Big Brand Electric Providers Are Frequently Stationed In Physical Stores, But The Situation Is Not Optimistic.

Because of the development of the Internet, many people are longing for online shopping. Many physical stores are forced to shop online, but many big name electric providers are frequently stationed.

Why is that?

And what is the actual situation?

No follow suit, no foreign trade?

A few days ago, it was reported that Alibaba will launch its first entity store in Tianjin. The products sold are very diverse, and food, Kitchenware and so on can be found, hoping to promote the sales volume of imported products through the huge physical market, and at the same time, provide customers with more humane shopping experience.

This is another move after Ali's acquisition of Yintai and landing service.

It is not uncommon for a pure online platform to plug in.

In 2015, jumei.com set up a fast tax exemption experience shop in Qianmen Street; Amazon opened an entity experience shop; Jingdong first joined hands with convenience stores, then joined Yonghui, pushed "Jingdong to home"; opened a physical Bookstore Dangdang;

Despite the exception of the electric giant, the industry has yet to attract enough attention from the industry and consumers.

Why do things turn out like this?

Lv Wenlong, the director of the Yue channel marketing director, told reporters in an interview with the teasing electricity supplier that the electricity supplier can play with capital money, so long as GMV has a good growth, it can continue to raise funds, and pay more attention to profits under the line, so the market pressure is great.

This means that the electricity supplier lacks the offline retail and management experience and marketing methods, and the power of replication and utilization of online price killing marketing channels is insufficient.

Although no special success has been seen in e-commerce shops, there are more and more attempts from online to offline. Why is there such a situation?

Why do you open a shop?

It is generally believed that the reasons for the opening of a physical store can be explained in the following aspects.

First, brand promotion.

Take the Amazon entity store located in the bustling area of Manhattan as an example. The passenger flow density is much higher than that of the annual advertising companies. Selling goods with near or even lower prices can also sell goods, which can be said to kill two birds with one stone.

Secondly, it is close to consumers.

Go to the stock center to solve the last mile problem.

If there are more and more electronic business entities, similar to vip.com's Tianjin stock center can disperse commodities to various stores, closer to consumers.

The three is the entity of electric business.

From online to offline, from virtual to reality, it is no longer a shelf display of commodity pictures, but a display of the commodity itself, and a real brand for the virtual business. On the other hand, it can also prove the fake goods for electric suppliers. For example, Jingdong is often questioned about a fake brand of a mother and baby, and a brand of Taobao's fake goods, so as to clarify itself by the entity shop brand.

But this does not seem to fully explain the real reason for the electricity supplier to open a store.

Lv Wenlong believes that the Internet growth dividend has gradually faded, the competition between platforms has become increasingly intense. From the development trend of Taobao and Tmall, the performance of the electronic business platform is not as easy as before.

On the other hand, after all, online is a smaller share of the retail market. It is also reasonable for the platform to seek more opportunities for offline development with its own supply chain resources.

That is, the slowdown in online growth and the unsustainable mode of burning money. In order to make up for the short board under the electricity line, the main reason for the opening of the electricity supplier is the pursuit of profit.

But no matter why, under the current China's economic environment, experienced shops are blocked because of the pformation of the electricity supplier, and the retail sales are blocked. A single electronic business platform can really overcome all kinds of obstacles in retail cold winter, such as the development of the online industry.

It's hard! The line is not so good!

In the early years, Tmall opened a shop in Beijing and loved the hive. It failed to die. The Jingdong opened the maternal and child store in the leisurely Tang Dynasty on the outer avenue of Beijing, and was also considered unsuccessful by the mother and child industry.

Why did it fail?

Fame, rich selection, online and offline multi angle experience, at least should live well.

Unfortunately, this is not the case.

In those days, 7-11 was an electronic business, and the best seller of the electronic business platform was sold to the Ito hall. The sales volume per unit area was 30% higher than that of the general display.

Why does China's electricity supplier do that?

In fact, the more detailed the retail, the more attention to the brand.

Each subdivision channel should have different brands and have different impression on consumers.

For example, Jingdong mother and baby, online is playing with Taobao mother and baby, is playing with Su Ninghong children, you are rivals, your courier advantage may be competitive.

But when you arrive

At that time, your store is next to Li Jia Bao. It's Yun Yingtong, a friend of you. You are fighting against the passengers. Your courier is not an advantage. The brand extension of Jingdong is not going to the store. If it is extended, even if customers are curious to enter, they will find it different from other stores, but they will go faster.

Customers are so strange.

A little further, why did the entrance of WeChat shopping to its own line, but still can not do it?

What a huge volume of traffic, but users do not go shopping at WeChat's entrance. The reason is also very simple. The entrance to him is not differentiated and the price is lower.

Product update?

No, it's just an ordinary entry.

May be different categories, but to customers, no perception!

Each entry is a channel, and each channel needs to have different brand differences. In other words, it is necessary to redefine the users of this channel and label themselves with distinct labels.

Therefore, if there is no redefinition of this wave of consumers, it is hard for consumers to really succeed if they think of offline stores and online stores.

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How to do it?

First, locate your target audience.

The target customer group of the electricity supplier is a part of the retail outlet separated from the original line. Now, when the electricity supplier opens the line, how should the target group be positioned?

On the one hand, on the one hand, if the above scenario is used, once the target customers of the store are the original traffic on the line, that is, the coincidence with the online customer group is not meaningful for offline retail performance; on the other hand, the entity store group is inevitably partially coincided with other stores and lines. How can we make a meticulous and professional marketing plan for them without causing the loss of their online traffic, but can attract other new customers to increase sales performance?

The second is to label the commodity structure with new labels.

The existence of electricity providers depends on the Internet. Since birth, there has been no entity retailing gene.

The virtual Internet has made the SKU of electric business infinitely develop, but physical retail has the cost of stores. The pressure of Ping efficiency leads to the precise selection of products.

The choice of commodity structure can give consumers a new experience.

How to do it?

For example, Dangdang bookstore is a small product after all. It's a good way to make a store brand like a clothing brand. But if it is Ali and Jingdong, how can it choose products?

How to differentiate?

But how to locate the commodity structure under the line? What are the differences between the online commodity portfolio and the electricity supplier?

In addition, the difficulty of opening an electric business is: how to manage the supply chain well, balance the two line price, and resolve the contradiction with the brand channel?

Lv Wenlong believes that under the platform line, we should see whether the entire supply chain has been optimized; and the sale of goods, platform fees, marketing fees, logistics fees, one can not be less.

On the Internet, the middleman link is not the unique advantage of the online industry, but also the direct supply and the shortening of the supply chain.

And the topic of supply chain involves another question: is the two lines the same price?

Low price drainage on the electricity supplier line can make profits without excessive marketing, and if the brand price of offline layout is higher than online, why do consumers choose to shop?

And if the two lines are the same price, what about the brand direct counters?

What about suppliers?

It must be a great pressure.

Another consideration is the cost structure.

The cost structure of stores is high, and lots of people are more prosperous. For example, rent, pfer fees, decoration and pformation fees, utilities and so on, will the cost of commodity budgets increase if the cost of electricity is budgeted under the enormous cost pressure?

If not, how to do marketing or pfer to solve cost pressures and so on?

If the electricity supplier set up shop just to improve the consumption experience simply, the enterprise must be a conscientious enterprise.

But it is not possible for a conscientious enterprise to enhance the experience service for consumers by holding the idea of continuous loss.

So,

Once a shop is opened, profit is the inevitable goal.

But at the moment, it is still far from the real implementation and huge economic benefits.

But it can be regarded as a beautiful vision and attempt. Next, more electric business entities will be set up, and they are very much looking forward to how they can solve the above problems.