Huang Ruo: 10 Fen Of The Membership Electricity Providers Do Not Make Money.

Huang Ruo, 54, has nearly 30 years of retail experience.

In June 2011, he joined in Huaping investment after leaving from Dangdang.

"Since I came out of the business circle, I have invested in Huaping for three years. From my point of view, there is such a strength that I want to revolutionize the existing practices of some e-commerce providers.

"Huang Ruo told tiger sniffer that he started preparing his own business project" hundred hundred hundred "from May 2014, and launched the public survey in November, but only some imported products were sold.

From the middle of March this year, the revised version of 100 billion officially opened to the outside world. On the existing commodity platform, it launched the "special purchase agency", that is, the member electricity supplier, who paid the privilege of parity in the website shopping.

Surprisingly, Huang Ruo said that the hundred angel investment angels do not know that the 100 billion model has been adjusted as much as possible, and that it is an ordinary e-commerce platform for imported goods.

To put it simply, Bai en hundred is a member's online retail platform for fast moving products, with double branding of "member electricity supplier" and "cross-border electricity supplier".

Why is Bai en hundred different from Jet?

The "membership electricity supplier", as the name suggests, will provide fee paying members with price concessions or special services to consumers. For consumers, their service experience and related rights are more easily protected than those of lower registered members.

For the electronic business platform, by reducing the time cost of consumers buying and screening, purchasing decisions, and combining low prices and targeted services to stick to users, the rate of repeat purchase can be increased.

In the offline retail, Metro supermarket and Costco supermarket in the United States successfully adopted the "membership system".

Tiger sniffer has reported that a member of the United States, called Jet, represents the electricity supplier. It has not yet been launched, and the three rounds of financing totaled 220 million US dollars. At the same time, it has 350 thousand early members.

Jet will not be open to all: after 90 days of free trial, a membership fee must be paid to continue.

But in return, the price of Jet is 10% to 15% lower than that of other online stores.

Huang says that Bai hundred is not exactly the same as Jet.

He said that the Jet mode is not feasible in China. "Members first put forward their own needs on Jet, fill in their addresses, and then Jet calculated them based on the database data, matching the nearest, timeliness, and most suitable businesses to members. After pushing them to members, the merchants would deliver door-to-door products only if they were completed online.

In fact, Jet is more like a LBS based parity shopping platform, which requires strong database marketing and operation capabilities, and there is no open retail data platform in China, and offline retailers do not have such a perfect data background.

"Although Bai hundred and Jet are all based on member services of the electricity supplier companies, but we will provide members with basic life one-stop shopping service."

Introduce, "hundred hundred hundred member service" special purchase society ", the fee has 80 yuan yuan / half a year and 150 yuan yuan / year two kinds.

There are two sets of price systems for members and non members. The difference between them is between 25% and 30%.

Because all goods are imported with high quality, Bai en hundred is a middle class consumer group, without considering "cock wire".

At present, there are mainly five categories of "hundred food and oil", "snack food, instant drinks, washing and daily cooking, frozen meat seafood", and more than 600 categories will expand to more than 1000 categories.

Huang Ruo told tiger sniffing, from the data of the public survey stage, the 100 million passenger price is between 160 and 180 yuan, and is conservative.

The annual shopping frequency of members will be more than 8 times.

At this stage, 100% of the goods are mainly going through customs trade channels. After financing, more than 80% of the funds will be used for warehousing and overseas.

For the now very popular "time sale" mode, Huang Ruo said, 100 hundred hundred will not be adopted, and will not create explosive funds, the corresponding is to make "daily recommendation".

It is necessary to create a simple and fast shopping environment instead of cultivating users' habit of only paying attention to price and blind obedience.

In the future, Baien hundred will work hard at the mobile terminal, but also have the possibility of doing an open platform.

If Huang has 30 years of retail experience, he has worked with Ma Yun, Li Guoqing and other e-commerce entrepreneurs. But unlike the latter, though he has been mixed up for many years, he still has a clear speculative and rational atmosphere. Entrepreneurs often want to change the rules of the game in order to make greater progress.

His pioneering work claimed that "to redefine retail" came from his own thinking about the electricity supplier, especially the fast moving consumer electronics business.

Here are some of his sharing points.

The family will become a breakthrough for fast food products.

At present, the majority of Chinese online shoppers occupy the majority of the 80's. After they form a family, the demand for fast food products is prominent, so Huang's first judgement is that fast moving consumer goods will become the next step.

Cosmetics, books, 3C digital, the next hot spot of the electricity supplier.

The biggest difference between FMCG and other products is family, not individuals.

Huang Ruo's second judgement is that the consumption ability of domestic consumers has been upgrading in recent years, and many consumers are somewhat deformed.

For example, many people spend ten thousand or twenty thousand yuan to buy a LV bag, and those people's income level is not enough to support the consumption ability at that time. Therefore, as people's consumption management consciousness can be strengthened, the pursuit of imported products will increase, but they will not concentrate on extravagant products, but concentrate on the needs of basic products.

Change the relationship between retailers and consumers

Retailers used to make money from consumers, and prices were antagonistic to each other.

If Huang designs hundreds of times, consider changing the relationship between retailers and consumers - becoming consumers as the employers of retailers.

When the two sides become employment relations, they will be on the same side.

In order to ensure the rights and interests of the employers, retailers must proceed from the perspective of consumers and make every effort to make it easier for consumers to shop, and to get the lowest price, the most reliable commodity, and to remove the retail markup.

Huang has calculated an account.

"I charge you 150 yuan a year for membership fees, and you have 3% of the goods that you buy 5000 yuan a year for me," he said. Your price increase is only 2% or 3%.

If you are not a member, you will have to pay more than 1500 yuan if the rate of increase is 30% out of the 5000 blocks, and I will earn your membership fee if the members pay only 150 yuan of membership fees here.

Breaking the "low rise and high" retail rules

From ancient times to now, regardless of the state, and regardless of the format, "low near high" is a principle to do business.

Return to the question of increase rate.

"Generally speaking, the rate of cosmetic increase is 50%, and the normal rate of increase is 25%."

Huang Ruo said, "in this case, 100% hundred goods are not sold at a price increase, but they can not be sold, but users can not afford to pay the postage."

"In some cases, the price of the same commodity on other platforms is lower than that of 100%, which may be our higher price, or the other side's malicious promotion.

Members can make a phone call to complain. If it is not for the above reasons, this member can become our buyer, and encourage him to share the product with the "special purchasing club" member.

Huang Ruo added.

"Let retail become a service, not a sale" is the direction of Huang ruo's changing retailing.

Because most electricity providers attract customers through advertising and earn the difference.

It can not be avoided that the marketing cost is higher than the net profit and the loss occurs. A typical example is Jingdong.

Full pparent website to form word of mouth marketing

Huang said: "now hundred hundred members are equivalent to their own boss, the boss hired us to buy things, it is impossible to buy 20% plus the price to the boss, we will make all the cost pparent and open, the bill can be read to the members, the distribution is third party logistics, the price is also fully pparent."

According to Huang ruo's assumption, providing pparent service to members can break the concerns of members on the one hand and form a word of mouth on the other side to share communication in social media.

But this is also the biggest difficulty. Because of the hundred member hundred member selection system, the retail price differential revenue channel is abandoned, and profitability is indirectly restricted to marketing investment.

Low cost access to users will become the basis of success.

Since then, online mainly relies on the use of household registration tablets and the pformation of precision investment.

In Huang ruo's view, the threshold of the 100 member 100 member electricity supplier mode is to test the ability of selecting products, and the two is to control consumer psychology.

Getting the first batch of original members is the most difficult. Their first stage goal is to get one hundred thousand members, 500 thousand members can support the normal operation of the website, and 5 million members can establish absolute competitive advantage.