Why the hundred-year old shop embarked on the road of network pioneering

Source: Internet
Author: User
Keywords E-commerce Volvo Network entrepreneurship cost

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Recently, I saw an interesting news------the Woolworths of the British century-old shop, Woolworths, has reopened as an online store, trying to reverse the economic downturn through online channels. It seems that the impact of the economic crisis on traditional industries is indeed greater, forcing them to transform into a new business model.

Recession and consumer weakness are the main reasons for the collapse of Woolworths, according to the news, after the collapse of the Woolworths closed more than 800 stores, resulting in 27,000 people out of work. We know that sometimes the economic crisis can cause companies to save on corporate spending by downsizing or downsizing, and Woolworths's demise seems to tell us that if we don't take this strategy ahead of time, companies will be forced to accept the fate of their demise. Therefore, we can probably sum up the two reasons for the Woolworths failure: 1. The intense competition in the retail industry, coupled with the fatal injury to consumption resulting from the economic crisis, has led to a thinning of profits; 2. The high cost of retailing, especially the large scale of store-renting costs and human costs, has become an important factor in the decline in the average profit margin of retail business.

Therefore, the future of the retail industry to a higher level, must fundamentally open up channels to save costs, this demand seems to coincide with E-commerce, with the rapid development of E-commerce in recent years, many traditional industries are to achieve from the network to the online changes, the retail industry is no exception.

At home, E-commerce has spawned a large number of traditional shops, such as Jingdong Mall, Vancl and so on, their success tells us that, with the advantage of modern e-commerce, the traditional retail industry may be able to get another piece of heaven and earth.

British hundred years old shop Woolworths can reopen, also fully effective in the development of E-commerce, of course, E-commerce platform based on the Woolworths will save a lot of store rental costs and human costs, and with the help of its brand history has more than a century of this advantage, its online shop is expected to quickly open the situation.

It is believed that offline retail outlets like Woolworths are not uncommon in China, they also face problems such as high cost and low yields, so that e-commerce works for them, and the traditional retailing industry has come to an unprecedented ripe time for both technology and environmental perspectives.

First of all, from the technical perspective, domestic such as shopex such a professional e-commerce solution provider, so that the establishment of online shop is easy. Shopex combines information management, marketing management, order management, product management, customer management, and other business processes into a mix that avoids the disruption of business processes and strengthens operations management, which seems almost impossible in the traditional offline retail sector.

Of course, the biggest advantage of Shopex is to provide a safe, stable, and powerful E-commerce platform system. Users simply download the free program from their official website, install on their own server can complete the construction of E-commerce platform. In this way, businesses are expected to save a lot of store rental costs and human costs, but also broaden the channel to put products in the open Internet world, so as to obtain more customer's favor.

This approach improves efficiency, lowers costs, and broadens the market. Yang Guodong is a typical successful case, he used Shopex professional services to create a "Chinese tea network", so that it freed from the traditional marketing model of the shackles, expand the market, found more business opportunities.

Secondly, from the environmental perspective, with the gradual deepening of network applications and the continuous growth of internet users, online shop coverage will be more and more extensive, the number of netizens in the country has surpassed 200 million to surpass the United States as the world's first, the future will break the 300 million mark, at the same time, based on the rapid growth of the number of netizens, This makes electronic commerce develop faster. Obviously, such a huge market size is no business can not ignore.

In this way, we are not difficult to understand the century-old shop Woolworths will embark on the road of Internet entrepreneurship.

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