Xialiang Marketing: Home Textile E-Commerce Counter Attacks Physical Stores

In retrospect of the "Double 11" carnival shopping in 2012, Tmall and Taobao made brilliant achievements. Looking back at the "Double 11" in 2013, it seems that e-commerce has taken this opportunity to "recharge" the marketing in the second half of the year and prepare for a new round of sales feast.

E-commerce attacks physical stores

Tmall promoted the launch of "the cheapest three days" in the middle of the year. On the 10th anniversary of the store in Jingdong Mall, "Old Liu's special show - three days of all kinds of super low price looting" was shouted, and the 7th anniversary of the promotional activity on Yixun.com promised to "pay your dues"... Since June 17, the peak battle of e-commerce promotion in 2013, which has warmed up for more than half a month, has still not dissipated, In July, the "insufficient purchase for the fifth anniversary" large-scale store celebration promotion activity of Store 1 has entered the sight of online shopping again.

Li Ka shing, the richest man in Hong Kong, once said: "The Internet is a new business opportunity, and each new business opportunity will create a group of millionaires. In the face of trends and trends, who first changes their ideas, who will have the market." In this mid year sales promotion war, many well-known brands in the home textile industry have fought one after another. As it turns out, catch Home textile e-commerce The enterprise has won the opportunity. From the "war report" data, Luolai, Fuanna and Mercury, which created the top three e-commerce promotion turnover, are indeed worthy winners. They have not only won online sales performance, but also won brand popularity, thus steadily occupying a huge share of the offline market.

When I first tried e-commerce, Luolai Home Textile We chose a different route - independently registered and operated the e-commerce brand LOVO, which was launched on March 1, 2009, and achieved a sales performance of 790000 yuan in the first month of launching. Since then, when home textile enterprises have entered e-commerce channels at low prices, Luolai has chosen "two pronged approach", not only opening Luolai flagship stores on Taobao, but also building and operating its own e-commerce platform LOVO independently. At present, among home textile enterprises, Luolai is the only brand with its own e-commerce channel.

Fuanna's operating principle in e-commerce is mainly to sell out funds. In the "Double 11" promotion in 2012, the sales volume of five Fuanna products exceeded 4000, and the single product sales exceeded 2 million yuan. According to the relevant person in charge of the company, as consumers' buying habits have shifted from offline to online, Fuanna has also launched a targeted sub brand "Holy Flower" for online sales. In 2013, Fuanna will not stop the pace of "originality", will continue to increase the construction of e-commerce and other emerging channels, make full use of the emerging development model, open up new sales channels, and add new performance growth points for the company.

According to the magic cube data, on June 19, the top ten sellers Home textile brand The total transaction amount was about 70 million yuan, of which, after the "Double 11" event last year, Luolai Home Textile ranked first again in the home textile industry, with a transaction amount of more than 13 million yuan; Fuanna and Mercury entered the top three again with a turnover of more than 12 million yuan and 7.5 million yuan respectively; Boyang, Mengjie, Duo Fai and Jieliya followed, ranking 4-7 respectively; Amoy brands like Aido, Qianhuang and Eskimo have also successfully entered the top ten.

The reporter saw on the promotional website promoted by Tmall in the middle of the year that the home textile products were sold at a 30% to 50% discount on the same day. For example, Mengjie, Fuanna, Nanfang Bedwear, Neumann Home Textile were sold at a 30% discount, Luolai, Duo Fai and Boyang Home Textile were capped at a 50% discount, while Playboy, Baoman Home Textile and Jieliya Woolen Towels were sold at a 20% discount to attract customers. It is worth mentioning that the rapid development of e-commerce and the growing number of online shoppers have contributed to the healthy growth of a number of Taobao brands, such as Aido, which ranked 8th this time, as well as Jinxilu, Juejia, Taiping Bird's Nest, etc. This time, there are four sets of bed products with a promotion price of 100 yuan on the shelves, and the sales volume is determined by the high price.

"The mid year promotion of the online shopping mall was really powerful. I was reluctant to buy some bed products I liked in the physical store because of the high price. This time, I bought several in the promotion, and the discount was very low, which was very cost-effective." Ms. Wang, an online shopper, told reporters quietly, "Now when I go shopping at the store counter or the store, I have experience. Unless there is a discount and the price is appropriate, I will buy it. Otherwise, I will choose carefully, write down the item number and product name, and wait for online shopping."

Admittedly, what e-commerce has changed is not only the pattern of home textile retail market, but also the consumption habits of a large number of consumers. With the post-70s and post-80s generation becoming the main consumers of home textiles, their proficiency and dependence on the use of the Internet make online shopping the most popular and convenient shopping method at present. At home, click the mouse, and the goods will be delivered to the door. As a result, traditional physical stores may gradually become "fitting rooms" of e-commerce.

E-commerce attacks physical stores? In this mid year promotion war, this is the case. The reporter learned from many shopping malls in Beijing's Xidan, Wangfujing, Dawanglu and other business districts that although brands of different grades have certain discounts and some special products are promoted, the sales volume has not been good since the beginning of summer in May. Except for the wedding series, the sales of other products have basically maintained a normal level. In Hanguang Department Store, the head of a home textile counter looked at the home textile area with few customers and sighed: "Compared with the previous years, business is really more and more difficult to do."

In the first half of 2013, the domestic market of China's home textile fell back. According to the data released by the China Home Textile Association, in the first quarter, the profits of bedding enterprises only increased by 4.9% year on year, with an average profit margin of 4.9%, down 0.24 percentage points compared with the same period last year. At the same time, the traditional retail industry is also facing difficulties. In addition, according to relevant statistics, in May this year, the growth rate of retail sales of 50 key large-scale retail enterprises fell 5.2 percentage points year-on-year. In 2012, the retail sales of national key large-scale retail enterprises increased by 10.2% year on year, 11.5 percentage points slower than that of 2011, the lowest growth rate since 1999. However, the transaction amount of China's online shopping market in 2012 reached 1.26 trillion yuan, 66.5% higher than that of 2011.

In the view of Chinese e-commerce experts, this e-commerce war "is actually Xiang Zhuang's sword dance aimed at Peigong, and e-commerce together strangled China's traditional retail industry." Back to the "Double 11" in 2012, the top three at that time, Luolai, Fuanna and Mercury, had sales performance of more than 53 million yuan, 51 million yuan and 45 million yuan respectively. Let's ask which real home textile store can break the sales performance of 40 to 50 million yuan in one day. If the "Double 11" has the gimmick of special days, then the ordinary days chosen by e-commerce companies in the middle of the year once again prove the "positive energy" of e-commerce channels to the market.

As a result, some marketing experts have analyzed that, in the face of the fourth retail revolution brought about by e-commerce, the business mode, profit model and marketing model of traditional retail must also be changed, so as to win in the market where opportunities and difficulties coexist.

Logistics delays promotion

In the middle of the year promotion feast launched by the domestic first-line e-commerce, the reporter also noticed the imperfections. While the order volume of major brands has soared, rapid delivery has repeatedly "dropped the chain". The poor delivery has delayed the promotion of many businesses, and has also become the key point of consumers' "complaints". A number of online shoppers complained to reporters: "After waiting for two days, the goods are still in the warehouse."

It is understood that, E-commerce promotion The strategy of free express freight is often adopted. The slogan of "pro, including mail!", which had been popular with online shoppers and could effectively enhance their purchasing desire, now seems to be "hard to have it both ways", because it makes the provisions of the new national standard for express delivery that "the delivery delay should be exempted from the current service fee" lose its binding force.

This phenomenon has also aroused the attention and thinking of relevant departments. Recently, at the 2013 China E-Commerce Innovation and Development Summit held in Wuxi, Jiangsu Province, the National Development and Reform Commission, the People's Bank of China, the State Administration for Industry and Commerce and other relevant departments at the meeting said that they would strengthen policy support for logistics, express delivery, credit system, electronic payment and other links to better safeguard the legitimate interests of e-commerce operators and consumers.

In the process of "growing better and developing better", e-commerce platforms will become numerous Home textile enterprises The unique channel of creativity and challenge.