Zhang Jindong: O2O Becomes A Trend, Innovation Will Become A Martyr Too Soon.

Reporter: in the twinkling of an eye, Suning's pformation has been going on for three years.

When Suning opened the third venture, he proposed to become an Internet retailer.

What is the nature of Internet retailing? What is the difference between traditional retail and retail?

Zhang Jindong: Internet retailing is still retailing in essence, and Internet is the tool of this era.

To achieve the pformation to the Internet is to perfect the integration of online convenience and offline experience function, fully link the application of Internet technology with the core competence of retail industry, so as to better meet the needs of consumers and optimize the supply chain, and form a sustainable business mode, which is Suning's pursuit of Internet retail mode.

Reporter: at present, what are the requirements for successful Internet retailing?

Zhang Jindong: first of all, we must always grasp the essence of the industry in the rapid change of technology.

Technology is a tool in the final analysis, but every industry has its unchanged kernel, which is how to better serve customers.

Survival and development are the premise. Innovation will become a martyr too soon. It will be abandoned by the times too late. Only when it is done at the right time can it not only hurt itself but also create success.

The reason why many enterprises fail in pformation is not to see the trend, but to withstand short-term temptation and pressure.

It is difficult to give up the past success, but sometimes we can not get the success of tomorrow without giving up.

Reporter: you defined 2014 as "the year of strategic implementation".

Summing up this year, what is your evaluation of Suning pformation?

Zhang Jindong: the strategic layout adjustment of Suning's development was finalized at the end of 2013, and 2014 was the strategic implementation year of Suning.

At the beginning of this year, the headquarters of the online business operation and the offline chain operation headquarters were merged into a large operation headquarters, which unified the functions of front end consumer services, including marketing, membership system, customer service, etc.

The commodity management headquarters will be set up to unify the purchase of goods, to unify the pricing and supply of the sales. In view of the different consumption characteristics under the line and on the line, the online and offline channels are opened from the angle of commodity management.

The organizational system has been adjusted in the first quarter of this year, and there is a problem of running in process, which has an impact on earnings in a short time.

Reporter: then in 2015, what stage will Suning pformation enter?

Zhang Jindong: with the rapid development of Internet technology, the Internet is stepping into the core area of traditional industries. The deep integration of the two will be the biggest new growth point in the next stage.

Suning, the first domestic Internet retailer to pform the Internet, is stepping into the Internet stage of the full value chain after the electricity supplier stage and the O2O retail stage.

Reporter: many people say that the development of the electricity supplier is not as fast as imagined, and the impact on physical retail is not as fast as expected. Therefore, the old rival Gome insists on the strategy of "under the line" and gains a good report number.

What's your opinion?

Zhang Jindong: with the development of Internet and Internet of things, we think that the future retail industry must integrate online and offline.

To this end, we put forward a comprehensive pformation of the Internet.

Suning wants to take the cloud business mode of "store business + electricity supplier + retail service provider", and build O2O integration Internet retailing through Internet retailing, Internet of things services and big data management.

In carrying out any strategic decision and strategy implementation, we should not only focus on immediate interests, but also consider the long-term interests of enterprises.

Whether it is the first pformation of our enterprise or the ongoing pformation of Internet retailing, our series of initiatives are based on the needs of enterprises in the next five and ten years.

Reporter: Jingdong and Alibaba are listed this year. Will the listing of these two new rivals make Suning feel the pressure?

Zhang Jindong: peers are listed. From a competitive perspective, opponents are stronger and stronger in capital strength.

However, their listing is good for Suning in the long run. One reason for our loss in the past is that we are listed companies.

Nowadays, the listing of peers means that the data will become more pparent, and the means and ways of competition must be more standardized. This will create more standardized and fair competition space for us.

Reporter: the concept of O2O has been very popular in the past year, and it has been deeply rooted in the hearts of the people. There are also cases of the marriage between Tencent Baidu and Wanda.

What do you think of the current Chinese enterprises' exploration in the O2O mode?

Zhang Jindong: at present, the penetration of Internet technology into the whole industry has become an indisputable fact, especially in the retail industry.

With the joint exploration of the traditional retail industry and the electricity supplier industry in recent years, we almost agree that the online and offline O2O mode is the future of the retail industry.

It is foreseeable that the retail industry will no longer be the difference between the cable and offline industries, but will turn to the Internet retail mode of multi-channel integration, such as physical stores, PC terminals, mobile terminals and TV terminals.

After experiencing the physical retail stage represented by chain operation and the virtual retail stage represented by the electricity supplier, the traditional commercial retail industry is stepping into the O2O era of combining virtual and reality.

This will also lead to the third pformation of China's retail industry.