“Where are the opportunities to play in the paradise?”
At the meeting, Huang Zheng first threw out his general charter, and then Gu Yun talked about it.
Gu Yun pointed out that the opportunity for Pinyuan is that for daily necessities, which are "price-sensitive but not brand-sensitive" products, even if they abandon the "social fission" route, for urban youth who are burdened with mortgages, rents and high prices, they are still
Quite attractive.
The premise is that as long as the quality is within an acceptable range.
The executives in the audience nodded in affirmation. Judging from the crowd classification, they were also among the young people in first- and second-tier cities.
In cities, "consumption upgrading" of quality life and "consumption downgrading" of basic necessities coexist.
For consumption that can significantly improve the quality of life in a social sense, they pursue quality and brand, and pursue Internet celebrity stores that focus on design.
For the necessities of living alone, they pursue convenience and cheapness.
This is why in first- and second-tier cities, high-end Internet celebrity restaurants and takeout (occasionally go to the Internet celebrity store to check in and take photos for dinner, and eat alone for takeout) are simultaneously popular. Overseas shopping agents and Miniso (overseas shopping for cosmetics, beauty gadgets
The underlying reason behind the success of Miniso.
The reason why some e-commerce platforms started high and moved low caused controversy is because they blurred the boundaries between the two. From the beginning of both, to the decline in quality control, the two sides did not touch each other, which shows that it is not easy to walk the balance beam.
"Many people say that another target of our Pinyuan Park is Costco, the largest membership-based warehouse chain store in the United States."
Huang Zheng took over Gu Yun's words and said with a smile.
If Pinyuan manages daily necessities such as paper towels, laundry detergent, snacks and roasted seeds and nuts for Chinese households, it may become the Chinese version of Costco.
When Huang Zheng looks to the future, he imagines the future Paradise Park as "a combination of 'Costco' and 'Disney' (that is, integrating cost-effective products and entertainment) driven by a distributed intelligent agent network."
"What we have to do is not just benchmark Costco, but surpass it!"
Huang Zheng is full of confidence.
At first glance, there are many similarities between the current Pinyin Park and Costco:
The products are mainly daily necessities, with narrow SKUs and high sales volume. Single product sales are huge. You can get the lowest wholesale price through group buying.
Provide one-stop solutions for all aspects of household consumption needs.
Costco also allows and encourages people to bring people together and rely on word-of-mouth to expand the number of users. This is also quite similar to Pinyuan's "acquaintances to gain customers".
However, although it is a low-price customer acquisition model on the surface, Costco relies on weekend purchases by middle-class American families, bulk sales of large packages, and private brands to achieve this.
Pinyuan’s “group-buying” relies on the accumulation of social fission and high-frequency repurchase triggered by ultra-low prices.
More importantly, the membership model, the cornerstone of Costco’s business model, is even more difficult for Pinyuan to copy.
Because the core of the membership system is a screening mechanism to drive away low-value users, increase the unit price per customer, and more accurately target middle-class families.
Pinleyuan's shockingly low prices are just the opposite, and only users who are price-sensitive and have low unit prices are screened out.
The success of Costco also stems from its concept of "high quality and low price". However, in China's current business environment, it is almost impossible to achieve "high quality" and "low price" at the same time.
In the early days of Pinyuan's business, it was already struggling to deal with the problem of counterfeit goods, which sometimes caused merchants to come to block it, let alone personally screen out "high-quality and low-price" suppliers.
But now, Pinyuan is currently creating popular products, exporting data to upstream and reverse customization, and enhances its control over manufacturers by reducing intermediate links, thereby ensuring "high quality and low price" or at least not "inferior quality and low price".
This also directly determines whether Pinyuan can achieve an upward breakthrough after "social group-building" encounters a ceiling.
"So, if we want to prove that we can still live well after leaving WeChat, we must fight the Double Eleven battle well."
After Huang Zheng finished speaking, Gu Yun, who was chatting gently about the future, finally showed his sharp edge.
In the field of e-commerce, data and growth will ultimately speak for themselves.
After such a long period of accumulation, Pinleyuan has defeated most e-commerce platforms. As time goes by, the top management discovered that there are not many opponents on the track.
Pinleyuan, who is less than three years old, has already entered the attention of the king in the e-commerce field.
Who is the king in e-commerce?
From C2C, B2C to B2B, Alibaba is active in all areas of e-commerce and has become the absolute leader with more than 60% of total e-commerce consumption.
It can be said that any e-commerce company is Alibaba's opponent, but not everyone can challenge it.
Taobao's GMV exceeded one trillion yuan in 2013, far surpassing Pinyuan.
However, judging from the approach of Double Eleven, Taobao has begun to favor traffic for low-priced products and promote mobile Taobao and family accounts.
Judging from Alibaba’s recent actions, Pinyuan’s influence on it is increasingly obvious.
This is a multi-dimensional battle from time to space.
In several battles without gunpowder, the two sides did not actually exchange fire based on their understanding of each other's stages and patterns.
A Taobao executive once spoke to the media when Pinleyuan was in its early days. Taobao internally believed that Pinleyuan was like a low-end version of Juhuasuan, which was significantly different from the Taobao ecosystem and had no competitiveness.
Whether it is from the perspective of single product operation logic, low-price strategy or group purchase model, Pinyuan Garden is indeed similar to Taobao Juhuasuan, which was launched in 2010, to a certain extent.
But in the short term, this platform with hundreds of millions of users has formed a direct competitive relationship with Taobao from the merchant and user levels.
At the user level, attracting new users and finding new users at all costs is the eternal strategic focus of new players in the game.
An executive from JD.com said that compared to JD.com, Pinleyuan has more exposure to Taobao’s interests, and Pinleyuan’s low-price strategy can attract the most price-sensitive people.
This chapter is not finished yet, please click on the next page to continue reading the exciting content! Most of these people are the main users of Taobao.
At the merchant level, Taobao consists of three core parts: low-end, mid-range and high-end, and scarce goods.
The middle level is mostly the main force of Tmall and the main merchants maintained by Taobao, while high-end and scarce goods are Taobao's barriers.
At present, low-end merchants are most affected by Pinyuan.
The reason is simple. On the Pinyuan platform, merchants do not need to spend more than 30% of the price to pay commissions and operating expenses.
Conflicts between users and merchants may be a continuing theme of competition, but in the process of vigorous development of Pinyuan, it has been difficult to become the fuse of the battle.
In the past few years, Taobao has not taken direct action against Pinyuan.
Because going low-end is also the result of Taobao’s active choice to upgrade its platform.
For Taobao, it is difficult and unnecessary to curb the development of Pinyuan Park through "choosing one of the two" from the merchant level.
The so-called liberalization of low-price commodity traffic is only part of the operational strategy.
Only by stretching the timeline can we see the highlights of this battle clearly.
That is the strategic plan of the two leaders Gu Yun and Huang Zheng for Pinyuan. To a certain extent, they are highly overlapped with the strategic evolution of Taobao, but they are not completely consistent.
Huang Zheng hopes that Pinleyuan will become an online Costco, recommending the most suitable and most cost-effective products to different people, accurately serving different groups of people, reverse customization, and providing highly cost-effective products, similar to the e-commerce version of Doule.
This will involve competition in two dimensions.
One is the method of product distribution, search or recommendation, and the other is the supply chain.
First of all, the search currently represented by Taobao is for users to find products, and the SKU must be large to meet long-tail demand.
What Pinleyuan currently represents is matching, which is finding users for products. It doesn’t have to be a large SKU, but it needs to be liked by users. Furthermore, in the matching scenario, the platform can also guide the reverse customization of the supply chain to deepen the supply chain.
It can be said that the WeChat relationship acquisition, single product operation and hidden search in the early stage of Pinyuan are all prepared for this stage. Massive traffic is concentrated into limited products. Only when the scale is achieved can reverse customization be carried out, greatly reducing production costs.
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In fact, the focus of Alibaba’s “All-in Mobile Wireless” is to meet the needs of thousands of people.
Jiang Fan, the current president of Taobao, has launched Taobao headlines, content videos, live broadcasts, etc. since joining Taobao in 2013.
On the huge display screen, a comparison picture between Pinyuan and Taobao was played. Gu Yun analyzed the advantages and disadvantages of both sides frame by frame, and told everyone about his plan.
The outside world didn't know it, but Gu Yun, who came from the future, knew it clearly. He used his unique understanding to quickly educate the executives on how to play modern e-commerce.
At present, the main body of Taobao is no longer search, which only accounts for about 50%, and it will become lower and lower. More traffic comes from recommendations, live broadcasts, content, activities, etc.
Under the current circumstances, Pinyuan wants to compete with Taobao. First, it can concentrate limited traffic, quickly reduce production costs, and occupy consumers' minds.
The second is to optimize the advantages of social scenarios. Taobao’s homepage makes information flow recommendations based on consumer behavior, but it is not easy for users to perceive their subordinate groups and hobbies. Community dimension recommendation is where Pinyuan should strengthen its advantages.
Gu Yun said that his expectation for Pinyuan is not to become the next Ali, but to become a unique and remembered existence.
After the meeting, all employees of Pinyuan Garden felt as if they had been given a shot of blood and were full of energy.
After losing a huge traffic pool like WeChat, Gu Yun contacted DouLe, which had already been sharpening its skills in Beijing, and re-optimized the API interface between Pinyuan and Pinyuan overnight, trying to make up for the missing traffic.
In the early days of Doule's business, its e-commerce business was only in the testing stage. The launch of Doule's store opened up links with platforms such as Taobao, JD.com, and Pinyuan.
During this period, Doule mainly focused on selling goods through short videos, and transactions mainly occurred on third-party platforms.
In 2013, Douyin began to focus on the development of live streaming and launched the "Douyin E-commerce" business department in the middle of the same year. The e-commerce business entered a stage of rapid development.
In the past few months of development, Doule e-commerce has experienced a process from short video delivery to live broadcast delivery, from third-party platform transactions to gradually building an e-commerce closed loop, and its operational logic has gradually become clearer.
Gu Yun proposed the concept of "interest e-commerce" for the first time at the biweekly meeting, clarifying the business logic of Doule e-commerce.
In the official definition, "satisfying users' potential shopping interests" has also become the core of Doule e-commerce that distinguishes it from other retail models.
Generally speaking, the consumer's mind plays an absolutely leading role in the entire transaction process.
They will choose shopping time, platform and products after clarifying their needs. The biggest role of retailers or e-commerce platforms is to provide sufficient and rich related products in advance.
The logic of consumption with this kind of purpose and relatively clear plan is simply that "people look for goods."
At present, physical supermarkets and traditional shelf e-commerce companies such as Taobao and JD.com generally follow this model, and user consumption is relatively fixed.
However, Doule is a leisure and entertainment platform, and users will not necessarily have any shopping needs when using it.
Therefore, if you want to sell goods on Doule, you need to "stimulate" user demand.
That is, it is clear in advance what content consumers are interested in and what products they may need, and make product recommendations based on this.
This also determines that DouLe e-commerce cannot require consumers to follow the original "search-shopping" consumption path. Instead, it requires consumers to make random purchases in the process of watching videos, which has more of a "shopping" meaning.
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Consumers will also buy more non-essential goods such as clothing, daily chemicals, and jewelry.
Therefore, the recommendation mechanism of Doule e-commerce is based on the matching of user interest tags and video content tags.
In the content recommendation process, consumers’ shopping needs are stimulated through the creation of high-quality content.
In this process, the platform distributes products to consumers through short videos or live broadcasts, so that they can make purchases after becoming interested.
This chapter is not finished yet, please click on the next page to continue reading the exciting content! Statistics from the statistics department show that the average daily usage time of users of DouLe, which is currently booming, has unknowingly exceeded 2 hours.
Calculating a video of 10-15 seconds, DouLe users can watch hundreds of short videos every day.
Utilizing a large amount of video viewing data, the platform can accurately anchor the interests and preferences of each consumer.
In addition, Doule itself has a powerful algorithm recommendation mechanism, so it can achieve accurate recommendation of products.
In fact, when recommended products can arouse consumers' interest, they will facilitate transactions to a large extent.
What deserves more attention is that most of this demand is non-rigid consumption, because there is no clear plan, so there is more room for expansion.
For platform merchants, this business model based on user interests not only taps market growth, but also allows products to accurately reach target customer groups, helping brands achieve precision marketing and improve operational efficiency.
Under the search mechanism of traditional e-commerce, even for the same item, the platform usually displays numerous results at the same time for users to choose from.
Consumers can compare product quality, price, user reviews and other aspects, even across platforms, so decision-making takes a long time.
In other words, behind the high conversion rate of the platform is that Doule e-commerce has created a process that can prompt consumers to make quick decisions.
Therefore, when Doule heard the news that Pinleyuan and WeChat had parted ways, the entire e-commerce department worked non-stop and contacted the technical department to actively connect with Pinleyuan.
They realized that the opportunity had come.
538 will probably be released tomorrow. It has been modified. Don’t worry.
