Why is it the only product?

Wen Dao ma (micro-letter: Daomawuyu)

Only the goods will be the fourth quarter of the performance far more than Wall Street's expectations, the share price has also come up, the March 4 market capitalisation once exceeded the 10 billion U.S. dollar mark, Tencent, Baidu, Qihoo after the Chinese Internet fourth largest listed companies. Sina, Sohu, NetEase and other enterprises are left behind. What we are interested in is why is the only product? You know, there are also some other companies listed overseas, such as Macaulay, Dangdang and so on, of course, there are other listed companies, but only the goods will be able to achieve such results? What is worth exploring behind?

In fact, from the beginning of this year only goods will buy Lok Bee nets, equity participation in the eastern popular can be a glimpse of the waist of the product will be much thicker. Such a big money must also have sufficient funds and capital support. Today's fourth quarter is surprisingly good, and it's a testament to why the only thing is going to strike. In the inherent category of the only product will have done quite good, nature to expand the territory for their continued growth to open up a new battlefield. Only goods will be from the initial listing of more than 200 million U.S. dollars in market value, to today's tens of billions of dollars in market capitalisation, 2 years of growth 50 times times. What speed is this? Why is it that the only product will play the role?

There are several reasons: first, China's retail market continues to be hot. The retail market refers to the net shopping market, the Chinese market has been emphasizing stimulating consumption, but the growth of the traditional consumption area is relatively limited, but the network shopping market is still booming, from the two consecutive years of "Singles Day" pry the market value of the growth can be seen in the net to buy the original driving force is very strong. And one of the potential factors driving the market for online shopping is price stimulation. Without talking about the return of value and giving space, simply look at the price of electricity dealers, although not to exclude their own first bidding after the sale of the trick and omission, but the real existence of some of the space has stimulated enough users to pursue, and eventually bring a similar blowout market. And the only thing will occupy the side of the world itself has a strong market competitiveness, according to Deutsche Bank's investment report said: "Only goods will in fact dominate the Chinese retail discount market." The main reason for the rising market value of the products is that the performance expectations of the management are relatively conservative and have excellent execution capability.

The second is the mobile end of the stimulus from what? One of the highlights of the quarterly results is the mobile side. In the first quarter of last year, the mobile end accounted for only 8% of total sales, compared to 23% in the four quarter, according to Shenya, chairman of the conference, which grew to more than One-third in the last one months. Shenya said that mobile end and PC end users in the customer unit price, the frequency of purchase, shopping time is not a lot, but the mobile end of the weekend's purchasing power will be more than usual weekday, in addition, the evening mobile end users shopping is also more crazy. More importantly, the mobile end of the new customer's acquisition cost is lower than the PC side. This is an interesting phenomenon. Some of the female colleagues around the author are more inclined to the only product, the author often observed the concierge in the only goods will be more and more shopping box, has asked them to choose to buy in that terminal, someone told the author, night boring time with a cell phone lying in bed with the wireless WiFi, in the shopping site stroll, Sometimes the hand slips and the order is made. This is probably one of the reasons why Shenya's shopping is crazy at night. Of course, this should also be grateful to the mobile end pay more and more attention to the two giants, because they help users to use the mobile side of the habit of shopping gradually developed, here need to say is two peripheral stimulation: one is the crazy subsidy of taxi app, the other is the micro-letter red envelope activities. These two events ignited the people's mobile payment enthusiasm, indirectly stimulated the mobile end of the shopping opportunities. Only the product will also be lying on the profit of the user shopping impulse cause and effect.

Three is the giant missing? It is worth noting that, after the privatization of Alibaba, there has been no successful IPO. In addition, the Beijing-East IPO has just begun, unfortunately, whether it is Macaulay or Dangdang, in the electricity market although many years of hard work, but has been no more dazzling performance-driven, it is worth these electric business thinking, National Day should also think about how the future of some dangdang should change? Only the product will have entered the relatively high speed period, then may enter into a smooth period. The analysis structure also indicates that the growth of market models in the next year or two is likely to be limited, due to the low penetration rate in China's e-commerce population (7% per month for active users, calculated at 2% per day active user numbers). With the listing of Alibaba and Beijing-east, the pattern of the electricity market will evolve, and the competition pressure will fluctuate.

The acquisition of the Lok Bee net after the only product will be in the category of diversification is also only involved in cosmetics category, but the product will also say will not become a comprehensive category of electricity, or will focus on the current category development, at most is to join the cosmetics category, relying on Lok Bee network market positioning to participate in competition, there is a potential pressure is the United States excellent products listed imminent, For the Le Feng net can give only goods will bring how much change at present it is difficult to reach, after all, Le Bee network is still a loss. For the only product will, perhaps the next development focus is the import conversion rate and penetration rate, after all, this is the ultimate market value of the potential impetus to increase.