Traditional Brands Should Not Be Ignored In Revolutionary E-Business.

It is very important for the traditional brand to plan the electricity supplier channel reasonably under the premise of maintaining the same brand, the same product and the same price system on the offline line. Traditional brands should not copy the familiar sales mode under the line to the online. The construction framework of the electricity supplier channel should have a systematic and long-term plan. There are obvious differences between the channel characteristics of the electricity supplier and the traditional brand line mode: there is no regional restriction on network sales, and there is only a 1 second distance between customers' shop and shop.

120 billion 700 million! 2016 Alibaba 11 sales, once again stimulate the nerves of traditional enterprises! Haier, Midea, Procter & Gamble, L'OREAL... The leaders of these traditional brands have finally come to realize that they are at the top of the list of the eleven major categories. These offline sales channels are strong traditional brands, and after a painful decision, they are in touch with the net. However, more traditional manufacturing brands, or hesitant, or trying to sell online, are truly systematic, strategic and forward-looking layout of e-commerce channels are rare.

Definition of traditional brand: Network Original brand Correspondingly, the traditional brands defined in this paper refer to clothing brands, food and beverage products, daily chemicals, home textiles, household appliances, and other influential brands. The traditional brands in these industries have the following commonalities: production standardization, product striving for scale effect, perfect sales channels under the line, a large number of offline sales terminals, and a large sales staff and management team under the line.

In the era of e-commerce, these traditional brands' network sales are faced with many puzzles: how to coordinate or retail prices under the same line, how to achieve the incremental sales effect of online and offline >2, rather than the simple replacement of online and offline demand? How can network sales increase sales volume and expand brand influence? How can the profit maximization be achieved under the premise of network sales volume?

There is no network sales channel mode to fully meet the traditional brand in price control, incremental sales, strengthening brand, profit maximization and other aspects of the goal. Different network sales Channel construction Patterns have their own advantages and disadvantages. The key to their trade-off lies in the accumulation of network sales ability of traditional brand enterprises and the core objectives of decision-makers.

Three big Online retailers Channel construction mode:

1, network distribution system. The traditional brand is signed with the network wholesale / retailer, and the relationship between the enterprise and the network wholesaler / retailer is a simple commodity trading relationship, which is not essentially different from that of the dealer under the line, and the network sales channel is only a supplement to offline channels. Network distribution system is divided into two kinds of distribution and exclusive distribution, the stronger the brand, the more inclined to adopt a number of distribution system, otherwise the exclusive distribution system.

2, network operation control. The traditional brand and the online retail platform (including Taobao Tmall mall, Jingdong mall, etc.) sign the online flagship store agreement, and entrust the network flagship store operation (including shop decoration, customer service orders, warehouse delivery, etc.) outsourcing to the professional e-commerce hosting company. The electricity supplier trustee company obtains the monthly trusteeship service fee and the sales commission, and the sales commission is usually extracted according to the 5%-10% ratio of the retail sales volume.

3, direct retail business. Traditional brands set up network sales department (business unit or Independent E-commerce subsidiary form), directly cooperate with Tmall, Jingdong and other major network retail platforms, set up direct flagship stores, independently undertake daily operation work of decoration, pricing, customer service, after-sale, promotion and promotion of flagship stores. Part of the radical and braggy big traditional brand enterprises directly build vertical B2C retail stores (such as Haier electric / BELLE shoes industry) and adopt the omnidirectional online retail business system.