Can Netease Business Get A Place In The Future Retail Sector?

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It was not long before a shop opened in Hangzhou, and second shops opened on schedule.

Nowadays, the competition field of the big business giants has shifted from online platform to offline, which will not only compete for the share of the retail sector, but also involve consumer life services and major segments.

From the NetEase layout of the electricity supplier has been in the past few years, whether it can win a place in the future retail field?

NetEase koala sets up flagship store under the line

According to the world clothing and shoe net, in January 20th, the first flagship store in the NetEase koala was officially opened in Yintai in77 B District, Hangzhou.

This is the second line store opened by NetEase koala in Hangzhou after last April. It is also its first flagship store under the line.

The store is located in the core business area of Hangzhou, the lakeside business circle, with an average passenger volume of 8-10 000 / day, and 300 meters away is the West Lake scenic area, its location and superiority.

In terms of commodities, apart from the same price as the online and offline prices, the lakeside flagship store also includes beauty makeup, personal care, mother and baby, light luxury, digital home appliances, etc.

The more than 3000 SKU of each popular consumer category.

These products are a platform big data and consumer portrait analysis of shops, selected from hundreds of thousands of imported products around the world, and will be constantly adjusted according to data update.

It is understood that NetEase koala is expected to open 15 outlets in the country in 2019, will accelerate the layout line.

In fact, in April 20, 2018, Tmall International's first cross-border bond line opened in West Lake, Hangzhou.

In April 28th, NetEase koala bought the first offline store - NetEase koala "Hai Tao explosion shop" appeared in Hangzhou Tower Central Mall.

In June 6th, Xiao Hong's first line was set up in Jingan, Shanghai.

In June 8th, Feng Chi Hai's first Wow wow Global Select shop opened in Chongqing.

Koala + Yan election, build NetEase electricity supplier

Since 2018, e-commerce business has continued to grow rapidly, focusing on new consumer groups.

In 2018, NetEase Q3 business income increased 67.2% to 4 billion 460 million yuan, an increase of 2.1%.

But also because the electricity supplier business is still in the investment period, gross profit margins continue to bear pressure, gross profit margin in the quarter was 10%, down 1.5 percentage points over the same period.

In the NetEase's e-commerce business, koala and Yan Xuan have clear positioning, highlighting the advantages of koala and strict selection, and have become the new source of revenue for NetEase's game business.

NetEase only used 3 years to realize the leap of the electricity business from scratch to excellence.

Subdivision, the NetEase koala platform was launched in January 15, positioning consumption upgrade, the category focused on cross-border mother and baby, skin care products, cosmetics and bags, etc., using the buying system, to achieve the "import and local prices" advantage, attracting a large number of users.

Nowadays, NetEase koala has begun to pform into an integrated e-commerce platform, driving the dual expansion of per capita liquidity and user groups.

Three quarterly report shows that in September 2018, NetEase koala MAU nearly 15 million, an increase of 96% over the same period, with a net increase of more than 1 million users in the quarter.

The recent policy favorable cross-border electricity supplier development, koala as a head platform is expected to benefit.

Another platform, NetEase, was strictly selected in April of 16. The order pattern of the company and the factory caters to the trend of new generation of consumers who focus on quality and brand. The category is concentrated on daily consumption related household, Kitchenware and stationery.

At present, NetEase has strictly chosen and steadily expanded SKU. At present, SKU has exceeded 17 thousand, compared with less than 10 thousand in the same period of 2017.

Gon long data show that NetEase koala signed a total of nearly 20 billion yuan purchase agreement with more than 110 enterprises during the fair, and has been around 10 internationally renowned companies such as Australia, Jiabao, Danone and Nestle.

Signed a strategic upgrading agreement, and announced that the koala platform plans to invest $20 billion in the future to conduct direct global acquisitions, including the purchase orders completed during the Expo.

In view of logistics warehousing capacity, NetEase koala announced that the bonded area storage area will be expanded from 1 million 40 thousand square meters to more than 1 million 800 thousand square meters.

In October last year, koala joined the global shipping and logistics leader, Maersk, to achieve strategic cooperation in global pportation and logistics. It will provide more efficient and controllable logistics and pportation services for brands and consumers with its help of its pportation and logistics network in 130 countries around the world, reducing the cost of warehousing and logistics and promoting the continuous growth of cross-border e-commerce business.

In addition, last December, NetEase koala strategic cooperation Vanke logistics, the two sides announced that a joint venture will be established to work together to promote the layout of cross-border electricity supplier storage, and promote the landing and development of cross-border electricity providers in various cities. In the future, the two sides will further cooperate in warehousing, logistics, distribution and new consumption fields.

Retail Transformation: integration online and offline?

As we all know, traffic is the moat of the development of e-commerce platform, and Jingdong and vip.com platforms are affected by the weak growth of traffic, or continue to face the problem of slowing growth. The cross-border e-commerce platform is no exception.

In fact, new retail is combined online, offline and logistics, and there is also experience.

When cross-border electricity providers begin to develop below the line, it seems that a change in traditional electricity providers has already begun.

On January 14th, the Information Office of the State Council held a press conference on import and export in 2018.

At the meeting, Li Kuiwen, director general of the General Administration of customs and director of the statistical analysis department, said that in 2018, the total value of China's foreign trade and import and export amounted to 30 trillion and 510 billion yuan, an increase of 9.7% over 2017.

It has achieved steady growth and led to a new historical high point of import and export scale.

In addition, it revealed an important message: in 2018, the total retail import and export commodities through the customs cross-border e-commerce management platform totaled 134 billion 700 million yuan, an increase of 50%, of which exports were 56 billion 120 million yuan, an increase of 67%, and imports of 78 billion 580 million yuan, an increase of 39.8%.

Next, the General Administration of Customs will further improve the information system of the import and export of cross-border e-commerce, and realize the optimization and upgrading of the functions of tax administration, quota control and declaration management, so as to further meet the needs of customs supervision business of cross-border e-commerce, and better serve the consumers.

As far as cross-border electric business platform is concerned, it is mainly distributed in the form of bonded warehouses or direct mail delivery. Bonded goods can only be shipped from customs special supervision zones or bonded areas. The goods displayed in the online stores are generally dutiable commodities.

For the counters and flagship stores, the advantage of cross-border e-commerce platform is the price performance ratio, so as to seize the market of low purchasing prices for personal purchasing.

However, due to the fact that the major retail outlets are not yet long enough to enter the retail sector, competition is even more intense.

Most platforms choose to invest in the future, and they need to consider rents, human resources and funds.

And Tmall international, Jingdong global purchase, Suning, Xiao Hong book, ocean wharf and other competitors squeeze into the retail market, these may also become the driving force of the market development, may also bring the industry shuffle.

However, it is better to say that this is another escalation of the retail industry chain, rather than the online and offline channels.

In the past, the pformation and upgrading will focus more on quality improvement, industrial chain optimization and ecological circle improvement under the guidance of the Internet and big data.

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