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New Retail Time Wood Floor Industry Enters Electric Business Still Need To Overcome A Lot Of Difficulties.
- Apr 07, 2018 -

Entities to e-commerce, to new retail.

Before 2010, the terminal dealers almost is the only sales channel, wood floor enterprise owners are keen to hold a variety of offline store sales promotion activity, so much trouble before celebrate and holiday planning activities, to the stores is dressed up. If it is a chain store, it will cost more money and manpower, and even need temporary workers to send out flyers, publicity, customers, shop fronts and artificial publicity.

Although the model still exists, it has become a branch of many sales channels in the wooden floor industry. From pure physical stores to e-commerce platforms in recent years. Internet marketing is becoming more and more obvious, the sales channel and marketing mode of wooden floor industry also have great change.

In 2016, the "double a" shopping section, nature household flagship store with bear the flagship trade index above 4 million, advocate material shop deals in home outfit index ranked the first and fourth. These offline brands, all with over 100 million yuan of final volume, improved the e-business record by N levels.

Just "double eleven", already enough to explain online sale to wooden floor enterprise brings huge benefit. Internet greatly, and so did the wood floor industry overall economy, but according to the development of the trend, that all the wood floor enterprise can instead of the traditional off-line stores, transformation of electric business platform? 'no,' Mr. Ma said.

At the hangzhou cloud conference, ma proposed that the era of pure e-commerce has passed, and the new vents are the "new retail" mode centered on user experience, which is online + offline + logistics.

The simple e-commerce or the simple physical store model will be eliminated, the combination of the two is the general trend. Online sales will be a boon to traditional industry progress, but never an alternative. The online and offline sales model must be open to each other. Online communication needs to be responsible for the online communication.

In the context of the Internet, online shopping is becoming more and more popular and convenient. E-commerce is almost always the path of the offline industry, the wooden floor industry will not be the exception. Follow the wind to enter the wood floor enterprise of electric business is not a few, but transform pattern this matter, it is very painful to the enterprise. Shop, transportation, return and replacement are unavoidable pain points, wooden floor enterprises want to smooth the entry of e-commerce, there are still four problems to overcome.

One, the price difference is big.

Sales prices in different regions are different, and online platforms make all the prices public, which has a great impact on the wooden floor industry. On the e-commerce platform, also is the real wood floor, some merchants set the price at 500 yuan/square meter, some merchants set the price at 80 yuan/square meter. Lower prices tend to make it easier for consumers to gain an advantage when consumers don't see the actual product. The lower the price of the online wood floor, the more profit the merchants will make.

Second, the cost is still high.

Wooden floor companies without price advantage can't avoid optimizing search engines and advertising campaigns, which are no less expensive than the cost of an activity at a physical store. Advertising alone accounts for about 25% of the cost.

Besides, the floor has the characteristics of heavy warehousing and heavy logistics, which needs to solve the problems of logistics, warehousing and distribution. The "household" delivery is already Tmall mall for compulsory requirements of building materials business category, wood floor belongs to the heavy stuff, which lead to the transportation cost of wooden floor is very big, probably account for about 20% of the cost, not including increasing refund less in extra spending, etc. If you add other costs, you're already losing money.

3. More after-sales problems.

On the electric commerce this road, wooden floor industry still is affected by product homogenization problem. The color and texture of wood floor are similar to the texture, which causes consumers to be unable to carry out the real right on the line, like goods and expectations are not in line with such problems. Physical stores, enterprises can increase the value added through the model, can sell the price with service and quality. But on the Internet e-commerce platform lacks the actual display effect, high-end products are difficult to find the market.

The only electric business platform is to simply provide the picture of the product on the website, such as effect of category, specification, model, price, consumer's display is closer to a recent VR technology, customers can all-round perspective of view between example on the site. But in fact, many customers can only feel the effect of such an effect, which is very different from observing the product in person.

4. Anti-counterfeit merchants.

Because of the many loopholes in the development of e-commerce, it is inevitable that some bad merchants will start to sell fake goods and win at a low price. And undesirable businessman selling fake goods, make quality goods floor's reputation has also been a certain degree of damage, in addition to face these problems, partial businessman detachments and attention to prevent fake goods.

Future market warfare.

The emergence of the above channels inevitably leads to the declining sales of traditional dealers, which is undoubtedly a trend. However, we see that under the change of new retail, there are still a large number of enterprises and dealers who are not fully aware of the market changes, and are still used to working hard on the traditional path.

In nanxun, changzhou and other regions, a lot of wood floor enterprise continues the traditional model, the national market cross cut into ten sections, respectively by the business personnel in charge, each month on a business trip around the city building materials market, part of the terminal dealers still sit in the store, waiting for the customer the door, they may have found that fewer and fewer guests into the shop, but don't know how to break through.

Whether admitted or not, the new retail era has arrived, and enterprises must establish a multi-channel mode of sales in time, and the dealer channel will never create a high explosion. In the future, the terminal dealers will gradually move to the business model of service oriented and sales.