Chapter 457: Buying groceries in the community, delivering goods via live broadcast, where is the way to win the battle?!
"Chairman, can the Chunmiao Fund also increase the number of scholarships for medical college students, and at the same time make some charity donations to the Chinese Medical Research Institute?"
Seeing that the big boss was ambitious, Jiang Yue also suggested it.
"Can!"
Jiang Yue's proposal was in line with Zhang Shuo's wishes.
In this way, it not only fulfills the company's social responsibility, but also offsets, to a certain extent, the dissatisfaction of the outside world with the "no need for expansion" in the pharmaceutical industry.
It can be said that it kills two birds with one stone.
After discussing matters related to Qing Ning Group’s acquisition, Du Qingqing, president of Pinxixi Group, then reported. The main topic of discussion was Pinxixi Group’s fresh food strategy.
“After the chairman’s suggestion, Pinxixi’s fresh food strategy has been transformed from the previous pure online model to a combination of online and offline. The specific method is to set up fresh food supermarkets offline, which is not only a kind of online
Channel expansion will also share cold storage warehousing and cold chain transportation with online."
"The fresh food supermarket is tentatively named Daily Fresh. In addition to in-store purchases, it will also establish an 'Urban Sorting Center Community Distribution Center' in major cities and a fast cold chain logistics system to provide users with fresh products delivered within 2 hours."
Door-to-door cold chain distribution service.”
"Fresh food delivered to your door? Isn't it a bit radical?"
Zhang Shuo was a little surprised. Unexpectedly, Du Qingqing went a step further based on his suggestion and took the lead in proposing a plan for door-to-door fresh food delivery.
It’s already the prototype of the original space-time group shopping business.
But in fact, selling vegetables in the community is not a good business. Not to mention those small and medium-sized start-up companies, even giants such as Ali, Jingdong, Moutuan, Pinxixi, and Didak are basically operating at a loss.
.
I haven't seen anyone making a profit.
According to statistics from the China E-Commerce Research Center, among the more than 4,000 fresh food e-commerce players in recent years, 4% broke even, 88% suffered losses, and 7% suffered huge losses.
In the end, only 1% achieved profitability.
Traditional fresh food circulation has many links and a relatively long industrial chain, mainly the farmer's market wholesale model.
The problem in this industry is that there are layers of wholesale. The final retail price may be three to ten times higher than the price of upstream manufacturers, and the spoilage rate of fruits and vegetables exceeds 20%.
If the circulation links can be reduced, the deterioration and waste of fruits and vegetables can be reduced, consumers can buy fresh food at cheaper prices, and transaction efficiency can be improved.
This is also the basic business logic of community group buying.
But, traditional channels also have many advantages, such as large transaction volume, proximity to consumers, what you see is what you get, you can pick and choose, and it doesn’t take much time to buy groceries.
Due to fierce competition, although vegetable prices have been rising, selling vegetables has always been a low-profit industry.
The problem with front-end warehouses is that delivery costs are relatively high. Internet companies are very good at using subsidies to attract traffic, and then find ways to make profits after the traffic comes.
However, front-end warehouse companies use low prices to attract traffic, and after massive losses, they are unable to make profits because the cost problem has never been solved. In order to improve user satisfaction, a dedicated delivery team must be maintained. Once the price rises slightly, customers will be faced with
lost.
Typical Internet companies can make money through economies of scale, but under the front-end warehouse model, the larger the scale of expansion, the greater the losses, and there is no way to make profits.
Community group buying can transfer part of the cost to the group leader, but the time efficiency is relatively low.
The reason why consumers choose community group buying is mainly because the prices are cheaper due to subsidized prices. Community group buying often contains low-quality products. Once the subsidies disappear, consumers will disappear as well.
The group leader's loyalty is not high either, because the income is small and the group leader gives up easily.
Internet companies are good at disruptive innovation and integrating with the real economy. They often win through connections, because connections are relatively simple and the value generated is relatively high.
Other trivial aspects are left to other merchants.
However, the Internet fresh food industry chain is long, management is difficult, and there are many link problems that need to be solved. This is also a difficulty in the fresh food industry.
What's more, behind the crazy money-burning strategy of using low prices and high subsidies for online grocery shopping, once it affects the survival of offline vegetable markets and farmers' markets, it will cause social problems.
Dare to touch the people's food basket, that is a big problem.
In the original time and space, Internet grocery shopping was criticized by the official media: "Don't just worry about the traffic of a few bundles of cabbage and a few kilograms of fruit. The starry sea of technological innovation and the infinite possibilities of the future are actually more exciting."
"radical?"
Du Qingqing was obviously stunned for a moment. She was quite satisfied with her original idea and reported it confidently, but unexpectedly she was given a slap in the face.
"Let me ask you, what is the main selling point of fresh food delivery?" Zhang Shuo smiled gently.
"Of course it is convenient, allowing users to buy food without going out, just like ordering takeout."
Du Qingqing himself was inspired by the takeaway business.
After all, she came from the Qingcheng Group, and had previously been responsible for Qingcheng takeout and Qingcheng Xiaozhu. It was natural for her to transform the Qingcheng Xiaozhu model into the fresh food industry.
"But have you ever thought about a question?"
Zhang Shuo continued to guide, "With the process of urbanization, Chinese families are getting smaller and smaller."
"A very noticeable feature is that those who need to cook at home every day often have enough time to buy food, and they are generally more sensitive to the price and quality of food."
"On the contrary, those who are eager to deliver food to their doorsteps, except those with babies at home or those with temporary mobility impairments, are mostly young people who only cook at home occasionally and actually eat out most of the time."
"Or just order takeout."
This is also one of the biggest pain points in buying food in the community. Those who really need to cook at home every day, except retired people, are basically full-time mothers.
No matter which category it is, there is no shortage of time to buy groceries.
Especially for uncles and aunts, visiting the vegetable market has become an important way for them to spend their retirement time. Even in the supermarket, they are picky about the dishes.
How can you trust the pictures on your phone?
Unless it is said that shopping for food on the Internet offers a very attractive low price.
This is back to the original knot.
The fresh food industry is not inherently profitable, and low prices are bound to be unsustainable. Once subsidies are ended, the adults and aunties who buy vegetables will turn to offline vegetable markets again.
Unless it is said that shopping for food on the Internet will destroy all food markets and the like by burning money.
Just like e-commerce crowding out small offline merchants.
But this has touched the bottom line of social management and is related to the safety of people's food baskets. The relevant departments will definitely not sit idly by and do nothing, but will definitely intervene.
Ultimately it's a dead end.
"..."
Du Qingqing was also dumbfounded when Zhang Shuo said this.
Even a little ashamed.
If this is the case, it can only prove that the market research conducted by the marketing department of Pinxixi Group is completely messed up and completely deviates from the objective facts.
Du Qingqing himself ate in the company cafeteria or ordered takeout all year round, and was unaware of this problem.
Not only Du Qingqing.
How can the executives here notice this?
Their life circle is destined to be either socializing outside or hiring a nanny at home, which has nothing to do with these trivial matters of daily necessities.
In other words, Zhang Shuo has always been at the bottom of the original space, but he has some observation and understanding of this.
so.
People, we still need to be more down-to-earth.
Zhang Shuo is also very fortunate that his experience in the original time and space has kept him from completely breaking away from the general public. Otherwise, he would probably have said something like "Why not eat minced meat?"
Sun Yang was even more thoughtful.
Before joining the team, Sun Yang knew that Zhang Shuo had always been the soul of the team.
After joining, I vaguely heard a lot of rumors. Many of the major decisions in Germination were personally helmed by Zhang Shuo, the big boss, such as the research and development of Weixin, the Maili mobile phone, the design of Mango car, etc.
But I have never had any intuitive impression.
There is even speculation that such rumors may be exaggerated, and the purpose is nothing more than to set off Zhang Shuo's tall image.
How can there be such an all-powerful person in the world? He understands both management and technology.
And it’s also cross-border.
But just now, I saw with my own eyes that Zhang Shuo revealed a huge loophole in Pinxixi Group's fresh food strategy in just a few words, and Sun Yang couldn't help but not believe it.
It was also a real eye-opener.
Perhaps, there really are geniuses in this world.
No wonder.
Zhang Shuo will be called the miracle hand on the Internet.
Seeing that Du Qingqing was a little disappointed, Zhang Shuo didn't want to overly dampen her enthusiasm. He changed the subject and said with a smile: "Throw aside everything else, the idea of delivering fresh food to your home is fine."
“And it’s quite innovative and advanced!”
“Even if the market is small, as long as it can be operated with integrity, it can still help those who don’t have time to buy groceries, or who find it inconvenient to go out to buy groceries.”
"I just want to say that this cannot be regarded as a main business direction, but should be an auxiliary business."
"Understood!"
After Zhang Shuo said this, Du Qingqing finally felt a little better.
"Then let's continue to talk about the procurement issue."
As mentioned before, a very important feature of the fresh food industry is that the industrial chain is very long. Taking vegetables as an example, there are at least four or five links from the time when farmers harvest the products from the fields to when they are served on consumers’ tables.
This is only limited to local vegetable farmers.
If vegetables are transported from other places, the circulation process may even double.
In fact, with the industrialization of vegetable planting, transporting vegetables from other places is the mainstream. In many places, the supply of local vegetables cannot meet the needs of consumers at all.
If Pinxixi wants to implement its fresh food strategy, it is bound to work hard on the procurement side.
that is--
Intermediate circulation links should be reduced as much as possible.
After all, Du Qingqing was not Wu Xia Amon. He quickly regained his composure and then reported, "On the purchasing side, Pinxixi plans to implement an agricultural product broker system."
"Oh? It's interesting. Please tell me in detail."
Zhang Shuo's eyes lit up.
"One of the great features of fresh food is that there are many categories. The broad categories alone include vegetables, fruits, seafood, eggs, poultry, meat, etc. This does not include subdivisions, which is even more exaggerated. Another feature
, that is, they are widely distributed geographically, and most of them are not large-scale planting or large-scale breeding."
"The traditional offline solution is to use intermediaries such as second-tier dealers and wholesalers."
"The so-called agricultural product brokers can be regarded as second-tier dealers in the Internet era. They must connect with growers/breeders and the Pinxixi platform at the same time. They must be able to go to the fields to purchase, and must understand the Internet and be proficient in it.
Open and operate an online store in Pinxixi.”
Although, with the increasing popularity of smart phones, ordinary farmers can also use mobile phones to shop online, use Weixin to chat, send videos, and watch short videos.
But the threshold for opening and operating an online store is obviously much higher than this.
Not to mention farmers, they are just some traditional second-tier dealers. If they are not young people, they may not be able to use the Internet, but they are accustomed to the traditional way.
This requires the participation of new farmers.
The agricultural product brokers proposed by Du Qingqing are undoubtedly one of the new farmers.
"Can!"
Zhang Shuo agreed very much and said with a smile: "It seems that Mr. Du has really put a lot of thought into it."
Du Qingqing smiled sheepishly.
"When it comes to agricultural product brokers, I have some new ideas, just for reference."
Zhang Shuo was also very talkative.
"You say!"
Du Qingqing opened his notebook seriously, ready to record at any time.
Even senior executives such as Lu Kai.
Anyone who has worked with a big boss for a long time knows that any new idea can often open up new ideas.
Absolutely full of useful information!
“With the popularization of 4G and smart phones, the medium for Internet information dissemination is accelerating from text and pictures to more intuitive video dissemination.”
This chapter is not finished yet, please click on the next page to continue reading the exciting content! "This can be seen from the rise of new formats such as video websites, short videos, and live broadcasts."
Platforms such as Xiaopozhan and ShouShou are also beginning to emerge.
"So, in the e-commerce shopping field, will it be impacted by such a change in communication methods? I think it will, for example, live streaming to bring goods."
In the original space and time, Mobao began to test the waters of live streaming and selling goods at the beginning of 2016. It should have been planning and researching and developing in about 2015.
Zhang Shuo's idea is indeed a little ahead of his time, but it is definitely not too ahead of his time.
After all, it's just an idea.
need.
Just walking in front of Ah Li.
"Live streaming? Is it similar to TV shopping?" Du Qingqing was a little skeptical and instinctively resented the TV shopping model.
"Yes and no."
Zhang Shuo explained with a smile, "Essentially, live streaming is exactly the same as TV shopping, except that the platform is changed from a TV station to a mobile live streaming platform."
"But it's not a simple copy."
"Compared with TV stations selling fixed products at fixed times and using rigid models such as telephone ordering, the Internet's live broadcast of goods is undoubtedly more convenient and more imaginative."
"TV shopping is more like advertising and is suspected of deception."
At that time, everyone was complaining about how the live broadcast of goods was a scam, but everyone knew that TV shopping was the originator when it came to scamming consumers, and the food was even more ugly.
I've never seen anyone selling anything serious. They're all just trying to trick you.
"Live streaming is different from selling goods. The live streaming platform and the shopping platform are one and the same. Consumers can place orders while watching the live broadcast, which is convenient and fast."
"And there are no restrictions on the products you can carry. As long as they are sold on the Pinxixi platform, they can be recommended. In terms of quality, as long as the platform strictly controls it, it is actually more guaranteed."
Although the original space-time live broadcast has been criticized in various ways, its existence itself cannot be denied.
The so-called existence means reasonableness.
In terms of communication mode, live streaming is indeed an instant hit for traditional e-commerce shopping.
"The most important thing is that live streaming can break through geographical restrictions. Just like the agricultural product broker system that Pinxixi plans to establish, if agricultural product brokers can start live broadcasts in the fields to visually display the vegetables and fruits grown by farmers to consumers,
Can it play a better publicity role?”
The live broadcast of Yuan Spacetime has received the most praise from the official media because it actually helps farmers.