How Can O2O Save Commercial Real Estate?

According to the "2013 China 50 city complex strategic map" released by World Bank, the total volume of non residential buildings in 50 key cities in 2015 reached 564 million square meters, compared with 2013, the growth rate was 77%.

Some analysts believe that, whether from the national perspective or from the first tier cities, the total volume of commercial real estate has reached saturation, and even some areas have been overloaded. The growth of commercial property in the future will be faster than that of population growth.

In addition, the popularity of the Internet and smart phones, low-cost logistics and distribution services have greatly promoted the rapid development of online shopping, which makes the commercial real estate industry relying on shopping centers, department stores and supermarkets feel a deep chill.

On the other hand, changes in the office market are also showing new changes.

Experts predict that by 2025, 50% of the existing occupational types will no longer exist, and people will be engaged in more creative work.

This means that the existing mode of work in fixed places will change, and the development of the real estate industry should also be homeopathic.

Director of strategic Office of Asia Pacific region, CSB Richard Ellis

The real estate industry, which has always been changing slowly, must change now, that is, from a simple space provider to a planner of experience and the creator of the community, and to establish a "win-win" partnership with the tenants and other participants.

Who can understand the new generation of real estate solutions and commercialize, who will be able to gain greater market returns.

Obviously, the era of winning and winning in the past is past.

O2O provides a good starting point for commercial real estate companies that actively embrace the Internet and take the initiative to change.

The concept of O2O (Online to Offline) was first derived from

It advocates to bring online consumers into the real business space and make the Internet the front line for offline pactions.

And the initial O2O mode of "online ordering and offline consumption" is popular among the catering group buying.

Li Kaifu, chairman and chief executive officer of Innovation workshop, once said: "group buying instructed offline merchants to get local users online, and instructed users to search for local services through the Internet, and paved the way for O2O."

However, whether commercial real estate companies have built their own websites and developed their own APP have completed the O2O layout? The answer is obviously not so simple.

The logic behind the entry point for the pformation of commercial real estate is that the profit pattern of commercial real estate is changing from the past pursuit of sales to the demand of customers, providing high-quality and all-round value-added services.

Only by emphasizing more and more perfect experience and service can we distinguish from other competitors and get customers' "sincerity".

In recent years, the commercial real estate projects named "intelligence" have springing up continuously. Upgrading the quality of service under the technology by means of science and technology has become the common path for developers to move towards O2O.

Wang Jianlin said Wanda's electricity supplier exploration will make Wanda Plaza an intelligent Plaza, serve the business and establish a demand database to enhance the operation of the property.

The "intelligent" upgrading of property services attracts more sophisticated developers.

In the past, most of the income of commercial real estate companies was sold, and the income of property was negligible.

Obviously, the traditional real estate thinking that has long relied on real estate business to subsidize property services has become increasingly unworkable.

Whether active or passive, providing value-added services to tenants or owners, mining community resources and new profit points has become the focus of the current commercial real estate developers.

More developers believe that the existing property will be upgraded to a one-stop service around a tenant group or community residents, such as "rice, oil, salt, vinegar and vinegar tea" and "eat, drink, play and buy". It is not the liquor that is drunk. The perfect service is only the surface, and its inside is more customers.

It is foreseeable that property value-added services with the core of "convenience services" and "community commerce" will continue to ferment and become the focus of competition in commercial real estate.