Where Is The Road Of Electronic Commerce After Fierce Battle?

I see an electricity supplier commenting experts say that China's electricity supplier has not ushered in the cold winter, because our online shopping purchasing power growth is still advancing by leaps and bounds, our business opportunities still outweigh the challenges.

I can't agree more.

It is still just the starting stage, and the industry has far more opportunities than challenges.

But it is not profitable and can not be found.

It's abnormal.

Time is the best touchstone. When the tide is gone, we will know who is swimming naked.

Unfortunately, when the tide of e-commerce was retreating, we suddenly found that few people were wearing decent clothes.

Electricity providers are not cold winter, but change will happen.

The poor will change, the change will pass, and the general rule will be long.

There is no doubt that China's e-commerce entered the "poor year" in 2012 and will move towards "changing year".

The first thing to do is that China's e-commerce will return to the fundamentals of business -- creating profits or at least proving the profitability of the future.

Let's take another look at the object of our learning -- the US, whose e-commerce pattern is significantly different from that of China.

Due to the dominance of Amazon, other electric providers want to rely entirely on their scale to prove themselves very difficult, and the US retail market itself is mature and predictable, so the imagination is not big.

So the US electricity providers, such as AAP, Bodybuilding.com, Lightinthebox (let me take it as an American electricity supplier), eBags, 1-800-Flowers, etc., are all directly related to profitability.

The impetuous atmosphere of the US internet is very low.

There are many electricity suppliers in the US, but few of them are worth more than 2 billion dollars.

This phenomenon is illustrated by the characteristics of Internet marketing analysis in the US.

In the United States, e-commerce companies are willing to pay for website analysis and optimization. As I said, the top ten e-commerce enterprises in the conversion rate use high-end website analysis or optimization tools.

American electricity providers pay much more attention to the conversion rate than Chinese counterparts.

We can easily see a lot of traces of ongoing AB testing in the US e-commerce website or shopping guide website, and I have never found it in China.

Because the Yankees too need to earn money to feed themselves instead of making money by themselves.

So, you rarely see the death of the US electricity supplier.

Even if Black Friday and Cyber Monday are all crazy buying festivals, the use of full station discounts is also very cautious, and more depends on the promotion of single product Deals to attract consumers.

Looking back on China, if our electricity providers are not smart enough to criticise them, they will be strong enough to break the wrist, but they will not be honest enough to do business.

Yes, at such a cusp, we can not rely on ourselves. We need to use the outside force to sing, but everything is going to be totally different now.

Who has more opportunities?

The goal of business is to make money, and it is hard to maintain long-term business without money.

In the past, people joked that China's e-commerce companies were not e-commerce, but stock companies.

I had no idea at that time.

Today, the most important thing for a company like this is how to make profits. The vision of stock companies is complicated with vip.com's listing.

When the uncertainty of fear fills the industry, who has more chances to survive and win? I believe the three practitioners will win and restructure the Chinese electricity supplier.

First, we need to change our strategic thinking rapidly and shift from horse racing enclosure to intensive farming.

Second, the traditional brand business (manufacturer or retailer) is successful in e-commerce.

Third, create new profit models.

Last, I can't comment.

E-commerce is difficult to create new profit models.

E-commerce is a "real economy" rather than a "virtual economy". Therefore, the beauty of mogujie.com can be said that four of them are derived from their "emptiness", but Jingdong or Dangdang is built up from brick to tile, and stems from their "reality".

But maybe our country will have a B2C of Jobs. Who can say that there is no such possibility? Only this possibility is too small.

For the second, the traditional brand business has many advantages over the current electricity supplier who started from the Internet.

The essence of e-commerce is business rather than electronics. For every aspect of business fundamentals, the reputation and credibility of the brand itself greatly reduce the marketing and marketing costs; supply itself has greater advantages; other areas of the supply chain may also have advantages; and the management experience accumulated under the offline business is not comparable to that of the younger impetuous Internet providers.

In other words, e-commerce is the combination of Internet and retail.

One way is the infiltration of the Internet practitioners into the retail industry, and the other is the expansion of the retail industry to the Internet.

Who has more resources and greater chance of success?

In view of this, there is only the first opportunity for the current business operators.

In fact, for the first, there are too many examples of fresh living in front of us.

Amazon did not have too many secrets to restructure the supply chain through digitalization, to make it more elaborate and efficient, to enhance customer care more deeply - Customer Relationship Management Based on intensive cultivation, solid and stable category and business expansion (with shared cost as the main field, including S3 and EC2).

In a word, Amazon is like a field with different crops. It is full of exotic flowers, but it is well organized. It is not the water but the numbers. There is no more sophisticated company in the world than the Amazon business. Fine is the unalterable gene and the life and death baseline of the company. Just as the innovative gene decides the life and death of apple.

It's hard to imagine what new business models Amazon can create and then suddenly make money. All the money that Amazon makes is just a portrayal of classical microeconomics -- more sales and lower costs, quickly finding the best of Pareto, and constantly remaking it.

This is exactly like a tourbillon. If it is not, profits will be like drops of water in the desert. You will be watching them disappear.

China's e - commerce companies are now moving from extensive to sophisticated.

However, the good news is that when the tide recedes and everyone is busy finding clothes, the rules of the game suddenly change, and it is hard for all swimmers to have the energy to enlist more spheres of influence. It is hard for you to see more competitors who roar, overtake or even suddenly crush you. You have more time and energy to rebuild the rivers and mountains and start a more detailed journey.

You should do this.

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Happy side effects

If it is really what I want, when all the data analysts in China are looking for a real opportunity, when China's electricity providers are beginning to concentrate on finding gold from their fingers,

This is the best side effect we can see.

I was impressed by Liu Shuang's speech at his annual meeting. He thought there were three reasons why the current e-commerce does not pay much attention to data and data may not be of real value.

First, the phasing problem of China's electricity supplier development.

At present, the electricity supplier is busy with horse and yard, extensive operation, and no intensive electricity supplier, it is difficult to have higher pursuit and requirement for data.

Second, the role problem.

CEO or COO only focus on large numbers, while the operators should pay more attention to data, but they lack data awareness and needs.

Third, the ability problem.

Even if we pursue data, we may not be able to achieve it.

Extensive operation of the electricity supplier, has not established a set of data to adapt to the survival of infrastructure, and no manpower available.

Even more frightening is that due to lack of professionalism, even though they know that they need data, they do not know what data they need and lack the ability to ask the right questions.

This has much to do with my article "building data driven teams".

Therefore, in the process of extensive enclosure, many problems need to be solved by people's executive power, and the data need not be analyzed.

For example, due to the expansion of the category, 1000 new SKU were added within a month. These SKU need to display at least the complete product details page, but because of poor execution, these pages have only one picture introduction, even the description text of the products is extremely scarce. This is not enough data to solve. At this time only four words can solve the problem - do it quickly.

Either the lack of genes in the retail industry or the lack of genes in the Internet, the current Chinese e-commerce is still in the stage of "lame race", and everyone is busy making up for their deficiencies, and more powerful execution is more important than anything else.

Until one day, when the tension of extensive expansion is weakened, and the foam needs to be more strongly supported to ensure that the bubble does not burst, data will become a powerful adhesive to make the foam more resilient, and even make the bubbles change into a more solid plastic or brick wall.

This is actually the history of Amazon.

But in this process, e-commerce in China will have to go through and will have to go through it.

For the data practitioners, what a happy side effect it is, but how sad it is.

Once upon a time, we thought that the "two words" of "optimization" were infinite. Until today, we can see that we need to wait until the defective parts are made up before we can optimize the function of the body.

This makes up for the process of the defective body. It was supposed to start on the first day, but it didn't come late until the ebb tide.

All kinds of helplessness, and the return of Yan.

Conclusion

China's e-commerce road is not smooth sailing.

The hustle and bustle of the ups and downs is also the normal rule of business returning to the basic economic laws.

But for decades, such a clamor has been going on and on, but has never really stopped.

Where is the future of China's e - commerce road? I really understand the meaning of "the road is under the foot".

One tide, another tide, the tide is brewing a more magnificent wave, the sound of the rumble has not yet been heard, but the pushing breeze has lifted people's sleeves.

The tide is coming, and with greater power, the determination of the mountains and the direction of unwavering firmness ahead.