Le Tao Bi Sheng: Has Invested Tens Of Millions Of Investment &Nbsp; Annual Sales Of Shoes Sold Up To 100 Million

TechWeb today obtained an exclusive mail screenshot from Bi Tao to all employees, which officially exposes the investors and the amount of this round of financing. According to the email, the capital side of this investment is Tak Tong capital and Tiger Fund, which amount to tens of millions of dollars.

It is reported that Tak Tong capital is a very low-key investment company, but behind it is the global WAL-MART family. The Tiger Fund is one of the largest hedge funds in the world. At present, China has invested in excellence, Dangdang, Jingdong mall and fan Kecheng, etc. TechWeb immediately visited Bi Sheng.

TechWeb: Le Tao has already made a small reputation in the toy industry. Why is it necessary to transform? Is it under financial pressure?

Bi Sheng: Le Tao has made a certain popularity in the toy industry. Its toys are profitable. Our transformation is not due to the pressure of funds, but mainly the market prospect. If it's a question of profit, it can only be said to be a question of profit. We counted at that time, selling toys, a year's revenue is 30 million -5000 million, and if you sell shoes, at least one hundred million or even more, because the market for footwear is bigger.

TechWeb: which profit is higher for the gross profit of toys and footwear?

Bi Sheng: obviously, the gross profit of toys is much higher than that of shoes, because the price of shoes is relatively transparent, but in terms of market, gross profit is not equal to profit. Chinese parents are not very dependent on toys, and the demand for toy market is small. Especially for toys with high technology content, the price is relatively high, which is basically not considered by parents when buying. On the contrary, in Chinese consumption habits, it is easier to accept hundreds of pieces of shoes to buy a pair of comfortable shoes, but if it's a toy, more than 100 yuan will be over, and the bottom line is much lower. Thousands of pieces, it's a special case.

TechWeb: why does Le Tao not choose clothes like VANCL, and locate it as a website selling shoes?

Bi Sheng: there are three reasons for choosing to sell shoes. First, there are successful cases like Zappos in foreign countries. Second, the relative standard of logistics and distribution of shoes. Moreover, shoes for Chinese people are daily consumables, not luxuries, and 4-6 pairs of shoes in each shoe cabinet. E-commerce in China is still in its infancy. Yue Tao now has hundreds of thousands of revenue a day, and it is only about one hundred million a year. The B2C market share of footwear is large enough, at least 300 billion of the line, and even 30 of the online market is 10 billion.

TechWeb: many comprehensive B2C websites also sell shoes. In addition, the B2C website of differentiated shoes sells in addition to le Tao, there are also several. Where is the core competitiveness of Le Tao?

Bi Sheng: Le Tao is a technology-based company, Le Tao's B2C platform, every line of code, every instruction is developed by its own technicians. The core competitiveness of Le Tao is compared with other websites. Whether it's a comprehensive or subdivision e-commerce website, it's only a happy website in China. It has been suggested that we sell shoes around the product, I was denied. We only sell shoes, not even socks. We can sell shoes well, which is a great success. In order to sell shoes well, we pay a lot. Lok Tak attaches great importance to the user's purchase experience, so we are constantly improving the shopping process. In terms of price, Le Tao also maintained the advantages of the whole network, all of which are aimed at improving user satisfaction.

TechWeb: like Lining, who has already done a good job in e-commerce, why should he choose to cooperate with Yue Tao?

Bi Sheng: Lining has made 8 billion 300 million yuan sales in the past 09 years. It is said that it has exceeded ADI. If he wants to continue to expand sales, it will be difficult to complete only through the physical store, because the high cost of the physical store is a great challenge to its management ability and company cost. In terms of B2C platform, Lining's attitude is very positive, because network sales can not be replaced, and B2C is better communication and management. Why does it not cooperate? We have now obtained Lining's power of attorney.

TechWeb: apart from Lining, what are the cooperative businesses of Le Tao?

Bi Sheng: many domestic and foreign well-known brands are almost working together. You can see on our website, such as BELLE, Saturday, Daphne and so on.

TechWeb: will the development of integrated e-business website be successful after the operation?

Bi Sheng: the Chinese shoe market is big enough. This market is not only a market for shoes and shoes, but also a knowledge level. For example, there is a difference between the shoes of different brands. The shoes and shoes of different fabrics are different in maintenance and storage because of the temperature difference between the north and the south. Of course, consumers all over the country are different in understanding and buying different brands. These are all knowledge. It can be said that in the next few years, Le Tao will still focus on selling shoes. Let everyone wear the shoes they want, which is a goal of Le Tao.

TechWeb: Le Tao recently introduced a very interesting service that can sell shoes at half price. Why should we do this? Is it a public welfare undertaking?

Bi Sheng: half price to pay for shoes, this is our service. We never thought about whether there were public welfare components. We just wanted to solve the needs of users. If the disabled users have raised this problem, we will be satisfied. Our shoes are not only sold to ordinary people, but also the disabled are our customers. Special needs of other special groups will be considered. This is our goal to satisfy all the needs of users.

When it comes to public welfare, I think that for Internet companies, it is not that caring and donating money is so simple. There are still many things we can do. The real CSR of Internet companies lies in combining social responsibility with business. Yue Tao will follow this pattern. {page_break}

TechWeb: how does Le Tao net position itself, like Zappos in the US?

Bi Sheng: Zappos has much to learn. We respect it very much. For example, Zappos advocates service as the king. So does Le Tao. We have 7*24 hours of continuous service, and there are 7 days of no reason to return goods free of charge. We are the only B2C company that promises to return freight free, including the above half price purchase of shoes for the disabled, all in order to better serve customers.

Of course, China has its own online shopping culture and has its own consumption habits and characteristics. While learning advanced models, we must also analyze the current situation of China, so as to better serve customers. At Le tau, it happened every day at midnight when the user order was received. There was a female customer who had changed more than 20 pairs of shoes in Le Yue in a month. Someone said that the female customer deliberately found trouble. I don't think so. Since the customer thought it inappropriate, we would have to change it until she was satisfied.

Attachment: Bi Sheng sends the details of all staff of Le Tao.

Everybody,

Welcome to the company's mid year activities today. This email is especially grateful to those colleagues who are still working on the front line and have not come to Beijing to participate in the activities. You have worked hard.

This email also tells the whole company a good news. With yesterday's last investment in place, our company's latest financing has been completed, the amount of tens of millions of dollars.

The smooth completion of the financing is entirely based on your hard work and selfless efforts over the past 2 years. Of course, this financing is driving us to the dream of China's largest online shoe city. Whether we can achieve this dream is next to see us.

But the revolution has not yet been successful, and comrades still need to work hard. My boss once told me that we must keep a good attitude towards entrepreneurship. The company will always be away from bankruptcy for only 30 days. In this sentence, I hope all of you can remember firmly.

From the difficult transformation of the year to the present day, all the Yue Tao people should be proud of their efforts. From the obscurity of the year to the success of the financing now, all the people of Le Tao should be proud of the rapid development of Le Tao. Of course, what is more worthy of our pride is that the capital side of this investment, Le Tao, is de Tong capital. This is a very low-key investment company, but behind him is the global WAL-MART family. Another one is Tiger Fund, one of the largest hedge funds in the world. He only invested in several B2C companies in China.

2003, excellence

2004, Dangdang

2009, Jingdong

April, 2010,

June 2010, Le Tao

Finally, I wish you all a good time in the middle of the year!

Bi Sheng