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    SF Preferred To Fight Or Face Pformation And Upgrading

    2014/1/14 13:28:00 26

    Shun Feng PreferredExpress IndustryPformation And Upgrading

    < p > Shun Feng is a very important project in the strategic pformation of SF.

    On the face of it, only 10 million of the registered capital is SF preferred. It is only a test project for SF to set foot in the electricity supplier, but in fact, it decides the smooth pformation of the whole group in the future.

    In the words of Wang Wei, Shun Feng is a project that can never fail.

    Wang Wei attached great importance to SF's optimization. On the one hand, it was due to a strong sense of crisis.

    < /p >


    < p > "Shun Feng optimization" is a very important project in the strategic pformation of SF.

    On the face of it, the "Shun Feng optimization" with only 10 million registered capital is only a trial project for SF to set foot in the electricity supplier, but in fact, it decides the smooth pformation of the whole group in the future.

    In the words of Wang Wei, "Shun Feng optimization" is a "must not fail" project.

    Wang Wei attached so much importance to "Shun Feng optimization", on the one hand, it was due to a strong sense of crisis.

    To be exact, the development of the main high-end a href= "http://www.91se91.com/news/index_c.asp" > express business < /a > encountered the development dilemma of the glass ceiling.

    In September 2012, FedEx and UPS (United Parcel), the two major express giants in the world, were granted a licence to operate the domestic express business in China.

    Due to the highly similarity and coincidence between the location and business of SF and the two "Ocean Express", the market share occupied by the company is naturally the first to be snatch and dilute.

    < /p >


    < p > in addition, with the strong promotion of EMS's IPO project in China, the competitive pressure it faces is multiplying.

    On the one hand, fierce competition has led to a continuous downward trend in the price of express, while the soaring cost of aviation fuel, manpower operation and storage land rent has been rising.

    In the past two years, the development speed of SF has been slowing down, and the profit decline has been an indisputable fact.

    You know, the express industry is a small profit industry. The most successful express company in the world has a net profit of only about 7% (the actual profit level of SF is basically the same).

    As SF is still in the period of express expansion, there are many projects to be invested, and the net profit is even less than 1% in 2011.

    With such a large stall, with so many employees (nearly 180 thousand), but making such a small sum of money, Wang Wei is naturally unwilling.

    < /p >


    < p > on the other hand, Wang Wei was stimulated.

    In the new round of business change aroused by the Internet, Taobao, Jingdong and No. 1 store are the representatives of the electricity supplier, and its logistics, information flow and capital flow are also strong and stimulating to Wang Wei.

    In Wang Wei's view, since these businesses are building their own logistics system, they are grabbing the jobs of traditional logistics industry.

    So why can't Shun Feng do "counterattack" to do the electricity supplier? Of course, the business is also strong.

    The inherent advantages of logistics and warehousing, needless to say, is that in the area of information system, SF has also invested heavily in investment and actively developed and introduced advanced information technology and equipment. It has worked with IBM, ORACLE and other internationally renowned enterprises to jointly develop and establish 35 leading information systems, which not only greatly enhanced the level of operation automation, but also realized the whole process of information monitoring, tracking and resource scheduling for express delivery.

    If coupled with the fact that in early 2012, Shun Feng got the third party payment license, Shun Feng already had the necessary basis and conditions for logistics, information flow and capital flow.

    < /p >


    < p > that is to say, Wang Wei only needs to build a business platform to converge commodity flow again. It should be logical and natural.

    Even if such a pformation has some risks, for Wang Wei, who is only forty in his early years, he has plenty of energy, courage and capital to try.

    After all, if such a pformation is successful, Wang Wei will create greater achievements and have a more imaginative business world.

    But the challenge of SF is coming.

    < /p >


    < p > < strong > embarrassing position < /strong > < /p >.


    < p > judging from the business scope listed in the business license of Shun Feng, Wang Wei initially decided to make an electric business, and its ultimate idea was to make an integrated department store electronic business platform including food, daily necessities, electrical appliances, clothing, stationery and so on.

    Perhaps it was because of the limited investment in the early stage and the focus on trial and error that it decided to focus on food business.

    Later, perhaps the "fresh" business is the last commercial business of the "blue ocean" business temptation and impetuous, decided to start from the "fresh" food, concentrate efforts.

    "Fresh" is the "blue ocean" market. This judgment is correct, but Shun Feng has gone wrong to drive a luxury yacht with a small volume such as "Shun Feng optimization".

    The hull is strong and the route is correct, but the hull is limited and the harvest is limited.

    < /p >


    < p >, so SF can only look at it - or like Taobao, < a href= "http://www.91se91.com/news/index_c.asp" > Jingdong < /a >, shop No. 1, such a big electric ship, in the (Sheng Xian) food field happily enclosure, fishing, or, such as tuotuotuo, originally life and so on to focus on Sheng Xian's small vertical electric business, or willing to "supply service providers" identity, join these giant platform electric business "joint fleet", to ensure a slice of the cake.

    SF chooses the luxury yacht floating on the water. On the one hand, it is not willing to be accepted. On the one hand, it has not hit the big price of the big electricity supplier.

    The start-up of fresh electricity suppliers is extremely slow.

    < /p >


    < p > at present, foreign B2C food providers such as FreshDirect, PeaPod, Ocado, AmazonFresh, etc., who focus on making (Sheng Xian) food, are not successful.

    The United States or the United Kingdom, in the cold chain logistics is extremely mature, consumer preferences or customary frozen food under the premise of these food business long development for more than 20 years, a short period of six or seven years, its annual revenue scale is still only about 400 million -11 billion, and no one has realized profits.

    In contrast, under the premise that China's cold chain logistics is extremely immature (natural distribution cost is high) and consumers' demand for frozen food is limited, the "money" route of domestic scale electricity providers who focus on making food is not even more worrying. In the current market environment of China, the growth process of small and medium sized electricity suppliers can start by 3C, can start by books, and can be started by clothing, but there is a big problem on food, especially on the rise of fresh food.

    < /p >


    If P is not too high, the product can not be standardized without saying anything. It is the integration of agricultural products supply chain that is scattered, chaotic and too primitive. It can be solved overnight by the power of an enterprise.

    That is to say, whether the traditional retailer or the newly emerging retail business, as long as they want to scale up, they can not regard fresh food as the core or main business.

    The starting point attracts popularity and supplements the supporting role of the category, but it is far from enough as a core business.

    To sum up, the biggest problem of SF is that it is too unwilling to be strategic and too cautious in tactics, resulting in swinging and embarrassing positioning.

    < /p >


    < p > < strong > low flow > /strong > /p >


    < p > according to the monitoring record of ALEXA, the traffic volume of "Shun Feng optimization" website has reached its peak in three time periods.

    Once in late March 2013, it started the distribution of 8 cities in Shanghai, Guangzhou, Shenzhen, Tianjin, Nanjing, Suzhou, Wuhan, Hangzhou and so on. The first time was in late June 2013, which was estimated to be related to the litchi war.

    < /p >


    < p class= "p15" style= "margin-top: 0pt; margin-bottom: 0pt" > span style= "font-family:" Song body ";" font-size: ";" "" "" > "< < >", "song";


    < p > < --EndFragment-- > another is the 11.11 double eleven activity in 2013.

    According to the data released by SF, the sales volume increased by 2672%, the order volume increased by 1727% and the website traffic increased by 456% compared with the average level in the first week of November.

    Such data seem gorgeous, but the "high" growth compared with itself shows that the SF preferred immature and unconfident.

    Double eleven traffic surge, on the one hand, prove that SF preferred the past flow and subscribe units are really not satisfactory, if it is not the low starting point, how can the data go up like a rocket? On the other hand, it is only pale to prove that SF preferred "full 299 minus 100" of "massive bleeding" promotion time effective.

    "More than 29% of the rate of customer conversion on the day" is actually a proof that consumers are just going to buy cheap goods, far from the food revolution.

    Compared with sunfeng's "one day crazy" customer conversion rate, Tuotuo industrial cooperatives 10% ultra stable customer conversion rate (about 7% of the general e-commerce website), it seems to be solid and strong.

    From the order quantity, compared with other food websites, SF preferred is not much more colorful.

    Take fruit as an example.

    SF preferred to publicize the 20.8 tons of orange orange sold on the same day, but the total amount of orange sold on the double eleven days was over 200 tons.

    Usually, the sales volume of SF is also unsatisfactory.

    In June of 2013, Shun Feng preferred to go online for 1st Anniversary hours, claiming that Taiwan's orange sales totaled more than 45 tons, and Gannan navel orange sold more than 50 tons, and there was a clear gap between last year's sales of 200 tons of orange and its sales.

    According to SF's preferred double eleven data, the media is optimistic that its daily turnover is about 1 million 200 thousand yuan, and the annual turnover can reach 438 million yuan.

    According to the information I have grasped, the data is reduced by half or more in line with the fact that the average daily turnover is about 60-70 yuan, and the annual turnover should not exceed 250 million yuan.

    < /p >


    Less than P, it is intriguing that in September 9, 2013, SF preferred to open two warehouses in Southern China and East China, announced that it could distribute 37 cities at room temperature and 11 cities in cold chain distribution.

    In December 1, 2013, SF announced that it would expand the distribution of the commodity room to the whole country.

    Although for all vertical B2C websites, traffic downturn is common, but compared with SF's investment and resource matching efforts, the sluggish flow of SF preferred is really a little embarrassed.

    There is a strange explanation for SF's preferred management level, that is, low traffic is deliberately intentional, because the fear of excessive traffic will affect the quality of service.

    And in their view, increasing traffic is a very simple matter, for example, in Tmall and Jingdong, opening up the SF preferred flagship store and importing the flow of these giant e-commerce platforms, the problem can be solved easily.

    On the eve of double eleven this year, SF preferred to enter Tmall quietly, and then announced the dizzying growth data.

    However, we should see that as a vertical platform, SF chooses low price promotion with suicide, and the flow from Tmall to a large platform can not only continue, but also has little significance.

    The facts that can be referenced are: the original life, such as the original life, the tuotuotuo and other fresh electricity providers, which are very similar to the business, scale and business mode of SF, have flagship stores in Tmall and Jingdong, but the effect of traffic introduction is not very satisfactory.

    To say the least, no matter what the real effect of Tmall and Jingdong's traffic flow is, the platform itself needs to be guided by other platforms, so it is doubtful that SF will optimize the significance and value of this platform.

    Besides, this is not the original intention of Wang Wei's choice of SF.

    < /p >


    < p > < strong > the possibility of pformation < /strong > /p >


    < p > judging by all kinds of signs, although Wang Wei href= "http://www.91se91.com/news/index_c.asp" > Shun Feng preferred /a > there are still many undesirable aspects, but Wang Wei still insists on going on with it, and the location of vertical food business should not change.

    There are two reasons for this: first, Wang Wei wants to do the cold chain logistics layout. Shun Feng can give full play to the value of its experimental platform. Through continuous trial and error and innovation attempts, the business of fresh food (food) will be run through, so as to provide "raw food (fresh food) logistics solutions" to accumulate experience for Shun Feng Logistics Department store.

    Two is Wang Weifang's "platform" dream, and is unwilling to miss the opportunity to pform into a giant business like Amazon.

    In his view, Shun Feng has formed a "closed loop" business ecosystem with three streams of logistics, information flow and capital flow.

    Then, we might as well take these two reasons as preconditions, and specifically imagine how to optimize or pform SF to better assume the strategic mission and value significance of its platform.

    If vertical food business is not "money" way, then change ideas or practices, open up (Sheng Xian) food shopping platform may be very interesting.

    < /p >


    "P > vertical food business, most of which do not make money, for many reasons, but the most important thing is the desire too much, too many ideas, too much booth, the platform itself is done, the platform itself does, logistics itself do, brand itself do, warehousing itself do......

    What do I want to do for myself, and how can I make money? In my view, SF should preferably learn from the beautiful street or mogujie.com mode, take shopping guide as the most important business mode, and use all kinds of preferential measures to absorb the top quality (Sheng Xian) food dealers of other platforms. A key requirement is that logistics must choose SF.

    We must understand that consumers do not need too many platforms. The final goal of SF is not to create another (redundant and useless) electronic business platform, but to integrate all kinds of high-quality (fresh) food suppliers in the whole environment of the Internet, and provide them with professional matching, fast and safe warehousing and logistics services.

    < /p >


    < p > I do not agree with SF to imitate POP open platform mode of Jingdong and shop No. 1.

    POP is not good, but SF preferred not qualified, relying on that poor traffic, how to attract businesses to enter? Even if settled, how can the business be carefully maintained? Even carefully maintained, and how many? So SF preferred to make platforms, can compete for entries, but there is no need to fight for traffic.

    SF preferred to pform into a shopping guide platform, in addition to helping solve the problem of single site expansion and slow expansion, it can also greatly reduce the operating cost of the website and thus "light assets" operation.

    < /p >


    < p > customer price, gross profit rate, repeat purchase rate, return rate, user activity and so on. Let's leave it to someone else to do it.

    SF preferred to focus only on its most professional logistics area, OK.

    In addition to the shopping guide, SF can also develop a new business with the advantage of "direct sourcing" and "overseas direct purchase", that is, the front-end control of the food supply chain (Sheng Xian), providing a safe and high-quality source of food for the high quality food retailers on the shopping guide platform.

    The last suggestion is that in order to increase the attraction of the business of SF's preferred platform, it can also promise to cooperative businesses, using the large express team of SF, to recommend the shopping guide products to the family or the company's consumer groups frequently in the form of advertising leaflets or product catalogues.

    This is the propaganda advantage and channel advantage that other electronic business platforms do not have.

    < /p >

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