Age Of Customers: How To Fail A Successful 99%

　　 The winter of the industry

Van guest began in the summer of 2007. In July of that year, Chen, Lei Jun and other 3 people started Vic with 7 million yuan. After three years, the sales tax was 118 million yuan, 298 million yuan and 1 billion 200 million yuan after tax respectively, which increased 153% and 303% respectively compared with the previous two years.

According to the original plan, at the end of May 2011, customers will advance to the United States for an initial public offering of $1 billion a year. Once successful, it will be the largest IPO ever undertaken by Asian companies in the US stock market.

However, bad luck. In 2011, the electricity industry trend was too bad, the capital market was sluggish, advertising fees were in arrears, and sales expectations at the beginning of the year were falling.

In November 21, 2011, the customer did not submit its IPO application document as scheduled. The IPO, which was widely anticipated by the electric business circle, was suspended, and doubts and speculation about the customer service mode and even the business situation were coming.

At the age of 42, Chen changed his voice in the past, frequently expressing his dissatisfaction and anger in social media.

The first old age is Shanxi Wenxi county people, laughing little eyes will be narrowed into a line, a little Kung Fu Panda feeling. If this person's childhood is still alive, Freud may also be interested. No matter what his dream is, he will end up in the kiln yard of his hometown.

In 2012, the most common dream of Chen was to see his three brothers down from the roof and help him fight.

In 2007, before he founded all customers, he sold medicinal materials, poured steel, sold books and sold clothes, and experienced different life. But one thing is very clear. He wants to find an answer to the individual's own in the past thirty years of historical change.

He likes to see the chronicle of Deng Xiaoping best. As a student who went to university in 1988, he thought that the values of their generation were always spalling and rebuilding. Chen also worried about identity and lived in a private house near Old Summer Palace in Beijing. He was worried that he would encounter a temporary residence permit every day. He wants to find clues from the past policy changes and find his original self.

As a journalist, he was once the editor in chief of book review weekly, and once regarded reading and writing as a top priority. So far, he is still a scholar in his bones. In 1996, he wrote a deconstruction of Yu Hua, and then went to Yu Hua to seek advice. Yu Hua is 9 years older than Chen. He said to Chen, "you have a good sense of language. Under this premise, it is best to be the most concise expression."

As I remember, Yu Hua told himself about the story of Xu San Guan selling blood. He made his age aware of how to accurately and accurately include emotions in the minimalist narrative.

In 2006, Chen began to write "return to life", telling a child who was born with a lot of money to become obsessed with famous brand and luxury goods after earning money. Those who are familiar with the age say that the hero is the old man.

"Return" wrote for half a year. Chen said, "when you write a book, you feel that all your loved ones have come back. You will wonder if a relative is sitting in the living room. When I write and write, I take a look. The more I think about it, the more I fear it. "

In 2010, Chen spent more than ten thousand yuan to find his cousin's uncle to build three brick walls for his home's cave dwelling, surrounded the cave dwelling, and spread the floor tiles in the courtyard. Old age said to his cousin's uncle: "this is the place where my childhood and teenager grew up and lived, and I want to keep it all the time."

Old age also had a strong idealism, which was once thick as sesame paste.

For example, Chen made his own book selling website famous, but later he was not idealistic. He felt that self elevation was meaningless. "What is excellence? Excellent head. " So, all the guests appeared. Chen said that the meaning of ordinary customers is ordinary traveler, just like we are so ordinary and come to the world.

The crisis of rash advance, in early 2011, van guest put forward the target of over 10 billion sales. How can billions of projects be realized?

Finally, the target will sink to the head of several major product divisions, and the pressure of various departments can be imagined. The development of new products has become a road to success. As a result, since April 2011, department stores such as mops, kitchen knives and electric chafing dish products have been developed by the new product import department at the front end. Over a period of time, the development of new products was too fast, so that many new products were "too late to enter the ERP system".

In this process, from procurement to information to inventory and other departments, have realized that inventory is increasing, but because of the pressure of different indicators in different departments, everyone is shifting the blame.

One day in 2011, the sun was shining. Chen came to van store. In the warehouse, he saw a pile of mops in a corner.

The old age was full of thunder. He almost shouted out in a howling way: "who will - - we - buy - drag - pull?" all the staff present were scared.

What is really stupid is the old age.

In 2011, the expansion of all customer categories was amazing. Not only stockings, mask, canvas shoes were sold, but even kitchen knives, chopsticks, mops and electric chafing dishes. "Too fast, lose order, lose meaning."

A mop appeared in a warehouse, just like a white hair in the hair. Is this a hair problem? It's a systematic problem.

Large scale SKU expansion has become one of the biggest mistakes made by customers. "Some categories that should not be entered, and this is also caused by the excessive decentralization of Internet Co."

In this way, until September, the number of customers has reached hundreds of millions of yuan, this problem was finally discovered.

All customers have to face bigger challenges. They must digest their stocks and face cold waves.

In August 2011, Chen took executives to Dalian for a few days' closed door meetings, making the most profound reflection in history. At that time, he carried a book with the title "from the great leap forward to the great famine".

Chen realized that with the help of electronic commerce, customers changed the pattern of fast fashion, and they inevitably had a sense of aggression. Chen once said that if he could buy LV in the future, he would sell the same price as anyone. He also wants to buy CONVERSE and sell canvas shoes for 50 yuan. For a while, everyone thought laughing.

He just visited Soros, a 82 year old financial predator.

During the dinner, he asked him how the capital market would get warmer. Soros smiled and said, "Europe is over." At that time, when the muddy water company was on the eve of the Focus Media, the result of communicating with Soros made Chen Xin upset.

The conclusion is that it is not suitable to go public at this time.

So there was the IPO application which was not delivered on time at the end of 2011.

In the unfinished stage, he divided the customers into 3 stages.

In the first phase of 2008, when Internet advertising and traffic resources were low, businesses were reluctant to advertise. Fans lit the fire and became the first big advertiser on the Internet for 4 years in a row. In the following year, fans paid nearly 1 billion 900 million yuan for advertising. By 2011, the cost of promotion was nearly 1 billion yuan, and its advertising was equivalent to washing the Internet.

In the second stage. Benefiting from the financial crisis, foreign trade orders made in China have fallen sharply.

As for the third stage of trial and error, it is the launch of the "Van guest" scheme.

In the big trend of the Internet opening up in the past year, the "1 billion sharing plan" was established. He hopes highly for this marketing mode: according to this plan, the annual sales volume of customers and customers will be as high as several billion yuan. This is a particularly important step for everyone.

Van customer is an important strategy to improve repeat purchase rate. Theoretically, customers can get considerable income from them, including the "self" consumption of customers. The "customers" will sell products of customers in their own circles. After reaching a transaction, they can get the proportion of 4%~14% of commodity prices.

However, after nearly a year of online dating, the performance of da man was not satisfactory.

There is a relatively short period of time. The growth and spread of a perfect community ecosystem need time to accumulate. There are also problems of small age groups and low purchasing power.

More directly, the community directly targeting sales can not form a long-term incentive mechanism, can not make up for the cost of consumption, and the enthusiasm of users is very difficult to sustain.

The defeated investor, an angel investor, said he really thought that the success rate of the customer was at least 99%, unless there was a great unforgivable mistake. Unfortunately, the customer had trampled the 1%.

"What is the customer, everyone is also cost-effective. I am a brand. I am the fast fashion brand of Internet. "Chen said," all the products we sell are affixed with fans. This is our brand.

We have done more customer experience than PPG. Before the traditional brand is the designer's world, six months or even a year in advance, the annual market sales have been determined, the essence is not paying attention to customers.

For example, ZARA is not clear about what customers want, it is a massive sum of money, constantly testing the market, what is the positioning of ZARA, no positioning, who is the brand designer of ZARA? You don't know what the brand concept is, no, but consumers remember the high cost performance.

And the mode of running the customer can benefit from the centralization and anti privilege of the Internet. It has the natural advantages of the Internet, including rapid market reaction, light assets, and self logistics.

Compared with traditional clothing enterprises, the advantage of customers is reflected in the market reaction ability, and then has an impact on the cash pool of enterprises.

Traditional clothes do two season orders a year, and 6 months after the goods are sold to the channel, they only know the data, and the stock must be kept at 1.4. That is to say, to protect the goods, buy 1 clothes and 1.4 pieces of stock. But these problems can be circumvented through the Internet.

At the same time, for the core design link of light asset company, Chen said, "there are thousands of designers serving us, Spain two hundred or three hundred, in Beijing and Shanghai, there are thousands of Japanese designers. These do not belong to customers, but rather have their own small companies, every day to make proposals for customers, companies accept their proposals to pay.

In the logistics sector, there is a logistics company like Feng Da. It has built 28 warehouses in China, which is the most important part of the electricity supplier industry.

But there are too many literati's breath in pursuit of romance and many real problems are ignored. Maybe it's because of too much self, things are too idealistic.

When the development of all customers was too fast, the leadership shouted the slogan of 5 times the great leap forward. That is to say, we should say that in 2011, the sales volume in 2010 will exceed 10 billion based on the 2 billion sales volume.

Under the crazy expansion of the company, the quality of products can not be guaranteed. The users on the Internet have such comments: the last time I bought a white POLO shirt, the quality was almost the same as the gauze used in the hospital.

Since then, all customers have gone a long way. This step is not a boundless thing, but a lost one.

In 2011, there were 13 thousand employees in the prime of life, and fewer than 300 employees in 2014. In 2015, Chen wrote a 10000 word confession, which included a conversation with Lei Jun in June 2013 and a very unhappy conversation.

Lei Jun bluntly pointed out that the blind expansion of all customers is the practice of the last generation. The future enterprises will be like millet, with user needs as the guidance, and products will be used to mold the brand.

Two months later, in order to get angry and find the Lei Jun to visit everyone, he found out that no one of the customers was able to get the product.

After that, Chen focused on polished white shirts until 2016, and told the public that more than a billion debt and nearly 2 billion of its inventory had been resolved.

But at this time, the rising stars in the electricity business market have taken a firm foothold, and the efforts of everyone in the city seem to be at a low end.

Chen said, "the greatest difficulty in life is actually self limitation. Some people are limited by the expansion of their achievements. Some people are confused by failure and fall into self limitations.

These two limitations seem to have gone through the years.

Do a systematic study in the time of fragmentation.