Top 8848 executives Reich Test Water Watch electric dealers watch fast fashion

As an electric dealer "veteran", Reich, a former CEO of the 8848 Web site business, still takes electronic commerce as its first choice.

2011, Reich United Tsinghua Emba classmate Liu Jincheng, co-founded the Beijing Time 100 E-commerce Co., Ltd. (hereinafter referred to as TIME100), and the TIME100 positioning as "internet fast fashion watch brand", focusing on the watch electric business, trying to cut into the e-commerce market from the subdivision area.

He chose the entrepreneurial industry standard three: the search for products in the traditional channels of profiteering, manufacturing resources developed or relatively surplus, while the industry lacks online and offline are well-known brands. In the end, Reich chose the watch industry. However, after determining the direction of entrepreneurship, TIME100 still faces a heap of difficult problems.

Choose profiteering industry as the entry point of business

The results of the survey led Reich to judge that watches in China will also become a fashion accessory like Swarovski and form a repeat purchase.

Prior to the creation of TIME100, the new Internet brand, Reich's main energy was to run the Small master network, which is responsible for Disney's e-commerce business in China, has been profitable. Disney relies on consumer goods to make a profit, and the small owner network is responsible for integrating Disney's online sales channels, from offline to online.

During his emba in Tsinghua University, I met the world's largest quartz watch movement manufacturer-Pearl STAR Group founder Liu Jincheng, Liu is also an angel investor, their common "homework" is "TIME100", the initial investment of 30 million yuan, Liu Jincheng chairman, Reich as chief executive.

In addition to the Liu Jincheng watch industry background, Reich choose the clock industry to start again because he thought it was a "windfall" industry. Before starting a business, Reich first want to find products in the traditional channels of profiteering industry, due to the channels of each link to improve the cost of products, and eventually passed on to customers, forming a cost and sales price several times even more than 10 times times the difference. Second, we want to look for industries with developed manufacturing resources or relatively surplus resources. China's watch industry is the world's largest manufacturing base, 84% of watches are made in China. At the same time, most of the sales of the brand is made in China, high-end table of the main parts, in addition to the movement are also in China production. Third, Reich want to find a lack of strong brand industry. If the industry's brand and sales are dispersed, this market is proving a chance. Lei Zhifeng found that the watch industry has not yet a brand online and offline as well as well-known, but also positioned in the public fashion consumer.

"We used these three criteria to measure how we chose the vertical segment, and we finally chose the watch industry," he said. "Reich said.

The majority (55%) of those who are interested in the watch have 4 watches or more, and 33% have 2 or 3 Ipsos, according to a survey by the Market Research Institute, Ipsos and the Rob report. Although many people already have more than one watch, 77% people still say they will buy the watch in the next six months. This market potential is more determined Reich choose to do watch electric business determination.

Through market research, he also found that the current market on the sale of watches types are mainly divided into three kinds: the first category is work, business-type watches, in the eyes of high-income male consumers, this type of watch has become a symbol of identity and status. The second category is Leisure watch, style design fashion, with necklaces, bracelets, the main role of decoration, very popular with young women. The third category is sports watch, to students and enthusiastic sports people mainly to consumer groups.

The results of the survey led Reich to judge that watches in China will also become a fashion accessory like Swarovski and form duplicate purchases. Another group of industry figures supports his judgment that every hundred people in the United States now consume 25 watches a year, but in China the figure is 5.

"Fast fashion" can't wishful.

The industry average is 3-4 months to launch a new batch, but TIME100 the cycle to 45 days.

Many entrepreneurs have encountered a big problem is that the choice of entrepreneurship is one thing, business success is another matter. After determining the direction of entrepreneurship, TIME100 still faces a lot of difficult problems.

First, where does the traffic come from? TIME100 start-up capital is 30 million yuan, all aspects of start-up enterprises need capital, and in the real environment of the promotion cost of the electric dealer is obviously high, certainly cannot come up with a large amount of funds to do promotion, lead flow. In the interview, Reich repeatedly to the "China Business newspaper" reporter stressed that "TIME100 to do not burn the money of the electricity quotient", 2012 will not buy hard advertising, promote the main to take the effect of paying the way to cooperate.

E-commerce independent observer of the country believes that as a new electrical goods card, must have enough brand awareness and brand attractiveness to win consumer trust and purchase, otherwise and Taobao C store No brand of cheap products do not show the difference.

TIME100 is clearly aware of the problem, because the official website that carries the brand image task only accounts for 20% of the sales. Therefore, the company's current strategy is through the presence of the cat (micro-bo), Jingdong Mall (micro-bo), Shop 1th, Amazon (micro-BO) and other integrated platform, to do the corresponding promotion to attract traffic. According to Reich, February in the absence of advertising on the premise of TIME100 achieved 3,000 sales.

Of course, in the current stage of micro-flow, in order to ensure the operation of the company, TIME100 has opened a variety of sales channels, such as group customization, buy, personalized customization, integral Exchange and so on. Among them, the group customization is the big head of the current business, mainly using the shareholder's existing network resources.

TIME100 How to highlight the "fast fashion" in the same electric business and let the online buyers accept this position? Reich's approach is to highlight the position of high-quality fashion of parity, this is the basic requirements of fast fashion brands, but the price is still the first place, TIME100 stressed that "the price of about 800 yuan of watches, quality grade and the department store 2400 yuan or even consistent with the watch" to highlight the high quality and low price. The second is the same as the wheat bag through the integration of supply chain, shorten the cycle of pushing the new model. The industry average is 3-4 months to launch a new batch, but TIME100 the cycle to 45 days. By the end of March, TIME100 a total of 168 watches. Third, by strengthening the interaction with consumers to enhance the user experience, such as the most of the group buying vote and DIY personalized customization, so that users continue to participate in the interaction.

Reich estimated that 2012 TIME100 if can reach 30 million yuan of sales, can achieve break-even.