Intime Department Store Derivative New Business Tmall + Yintai Born Internet Retailing Format

From shares to holding Yintai business, Alibaba group has made an in-depth reform of Yintai department.

According to the planning of Ali, as the first trial store of the first retail store of Ali new retail, the direction of Yintai is to return to the essence of retail industry and change the commercial real estate mode of traditional department stores. This is also the crux of the decline of the traditional department stores in China.

"Electronic commerce is like an air force. It may throw bombs every day, and it will crash the ground troops.

But in the end, the air force still needs refueling, landing and not always flying in the sky.

Shen Guojun, founder and chairman of Yintai group, joked with Ma Yun that a special force should be built on the ground to clean up the battlefield.

This may be the prototype of "new retail".

But how can Alibaba clean up the battlefield under the line?

Embracing online Yintai business into the Internet core

The cooperation between Alibaba and Yintai group can be traced back to May 2013, when the two sides worked together to create a rookie network for logistics enterprises.

Perhaps it was in this year that "the sparks came to a consensus" and the two sides reached the cooperation at the capital level.

From March 2014, Ali entered the main business of Yintai with HK $5 billion 370 million (about 4 billion 296 million yuan) and two shareholders. By 2017, Yintai business was privatized. Alibaba has become the controlling shareholder of Yintai, and its shareholding ratio is expected to increase to about 74%.

Since 2014, Ali and Yintai have been implementing the three links (commodity communication, membership communication and service communication) strategy.

In terms of commodities, Yintai department stores, Yintai boutique (high-end luxury goods), Yintai West election and many other department stores have opened shop in Tmall, and the proportion of online and offline commodities has reached 60%. Since 2015, Yintai has gradually promoted the goods of Tmall flagship stores and offline retail outlets to maintain the same goods, the same goods and the same price, and strictly enforce the "willful loss", and consumers buy expensive compensation.

Service links, online and offline services to open up to customers more convenience, for example, on the Tmall platform, a key return, consumers can choose to return from the physical store, can also return online.

The access to goods and services needs the technical support of the backstage system. However, the most difficult part of the technology is the "membership link", which is the most difficult part of operation. The reason lies in the fact that the multi stakeholder, such as brand dealers and channels, is the original entity business, the supply chain is long, and there are many stakeholders, which will change the pattern of interests in the process of opening up.

At present, Tmall and Yintai's practice is to realize membership card's electronization through Yintai's official A PP "meow Street". At the same time, you can see the shopping list of the entity store on meow street, as well as the shopping list of Tmall.

Behind such a drastic reform is the change in the organizational structure of Yintai group.

It is understood that in order to maintain the flat organizational structure of the Internet, Ali's organizational structure has been gradually adjusted according to the "small front desk, large and medium scale".

In order to cooperate with ALI and entity store online and offline, the organizational structure of Yintai also began to refer to the small front desk of Tmall, Ali and the flat structure of large and medium platforms, so as to adapt to rapid iteration.

At the same time, Yintai launched five "combat sub teams" to encourage internal innovation.

Against this background, in the past few years, Yintai business has emerged from the Internet format of Western election, West, meow, meow and so on.

Clean battlefield Tmall + Yintai born Internet retailing format

At the beginning of 2016, the first department store, which was born in the Internet, was opened in the Xiasha factory, Yintai department store.

According to Ali's side, Ali first described the consumer's portrait of five kilometers around the market by the big data, and then decided the decoration style and category of the shop under the line, then screened out the Amoy brand suitable for the group consumers, and introduced Yintai to set up the Amoy brand collection store.

It is reported that in the collection store of Yintai's Amoy brand, every commodity is a SK U, both have an exclusive two-dimensional code, and through the two-dimensional code, the line will be opened online, and the store will keep the same price with the Tmall flagship store in real time all year round.

The advantage is that there is a daily record of consumption in the store. It is no longer necessary for the manager to liquidate the goods every month to infer the category and trend of the products.

Secondly, when placing goods, Xiasha Yintai shop will no longer abide by the principle of placing similar goods in the same area, but will categorize the products that meet the preferences of a specific group. The "commodity category that meets specific consumer groups" is also analyzed by Tmall big data.

"This is a subversion of China's retail industry."

Jin Cai, manager of the Sales Department of Hangzhou Xiasha factory, Yintai department store, said that the monthly sales of the Amoy brand collection store maintained a 40% growth rate.

Another successful case is the Yintai Wulin general store, which is located in the core position of Hangzhou Wulin business circle.

This store is the oldest store in Yintai. Until May 2016, after three years of big adjustment, Wu Lin Yintai returned to the position of Hangzhou fashion center.

After adjustment, through the online and offline interaction, Yintai Hangzhou Wulin general store in 2016 double 11 single day sales break 200 million yuan.

According to the introduction, the total number of cosmetic brands of the Wulin general store has reached 63, and the ladies' brand has occupied the entire fifth floors, and the female fashion consumption has been unprecedentedly strengthened.

This seemingly extreme format ratio is not "beat the head", but based on the first shopping mall A PP meow Street launched by Ali and Yintai, analyzes the source distribution, shopping frequency and shopping preferences of the customers.

According to the operation of Xiao street, Xia Chong, mew street, 80% of the people who visit Wulin Yintai are women who are concentrated in 22-26 years old.

It can be seen that in the deep integration of Ali and Yintai, over the past few years, there has been a new form of retail and Internet based retailing, including online shopping, online shopping, online shopping and online shopping.

For example, the first store of "West election" is located at the Wulin general store, Yintai department store. There are more than 4000 overseas commodities to choose from. Duty paid imports can be purchased directly from consumers and pick-up at the scene. Some overseas cross border imports, goods on the shelves are only displayed and displayed for consumers to see samples.

Enlarge the copy and paste of battleground Internet retail formats.

In fact, Yintai is only a sample of Alibaba's new water retail, and Alibaba is still exploring more forms of offline retail.

"Many partners have questioned and wait-and-see attitude towards our new retail business. We came out to show them that Yintai will become a sample," said Gu Mai, who hopes that Yintai's new retail experience and innovation will be replicated to Bailian and other more department stores in six fields, such as integration and innovation of all formats, new retail technology research and development, efficient supply chain integration, membership system interoperability, payment of financial interconnection, and coordination of logistics system.

In Ali's view, once the trial site is successful, it will be copied and opened to the entire department store and even further expand to the entire offline retail industry.

Because of this, after the cooperation between Yintai and Alibaba, Alibaba and Suning announced mutual cooperation in August 2015. In February 20, 2017, Alibaba group and Shanghai Bailian Group jointly announced a strategic cooperation to explore new retail business.

On the East Road of Nanjing, one of the busiest commercial streets in Shanghai, every one hundred meters away, you can see the square, the commercial building, the pharmacy, the supermarket and other forests of Shanghai's local retail giant, Bailian Group, which stand on both sides. From 10 a.m. to 10 at night, tourists from all over the place and the hurried upper class families are floating like termites. No one realizes that the changes in the pedestrian street have been launched when Bailian and Ali announced their strategic cooperation.