E-commerce is the only way for traditional lighting dealers

E-commerce is the only way for traditional lighting dealers


The data shows that in 2010, the online e-commerce transaction volume of China's household building materials was about 22.8 billion yuan, accounting for 2.27 of the entire decoration home building materials industry; in 2011, the online e-commerce transaction volume of household building materials reached 28.2 billion yuan, accounting for 2.34; 2012 In the year, the online e-commerce transaction volume of household building materials reached 45 billion yuan, accounting for 3; in 2013, the online e-commerce transaction volume of household building materials reached 70 billion yuan, accounting for 3.74. From the perspective of the online market as a whole, the growth trend is obvious. The main reason is that offline home-based enterprises and online shopping platforms are actively promoting the journey of home electric shock. The main reason for the small scale is the large resistance of the traditional offline channels and the lack of experience in the purchase process. From a long-term perspective, the status of home e-commerce is becoming more and more important and its transaction scale will be larger and larger.
In 2009, Qumei Home established an e-commerce platform. It can be said that this is the first touch-through attempt by traditional channels in the building materials and home furnishing industry. It was once controversial and viewed by industry insiders as an adventure that could harm its traditional channels and agents. But in fact, it opened a direct channel from the factory to the consumer. It can be said that this attempt is still gratifying.
In 2012, the only luminaire in the headquarters of the FromEMKT.com.cn center held the industry's first, the leading mall e-commerce theme of the only mall launch ceremony. In his speech, Sudan Xiao said that as the benchmark enterprise for the development of e-commerce in the lighting industry, the only lamp to create an online and offline three-dimensional marketing model, launched the first self-built e-commerce platform in the industry, based on the offline experience center and online sales O2O The new marketing model, through the combination of the three major systems of online shopping platform entity experience store customer service support center, successfully solved the three shortcomings of e-commerce platform, logistics and terminal after-sales service in the lighting industry.
In 2011, Fusenmei Home Online Mall launched, relying on Fusenmei Home's multiple physical stores, multiple vendor resources and brand resources, positioned as the best B2C online home shopping platform in the west, experienced the initial store scene display, group purchase Promotion, expanding to the online and offline O2O model, consumers can achieve online selection, offline selection, online shopping, offline experience.
In 2012, after the failure of Red Star Meikailong in the trial operation of O2O e-commerce platform, Hongmei Mall, it still insisted on investing heavily in the revised online shopping mall. In 2013, it changed its name to Xingyi Home. Wang Qiqi, assistant president of Red Star Macalline and executive vice president of e-commerce at Xingyijia, said in an interview with the media that the idea of ​​Xingyijia is to make a difference with Red Star Macalline products, to be cheaper and more popular, and To take advantage of the Red Star Macalline hypermarket and after-sales service.
In 2013, the home of the 100-storey store was officially involved in the field of e-commerce. The new online platform, which was named online, was held on the eve of May 1st in the first investment promotion briefing at the Juran Building, attracting more than 80 manufacturers and dealer representatives to attend the event. Actually, Wang Xiaokang, the general manager of online, said that the online operation is based on the middle and high-end, and the O2O model is the entry point. The principle of the same business entity, the same brand, the same price and the same service is adhered to. Building materials industry B2B2C platform vertical class online mall.
Just in the lighting brand manufacturers, home furnishing stores have entered the e-commerce, while the lighting dealers in the middle and lower circulation of the building materials industry are slowly moving forward in a difficult way. In the home building materials industry, most companies basically adopt the agency distribution model, which forms a triangle relationship between factories (brands), dealers (agents) and stores. To put it simply: the store rents out the operating mall, the agent pays the rent and sells the goods, and the manufacturer supplies the agent and supports the security system. In 2013, as the property market regulation entered the deep water period, the downstream home building materials market was weakened. The sales of various brands' terminals declined and profits shrank. This was followed by various contradictions. One of the outstanding ones was the problem of home sales and rent. A building material brand agent who did not want to be named said that a few hundred years ago, a 150-square-meter store was opened in the home store, costing less than 100,000 yuan. Nowadays, there is no such thing as 700,000 yuan, and it is an indisputable fact that the cost of opening a store is rising year by year. In addition to rising raw materials and rising labor costs, the more important factor is that rents are rising. According to industry insiders, the increase in operating costs of commercial real estate, coupled with the strong position of home stores, has led to a rise in rents for large home stores of no less than 10 per year.
In the case of open source hopelessness, to survive, there is only throttling. Recently, the contradiction between home building materials manufacturers, dealers and stores has often occurred, because the decline in product sales can not afford the store rent, many well-known brand dealers have evacuated the home store. According to media reports, more than 10 lighting brand dealers such as Wrigley, Faenza, and Siwei have recently withdrawn from the Red Star Macalline Home Store. In fact, this is just the tip of the iceberg. The burden of distribution channels has become the last straw for crushing home building materials.
In the era of e-commerce, the game between manufacturers, dealers and stores is no matter whether it is C2C mode Taobao, B2C mode Tmall, Jingdong Mall, or O2O model building materials information treasure, Qijia network are in full swing. In the past few years of development of Tmall Mall, the annual turnover of lamps and lanterns has increased at a rate of 400. Faced with huge network temptations, the luminaire enterprises that rushed into Tmall Mall are also a bee. However, the lighting dealers want to There are still many obstacles to the real era of e-commerce.
On the eve of the double 11, including the Red Star Macalline, the home of the country and other 19 major home stores jointly boycotted the Dolby Mall's double 11 activities, furniture 50% madly succumbed to death. These 19 major home stores clearly stated that it is strictly forbidden for any merchant to spread or promote the double 11 activities of other e-commerce lines in any form in the store; strictly investigate and deal with merchants using Alipay POS machines to make sales online; strictly prohibit merchants from being factories in other Order delivery installation on the e-commerce line. At the same time, the store also set up corresponding penalties for the behavior of merchants to promote and participate in the double 11 activities in the store. The purpose of the hypermarket is very clear, that is, the free sample room that is not experienced under the online store.
In the current sales pattern of downstream manufacturers in the lighting industry, the storefront stall mode of professional stores still dominates. This traditional style of relying on retail sales is not keeping up with the trend of the times. In order to ensure the product's richness and market coverage, the merchants adopting this model are getting bigger and bigger, the product inventory is more and more, the store staff is increasing, and the profits are getting thinner. As a result, some dealers began to try to transform e-commerce channels, from the traditional wholesale agent's high service cost expenditure, and directly face consumers through low-cost sales platforms. The O2O e-commerce model combined with the offline store and the offline store poses a huge threat to the traditional hypermarket operating channels. Once consumers have developed the habit of purchasing home improvement building materials through the O2O e-commerce platform, then the line The upper platform realizes the control of the precise passenger flow of the home building materials, and the effect of the traditional home store on the lighting dealers will gradually weaken. This result is the most unwilling to see in the large stores, so the large stores prohibit the merchants from using the days. Cat Mall does double 11 activities, on the other hand, it also actively builds its own e-commerce platform to ensure that it has a place in the future competition.
There are only unchanging vendors, and there is no fixed market. The market information is ever-changing, and the Chinese lighting industry has experienced stages such as factory direct sales, regional distribution, and brand agency. In this process, any model does not exist alone. Enterprises will choose different channels according to their own characteristics. Moreover, with the development of the enterprise, as the market changes, the enterprise will make corresponding adjustments. Whenever companies make adjustments, dealers are usually in a passive position. The relationship between manufacturers and merchants has always been very subtle, both game and cooperation. Whether it is for producers or distributors, it is an indisputable fact that market competition is becoming increasingly fierce and profits are getting thinner. Both manufacturers and businesses hope to reduce production and operation costs, compress the intermediate circulation of products, and seize a broader market share, all of which are difficult to achieve in the traditional channel mode. The powerful channel marketing function of e-commerce has provided new support for enterprise transformation. Many brand lighting manufacturers are actively exploring and deploying. The early lighting e-commerce model mainly focused on B2C mode. Brand lighting manufacturers such as Jiumu Lighting and Zhongyu Lighting established their own official direct sales stores on B2C platforms such as Tmall and Jingdong. This model directly impacts offline dealers. The interests, and can not solve the problems of installation, return, after-sales service, etc. after the online shopping of lighting products. The e-commerce model of the later lamps gradually developed into the O2O mode combined with the online store and the offline store. For example, the only lamps and Anhua lamps have established their own official online malls, Jiumu lamps, Zhongyu lamps, Wrigley lamps and The tripartite website cooperates to explore the O2O model. This model can enable manufacturers and merchants to achieve a win-win situation in a short period of time, avoiding the problem of inconsistent online and offline pricing. However, in the long run, once the lighting manufacturers have mastered the control of distribution channels, traditional lighting marketing The model will undergo a huge change. From the current agent distribution system to the franchise system or the factory direct system, the lighting dealers will gradually lose their voice and become the franchisee or sales company of the manufacturer. The lighting industry will enter the oligarch. In the era, a small number of lighting brands occupy most of the market share, and most small and medium-sized lighting manufacturers will be eliminated.
E-commerce channels have become an inevitable path for lighting dealers. Although e-commerce has not yet become the mainstream of the lighting industry, in the e-commerce channel, brand lighting manufacturers, strength dealers, and large stores have actually launched a battle. Among them, brand lighting manufacturers and large stores are the most active and active, and most of the dealers are afraid to make e-commerce channels with great fanfare. Especially the brand lighting agents can not put the products without the authorization of the manufacturer. To sell online, generally only by the manufacturers to establish an e-commerce center, unified coordination, unified pricing. In this situation, dealers should also actively seek change, so as not to become a victim of channel change. The defects of the traditional channel model have been highlighted. The circulation system of the layer agents, together with the rising rents of large stores, has led to a decline in the competitiveness of products in the end market, and the opacity of product prices has caused consumers to lose trust, e-commerce channels. It has become the only way that lighting dealers can't avoid. At present, some brand dealers have made good performances in this way. Melaleuca is a very representative example. It was originally used in the B2C platform such as Tmall and Jingdong Mall to engage in furniture e-commerce sales. To build the O2O e-commerce model that combines online and offline for the self-built Merlot home e-commerce platform and offline experience hall. In this way, from 2008, in just a few years, it has achieved annual sales of 10 billion. It has to be said that the potential of e-commerce is still huge.
For general lighting dealers, it is almost impossible to establish a platform like Melody, but if there is no e-commerce thinking, as the online market will continue to swallow the offline market, most of the future The days of lighting dealers will be getting more and more difficult. The online and offline O2O mode is the future development trend of home building materials e-commerce. With the development of online home e-commerce, the price of household products will be more transparent, and consumers can more directly contact brand agents, the entire distribution system presents More flat, lighting dealers should actively use the existing network platform to explore the O2O model that suits them, establish a circulation system for large warehouses, reduce operating costs, improve service levels, and avoid being challenged in the future. Eliminated out.

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