The three characteristics of the new retail of hom

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Three characteristics of new home retailing connected with the times are not unknown

in 2017, new home retailing almost achieved the spread and development of "universality", but the whole home industry is still plagued by many false concepts and unclear models. Therefore, we must start from the core competitiveness of "new home retail" and find out the correct way for home enterprises to embrace "new retail"

just recently, the circulation industry promotion center of the Ministry of Commerce released the first "new retail" report, which defines new retail: that is, new retail is a comprehensively reformed commodity trading mode with consumers as the core, efficiency improvement and cost reduction as the purpose, and technological innovation as the driving factor. And this special report issued by the national ministries and commissions after the first-line market research by five doctors is enough to show that "new retail" has become a new economic phenomenon

in another month, Ma Yun's new concept will be "one year old". Yiou home also mentioned in the article on the 30 day countdown to the GIIS 2017 home furnishing industry innovation and development conference. From the perspective of the industry, since 2017, the hot word "new retail" has caused an "uproar" in the home furnishing industry. Whether it is the Internet giant or offline home store that first proposed this concept, It is also an active listed home furnishing enterprise and small and medium-sized home decoration start-up companies, which are actively embracing this new concept

then, how to distinguish the real "new retail" from the "action" of the enterprise? What kind of spark has come out of the collision between home furnishing and "new retail"? Today, we will focus on the three characteristics of "it" by taking the different playing methods of "new home retail" enabled by Alibaba and JD as examples

the new home retail with various concepts cannot be divorced from the essence of "emphasizing experience" and "emphasizing delivery" and the impact height of digital display.

in Ma Yun's vision, the word "new retail" represents "Online + offline + logistics", which seems to be no different from the traditional online and offline integration, but the meaning behind it can not be solved by traditional interpretation alone. So, the first question we want to ask is, what is the real "new retail"

in terms of definition, Alibaba Research Institute believes that "new retail" refers to a data-driven pan retail form centered on consumer experience, which is relatively simple, A report from Orient Securities added that "new retail is a comprehensive upgrade of o2o under the broad model. New retail = Online + offline + logistics, and its core is the comprehensive access to consumer centered data on membership, payment, inventory, service, etc."

for enterprises, it doesn't sound difficult to achieve the above points, but it's not easy to operate. Taking platform companies as an example, they must build the ability of online and offline integrated operation, strong big data aggregation and analysis, build consumption scenarios and key supply chain integration to bring consumers a new retail experience. To achieve this, It is inseparable from the excellent delivery capability of the enterprise itself

Alibaba has made moves to embrace "new home retail". Omni channel, digitalization and supply chain have become the key.

tmall, as a B2C platform under Alibaba, has always been a key role for Alibaba in the home decoration industry. In August 2016, the original tmall home furnishing was officially upgraded to "tmall Meijia", marking the transformation of Alibaba from an e-commerce to a brand service provider, mainly providing customers with one-stop home furnishing, home furnishing, home appliances and other multi category services. From the perspective of the whole home decoration system of tmall, it mainly has the following five characteristics:

1) wireless. First of all, Alibaba has a very large wireless customer base. Jiang Fan, the head of tmall home improvement, said in March this year that the combined wireless customer base of Taobao and Alibaba has reached 439million. With the increasing wireless coverage, having a large customer base and operating the wireless terminal well will become the core competitiveness in the future

2) data. The biggest feature of the data age is that data is equivalent to competitiveness. The reason is that data contains a lot of mineable resources. Through data analysis and research, we can better mine potential consumers

3) content. At present, tmall home improvement has made changes in the content of brand promotion. Instead of blindly indoctrinating the brand, tmall home improvement uses content to lead consumer demand, which is consistent with the content of "building brand value instead of selling goods" emphasized by Alibaba executives

4) Omni channel. Omni channel is a word that comes to mind immediately when the industry mentions new retail. For tmall, it means that it can fully connect the online and offline channels of goods and stores with many brands, supplemented by self built logistics, to solve the problem of users' last mile

5) supply chain remodeling. In terms of supply chain, Alibaba and tmall's approach is to integrate business resources, promote brand development through word-of-mouth communication, and then use the capabilities of artificial intelligence and big data to create an intelligent and efficient supply chain system. At the same time, it also has the opportunity to push brands to change their supply chain and production methods

it is understood that Ali will also launch a new home retail project "home times", which will soon be launched in Hangzhou. Its core logic is that in the early stage, it will collect data and conduct statistical analysis on passenger flow, and create a home life selection store in the form of data-based selection. In addition, its offline stores will be equipped with large screens, VR, etc., to create the prototype of a new retail smart store in an online + offline Omni channel way

in the technology transformation, JD broke the "new home retail" situation by using service upgrading, technology empowerment and open logistics system.

in the home furnishing industry, JD, which is committed to the technology transformation, mainly focuses on technology empowerment, service upgrading, open logistics system, intelligent supply chain efficiency improvement and other aspects:

1) providing scenario support. At present, JD home decoration has launched two kinds of tools, "design help" and "store help". The former can help consumers realize WYSIWYG by using scene reconstruction, which will help businesses provide user conversion rate; The latter provides businesses with Omni channel development opportunities of online and offline integration

2) service upgrade. On the other hand, JD home furnishings has also upgraded the services of merchants by opening the logistics system and multi-point accurate touch, and also provided them with more accurate traffic

3) smart supply chain improves efficiency. This mainly depends on the competitiveness of JD's intelligent data system and technology. According to yiou household, by the end of August, the number of cooperative brands of household decoration category on JD platform had exceeded 33000

from the perspective of the way tmall home improvement and JD home improvement enable "new retail at home", the expanded high-pressure chamber provides an ideal buffer. Both sides focus on the supply chain and channel construction. The difference is that tmall has more inherent advantages in terms of data and wireless, which has also become its focus; JD will be more attractive in terms of logistics system

from the perspective of their diverse "enabling" methods, the "enabling" new home retail of platform companies mainly has the following three characteristics, which are also the three starting points for home enterprises to truly embrace "new retail" in the future:

feature 1: online and offline integrated operation, e-commerce brands go deep offline, and physical enterprises move online

at present, consumers' needs are no longer limited to pursuing personalization and customization, It also puts forward strong requirements for the intelligence, fashion and functionality of the product. Moreover, the channels for users to obtain product information and the ways of decision-making have also become diverse. This means that users in the context of new consumption no longer regard spatial experience as the only way for them to contact with household products, but need household enterprises to build a two-way and omni channel scene presentation from online to offline

therefore, e-commerce brands in the home furnishing industry also need to go offline, while physical brands should also take the initiative to go online and eliminate: eliminating the experimental consequences is also an important reason why many home furnishing listed companies have launched e-commerce and Internet channels. This just illustrates the key point - online and offline integrated operation has become the general trend for home furnishing companies

feature 2: reconstruct all commercial elements in people, goods and the market, and get through the consumption experience in an all-round way

in addition to the omni channel construction, the customized services required by consumers actually give all platform and technology companies a good development opportunity - the value of big data will be better reflected. Zhang Yong, CEO of Alibaba group, made a systematic exposition on new retail on the "double 11" in 2016 - new retail is a new commercial format formed by reconstructing "people, goods, fields" and other commercial elements through big data and Internet

what does this mean? In the view of yiou household, on the one hand, with the opening of online and offline data, household companies can create customized services for users with the help of their accumulated consumption data, and make predictions based on their consumption behavior and future consumption hotspots and product innovation direction

on the other hand, home furnishing companies can also enhance user stickiness by building scenario based consumption experiences (such as VR live experience) and provide consumers with a more novel service content, which will greatly improve the product presentation efficiency and effectively shorten the time for users to select products. This may be the meaning of Zhang Yong's words about reconstructing the tripartite relationship and scene of "people, goods and field"

feature 3: restructure the supply chain system to meet consumers' all-round demand for quality and personalization

due to the full display of users' diverse and personalized demands for products, it will undoubtedly increase the difficulty in manufacturing and production of home furnishing companies, which will push home furnishing enterprises to further improve their capacity of flexible manufacturing and customized production, and the supply chain system will be reshaped

in addition, home furnishing companies must also have the ability to deeply integrate products or build a "big home" system, which can not only expand market coverage, but also meet the needs of users for the unity of home furnishing style. At present, many enterprises have reached multi brand strategic alliances with each other, which is also a good way to "restructure"

generally speaking, as far as the retail format of the home furnishing industry is concerned, it is still in the development stage of extremely scattered market and unbalanced regional development. 4 when it is necessary to query the test results of samples or sample groups that have been stored in the machine, there are still problems such as high repetition rate of product styles, weak industrial innovation and frequent occurrence of false concepts. In addition, the size of many household items is quite large, the style options are not rich enough, and the whole industry is fragmented, which also brings a lot of resistance to the development of household "new retail"

it is true that the emergence of the concept of "new retail" has injected a new vitality into the home furnishing industry, but the diffusion of this concept may be slower than we thought. However, what is certain is that the home experience business based on high-quality products and services will probably get a good development in the future. Therefore, it is necessary for home enterprises to grasp this transformation opportunity and do not let the opportunity go by in vain

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