the ROI of enterprises will be further reduced. Even if the current industry conversion rate is very good 3%, each transaction cost is likely to increase by dozens of yuan, for the conversion rate in the thousands of enterprises, the future is more worrying.

Turning heads is the only way to solve the rising cost of embarrassment, because the retention is in fact to a certain extent loyalty, brand and reputation synonymous. is a direct correlation with the user experience factors, in the current E-commerce market, the common low, especially Taobao type of Consumer-to-consumer platform, and Jingdong, when, where guests, red children, such as a class of the consumer shopping mall, the relatively good.

Independent brand of course to a certain extent can enhance the user heart enterprise, product brand impression, so as to enhance user loyalty, repeat purchase rate. In addition, customized, user-friendly customer experience, to a large extent, is also an auxiliary. For example, red children to share marketing methods: Red children through the catalog marketing push mother and child products, then assume a mother bought a paragraph of milk powder, the use of about how long, then according to the database records, in the milk after the end of the time will actively send information to customers. Ask if you have finished using, whether you need to change, what you feel, suggestions, and then recommend related products.

When this kind of humanized service brings the customer loyalty, then the customer repeats the purchase time the individual customer's lifetime value is further digs. For example, through a search engine to bring a visitor cost is 1 yuan, then repeat the purchase, the average marketing cost is similar to close to 5 cents, then repeat three times, four times, or even more times, the cost of marketing becomes lower and higher ROI is maximized.

China Online Retail Conference on the whole of e-commerce involved in various aspects of the topic of the discussion, although generally for e-commerce market is more optimistic, but on the electronic commerce still stay in the rising, groping period, the Warring States era, and E-commerce is only a means, the essence is still business and marketing concepts, There is a general consensus, which is why this meeting is called "online retailing" rather than "E-commerce".

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