Vertical electric quotient: Cliff to make a living this winter is everyone's winter

Source: Internet
Author: User
Keywords Vertical Electric Dealer

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At the time of the big expansion of the platform electric business, most of the vertical electric operators seem to be swinging: brand or platform? But when Taobao, Jingdong, Suning easy to buy platforms, and so on, precisely also means that the opportunity to vertical electric business, the focus is on how to rely on their own advantages to join the ranks of revelers.

  

Compared to the familiar integrated platform electric Shangtian cat, Jing-dong, Taobao, Dangdang, vertical electric business is a kind of industry or market segments in-depth operation of E-commerce model, the advantage is to focus and professional to provide more in line with the specific consumer products or services, to meet the user's habits in specific areas.

At present, the halo of "the first share of China's business", the Mai-Lin, which was listed in Nasdaq as early as 2010 years, has withered away, and in August 2013, it was the news that the company was sold out and let the domestic electric dealer borrow the shell. In addition, has been the attention of all customers prudential goods are also in the burst "arrears door" after the biggest crisis since the venture. Count it over, from the 2012 Massamasso, red children, product poly nets, excellent vegetable nets, to the first time in 2013, hot guests, cool sports, and so on, a group after another group of vertical electrical products fell out of the circle, all kinds of signs so that many people do not see the future of the vertical electric business. However, in fact, the theory of vertical electrical business will eventually die with the arrival of the new year gradually disappear, the dawn will also tread the path of growth.

This winter is everybody's winter

In the past year, the so-called Chaoyang industry has not been very good. Most experienced the rapid growth of the brand began to face a variety of problems, internal adjustment, financial break, transition difficulties, all show that the industry has already arrived in winter.

In fact, as early as 2012, the apparel industry's high inventory problem has been for the industry's electricity business platform buried foreshadowing, look at the past and now struggling vertical electric commodity licensing, mostly operating apparel products mainly: The Massamasso has always been in high-end image of the frequent promotional discounts; Every guest also acts as a big half time of the dumping platform. In the March 2013, the cosmetics industry and the United States and Le bee nets each of their own advertising language, poly Beauty is spent nearly a year of advertising budget, but since both sides have also died down. Fresh electricity business is no exception, once known as the electric field of the blue Sea market has also formed a top ten pattern of the battle, the bottleneck of the state, backed by Wal-Mart's 1th shop to want to start a wave also need to wait for time.

Cat Double One, Taobao double 12 of the repeated successes, the Beijing-Soviet war, so many PE people began to shake, they can no longer like the previous hope in the various vertical electric commodity cards. For many vertical dealers who burn money, the lack of financial support will have to be declared bankrupt or resold.

From 12 to 13, the cold wind in the late winter stirred the electric business. But if winter comes, can spring be far behind?

Is the end and the starting point

2013, is a rapid expansion of the platform of the electric business year. Day Cat Double an activity day sales is 35 billion yuan, and at the same time, many vertical electric business also in this battle by virtue of differentiated competition performance. Double 11 period, the order quantity of excellent purchase net increases 4 times times than usual, conversion rate has also increased 4 times times, its in the Jingdong, 1th stores, Amazon, Dangdang and other platforms, such as platform electric shop sales increased by 4-6 times, all day orders more than 500,000 single; Le Bee net sales volume of the lowest reached 3 million yuan per hour, Total day sales compared to 2012, and millet to the weekly public offering and the cat double 11 combined, to 541 million yuan of sales ranked first in the brand list, auto the day of the cumulative scheduled car 17,776, order 2.643 billion yuan; Order amount of more than 11.7 billion yuan, to order amount, auto and easy Car Network two of the total to reach the days of cat plus Taobao full platform of goods sold 40%.

On the other side, October 25, 2013, "Dehua Mall" officially settled in Dehua County E-commerce Business Park, its plan in the power of the powerful electric platform to help, vigorously seize the domestic market; November 9, Yoho! had the goods President Shang declared himself a new way to divide the public electric business; November 11, Jewelry Category Vertical Electric platform "Oriental Mall" officially on the line, marking the jewelry industry has a new vertical model channel.

The end of any situation can become a new starting point, the electrical business team constantly carry out a new and old change, vertical electric business cliff to survive needs to burn their bridges.

Vertical electric operators must first "mentality"

A lot of vertical electric dealers concluded that it is now money to buy users, buy traffic times, compared to the cat and the east, the money is not enough, traffic is not enough, the user is not enough, these views seem reasonable, in fact, otherwise. For a platform for the electricity business, the traffic is really important, because the platform of the electricity consumers repeat consumption rate is low, only this point is absolutely fatal. and the vertical electric business is to focus on a subdivision of the field, to meet specific needs, repeat the purchase rate is not a problem, vertical electric business is a strong competition is accurate differentiation positioning, always want to do all-inclusive platform electric Quotient is definitely the end.

It is important to strive for more traffic, but at the same time, an affordable customer has the spread of value is unlimited, beautiful said, Mushroom Street the derivative development of these platforms is sufficient to explain the importance of the spread of customer value. What the vertical electric trader should do is not only let the consumer repeat the purchase, but also need to pass their brand and the word of mouth through a quality shopping experience to attract more new customers. This is the best choice for free access to quality users. The vertical electric dealer wants to do steadily deep, must change from the flow pattern to the service mode.

When and why did Amazon successfully transform into a comprehensive platform? times are different. In the era of electric business initiation, these electrical commodity brand has been trying to do services, the accumulation of stable users, whether in terms of quantity or quality, they have enough customers to support their transition over, the timing of the grasp and the support of funds is its successful transformation of the two major assistance. In addition, in the face of inventory, logistics and supply chain cross-sectoral issues, the three are the first to form the management team, and then from the traditional enterprises to tap talent, the pursuit of steady development.

According to statistics, in the United States ranked top ten of the electric dealer, platform electric Business enterprise only one, the other nine are traditional retailers after the transformation of the vertical electric business. Fanatics, an e-commerce online retail company that sells official sports licences in the United States, has become the largest franchise company in the United States after receiving a capital injection from Ali Group, which is expected to reach $1 billion trillion in 2013.

As a vertical electric business, the most fundamental is to clarify their positioning, from product strategy, brand strategy to promotion strategy, only the mentality perpendicular, the road can go smoothly.

from addition to subtraction

From the flow mode to the service model, from the scale expansion to the fine operation, the transformation of the product line must be the first. The development of the electric business to the present stage, the choice of consumers is no longer inclined to the price-oriented, but rather to take into account the quality of products and brands, which is consistent with the properties of the vertical electric quotient. The rapid expansion once let every guest lost, until June 2013, "millet" transformation began, where the customer once again determined the direction: to start the Full research products, streamline product lines, focus on the limited core category, and finally established a T-shirt, shirts, trousers, canvas shoes, ultra light down jacket, Polo shirts and other limited seven or eight categories.

Product line reduction and specialization must be able to product differentiation to meet the needs of users. After that, it is strictly to control the upstream supply quality; At present, optimizing the supply chain as far as possible is a more effective way to ensure the stable supply quality. For the vertical electric business, especially for clothing such non-standard products, electric business, control sales and orders, maximize the advantages of supplier management, but also to do subtraction a very important part. By reducing and controlling the product's listing cycle and then controlling the product quantity, the optimal control material cost and the inventory transportation cost are achieved.

Painstakingly repair the internal strength, deep plough downstream

The expansion of scale will bring about the increase of operating cost. It is reported that every customer at the peak of 2011 had more than 10,000 people, rental cost of 6 yuan per square meter, Massamasso has been the marketing cost is also very high, almost accounted for the total sales of 50%. The operation cost of the vertical electric operator should be controlled at least within 25% to guarantee its later profit, the high operating cost consumes the fixed fund, the team bloated will cause the whole operation slowly.

For all the electrical business, how to reduce the cost of delivery, the reduction of all from the order generated to the customer receipt confirmation of the cost, is the core of the entire downstream work, the cost of these rings savings is entirely the net profit of the enterprise. The cost of delivery mainly includes related warehousing, logistics, customer service and after-sale expenses. The establishment of warehouses and the distribution of goods should be accurately calculated and distributed in order to achieve the optimal cost savings of logistics; All of this is determined by the existing level of zoning coverage and regional growth, so the establishment of intelligent systems and the processing of information is particularly important. Amazon's cloud processing system enables it to efficiently utilize warehousing and logistics, and to thin out the cost of warehousing logistics systems. On the other hand, is also able to quickly start the part is the product page presentation, very careful product description and fully effective evaluation content can be very good to reduce the number of customer service staff, but also reduce customer return rate.

The ultimate experience of differentiation

Vertical electric operators are primarily the vertical supply chain, followed by the vertical category, but the most important thing is the consumer service experience vertical. The difference of vertical electric quotient should not only be on product and brand, but also differentiate in user experience. Terminal consumer experience is the most recent part of the customer, is also the vertical electrical business all work the most fundamental presentation. The standard for measuring user experience is the quality of word-of-mouth and the effect of two spreads.

Picture definition, font combination, page layout, text description and so on, speaking of the user experience we can think of a lot. For the electrical business, the user experience can be divided into two parts. The front end mainly includes the access speed, the appearance of the page, the product recommendation, the search is convenient, the shopping flow is simple and safe, etc. the rear end is mainly the efficient delivery, the refund is convenient, the customer service reflects quickly and so on. The promotion of these two parts can be divided into two dimensions, one is the rational dimension considered from the basic demand level to satisfy the consumers ' convenient shopping experience, and the other is the perceptual dimension considered from the spiritual demand level, while satisfying the consumer's sense of security and belonging, Appropriate to add some emotional guidance factors can help solve the pre-sale of many problems.

It is noteworthy that in contrast with the continuous optimization and modification of the same time can not ignore their own user experience of the differential design, which is the core of the development of fan users. "365 days without Dismantling" "one day four to send" "expired without reason refund" are the existing characteristics of the electrical business services. In the user experience there are too many things to delve into, as long as the breadth and depth of the cycle of ascension, each experience users have the opportunity to become their loyal fans.

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