How Can The Three Giants Of The Eleventh Double Eleven Electricity Providers Pay From Their Pockets?

Tmall double 11 opened only 1 hours, 3 minutes and 59 seconds, sales broke 100 billion yuan.

The annual double eleven has arrived, which is different from Ali and Jingdong's "erzhuan". This year, many of them joined in the double eleven war situation. The battle pattern of the tripartite confrontation will be particularly evident during the double eleven period.

The same is the annual big promotion, Ali, Jingdong, a lot of different sets of their respective objectives, decided that their strategy is also not the same - whether it is a variety of tricks, a large number of double eleven play, or for explosive products subsidies, the three sides both stimulate the demand of new users, but also hope that this year's double eleven to boost GMV growth.

However, with double eleven entering the eleventh year, consumers' enthusiasm for dual eleven has been much worse than before. From last year's statistics, double eleven also started to bid farewell to the momentum of rapid growth, which is also an important reason for Ali to dilute GMV in recent years.

Time is getting longer and longer.

The double eleven front stretched to a full month.

In terms of turnover, double eleven sales are still growing, but the growth rate has slowed down. According to the report issued by the third party statistical agency's star chart data, the "double eleven" total net sales in 2018 reached 314 billion 300 million yuan, up 24.3% from the same period last year, much lower than that in 2017.

Therefore, the e-commerce platform began to extend the double eleven cycle in the form of pre-sale, which was originally only a big promotion in November 11th, and gradually evolved into a shopping festival spanning October and November.

At the beginning, the important reason for the introduction of the pre-sale system by the electronic commerce platform is to reduce the inventory cost and the delivery pressure of the logistics company. The former can control inventory more accurately according to the pre-sale situation, and the latter can help the merchants to divide the warehouse more in advance through the pre-sale data, so that the stock can be delivered to the nearest warehouse in advance, reducing the transportation pressure and increasing the delivery speed.

However, with double eleven entering the eleventh year, the pre-sale period of the electronic commerce platform is getting longer and longer, and its purpose is to lock in more consumer spending as early as possible, thereby pushing up the turnover of double eleven. In 2014, after the electronic commerce platform launched the pre-sale system, the user participation in the double ten one cycle is getting longer and longer. This year, the pre-sale period of Ali started from 0:00 in October 21st to 21 days on the 10th day, and the pre-sale period is as long as eleven days. Jingdong will directly advance the double eleven to October 18th, and the time will last up to 29 days.

The pre-sale data can also reflect the sales situation of double eleven to a certain extent. Star chart data show that in 2018, the total sales volume of double eleven total network accounted for 32.2% of the total sales, and the number of pre-sale SKU increased from 3.6% in the same period in 2017 to 6.2%.

According to the latest data released by Ali, as of October 31st, the number of brands with a turnover of 100 million yuan has reached 64, which is 1 times that of last year. State gold securities in the research report analysis, Tmall's 11 categories of pre-sale amount has exceeded 44 billion yuan, of which clothing underwear (15 billion 500 million yuan), beauty makeup protection (7 billion 200 million yuan) is a higher amount of pre-sale category.

　 Subsidies weakened?

No more routine play

In terms of subsidies, this year, many e-commerce platforms claim to provide tens of billions of subsidies. Jingdong said the joint business launched a ten billion subsidy scheme. Suning also said that its joint subsidy with businessmen was up to ten billion yuan. Many of them were overweight in the original "10 billion subsidy" plan, and subsidies for 3C digital and beauty makeup were increased. Ali claimed at least 50 billion of the users at the launch meeting.

However, from the consumer perception level, the subsidy for the electronic business platform is limited, and it takes more time to get the red packets. This year, Tmall launched a cash dividend of 2 billion yuan, but it needs users to build a PK. So users need to continuously complete various tasks from various App of Ali department, which requires a lot of energy.

Meng Huixin, assistant analyst at the Department of legal rights and interests of the e-commerce research center, said that the platform launched a series of double 11 play, its main purpose is to improve the activity of consumers, activate the zombie users, realize the diversion between business platforms, improve business volume, on the other hand, it is the role of publicity and promotion to stimulate consumers' shopping enthusiasm. However, in this process, many users have wasted their own interpersonal relationships and wasted time, but at the same time, they haven't paid equal feedback. At the end of their activities, the user experience will also plummet after the reaction of consumers, which will reduce the user's favor.

In addition, this year, the electronic business platform has little subsidy in 3C digital category, but it is an exception to spell too much. Take the iPhone11256GB version as an example, a lot of spells will be directly subsidized to 5299 yuan in double eleven warm-up activities, which is totally different from Apple's official website guide price of 5999 yuan, while Tmall and Jingdong need to grab a coupon to get a discount of two hundred to three hundred yuan.

Because of the complexity of playing, in recent years, more and more users hope that the subsidy method of double eleven will be less and some of them are more sincere. This year, vip.com has put forward a no subsidy scheme, and consumers can see the discount of goods directly on App.

　 Big push pull new needs

Sinking market is the key to game

Every 618, eleven, and so on, to promote holidays, is a good opportunity for the electronic business platform to stimulate new users, especially for Jingdong, in the competition of the three giants of the electricity supplier. Jingdong's second quarter earnings report showed that the number of active users was 321 million, an increase of 2.39% over the same period last year, and the number and year-on-year growth rate were lower than that of Ali and many spells (the number of users in Ali was 674 million, the growth rate was 17.01%, the number of users was 483 million, and the growth rate was 40.63%).

Taobao president and Tmall President Jiang Fan said at the launch meeting that 500 million consumers will participate in Tmall Taobao activities this year, which is expected to be 100 million more than last year. Jingdong has also said that it is expected that eleven pairs will sell 1 billion 200 million low-priced goods and touch up to 500 million in the emerging market.

Whether Ali or Jingdong, according to their latest earnings report, low tier cities have contributed a lot of new users to them. According to statistics, during the 618 period, the total number of new Jingdong users increased by more than 3 times over the same period of Jingdong. The number of users who subscribe to the 3-6 tier cities of Jingdong purchase increased by 106% over the same period last year. Reflecting the Jingdong's second quarter earnings report, the number of monthly active users of Jingdong increased by 10 million 800 thousand in the quarter, and the number of active users in the past 12 months has reached 321 million 300 thousand.

In the 2019 quarter of fiscal year second, the fourth quarter of the second quarter financial report showed that as of the end of March 2019, Taobao mobile Tmall mobile monthly active users reached 721 million, up 104 million and 22 million over the same period last year and the previous quarter. 77% of the 100 million new consumers came from the sinking market.

To this end, Jingdong has launched the combined boxing of the main station and Beijing Xi in the double eleven this year. The goal is to continue to expand its influence in the sinking market. Jingdong big data show that in November 1st, the total number of subscribers in the low level market increased by 104% over the same period last year, and 72% of the new subscribers came from the low level market.

The day before this year's "double eleven" launch, Jingdong announced that its social networking platform, Jingxi, officially entered WeChat's first level entrance. On the same day, Beijing Xi sold nearly 60 million items a day. Among the subscribers, the proportion of female users is 62%, the proportion of users after 90 is 53%, the number of new users from 3-6 tier cities accounts for 74% of the new users of Jingxi, and the new users of Jingxi also account for 42% of the total number of new users of Jingdong.

Compared with 6.18, Ali double eleven did not continue to emphasize Juhuasuan's new role in the sinking market this year. It only said that the main goal of this year is to combine 1000 brands and jointly customize 1000 explosive products.

While many of them were more low-key on the eve of double eleven and did not hold a double eleven launch meeting, however, there was news that a lot of them put forward the volume of their transactions in November (GMV), with the goal of reaching three times that of October. According to "finance and economics" report, many of the founders Huang Zheng said in the 4th anniversary internal conversation that a lot of real GMV has surpassed the Jingdong and completed the target ahead of schedule.

According to the key categories of this year's many subsidies, the main goal is to continue to move around the second tier cities. It is said that during the double eleven period, the platform will continue to be overweight on the basis of "10 billion subsidy" and increase subsidies in the areas of mobile phones, home appliances, digital, and beauty makeup, so as to provide an unlimited consumption subsidy for more than 20000 products of nearly 200 brands. This is undoubtedly aimed at charging users in a second tier city.

In the second quarter of this year earnings call conference, a lot of Founder Huang Zheng said that the proportion of GMV in the second tier cities accounted for GMV of the company rose from 37% in the first quarter of this year to 48% in the two quarter.

Observation: WeChat blocked the conversion rate of influence purchase

There are two sudden factors on the eve of the double eleven this year, which may disrupt the layout of the electronic business platform. First, WeChat suddenly announced the closure of the purchase and purchase links. Two, the State Administration of market supervision has interviewed the promotion of double eleven business enterprises.

In October 18th, WeChat official revised the WeChat external link content management standard (hereinafter referred to as the "code"), revising the contents of illegal users' head images, inducing, misleading downloading / jumping, friends' help, acceleration, bargain, task collection and other illegal activities. The new regulations will be implemented in October 28th.

The specification shows that this amendment is mainly to regulate the new additions of commodity and cash marketing behaviors of all kinds of e-commerce platforms, including non inducement, misleading download / jump, no friends help, acceleration, bargain, task collection and other illegal activities.

The Research Report of State Securities pointed out that the revision of the "specification" had an impact on the traffic acquisition and transaction transformation of the electronic commerce platform, which was based on sharing / forwarding and shopping guide as the main means. The non Tencent department's third party platform or strengthened rectification efforts to restore the effect of the previous flow volume, and the marketing activities of these platforms will be affected in a short time.

Secondly, the multi market supervisory authority held a symposium to warn against possible violations during the double eleven period. In November 5, 2019, the General Administration of market supervision held a "standardized management forum on network operation activities" held in Hangzhou, Zhejiang province. It invited participants from more than 20 platforms, such as Jingdong, fast hand, American team, many spells, Suning, Ali, gathered together, vip.com and 1 drug networks. The meeting pointed out the outstanding problems in the recent network operation activities, especially the frequent problems in the centralized network sales promotion activities, and put forward specific requirements for standardizing the network operation activities.