Jingdong Held A Retail O2O Strategic Conference At The National Convention Center.

< p > Jingdong held a retail O2O strategic conference at the National Convention Center. The highlight of the conference is naturally claimed that there are tens of thousands of cooperative convenience stores. Another point of concern is that the Jingdong at the event site specifically gave the first "O" of "O2O" to the representatives of the retail outlets below, and Jingdong O2O chief Hou Yi lit up the second "O". Obviously, this little move shows that Jingdong's posture has been lowered. Meanwhile, Jingdong has confirmed its identity as an "Internet retailer". Similarly, a reporter asked a friend of Jingdong Strategy Department a few years ago that he had slowly shifted his work efforts to the research of large retailers outside the country. < /p >
Jingdong, as an Internet retailer, faces problems such as traffic bottlenecks from the Internet side and difficulties in the sinking of retail channels. P It is not easy to solve these two problems. The measures taken by Amazon in the US are to compete with the offline retailers. This is caused by the WAL-MART spree business, while the famous retailers such as Messi, best buy and Taghit take the form of alliance with eBay to fight against Amazon. In the Chinese electricity supplier enterprises, the platform type Tmall originally had greater cooperation with offline retailers, but too selfish behavior led to a boycott of its eleven O2O activities last year. < /p >
< p > to solve the above problems, Jingdong is not a Chinese electric power overlord, which has contributed to its relatively flexible operation. The strategy of Jingdong is to adhere to the core competitiveness and to open up and realize the channel settlement with a more open mind of cooperation. In particular, the online traffic + logistics distribution + information technology is the entry point, and the O2O mode is used to get the offline traffic, and the offline store cooperation is divided into channels to sink. < /p >
< p > < strong > strategic intention: to get offline traffic, to achieve < a href= "http://www.91se91.com/news/index_c.asp > channel sink < /a > /strong > /p >
< p > Jingdong's five major strategies in 2014 include O2O and channel sinking. The two are not completely separate relations: an important way to channel sink through O2O. Like other electric business enterprises, Jingdong also has its own selfish motives: expanding the amount of users on their own lines, especially mobile terminals. < /p >
< p > this is almost the selfishness of all online businesses: including WeChat and offline business cooperation O2O, hoping to extend the number of users of its offline members electronically and online. When Tmall and offline merchants cooperate, they hope to use the two dimensional code of Yi Lai Bao and table cards to make the original offline users gradually online. Compared with the two giants, Jingdong has a small number of users both in the PC and mobile terminals. The prospectus published in front of Jingdong shows that its active users are 35 million 800 thousand (up to September 31, 2013). Objectively speaking, it is not high enough to find more users. < /p >
< p > Jingdong has a bigger crisis on mobile than Ali. On the one hand, it needs Tencent to raise valuations, on the other hand, it is a strong mobile Internet anxiety disorder. These two aspects have led Jingdong to accept the investment of Tencent. But even if WeChat can get the support of mobile traffic, the strong Jingdong must be reluctant to rely on others. It will try every means to acquire mobile traffic that can be accumulated to its own platform. More pessimistic is that the bonus of Chinese netizens is almost depleted by 2013, and traffic flow is the only choice. < /p >
< p > besides, Jingdong is famous for its heavy pattern. It has built a logistics system all over the country, but it is not ideal in the 234 tier cities. The reality is that every time a channel falls, it will become more and more difficult and require more comprehensive capabilities. Jingdong, a self dominated company, takes advantage of cooperation with convenience stores, regardless of whether Jingdong is a compromise based on real openness or insufficient capital resources. < /p >
< p > < strong > > a href= "http://www.91se91.com/news/index_c.asp" > information technology < /a >, sharing members, supply chain finance, procurement system < /strong > /p >
< p > when every online giant is doing retail O2O, it will find a breakthrough point based on its own advantages. For example, WeChat's fulcrum is mobile social customer relationship management, which is very attractive for businesses to develop new members and maintain customer relationship. The entry point of Ali is payment, which enables businesses to save costs (lower fees than traditional POS) and improve efficiency (reduce cash register queues). For Jingdong, its independent PC terminal payment has just started, and the attributes of mobile terminal client relationship management are far from being formed. < /p >
< p > Jingdong has outstanding logistics and distribution capabilities. It can provide local fast distribution services to businesses, solve the logistics problem of the last kilometre. In addition, Jingdong's information technology capability is good. Jingdong's retail O2O will transform the information system, commodity system, supply chain system, payment system and membership system for offline stores, which are attractive to offline merchants. Logistics distribution and information technology are two good entry points for Jingdong, but businesses are more concerned with improving actual sales, gaining profits and expanding new customers, so Jingdong has to provide value in these areas. < /p >
< p > under the help of offline stores, the Jingdong's "sacrifice" is to share its online traffic with merchants, and guide the precise users to cooperative stores in Jingdong's online shops. In front of Jingdong and Taiyuan Tangjiu convenience store cooperation, public data show that Jingdong orders to the latter every day, thousands of orders, this is a real benefit, Tang Long convenience store, so yesterday in the activities to help Jingdong platform, very demonstration effect. < /p >
< p > but the increase of < a href= "http://www.91se91.com/news/index_c.asp" > order > /a > does not necessarily represent the improvement of profits. To deal with scattered orders, sometimes the cost will be greater than the sales itself. Therefore, if Jingdong only brings some orders to the stores, this is obviously not enough. The ultimate pursuit of business is profit. To achieve profitability, it is very important to reduce the purchase cost from the purchase side. Jingdong open procurement system, gather power to obtain greater procurement negotiation rights, can bring benefits to stores. In addition, many stores, especially convenience stores, have a limited number of SKU products, which help them sell more goods (such as fresh) in virtual space with electronic shelves in virtual space. The Jingdong takes overall procurement and warehousing services to reduce pressure on stores, so that both sides can win a win-win situation. < /p >
< p > besides caring about making money, offline stores are also concerned about membership expansion and membership management. Jingdong itself has a good user pool, which is very attractive for offline stores. Under the unified management of online and offline management, including member management, the ERP standards of retailers in China's retail industry are different. It is difficult to connect. WeChat can provide large scale chain customization development interface, but it is not enough for many small and medium-sized stores. Promoting online and offline docking, in addition to the promotion of online Internet companies, offline ERP software vendors themselves change is also very critical. Jingdong's approach is to pull into a number of mainstream software vendors to make them become active O2O in the O2O link. < /p >
< p > < strong > payment dilemma < /strong > < /p >
< p > Pu Gung Zeng has published an article entitled "three questions about Jingdong O2O strategy". He questioned whether Jingdong could use logistics to support O2O strategy. A few months later, Jingdong's O2O strategy became clearer, but still faced the same problem: /p >
< p > interest conflict is first manifested in the two sides' snatching of users. As mentioned above, Jingdong wants to turn users of offline stores into mobile users, and offline stores also want to turn Jingdong's online users into their offline users, and they cooperate with each other and guard against each other. The open logistics distribution system that Jingdong takes pride in is still doubtful whether the offline stores can accept or not. Meeting with users is the best link to produce user stickiness, and the last person who owns the distribution leader is likely to seek personal gain, which requires the two sides to build the system on the basis of mutual trust. In addition, Jingdong still faces the conflict between proprietary and platform. The convenience stores are selling high frequency consumer goods, and Jingdong is reluctant to give up their own businesses. However, such products have low unit price and low profit margins. < /p >
< p > in addition, Jingdong's retail O2O started at convenience stores. Yesterday (March 18, 2014), Jingdong's retail O2O announced three lines including: small store mode (convenience store, drugstore), fresh mode (supermark, hypermarket), brand Monopoly chain (clothing, shoes and hats, bags, home furnishing), this seemingly big and inclusive tolerance, actually it is not enough focus. Convenience stores do O2O, expand the virtual category, the purpose is to a certain extent to grab supermarkets or even hypermarket business; and supermarkets and hypermarkets, if the logistics and distribution response speed, plus the advantage of price, to a certain extent, is to suppress convenience stores. It is not difficult for Jingdong to take good care of all parties. < /p >
< p > finally, in the mobile O2O era, the role of the PC terminal is decreasing, while in the mobile world, Jingdong has a short board. In the two key links of O2O, social sharing and payment, Jingdong also has no advantage. Jingdong can help stores open up social platforms, but these platforms are not in the hands of Jingdong, and the way to get through the backdoor stores is to form social platforms rather than Jingdong stickiness. In paying for this more important link, Jingdong's online banking lacks ecology and lacks penetration online. Although the two-dimensional code payment has been stopped recently, with the advance of financial reform, the possibility of opening up is very large. WeChat and Alipay have been rapidly distributing, and Jingdong is still wandering on the starting line. < /p >