How Can B2B Platform Help Foreign Shoe Companies Spend The Winter?

Despite the summer, COO, chief operating officer of global resources network, is preparing for the winter, not for himself, but for more than 700 thousand registered users on the global resources web.

In fact, influenced by many factors, such as RMB appreciation, raw material price increase, tight macro-control, rising labor costs and subprime mortgage crisis, in 2008, it might be a colder winter for the small and medium-sized enterprises, whose products are export oriented, and those of their products.

According to the statistics released by the National Bureau of statistics, the total export volume in the first quarter of 2008 was 305 billion 900 million US dollars, an increase of 21.4%, down 6.4 percentage points compared with the same period last year.

In contrast, the number of exports with a much larger decline was taken as an example. In the first quarter, a total of 12832 batches and 106 million 850 thousand pairs of export footwear products were tested, which decreased by 12.12% and 0.42% respectively from the same period last year. However, as the average manufacturing cost increased, the unit price of exports rose, and the total amount continued to grow, reaching 333 million US dollars, up 9.14% over the same period last year. "Jinjiang"

Whether we can help these users wait until spring is the most serious problem for all B2B e-commerce platform providers.

This is even more obvious for global resources, which occupy 10% of China's online B2B e-commerce market and focus on the foreign trade market.

"This is indeed a challenge, but it is also a great opportunity."

Pei Ke told reporters.

"From experience, the more depressed the economy is, the more professional the customer wants to supply and demand information for buyers and sellers.

Buyers and sellers need to re choose their partners. "

Line broke out into the 2008, Wu Wenbin, an overseas sales manager, obviously felt the turn of the market.

Wu's Shenzhen Jiuzhou Di Jia Tong company (hereinafter referred to as Jiuzhou) is a subsidiary of Sichuan Jiuzhou Electrical Appliance Refco Group Ltd, specializing in the production of TV set top boxes for export to Europe and the Middle East market.

In the domestic counterparts, Jiuzhou ranks the top, but even so, it is difficult to escape the fate of reduced orders.

"Last year's environment was not as good as the previous two years, and this year's orders fell by 20% compared with the same period last year."

Wu Wenbin said.

In his view, the main reason for the loss of orders is that fierce competition leads to lower prices. The price of a set-top box and di Jia Tong is 20 dollars, but the price of the market has been up to 17 dollars or even lower.

"If we want to maintain quality, we can't do that at a cost rise."

When Wu Wenbin was having a headache for developing new markets and customers, he received two applications from his parent company.

One month after the completion of the form, Casino, the largest convenience store operator in France and Circuit City, the second largest electronics retailer in the United States, saw the two buyers in the conference room of global resources through preliminary screening. There was no noisy background and no crowded buyers and sellers, and the form of meeting was "one to one". Wu Wenbin, who was the first one in the conference room, met the buyers.

"These are our first contact customers.

The other side hopes that we can do OEM, the first one purchases from 500 thousand to 800 thousand units, and the second is mainly to prepare suppliers for developing the market in Brazil.

Wu Wenbin said.

In his view, through the exhibition "face-to-face", the hope of the paction is much greater than that of the online inquiry, and this one to one further strengthens the relationship between buyers and sellers.

If two orders can be taken, the number will account for about 10% of the total annual orders of the company.

Its parent company, Sichuan Jiuzhou Electrical Appliance Refco Group Ltd, is the 5 star paid customer of global resources.

It's not just Wu Wenbin who feels the same way. "In the past, it takes at least a year to meet a buyer who reaches this level.

Today, we have separate meetings with four largest buyers in the world.

Also participated in the "one to one" Wen Ding electronics, deputy general manager Li Jun said.

In fact, for the global resources that have been established for 31 years, from print media to exhibitions, and from offline to online, "face-to-face" is the fundamental difference between them and Alibaba's pure B2B e-commerce platform providers.

"Owning its own magazines and exhibitions, providing online and offline packaging services to enterprises is one of the biggest advantages of global resources, and it can compete with Alibaba and Huicong," Liu Tong, senior analyst at B2B international market research, told reporters.

According to the annual comprehensive report of China's B2B market released by Analysys International, Alibaba and global resources are the two largest B2B e-commerce providers in the domestic market share in 2007. The market share is 59.5% and 10.2% respectively. The statistics are only part of the mainland's mainland market, and strictly distinguish between online and offline, global resources in addition to more than 20% of overseas income, and nearly 60% of the revenue comes from offline magazines and exhibitions. 2008

Alibaba earned 95% of its revenue last year from the mainland's B2B business, of which 98.5% of its revenue came from online. The 59.5% share mentioned above is basically its total income.

"The contribution of offline businesses to global resources is much more than just 60% of the financial statements."

Liu Tong explained.

Many users just value this kind of packaging service before they choose to pay the annual fee of global resources, plus the money to purchase exhibition service packages.

According to the results of the first quarter of 2008, net operating revenue from the exhibition business was $6 million, up 24% compared with the US $4 million 800 thousand in the same period in 2007.

Liu Tong's view is that compared with Alibaba's "very IT" B2B e-business, global resources are relatively weak in website technology. Besides the strong line business, the biggest advantage lies in the quality of buyers.

"First of all, global resources is a foreign company, so they know better and are able to think more from the perspective of foreign companies and buyers, and design their favorite service processes.

From paper media, many high-end buyer resources have been accumulated over the years. "

Liu Tong said, in Alibaba, you may have to find a good buyer from fifty enquiries, but in the global resources, maybe ten will be able to find one, and a large amount of orders.

One obvious feature is that since the launch of the global resource network around 2000, the number of "active buyers", that is, buyers with intensive purchasing behavior and large quantities, has reached 80 thousand.

"In terms of quantity, 80 thousand is a small number. Alibaba has announced that its number of buyers has reached several million, but he never counts the number of high quality buyers. This is a conceptual difference. Alibaba is, after all, a local company."

Liu Tong said.

In order to ease the pressure of suppliers, the Alibaba Joint Construction Bank helps small businesses obtain loans through network credit, and the entire process of loans - application, investigation, approval, distribution, monitoring, recovery and so on are completed through the network.

In addition, it also provides online help enterprises to build their own websites, analyze the source of customers' statistics, and help enterprises to run recruitment fairs under the line.

In Liu Tong's words, "in fact, we all understand that to do B2B is to serve the enterprise and not to stick to form".

Compared with the deep understanding of local enterprises, Alibaba has relatively weak management and service capabilities for overseas buyers, and once established a customer service department in Europe, which was later cancelled, so buyers' feedback can only be passed through the Internet.

Therefore, instead of distinguishing the characteristics of the two into "local" and "foreign", it is better to say "more sellers" and "more buyers".

In terms of suppliers, the supplier resources of Alibaba are mainly small and medium enterprises, including a large number of small and medium-sized enterprises in the small and medium enterprises, while the global resources are concerned about the small and medium enterprises, and some companies belong to the end of large enterprises.

Pei Ke is the opportunity for reference.

It is in the case of buyer led, supplier profit space is compressed to extremely low condition, its high quality buyer resources and supplier's own product's high added value, can better resist the environmental impact.

At present, Pei Ke has prepared two kinds of "winter tools" for global resources suppliers: developing new markets, new buyers and management skills training.

According to Pei Kewei, in order to reduce the pressure of rising cost, most buyers of global resources changed the way of decentralized purchasing. The products were concentrated on individual high-quality suppliers, and the benefits of scale Boli run were achieved by expanding the scale advantages of individual suppliers in spare parts procurement.

Therefore, some more professional buyers will choose to increase their purchases in this environment.

For example, the Circuit City, which is in contact with Jiuzhou Di Jia Tong, has 10 times the volume of purchases in China in the first half of this year, and its strategy is to increase the OEM ratio and carry out matching purchase.

For nearly 20 years, he has been working in global resources for more than ten years.

Wu Wenbin's "one to one" is the beginning of 2004, and the Private Sourcing Events business created by Pei Ke for top buyers.

"In 2005 and 2006, we held 72 buyers' special procurement sessions, aiming to provide buyers with the opportunity to negotiate with the suppliers in advance."

Pei Kewei believes that finding buyers with higher requirements for quality and added value of products is the main way to help quality enterprises improve themselves and tide over their difficulties.

According to his plan, this year's special procurement will increase to 80, and the speed of development has exceeded that of less targeted industry exhibitions.

On the list of buyers who choose special purchases, you can see Samsung, best buy, WAL-MART, Bell Co, Tractor Supply and a long list of familiar names.