Jumei.Com Listed Business In North America Or Ushered In Profit Turning Point

At present, the market share of poly beauty in the cosmetics business is 22.1%, ranking first. In the future, the development space of poly beauty still depends on the growth of cosmetics category itself and the growth of Cosmetic Retailing.

In 2013, poly net revenue was US $480 million and net profit was US $25 million. Ju Mei can rise in Tmall, Jingdong and other electronic business platforms, because of its new and interesting flash buying business mode, and the users in the circle. Tmall and Jingdong do not attach importance to cosmetic products, which is also an important opportunity for their development.

In addition to cosmetic products, the United States will expand its flash buying mode to clothing, shoes, home and other fields in the future. After entering these fields, poly America needs to compete with vip.com. In 2014, vip.com also entered the field of cosmetics sales from Lok bee net from the field of clothing sales. The confrontation between the two flash buying platforms began.

　　 Electricity supplier ushered in profit turning point

According to the earnings report of poly IPO, in 2013, poly US platform trading volume reached 820 million US dollars, net revenue reached US $480 million, net profit was US $25 million. At present, the United States occupies 22.1% of the cosmetics industry in the United States, the market is the first, and the market share is 2.5 times that of the second music bee network.

It took us only 4 years to build up the United States. In March 2010, polyamerica's predecessor, the United States online, became the first supplier of cosmetics group buying in China. At that time, the whole group buying trend began, and nearly more than 2000 group buying platforms were online, and Chen Ou also stepped into this trend. Since then, group buying and electricity providers have been fighting price wars. By 2012, there were few group buying platforms. However, since then, the electronic commerce platform has begun to "truce" to seek profits.

Ju Mei net started by group buying. In the fierce competition, because of the relatively high Maori profit in the cosmetics industry, the relative risk resistance is strong, and poly America has survived. Subsequently, with the collective profits of electricity providers, it also created a good opportunity for them.

In fact, the recent major business profits including Jingdong, Dangdang and vip.com have increased fairly well. According to Jingdong IPO earnings report, Jingdong's net revenue in 2013 was 69 billion 340 million yuan, an increase of 67.6% over the 41 billion 380 million yuan in 2012. The net loss was 50 million yuan, while the net loss in 2012 was 1 billion 729 million yuan.

In the evening of May 15th, Dangdang released its first quarter results in 2014, showing that the total revenue of Dangdang in the first quarter was nearly 280 million US dollars, up 30% over the same period last year, and net profit reached US $300 thousand. This is the two consecutive quarterly profit of Dangdang.

On the same day, vip.com's earnings report showed that revenue in the first quarter of 2014 was $701 million 900 thousand, an increase of 125.9% over the 310 million 700 thousand US dollar in the same period in 2013, and net profit attributable to shareholders of the company was US $26 million 600 thousand, an increase of 355.3% over the 5 million 800 thousand US dollars in the same period in 2013.

These good financial growth data reflect from a certain level that the competition environment of China's electricity supplier industry tends to ease, and collectively enters a benign development period.

Specific to the future cosmetics business segmentation industry, poly America needs to expand itself through the growth of the cosmetics business platform itself. According to the Research Report of Frost & Sullivan, in the past 3 years, the annual retail sales of cosmetics market in China increased by 17.5%, and the total market volume in 2013 reached 220 billion 900 million yuan. In the next few years, the retail scale of cosmetics will also maintain a 14.3% growth.

From the perspective of per capita consumption, the Chinese spend less on cosmetic consumption than other countries, which is only 22.5 US dollars per year, which is far from the 168 US dollars in Korea and 216 US dollars in Japan.

　　 Control of cosmetics supply

Cosmetics Electricity supplier industry There are always problems such as "unauthorized sale". Similarly, the issue of brand licensing will have a certain impact on the United States.

A well-known international cosmetics agent channel staff told reporters on twenty-first Century, Estee Lauder is in the domestic direct camp, there is no channel agents. And Estee Lauder's annual sales in China are twice as high as its official announcement, which means that many goods are not officially licensed by Estee Lauder.

A person familiar with the matter said, some cosmetics business platform will also choose to send real goods, parallel imports or fake products based on big data. Zhao Zhanling, a well-known IT legal expert, believes that unauthorized merchandise is not a fake in legal sense. But if there is adulterated goods in the goods, it is necessary to take the blame according to Chinese law.

In the cosmetics business, the authenticity and authenticity of cosmetics are hard to identify. Sometimes, though they are not licensed by the brand, they are not fake products.

In actual operation, due to the uncontrollable supply of cosmetics, the user experience will inevitably be affected. The owner of a self catering cosmetics business told the reporters in twenty-first Century that many cosmetics industry could not control the supply of goods, even if they were regular channels, many times they could not tell whether their sources were real, water or false.

An electricity supplier suggested that in the future, the United States should also step up efforts to control the supply of cosmetics. You can start with the international two or three line brand, get its brand authorization, and gradually get a big brand licensing.

In addition to licensing, the promotion of independent brand cosmetics is also important. It is understood that the global cosmetics are in the hands of the 8 major international cosmetics groups. The market of domestic independent cosmetics business is not large. After several years of its own brand, Le bee net is still hard to develop. The United States' hippopotamus mask has only reached tens of millions of sales in the second half of 2013. But even so, poly still needs to work hard to build its own brand. Because as a sales platform, the gross margin is lower, the gross profit of the US self brand is 31.4%, while the gross profit of other brand cosmetics is 17%.

　　 Flash shopping platform Difficult problem

Electricity providers often start from a single category, and then introduce other categories to platform. Ju Mei and vip.com are no exception. Now, they are beginning to face confrontation.

At present, vip.com's data are better than the United States in terms of user stickiness, unit price and platform profit. The average number of orders gathered by Americans is about 3.3 times, and the average annual order of vip.com is 5 times. The price per passenger is 155 yuan, and vip.com is more than 200 yuan. Look at the gross profit of each order, vip.com is 51 yuan, and the United States is 33.6 yuan.

However, Ju Mei also has its own advantages. From 2011 to 2013, there were 1 million 300 thousand, 4 million 800 thousand and 10 million 500 thousand active users in the United States every year. By March 31st, vip.com's active users reached 7 million 400 thousand, compared with 2 million 800 thousand in 2013.

A brokerage analysts believe that the United States to expand the flash purchase platform to clothing and other categories, will face enormous competition pressure from vip.com. Because vip.com has already established its own popularity and brand degree in the online sale, forming a certain barrier.

stay Vip.com After entering the clothing market with flash buying mode, Jingdong, Dangdang, excellent purchase and other platforms have joined the flash buying function, but they have not done well. For brands, online sale and flash buying will do more harm to the brand. There will also be a special sale area in the same mall, but the display density and experience are not as good as the positive price goods.

From the point of view of traffic volume, vip.com is cutting the garment tail cargo market onto the line, transforming the tail cargo channel under the line. It is not the brand price model that the public understands.

In the early days, flash buying attracted a large number of users in a unique mode to make big traffic. But with the deepening of competition, the key to flash shopping platform is not only the flow of the platform itself, but also the availability of good quality sources and low discount. Previously, the competition results of shoe platforms such as Yue Tao, good buy net and famous shoe store also verified this point.

From a competitive point of view, the United States itself is a flash buying platform, to do special sales, there is no price of the same platform, special sale at the same time, the consequences of brand damage. But whether it can cut the advantages from cosmetics to clothing and so on is also a difficult problem for the United States. In the clothing, shoes, home and other categories of high quality goods sources, the United States needs to spend more efforts to carry out precise docking with traditional resources channels.