Traditional retailing is assimilated by Internet, price competition depends on strength

Jindong: The price competition result depends on the number, the strength speaks

is to promote the "line with the same price" Su Ning, now realized that the traditional retail by the Internet is the trend of assimilation. Yesterday, from a reporter received a copy of the internal speech of Su Ning chairman Jindong learned that Su Ning early in 1999 has had the choice to enter the electronic commerce opportunity, but Jindong chooses "unswervingly to take the national chain Management The Road", although this kind of choice was considered by the industry Su Ning abandoned "The rewriting Chinese internet history" the opportunity, But Jindong pointed out, "If I had chosen E-commerce, perhaps there will be no Su ning." ”

Traditional retailing is assimilated by internet

How big is the impact of the electric dealer on the entity chain? This can be seen from the traditional retailer's moves to change one or two. Suning announced that from 8th this month, all Suning stores nationwide, Tesco store sales of all goods will be with suning easy to purchase the same price, this is the country's first large-scale retailer full implementation line of the same price.

This is the so-called O2O business model. O2O will be offline business opportunities and the Internet together, let the Internet become the front line trading.

In the current definition of Jindong, this "same goods and price" is "the fundamental breakthrough of the new decade of Suning transformation, the milestone event of China's retail industry transformation."

Jindong that the enterprise is the industry's enterprises, industry is the era of industry, this is the trend of industry development, the degree of enterprise development. Internet two degrees into the retail industry, E-commerce integration of hundreds of millions of people living 10 years.

Today, Jindong that the traditional retail by the Internet has become the trend of assimilation, O2O integration of retail will be the only way of physical retail transformation, the double line price is only the key to open O2O retail door.

Businesses want suppliers to treat two-line channels equally

Suning's "Two-line price" in the industry has aroused widespread repercussions. "If there is a periodic fluctuation of the price on the line or under the line, take the low and the high principle." "Guangzhou suning general manager study said," in the market competition, the price hit to what extent, should be determined by the manufacturer and the market, Suning line with the same price is to break the internet low price myth, so that upstream suppliers to the online and offline channels equal treatment. ”

There is analysis that this will break the "Internet low price myth, let upstream suppliers to the line and offline as normal channels to treat", but there are analysis that suning move "kill 10,000, cut 8,000"-suning 2012 revenue structure, 98.357 billion yuan of the battalion income, from the electricity business channel only 18.3 billion yuan, Entity stores still occupy the big head, the same price strategy is bound to the Suning store impact, at a certain stage, the store gross profit margin will appear to decline.

There are suppliers worried that this impact, especially the low cost of the principle will be passed on to the supplier, study responded that Su Ning can do the low price, to rely on their comprehensive ability to improve, the real support point is still the size of sales, rather than the cost of passing to the supplier.

For the entity stores, Suning said, Su Ning has made corresponding adjustments to the assessment, "our physical storefront, its sales not only calculate the sales in its store, its radiation area, all the online sales, all belong to its sales, are recorded in his assessment, credited to his reward. "Study said.

Reporter learned that at present, Suning has with Samsung, LG, Haier, Lenovo, Hisense, TCL, Skyworth, Changhong, whirlpool and other suppliers high-level meeting, will line the same price as the main issue, to reach the consensus of promoting the same price, and clear the choice of goods, system docking, price strategy, such as implementation details.

It is noteworthy that with the United States to emphasize the "electricity business to achieve profitability" of the different is, Su Ning believes that "two lines of the same price", there will be no issue of the electricity business profitability, Suning line under the sharing platform under the full cost assessment, sales assessment is the problem of every product company.

Jindong: The price competition result depends on the number, the strength speaks

We can not think of to abandon the shop, the development of electricity business, but also can not think to protect the shop, curb the electricity business. The fundamental outlet lies in the internet of the shop operators. We want to let the store, logistics, after-sale front-line staff, master the Internet Tools, E-commerce, to store as a platform for the power to do electric business, to individual as the center of Ants move to do online shopping.

The implementation of the same price strategy can not be confused with the stage of promotion, into a meaningless price war, the war of words. Can not be pretentious, perceived lofty, disdain price competition, avoid price competition, price competition is not only the low-level means of market competition, but also the advanced means of market competition, the difference lies in why and how to use.

Suning will never use price competition means to eliminate opponents, but always face price competition, confrontation. The motives of price competition have the meaning of moral evaluation, the price competition results from the number of words, rely on strength to speak.