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E-commerce practice exercise
"Boutique" PK "All Varieties"

Dangdang and Joyo are both B2C e-commerce websites, but there are still some differences in the detailed marketing model. "All varieties" mode and "excellent products" mode have their own advantages and disadvantages. They choose the right business model according to their own needs.

Joyo. Com has been developing along the low-cost "boutique" model. Joyo.com's first big deal after its opening was to sell books, videos, software and other products at amazingly low prices, which made Joyo.com achieve impressive results one year after its opening. At the same time, in order to ensure the low price, Joyo.com also customized its own products, with integrated production and sales, which increased the profitable space. Its sales slogan and price of "Ten Yuan Genuine VCD" are only typical examples of 2 yuan's "A Chinese Odyssey". Among them, the daily sales volume of a Chinese Odyssey VCD exceeds 5000 sets, and the total sales volume exceeds 100000 sets. At the same time, in order to ensure the low price and delivery service in place, Joyo has always maintained a "boutique" model. In the second half of 2000, Joyo. Com adjusted its own products, removed the products that were not easy to sell, and made it clear that it only did the business of most people. Joyo's warehouse district. Only one-third of Dangdang. Joyo. Com only deals in thousands of commodities, while Dangdang has reached 200,000 commodities.

Dangdang has implemented the "full variety" model from the beginning, and Amazon is also the representative of the "full variety" model. The advantages of the "full variety" model are: it can provide customers with extremely rich products and basically meet all the needs of customers; Large-scale operation can reduce the average cost; The risk of backlog of goods is scattered; Disadvantages are: more resources such as manpower, financial resources and warehouses need to be invested; In addition to the increase in investment, management costs have also increased; It is easy to make mistakes in operation. On the contrary, the advantages of the "boutique" model are: supplying products with large market demand with relatively few resources can meet 80% or 90% market demand; The operation is relatively easy; Can guarantee the service and quality; Less varieties and more sales, bringing economies of scale; Disadvantages are: it can't meet all the needs of customers, and customers are likely to flow to businesses with full variety mode; The risk of backlog of goods is concentrated.

B2C e-commerce enterprises should analyze their own characteristics, don't blindly follow suit, and choose a business model that suits them. At present, large-scale e-commerce enterprises with relatively sufficient domestic funds and sound distribution networks can operate and develop in accordance with the "full variety" model. For example: Dangdang. The operation of "all varieties" mode needs advanced and convenient settlement methods and perfect distribution system. This kind of enterprise provides a large number of commodity catalogues through the network, and customers can easily query and choose, and then order directly online. E-commerce enterprises deliver goods to customers through their own distribution systems. However, at present, most local e-commerce enterprises can't meet the software and hardware requirements for the development of "all varieties" mode, so it is not suitable for the development of this operation mode at this stage. Second, for most local e-commerce companies with weak comprehensive strength, it is more suitable to engage in "boutique" mode of e-commerce. In this way, you can follow the "28 Law", that is, do 80% of your business with 20% of your energy. The successful development track of Joyo before it was acquired is worth learning from many local small and medium-sized e-commerce enterprises. Now Joyo.com, after being acquired by Amazon, has made the "high-quality goods" bigger and more complete, and suddenly increased the variety of goods to hundreds of thousands.

Expand other profit models besides B2C.

Dangdang is not bad in the field of B2C development, but after all, it is an excellent competition with Amazon acquisition. If you are tough, you will lose both sides.

Joyo, acquired by Amazon, has become Amazon's main online store in China. The main development direction of Joyo is B2C online retailing. Joyo's business will be more in line with Amazon's global expansion strategy in the future. At present, Amazon has websites in the United States, Canada, Britain, Germany, France, Japan and China. Except China, Amazon's sites are located in the most developed areas in North America, Europe and Asia.

Dangdang pursues its own personalized e-commerce development model, and blindly copying it will be unacceptable. Three years later, Dangdang did not fall behind in the direct competition with Amazon China, and the gap between the two is gradually increasing. Some ideas put forward by Dangdang are gradually accepted and imitated by more foreign enterprises. Many of these actions are worthy of attention.

Dangdang has developed into the leader of B2C in China. We should do a good job in e-commerce, not stick to the rules, and constantly look for a way out for development. Dangdang is not willing to develop only in B2C, but also tries to develop in C2C. Although the C2C payment method of Dangdang Bao Technology, which was launched separately last year, was suspended due to operational problems. Yu Yu, chairman of Dangdang, said that the staff of Dangdang noticed these problems in the early investigation, but found that C2C was not simple in the later actual implementation. "In the long run, Dangdang is of great significance to Dangdang." Although the profit model of C2C is still unclear, Yu Yu believes that C2C can bring users and traffic to Dangdang at present, and also help to improve Dangdang's business. Yu Yu admitted that in the short term, C2C will not become the main income source of Dangdang. "However, after five years, it may catch up with B2C."

At the same time, the wap e-commerce network of mobile internet sites has also started to operate, which will bring a good development trend for mobile commerce, but there are also some risks. However, Dangdang's goal is long-term, and the number of mobile phone users and the development prospects of mobile commerce are relatively positive. Only by being prepared before the opportunity comes can we really grasp the opportunity.

Online shopping is convenient, and you can buy things without leaving home.