The wind of carrying goods by live broadcast has brought destruction to e-commerce


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Article / Director
Source: ID: World of boss
Produced by: Science and technology group of Yuanchuan Research Institute
Perhaps the most successful double 11 in history came to an end.
Despite the impact of the epidemic, by extending the period and other means, this year’s double 11 hit a new high of Gmv, and tmall and Jingdong platforms together won nearly 800 billion sales. E-commerce, the subversion of offline channels, has fully demonstrated its muscles in the cold winter. However, behind this unprecedented high number, e-commerce is also ushering in a new Subversion: live delivery.
Jiangsu, Dongfang, mango and other major satellite TV stations have held “6.18 party” to highlight the strength of live broadcasting with goods; Weiya, Li Jiaqi and other live broadcast talents have continuously created new sales records; major stars have gone to the sea to make the mobile phone screen a new arena for Huashan to discuss Swords in the entertainment industry. Contrary to expectation, Kwai Chung’s announcement of the listing is a fire for double 11: the electricity supplier GMV reached 109 billion 600 million in the first half of this year.
This is a strong voice of live e-commerce industry. In just two years, a new trillion market is emerging. The end of star brands and the high sales data make traditional e-commerce, traditional manufacturing industry and even the whole business community have to pay attention to this new force. An observation incision with wind vane significance is the sales change of large household appliances industry.
As one of the most channel dependent industries, the large appliance industry has experienced a large-scale shift from offline to online in the past 30 years, and has directly led to the confrontation between JD and Alibaba. This year, however, Dong Mingzhu, chairman of Gree, who once said that he attached great importance to offline broadcasting, joined the live broadcasting army in person, and he has been doing more and more. In May, the sales of the Kwai’s single hand hit 300 million, the first World War became famous, and the subsequent sales increased to several billion.
Some people accuse Dong Mingzhu of “different opinions”, which is a little sour lemon. For entrepreneurs, the first guarantee is that “where consumers are, enterprises will follow.”. Dong Mingzhu is a “ashes” salesman, who has experienced the previous changes in domestic sales channels: from “personal salesman”, to “dealer, chain store” and then to “e-commerce online”. How can Miss Dong, who has a sales oriented feature, Miss Dong miss the change of “live delivery with goods”.
Liu run, a scholar, once commented that “only Dong Mingzhu has found the essence of live broadcasting with goods”. The important reason is that Dong Mingzhu and Gree Electric appliances have witnessed the establishment, development, growth and even decline of all channels. The change of Gree also shows that live delivery is becoming a new wave in the field of sales.
Nowadays, it is no longer a question whether live delivery can work or not. However, the situation of “paying 100000 pit fees for 3000 sales” from time to time in the industry has brought new core problems: how should enterprises and brands meet this opportunity? In fact, this answer can be found in the history of the changes and collisions of the previous sales channels. This paper will also explore from four aspects
01. Lack: the era of singles for salesmen
02. Good: the dispute between agency and chain
03. More: destruction of e-commerce
04. Shopping: the secret of live delivery
Lack: the era of singles for salesmen
In 1990, at the age of 36, Dong Mingzhu left his hometown of Nanjing and came to Zhuhai to join the “Haili” air conditioning plant (the predecessor of Gree), and challenged a job he had never done: a salesman.
During this period, China is in the process of transforming from a planned economy to a market economy. Both the supply of goods and the demand of the people are breaking out rapidly. However, in one word, business in this period is still lacking.
Most of the products are lack of brand image, and the quality of various manufacturers is also mixed. By 1994, only 20% of the products have reached the international ISO standard certification. In addition, the underdeveloped communication network and inadequate information transmission make consumers and businesses have a poor understanding of the products. Therefore, the salesman of the manufacturer has become an important part of the sales channel.
They are not only the stethoscope of the market, but also the flyers and revenue grippers of enterprises. They are the lubricant of business operation. In the time of rash and rashness, the salesmen gave their talents to each other. Some rely on the amount of alcohol; others rely on pomegranate skirt, and Dong Mingzhu, who has just entered the industry, can only wear yellow ball shoes and carry a yellow schoolbag, choosing diligence and persistence.
High intensity of learning, so that she quickly familiar with the pros and cons of each product, but also master the skills to deal with different customers. More than a year later, her sales talent broke out. Her sales volume rose from 1 / 8 to 1 / 6 of the company’s total. She also held several reports to teach her experience.
Dong Mingzhu’s success is not an example. In the 1970s, Jianlibao’s father, Li Jingwei, also became a salesman when he was 36 years old. He carried rice wine from Sanshui to Foshan and other surrounding cities every day to promote sales along the street. He rescued the dying distillery and became famous with Jianlibao.
In the 1980s, Zong Qinghou worked as a salesman in a school run factory. He pedaled his tricycle to sell stationery and soda water for several cents, and he got his first pot of gold. After founding Wahaha, Zong Qinghou is still in the forefront of sales. A group of entrepreneurs such as Shi Yuzhu, Ren Zhengfei, Liu Yonghao, etc. have laid a foundation for their business by running business in the early stage, which is also known as “salesman school”.
Like ants, salesmen look weak, but in the era of shortage, they have become the key bridge between products and consumers, delivering goods to thousands of households in batches, making their own wealth and becoming an important force in the manufacturing industry. However, the spring breeze of “ant delivery” will soon turn cold.
Good: Agency versus chain
In 1994, Gree’s sales volume reached 300 million yuan, and its performance was getting better and better, but its team was unstable.
The salesman thinks that he has made great contributions and hopes to get more rewards. However, the company believes that its products are well-known and the importance of technology research and development is increasing. It plans to reduce the proportion of sales commission and distribute its wealth to other departments. Finally, more than a dozen sales backbones resigned. Dong Mingzhu, who remained, became the head of the sales department and initiated a reform of the sales system.
In front of Dong, there are three choices: “province, city and county” agents, chain stores and self built channels.

Although the agency model has the advantages of “the middleman makes the difference”, it has three advantages. At that time, the main goal of the enterprise was still to do a good job in research and development, improve quality, and form a brand. Relying on distributors can reduce the energy and capital of channel construction; at the same time, the “aorta + capillary” sales network of “province, city, county, town and village” can be realized by layer by layer agent. In addition, local dealers are more familiar with local culture, play home advantages to win consumer trust.
In short, the agent is the lever of the production enterprise, which raises countless consumers.
Who knows the benefits of dealers. Aido VCD, founded in 1995, has the principal to expand its production through the prepayment of distributors; at the sugar and Wine Fair of food and beverage, the dealers were crowded and won the world. Metersbonwe, peak and so on, all grab the urbanization dividend at the speed of hundreds or even thousands of dealers every year. Even today’s big sales of OV mobile phones, but also rely on sinking to the third and fourth line of agent stores.
After the reform, Gree no longer relies on the remaining 20 or so salesmen, and only relies on dozens of “big” dealers to complete billions of sales. But the conflict between “King” Gree and “aristocratic” magnates followed. Since 2001, Gree has been in conflict with big dealers in Hubei, Anhui and other places with irregular behaviors. However, the “aristocratic” riot is nothing. The real crisis comes from the impact of “civilian channel”.
Since the early 1990s, Gome, Suning and other chain stores have developed rapidly due to their focus on household appliances consumption demand. One of the secret weapons they fight against from the agent system at all levels is “good”, that is, to provide consumers with a better shopping experience.
For example, Gome provides free delivery to Beijing and suburban counties, and after customers come to the door, there must be “welcome sound”, “question and answer sound” and “farewell sound” within three meters. Similarly, Suning also provides home delivery services. Suning has also done a lot of homework in making up for the “missing” information symmetry. In the newspaper, Suning listed the wholesale and retail prices of major brands and models of air conditioners in detail, and promised to sell at the lowest price.
This practice broke the “chaotic” situation of profit sharing among businesses. Compared with consumers’ honesty, the shops with more than 200 square meters were crowded with people. The development of chain stores is naturally hindered by agents. Gome entered Tianjin and was blocked by a “Consortium” formed by ten shopping malls in Tianjin; Suning was also blocked by the United Fleet of eight shopping malls in Nanjing.
But consumers’ love of low price and the feeling of service experience are real. Gree, Chunlan and other products have been sent to the chain store. However, the experience of “chungmei” and “chungmei” has become an important channel because of the conflicts between them. However, the needs of consumers have not been met, and a technological force is about to stir up sales.
More: destruction of e-commerce
Reviewing the history of e-commerce, “SARS” in 2003 is an unavoidable topic. There is no doubt that the epidemic has spurred an explosion of demand for online shopping. But in fact, with the economic development, offline shopping experience has gradually been unable to meet the needs of consumers.
Compared with 1992, China’s per capita disposable income has increased nearly three times, and material richness has been greatly improved. For example, in the mobile phone market, in 1997, there were only five manufacturers with sales of less than 20 million units. However, by 2002, there were 37 manufacturers and 130 million mobile phones. Goods are no longer scarce, “buy” is no longer worth showing off, “buy right” is the key. As a result, the focus of consumer demand has gradually shifted to “multi”: multi brand, multi comparison.
At that time, in order to buy a mobile phone and a computer, it was quite normal for consumers to spend three or four days in Zhongguancun and Huaqiang Beili for shopping around the city. Obviously, offline stores cannot meet consumers’ demand for “more”. As a result, at the time of SARS, Taobao, which supplies small commodities to the whole country, and Jingdong, which supplies 3C products to the whole country, were established one after another and developed rapidly with the popularity of the Internet and computers.
Although the financial crisis broke out in 2008, at the beginning of the second year, Jingdong obtained more than 20 million US dollars of investment, becoming the largest financing in the industry. Liu qiangdong, who just won Zhongguancun’s “Hailong mansion” and got the money, immediately expanded the category from digital to big household appliances, pointing to the hinterland of Suning Gome and other chain stores.
Zhang Jindong is not idle. In August 2009, Suning online shopping mall officially changed its name to “Suning e-buy” to comprehensively open the Internet strategy.
In 2010, e-commerce was listed in the work report of the government. The industry and the investment community have reached a consensus that e-commerce will replace offline channels:, an offline bookstore, went public at the end of the year, and all the objects of “I am I am not, I love I don’t love” have been popular in the media, and Sequoia Capital, the king of venture capital in Silicon Valley, has successively invested in haole buy, which replaces offline shoe stores, and online services Masamaso.
Offline retail growth has continued to decline, and Jingdong is brewing a “big killer.”. Jingdong thinks that Suning’s gross profit rate of 25% is unreasonable. Just as the chain stores reduced the sales level and replaced the agents, Jingdong will also replace the offline chain stores to further reduce the sales expenses. As a result, on August 14, Jingdong launched a fierce price war on Suning.
Jingdong has set up a “strike Suning headquarters”. For the same goods, the price of Jingdong is lower than that of Suning Gome. Jingdong does not suffer from price war. Without rent and other expenses, the cost would have been about 10% lower. Moreover, we can improve the business performance through high turnover. One yuan can run 100 times, which is higher than 10 yuan for five times.
Suning, on the other hand, is constantly missing opportunities in online and offline online online and online, as well as product pricing conflicts and other factors. In Suning desperately resist at the same time, other offline channel merchants are also confused and anxious.
Wanda Howe, an offline life giant, has been throwing thousands of dollars into the market. In 2012, we launched the “ten thousand Recruitment” to search for talents in the e-commerce circle. By the end of 2103, Wanda’s “Wanhui network” was launched. In 2014, Tencent and Baidu also came to the scene, and “Teng million” jointly launched

On the eve of double 11 in 2013, conflicts broke out in the home furnishing industry. 19 hypermarkets, including red star Macalline and incredibly home, jointly issued a statement, strictly forbidding merchants to use e-commerce POS machines to do online sales and not to display e-commerce logos. Everyone angrily said: even if the e-commerce white whoring venues, but also to steal money, it is too unfair.
With the improvement of logistics system, information network, brand image, consumer cognition and other factors, as well as consumers’ habit of online shopping convenience, the sales channel will be compressed inevitably, and no one can stop the torrent of e-commerce era.
At the beginning of 2016, China’s e-commerce sales reached more than 300 billion yuan, becoming the world’s largest e-commerce country. In the same year, Teng million unfortunately broke up, and Wanda’s e-commerce strategy failed; Gome, which was in prison, had already missed the battlefield; and according to the data from, the Ministry of industry and information technology, Jingdong has surpassed Suning and become the largest home appliance seller in all channels.
However, the e-commerce giants who have destroyed the traditional sales channels and enjoyed the halo of pursuit in Nasdaq may not have expected that they will be surpassed one day in a few years.
Shopping: the secret of live delivery
In 2010, when e-commerce broke out, Lei Jun took several colleagues to drink millet porridge in the office, which opened the domestic wave of intelligent machines rolling. With the proliferation of 4G base stations, the Internet users’ mobile Internet access time is also increasing, and surpassed the PC terminal in 2012. Big guys Marvel: Mobile Internet era is coming. Jingdong and Taobao have launched app versions one after another. However, the changes brought about by mobile Internet are far more than changes in the form of surfing the Internet.
Smart phones make the time of Internet access more fragmented, use scenarios more diversified, and information transmission faster; at the same time, after 30 years of development, China’s commodity supply has been very rich, and the general needs of consumers are fully met. With the integration of mobile Internet and material supply, consumers’ shopping has gradually entered a new stage: from being sure what to buy to being uncertain about what to buy, in one word, it means “shopping”.
The demand for shopping comes from various fields: when you brush the circle of friends and see your friends’ bags, you will ask where to buy them; if you read the articles shared by others, you will want to buy the same one. And the biggest demand for “Xinfadi” is now the biggest outlet, live mobile phone. At first, mobile live broadcast was mainly for entertainment, but the scene that perfectly meets human audio-visual needs, plus the good feeling and trust formed on the basis of interaction, naturally derived from the shopping guide and purchase demand.
In fact, the shopping demand at this time is already different from the background color of previous years. Maslow pointed out in the pyramid of human needs that when the basic physiology is satisfied, higher-level human needs will continue to be released and become the main factors to be met, such as entertainment, respect, happiness and belonging. When these elements are met, “wandering” shopping needs will also be activated.
On the fast track of the Kwai Fu representative, there are always old fellow “iron” and “family members” names, such as “old iron” and “family members”. There are certain celebrations, specific themes, and some fans even dress up according to the fans’ suggestions. These are all satisfying the needs of entertainment, respect, happiness and belonging.
Live delivery, due to the huge user base and better meet the needs of users, is becoming a rapidly developing sales channel. The most significant change is in the field of household electricity. In May 10th this year, Dong Mingzhu Kwai Kwai held GREE special, and joined the two owners of the fast couple. The sales volume of 310 million is close to the annual performance of Dong Mingzhu online store last year, which can be said to be the first shot of 3C live delivery of home appliances.
Before this, Dong Mingzhu has always attached importance to offline, and has stated that “or not quite agree with live delivery”. The driving point lies in the epidemic situation, and its offline sales almost stagnated in the first quarter. For this, Dong Mingzhu called on the company, “we are facing a major choice, which is how to do next? Now you have to go out. It’s a cognitive shift. ”
After the success of the fast track, Dong Mingzhu began to live on multiple platforms and broadcast the Kwai live tour of GREE. The turnover of this year’s 618 was over 10 billion, becoming the “Queen of goods.”
However, the biggest significance of Dong Mingzhu’s carrying goods is not Gmv, but “educating” the industry. As she said, my biggest change is to let our tens of thousands of exclusive store dealers wake up and know that we must combine online and offline more perfectly in the future. Many dealers have already felt the online value.
Theoretically speaking, live delivery is inefficient. Because users’ purchase demand is uncertain, there is no reason why they have to buy. They just “stroll” until they encounter good categories, interesting scenes, touching factors and trustworthy anchors. Maybe ten or even a hundred live broadcasts can stimulate a user’s desire to buy and gain a user’s trust. But in the long run, it is also a high return, which can harvest a batch of loyal fans.
The rapid rise of a number of ordinary anchor, just like the salesman in those years, once again formed the ant soldiers. This year, during the double 11 period, 1 million 480 thousand fans have fast hand digital anchor, Yang million, and single live GMV over 17 million, only RedmiNote8 Pro a mobile phone business reached 11 million 450 thousand Kwai. The anchor is becoming a “salesman” in the new era. Compared with before, the live broadcast has stronger real-time interaction and more users.
Based on the pain points that Kwai can’t send, the fast hand set up 3C digital home appliances live broadcast base in Hangzhou, so that small and medium-sized businesses can broadcast live on base. The anchor, “Linyi air conditioning sister”, owns two old fellow buyers of electrical appliances in Linyi, Shandong, and has 180 thousand old fans. Before that, she had been broadcast live in her own stores, with a single sales of less than 10000. However, in the Jiubao base, on the night of November 10, it achieved a single sales of more than 50000 yuan.
It can be said that in the past, live broadcast was less than ten thousand, and the heart was tired. Now there are Kwai Fu, a base and old fellow, and a live broadcast has been on top of five games. There was a lot of energy all over the body, and the customers had a good time.
The end

Although ancient China has always attached importance to agriculture and restrained commerce, every time the restrictions were loosened, the enthusiasm and enthusiasm of merchants would burst out. As a result, there were big merchants such as Tao Zhugong, Duanmu Zigong, Shen Wansan and Qiao Zhiyong. The same is true in modern society. For more than 30 years, China has formed a variety of sales channels and models, such as salesman, agent system, chain store, self operated shop, e-commerce, live e-commerce, etc.
The essence of the formation and development of each channel is actually the same: improving the efficiency of manufacturers and improving the consumer experience of users.
In the early 1990s, good brands and good quality goods were scarce. Therefore, salesmen traveled all over the country to introduce products and collect consumer feedback. The hierarchical agency system can help manufacturers reduce channel costs, expand production leverage, and sell products more quickly. When the commodities are gradually enriched, consumers want to get a better shopping experience, so offline chain stores emerge as the times require.
The e-commerce platform, with the help of the logistics system and reducing the cost of rent, compresses the sales level, so that users can choose more “more” goods if they don’t ship enough. When the material is extremely rich, users like to “Browse” in the mobile Internet When we are in the market, Kwai and so on live with the goods, further closer the distance between the producers and consumers, letting users “fun” and let the products no longer be cold, but a brand story with temperature, which touches consumers.
In the past few decades, the best way for consumers to buy food tickets is to buy food tickets. In the process of development, a number of hardworking entrepreneurs and generations of consumers with strong demand have become the foundation of internal circulation of China’s development. No matter how big the external storm is, it can not stop the Chinese people’s tireless pursuit of a better life.
(statement: This article only represents the author’s point of view, not Sina’s position.)