The “Double Eleven†that has just passed has once again created a miracle of sales of red fruit e-commerce. Alipay's turnover for the whole day was 35 billion yuan, an increase of 83% over last year's 19.1 billion yuan.
The data shows that on November 11th, the trading volume of Alibaba's e-commerce platform has reached record highs. From the turnover of Alipay in the past three years, the turnover in 2010 was 1 billion yuan, and in 2011 it was 3.36 billion yuan. In 2012, it increased again to 19.1 billion yuan, showing an accelerating upward trend.
This year's "Double Eleven", when the merchants have discounted promotions, the home industry has quietly kicked off the battle between online and offline.
19 domestic home stores including Red Star Macalline, Real Home, Ou Yada, Yuexing Group, etc., on the “Opinions on Standardizing E-Commerce Work†(hereinafter referred to as opinions) published by the China Furniture Association Market Committee Signed an endorsement and boycotted the e-commerce platform.
The opinion clearly pointed out that the store can not be disguised as an offline experience place for e-commerce. Without the permission of the store, it is not allowed to use the trademarks and trade names of the store to publicize, and it is not allowed to transfer the business of the store to other places through the e-commerce mobile POS.
Red Star Macalline said that with the rapid development of e-commerce, it is inevitable that some irregular operations will occur. The move is only for the industry to regulate e-commerce sales, and has nothing to do with "Double Eleven".
The reporter called the China Furniture Association Marketing Committee to verify the matter, but the phone was never answered.
Yan Qiao, the head of Tmall's public relations, also publicly responded on Weibo. It doesn't make sense to keep Tmall out. Don't keep consumers and the Internet trend out.
The store said it was unfair
After encountering the market boycott, Tmall issued the "Home Improvement O2O Business Termination Agreement Notice", and the O2O Supplemental Agreement with the furniture category, which means that the merchants will not be able to conduct offline traffic for Tmall and other e-commerce platforms in the future. Marketing activities.
O2O is Online To Offline, which combines the opportunity of offline business with the Internet to make the Internet a front-end for offline transactions. In other words, through the O2O model, the shops in the offline stores have become the experience hall of the online mall.
The specific operation method of the Tmall home improvement O2O plan is: the consumer first purchases the coupon from the online, after the payment, the mobile phone will receive the verification code, the consumer chooses the goods from the physical store, and the Alipay POS machine is brushed by the verification code.
However, Tmall's idea is only wishful thinking. The investment in the early stage of the home store is very large. The main income depends on the rent of the venue. At present, most of the home stores are unified in cash, and the money is distributed to the merchants after deducting the rent. Tmall wants to bypass the home store to pay for the practice, undoubtedly violated the bottom line of the store.
On October 27th, Red Star Macalline Chairman Che Jianxin released WeChat, including “strictly prohibiting any merchant from spreading or promoting the “Double Eleven†activities on other e-commerce lines in any form in the storeâ€, “Strictly investigate and deal with merchants†Use Tmall POS machines to make sales online" and "Strictly prohibit merchants from installing and installing orders for factories on other e-commerce lines."
On October 30th, the Real Home also issued a formal notice to the merchants, prohibiting merchants from conducting promotions on the “Double Eleven†e-commerce.
Liu Wei, general manager of Hong Kong Dekele International Home Plaza, told the Rule of Law Weekend reporter: "I think this kind of boycott is necessary. Home stores are not against e-commerce, but cooperation with Tmall is almost impossible."
In Liu Wei’s opinion, Tmall’s home improvement O2O plan is tantamount to “grabbing moneyâ€: “Tmall hopes to provide offline experience for our customers, but we can’t get the money for customers to pay the bill. The home industry itself is on the venue. The requirements are very high, plus staff costs and utilities, who will pay for this fee?"
Even though the reasons for the store are sufficient, Du Yanhong, a researcher in the retail industry of CIC, believes that this behavior is not rational: "With the intensification of online and offline integration, offline home stores will gradually shift to online convergence will be the general trend. â€
Dealer sandwiched in the middle
The data shows that in the first half of this year, the cumulative sales of the national building materials and home furnishing stores from January to June was 519.6 billion yuan, down 6.19% year-on-year. The prosperity of the “Golden September and Silver 10†in the home industry has not appeared. The most stressful is the dealer of the home brand.
Xu Yu, a dealer of a domestic home brand, told the Rule of Law Weekend reporter: "We have no right to speak to the disadvantaged groups regardless of the manufacturers or the stores. Coupled with the continued downturn in the market for two years, we are very upset in the peak season."
"The manufacturer's requirements for sales are higher year by year, forcing us to continuously expand the market, the rent of the store is gradually increasing, and the dealers are sandwiched." Xu Yu said, "the homogenization of the home industry." Serious, can grab customers to survive."
Cooperation with e-commerce will undoubtedly expand the dealer's customer base and increase sales in a short period of time, but the decline in profits is what dealers do not want to see.
Xu Yu told reporters: "I intended to cooperate with e-commerce. By the end of the year, the company will give rebates to dealers who have completed certain sales targets. In the past, we will increase inventory to rush sales. Cooperation with e-commerce can alleviate our inventory pressure. But cooperation means losing the pricing power, I am afraid it is not a long-term solution."
“Taking the brand I sell as an example, the sales volume of e-commerce channels is less than 10% of the total sales volume. At present, the main battlefield of the home furnishing industry is still a store.†Xu Yu said that the main focus will not be on the e-commerce channel. It will not be a crime to cooperate with e-commerce to offend the store.
Li Hua of a certain home plaza in Jiangsu told the rule of law weekend reporter: "The dealers I contacted did not strongly demand the willingness to cooperate with e-commerce. After all, the profits are too low, and the dealers are not willing to position themselves as 'transportation team'. If the distribution Businesses are really willing to cooperate with e-commerce, manufacturers and stores are simply unable to stop."
Traditional channel vs e-commerce channel
The home furnishing industry has its own characteristics. Many large-scale commodities are tens of thousands of yuan. Consumers pay more attention to the experience of products. It is difficult for e-commerce channels to replace traditional channels in a short period of time.
Du Yanhong told the rule of law weekend reporter: "Different from clothing, shoes, hats, 3C appliances, books and audio-visual products, the personalization and experience of home products is stronger. This is the advantage of offline stores, and it is difficult for online e-commerce to quickly impact. An important factor under the line."
From the current situation, the traditional sales channels are still the mainstream, but the advantages of e-commerce channels are still obvious. Compared with offline stores, home e-commerce has advantages in terms of customer source, cost and price.
There has been no standard in the home furnishing industry, and there is no standardized pricing system. This has been criticized.
“The opaque price and long distribution chain are the key reasons for the high price of home products.†Du Yanhong said, “With the development of online home e-commerce, the price of household products will become more transparent, while consumers can More direct contact with branded merchants, the entire distribution system is more flat, and the price of household products will become more rational."
“The fall of the line is an important trend in the current development of e-commerce. E-commerce with price and information advantages has unparalleled advantages. Home stores and home brands should actively seek change and actively cooperate with e-commerce. Only cooperation and integration can In the future market and competition, take the lead." Du Yanhong said.
In fact, home stores and home brand owners are also aware of the importance of e-commerce channels. Qumei Furniture, Lan Jingli, Red Star Macalline, and Real Home have “electric shockâ€, but so far no company has been able to Achieved unanimous recognition in the e-commerce field.
The biggest difficulty in the “electric shock†in the home industry is how to balance the price of online and offline. The traditional channel has formed a relatively complete supply chain. The factory and dealers have a long-term understanding of commodity pricing, sales area and profit ratio. To break this stable pattern, natural contradictions are enormous.
Xu Yu told reporters: "As a dealer, we invested a lot of manpower and material resources in the early stage, and the online price is low, but for us, the service and after-sales obligations have not been reduced, so that the profit margin is less and less."
Changxing Mingwang Rubber & Plastic Technologies Co.,Ltd. , https://www.cxmingwang.com