West Lake Has Changed Its Sword: E-Commerce Hits Traditional Sales Channels.

In September this year, the sixth session.

Taobao is sitting on 8 ingredients.

West Lake has been closed for 5 years, and many things have changed in 5 years.

Compared with the theme of "the next wave" and "the world", the theme of "the new Internet business and new civilization" in the past two sessions is very low-key.

5 years ago, at the West Lake forum for the sword, Ma declared that Alibaba's goal is "China's eldest brother".

5 years later, Ma Yun said that we are very ordinary. The Alibaba will recover in the next ten years, so that the small and medium-sized enterprises on Alibaba platform and all sellers will "circulate each other and continue to develop".

5 years ago, Alibaba, which burned too much money, returned $1 billion to YAHOO for 35% of its voting rights.

5 years later, according to the original agreement, YAHOO's voting rights will increase to 39%, and the largest shareholder will turn from management to YAHOO.

Alibaba attempted to buy back shares, but YAHOO was reluctant to sell it.

However, judging from its various businesses, Alibaba's slogan, which was shouted by Ma Yun 5 years ago, is getting closer and closer.

According to the data provided by Analysys International, the total amount of online retail pactions in the second quarter of 2010 totaled 117 billion 342 million 900 thousand yuan, and the Taobao family contributed 88 billion 200 million yuan, accounting for 75.16% of the total retail market.

Taobao has 200 million registered users and 40 million traffic per day, equivalent to 80% of China's online shopping market share. This is also the most important bargaining chip that Ma can cooperate with various platforms and agencies.

Traditional giants seek cooperation

Most of the invited guests from the past West Lake have been Internet giants. The chips of Ma Yun attracted many traditional giants this year.

Liu Chuanzhi, chairman of Lenovo Group, who came to attend the meeting, said, "now I see Ma Yun, all of them have to smile first and take the initiative to shake hands."

Liu Chuanzhi said in his speech, Ma Yun introduced to him that most of the participants were small and medium-sized entrepreneurs and entrepreneurs on the Internet.

He himself is also working for lenovo mobile terminals and Taobao.

Prior to this, the two companies have had many intimate contacts.

In 2008, the two companies had joint marketing, announced the joint launch of "e-commerce special computers"; in 2009, Alibaba's Taobao network Lenovo, launched "Taobao mobile."

More and more traditional enterprises begin to notice the online shopping market.

According to the data provided by Alibaba, at present, there are billions of goods on the Internet.

Take Taobao as an example, as of August 2010, the number of Taobao online products exceeded 500 million, and added 10 million new products per day.

Taobao daily trading volume reached 900 million yuan, within a minute, Taobao can sell at least 969 clothing, 203 pairs of shoes, 164 accessories.

Li Shufu, chairman of the auto giant and Geely Group, also had an astonishing saying, "we plan to sell cars on the Internet."

Geely has joined hands with Alibaba to sell Geely sedan on the Internet.

"It is possible to buy auspicious car products from the Internet next year."

Subsequently, Liu Jinliang, vice president of Geely Group, revealed that Geely's first attempt to sell online would be a panda or a series of imperial cars.

Geely has even considered launching a special edition of panda special for online sale in order to make a difference from the offline 4S store.

"We are imagining whether we can launch a car that can be supplied to the specialized Internet users in the 4S shop. Its configuration and modeling are very unique.

We have been experimentation on this aspect. We have been planning for a long time.

Liu Jinliang said.

Some enterprises value traditional channels more.

Data show that from 2007 to 2009, the average annual growth rate of online retail pactions in China is 117%, which is 6.5 times the total annual growth rate of total retail sales of social consumer goods, and experts predict that the rapid growth period of China's online retail business will continue until 2015.

Even so, traditional enterprises are not optimistic about e-commerce, which is evident in clothing brands and household electrical appliance enterprises.

Silk clothing and Jiangnan cloth are known as "counterfeiting" before they are forced to touch the net, and think that online sales can not help brand promotion.

Some home appliance companies are very cautious about the net, saying that online sales will damage traditional channels.

Analysts believe that online and offline two channels can not replace each other, but complement each other.

The pformation of enterprise sales channels will be decided by the view of enterprise gene culture, user structure and the vested interests of enterprises.

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It is only against the net that we touch the net.

Some garment enterprises are embarrassed to get involved in e-commerce, unwilling to make big online sales.

"You know, the sales champion of all the stores in Lining is not the offline store in a certain area, but Lining's official flagship store in Taobao mall, which has more than 50 million yuan in 2009."

Analysts at Analysys International say that traditional enterprises are stepping into the "peak" period.

But in the interview, the reporter found that many traditional enterprises, though they have been "touching the net", will encounter various embarrassment in the process, and the reasons for the net failure are not all optimistic about the online shopping market.

Touting is just a "fake".

The reason for online shop is that there are too many fake products on the Internet. The company is worried that fake products will have an impact on the brand image.

According to the data released by Alibaba, as of the end of June 2010, Alibaba has 12 million businesses and 65 million individual businesses.

But in the interview, reporters found that although many traditional enterprises have "touches the net", their reasons for touching the net are not all optimistic about the online shopping market.

The costumes are the three brands of JACK&JONES, only and verymode.

Zhang Yixing, the company's e-commerce marketing manager, revealed that the first online store opened in May 2009, but the reason for its opening is that there are too many fake products on the Internet. The company is worried that fake products will have an impact on the brand image.

"At that time, Taobao gave us a data, in 2008, JACK&JONES, only, verymode three brands in Taobao network sales reached 1 billion yuan a year, and these products are many fake products, the quality of products, styles are not guaranteed.

In addition, dealers in our country have regional sales and distributors can only sell in designated areas.

However, some dealers violate the agreement and deal with second-hand goods online, which has an impact on the brand image.

If we do not manage, we will destroy the brand sooner or later. "

"It is not easy to manage. We need to give evidence and litigation, which are all costs.

So we simply open our own online shop. It's not true or false.

Zhang Yixing said.

Some garment enterprises: "e-commerce is like a flood of water"

Jiangnan cloth Yi believes that products should take the luxury brand line like LV, and e-commerce can not bring much help to brand promotion.

The state of the costume is actually a true portrayal of a traditional enterprise that touches the net.

Zhang Bin, assistant general manager of Jiangnan cloth clothing, said they were forced to come out of the net. At the beginning, they hesitated and did not do much promotion.

"Not only are counterfeit goods overflowing, but also agents are selling on the Internet in violation of company prohibitions, which makes it easy for agents to cross regional goods.

The company is very difficult to manage.

In the past, the company adopted a way to deal with it, but later found that the cost of fighting was too high. And since consumers need it, this phenomenon can not be eradicated.

Therefore, we should stop doing so, and simply do it ourselves.

Zhang Bin said that although he was driven to the top of the mountain to follow e-commerce, his desire to sell in the network channel was not very strong.

"We are just doing brand image display, so that more consumers can understand the brand of Jiangnan cloth clothing, and it is possible to buy it in the ground store in the future. This is our goal."

Zhang Bin said, "Jiangnan Buyi is hoping to become a luxury brand like LV one day. E-commerce can not help the brand upgrade."

"And I believe that in the domestic market, online store sales are very strong brands, the vitality is not very strong.

Because fashion is not hardware, it can be quantified. It is a perceptual thing.

Cheap things have no high added value, but users want cheap things, which is very contradictory.

Zhang Bin introduced, so the online shop in the Jiangnan cloth sales system assume the role of digestion inventory, in the shop selling mostly stock products, generally from four to forty percent off for sale.

This discount is more attractive to netizens.

Even so, Zhang Bin said that Jiangnan Buyi is cautious about Internet channels.

In the traditional clothing enterprise management concept, because each local agent's shop is limited, only part of the style can be reserved.

But the network space is infinite, so if all the channel agents are released, it will lead to richer products than the physical stores. Agents are flocking to the network and finally trigger the price war among agents.

And this is exactly what Jiangnan cloth does not want to see, so Zhang Bin concluded that "e-commerce must be done, but not bigger."

"For me, e-commerce is like a monster of war. People selling fake products will affect me.

I do it on my own, but it has little to do with the brand, but I have to do it. "

Zhang Bin said.

Some clothing enterprises: "touches the net actually does not make money".

Silk clothing stores said that online stores need logistics, distribution, service, replacement services, and online shop platform fees, which are not needed by physical stores.

Although the data provided by many third parties show that the scale of online shopping pactions is rising continuously, online shopping is still not a profitable business for some traditional enterprises with new touches.

"To put it this way, the bestseller is the largest online sales brand in China, and clothing is the hottest industry in online shopping.

As of August 31st this year, the volume of bestseller in Taobao mall was over 100 million yuan.

But this figure is not as good as the 1% of the total sales in the same period.

Silk clothing marketing manager Zhang Yixing said.

"We thought that it would be easy to make money if we had to open shop on the Internet without paying rent and so on.

This view is totally wrong.

Online stores need to be put into advertising to win clicks, and also need logistics, distribution, services, replacement services, online shop platform fees, which are not needed by physical stores, while sales of goods must pay taxes like physical stores.

Zhang Yixing said, "opening a shop is not a profitable business, at least not more than a physical store."

Zhang Yi Xing calculated an account.

A price of 300 yuan clothes, express costs need 10 yuan, 3% of the profits will be gone.

If the consumer returns, the express cost will be borne by the merchants and the profit will be lost by 3%.

The cost of customer service also takes away the profits of 2%-4%. Packaging and warehousing will probably consume 10% of the profits, and a platform fee. The profits left to businesses are actually very low, and online sales increase with costs.

But only 20% of the deduction is below the line.

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Caution for household appliance enterprises

The head of a well-known small household appliance enterprise said that most home appliance enterprises are very cautious about the net, and worry that Internet channels will damage traditional channels.

3C and clothing are the two industries with the highest degree of touch in traditional enterprises.

Analysys International analyst said that 3C is a highly standardized category, and will play an important role in the online retail market for a long time.

However, reporters found that most of the 3C enterprises were built on the ground channel network. They were very careful in the net to prevent the pressure on the traditional distributors and bring trouble to the operation of the enterprises.

The head of a well-known small household electrical appliance enterprise said that most home appliance enterprises are very cautious about the net. How to operate and how to do it has not been clearly planned.

"Famous 3C enterprises in China are excellent in channel construction.

When the Internet is not yet popular, enterprises are fighting the world through channels.

Now, in the three or four tier cities and rural areas, online shopping is not yet in scale. Enterprises still need stable and orderly channel distribution system.

If the relationship between online shopping channels and the ground channel is not well handled, it will cause pressure on physical sales, and even lead to traditional channel manufacturers' opinions on manufacturers, manufacturing pressure and so on.

Another director of the power supply company said that everyone involved in the installation, delivery and other after-sale services, very troublesome.

Therefore, the cooperation between home appliance enterprises and online shopping centers is mostly the cooperation between regional distribution companies and large local e-commerce websites.

Sales may be less than 1/1000 of corporate sales.

Analysis: "online and offline two channels can not replace each other".

Analysts believe that the reaction of enterprises in the pformation is fast and slow, and the two channels can complement each other.

In the interview, reporters found that although these traditional enterprises agree that e-commerce is a "big trend", but this trend is liked by some people.

CEO believes that this is caused by the different views of the enterprise's gene culture, user structure and the vested interest groups in the enterprise.

"Just like some consumers like to catch up with the trend, and some consumers are conservative.

If the enterprise has the Internet technology gene, it will naturally take the initiative in pition, such as Lenovo and DELL.

But if the Internet technology content is low, enterprises will naturally be slow in pformation.

"Secondly, it depends on where the target users are and how much the target market is changed by the Internet.

It also depends on whether the products and services of the enterprise are suitable for sale on the Internet. Some products have long service processes, and even need trial experience on the spot. Such enterprises are suitable for online marketing, and online sales. "

"Third, we should also look at the past operating system of the enterprise, and what kind of service the enterprise used to succeed in the past, these are very likely to become the stereotype of the enterprise pformation of the Internet.

Because it often disrupts the original balance, the interests of a vested interest on the line will be violated, and they will disagree. "

According to Yu Yang, even if the Internet is only a new channel for a long time, it can not replace each other under the offline channels, but only one complement each other.

"The development of the two party has exposed some problems, such as the problem of online distribution by distributors.

But there are always solutions, such as setting up a brand for online sales, and increasing penalties for illegal agents.

But overall, the overall quality of Internet users is rising, and online sales are hard to hurt corporate brands.

In addition, Analysys International analyst Cao Fei said that at present, traditional enterprises are still in the running in period.

The main reason is that in the consumer market, producers are less able to control their channels than dealers. If manufacturers do online vigorously, they will have an impact on the offline industry.

"At present, there are two types of enterprises that are successful online.

One is that the brand is strong and does not fear dealers, such as Lenovo.

Another is that the brand is very weak, and the offline sales are bad. They are developing the market entirely, and have no conflict with the offline.

For example, manufacturing enterprises, the more successful is customer loyalty products.