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Detailed Analysis Of Eight Classic Business Models In China

2012/3/11 16:04:00 3

Chinese Commercial Fashion

What is the most important thing to start a business? I believe most people's answer is one word: "money!" but a lot of enterprises that have won VCs have failed, so we can see that the most important thing is not money.

First of all, we must look at the ability of money, that is, mode, then the ability to use money, and finally make money.


1. fast Internet convenience store


Representative company: fast book bag


Innovation: all goods are guaranteed within 1 hours.


Core logic: to meet the "fast" demand of customers in urban business circles.

In order to meet the needs of fast delivery, unlike Jingdong mall, Hainai, Amazon and so on, the express book package shortens the supply chain and divides the overall logistics and distribution capacity of the city into 1 hours of delivery area.


Profit mode: mainly through the difference of goods to earn money.

At present, the average daily order volume of the fast book package is around 200, and that of 1 months can reach 10 - 200 thousand, and the gross margin of book industry is 15% - 20%.


Case description:


There are two characteristics of the fast book package. One is to make boutique books and a small number of user favorite small daily necessities, to abandon the long tail market; the two is to take "fast" as the core experience of customers. In the three main cities of Beijing, Shanghai and Guangzhou, no matter where the customers are, they can receive goods within 1 hours after placing orders.


Most of the best books selected by the fast book package are best sellers.

Its books have three main categories, one is the reference books such as Xinhua Dictionary, gastronomic cooking and so on; one is Han Han and Guo Jingming's best sellers of Post-80's writers; three, they are worthy of recommendation to urban white-collar workers, such as "Reading Library" and "listening to several meters singing".

In addition to books, the commodity category of the fast book package has gradually extended to the exquisite leisure snack foods that white-collar workers like.


In order to achieve 1 hours door-to-door delivery, in addition to commodity category selection, the most important thing is the construction of logistics system.

For this reason, the express book package has built a logistics distribution station with a radiation range of 5 kilometers in the urban areas of Beijing and Shanghai.


Reference points:


  

Quick book bag

One is against the "comprehensive mode" of many e-commerce, focusing on "narrow demand". The investment structure of light assets that can be duplicated is infinite. The input of the whole fast schoolbag focuses on the rental cost and personnel salaries of each distribution station, which belongs to the typical light assets investment. According to the needs of the office customers, the pre screening mechanism for books and other commodities ensures the probability that the goods will be loved by the customers after being on the shelves.


Comment:


Huang Gang, chief consultant and deputy general manager of Hansen century supply chain management consulting (Beijing) Co., Ltd.


The fast book package will turn the big logistics into zero logistics, and the main investment will be very little investment on IT.

In China, when the cost of manpower is cheaper, the business model of the fast book package can be highly replicable.

The pattern similar to the fast book package has the gifted Web: the community e-business, which delivers the dishes like milk.

The later package can be a small logistics platform, not only to send their own goods, but also to send other people's goods.

This mode has a high demand for distribution staff.


2. network sharing shopping


Representing the company: enjoying China


Innovation: young people collectively spend money on shopping.


The core logic is to locate the target user group in the office workers who are in the school and entering the workplace, introduce the fashionable and fashionable quality products, and adopt the paction mode of sharing shopping, which satisfies the consumption pattern that consumers spend "small money" to do "big things".


Profit mode: advertising promotion fees and bidding costs of businesses.


Case description:


  

Enjoying China is

The first B2S (business to share) shopping website in China adopts a shared business and experiential business mode. It refers to a group of people who have common interests and hobbies. They choose their favorite products by enjoying the Chinese platform, and each person pays a small fee (such as 1 yuan) on the Internet. The accumulated money can just pay the price of the product, and then pick out a lucky person from these people, and the lucky person will own and experience this latest trend.

If it is not pumped, every sum of money (such as 1 yuan) will be converted into an equivalent score accumulated in the account, and will be converted to commodities in the mall at 1:1 ratio.


Many participants found that this is a good place for entertainment and games.

However, this business model also has its limitations: first, the commodities it experiences are limited to special commodities, such as the latest digital products with high concern, signature products, etc. Secondly, the mode has not yet formed a relatively stable profit model. Whether it can achieve sustained profit growth remains to be tested by time.


Reference points:


The combination of shopping and collective entertainment caters to young people's shopping needs and entertainment psychology.


Comment:


  

Shi Chun Ming

(chief partner of venture capital)


The mode of sharing shopping is more suitable for young people.

In addition, due to the less commodity category, it is difficult to obtain economies of scale through commodity sales. It can consider bundling cooperation with some large comprehensive e-business and complementing resources.


3. social networking E-commerce


On behalf of the company: everyone likes to buy


Innovation: social networking serves as a shopping guide.


Core logic: consumers exchange experience in social networks and influence other people's shopping behavior.


Profit mode: share with other shopping platforms, return to advertising.


Case description:


Everyone likes to buy.

Renren net

The long term promotion platform is currently offering product shopping guide.

The homepage provides B2C enterprise display advertisement and all kinds of single product promotion information. Users click directly into the cooperative e-commerce page to purchase and pay.

At present, the cooperative businesses include Jingdong mall, van guest, Taobao mall, red children, Yintai network (micro-blog), Holle, etc.

The platform's biggest advantage is traffic resources, and it has access to homepage, log book, photo album and public home page.


Reference points:


Consumers can exchange shopping experience after shopping, and others can feedback in the community.

To a large extent, this communication and feedback affect the shopping behavior of Internet users, and turn the power of word of mouth into the power of sales.


Comment:


  

Yan Yan Chun

(Chairman of Fuji Technology Co., Ltd.)


The Internet business circle is evolving, forming core business circle, sub business circle, marginal business circle and long tail business circle.

But there is no doubt that the popularity of social networks is strong. Social networking will become the golden section and core business circle of the Internet business circle.

More and more retailers should use social networks to consolidate old customers, increase new customers and eventually increase sales.


4. direct survival of agricultural products


Representative company: dolly farm, Shanghai


Innovation: organic agriculture + e-commerce + membership system, direct passenger compression intermediate links.


Core logic: using the Internet to build self access channels, organic vegetables harvest in the field, bypass the supply chain broker, agents at all levels, retailers and other four or five links, directly to the table.


  

profit model

Traditional vegetables trafficking, 80% of the profits in the middle link, Dolly built its own e-commerce and part of the way of logistics, saving this part of the cost.


Case description:


At the beginning of the operation of Dolly farm, the operation principle of "compressed intermediate links" was determined. Finally, the mode of direct selling was chosen, and the member's pre-sale mode was adopted, that is, members should pay in advance in advance in the month, half year or year.


The sales channel of Dolly farm mainly concentrates on three directions: first, the large group buying member units, such as the China Europe International Business School (micro-blog), Baosteel, Shanghai stock exchange, National Accounting Institute and other large enterprises and institutions, and the two is to face the general public in the form of gift cards or coupons, and to recruit new individuals and family customers through the form of interactive activities in high-end residential areas. Besides, it also makes use of the official website's e-commerce channel to direct sales.

At present, in the sales volume of Dolly, the three kinds of channels occupy the proportion of 4:4:2 respectively.

By the end of 2010, Dolly farm had more than 20 group buying members, about 5000 ordinary members, basically covering all the current capacity.


Dolly introduced the Japanese black cat Yama multi house emergency logistics as a partner. The distribution radius covered half of Shanghai. The vegetables were collected from the pick up to the last member's home, and the intermediate process did not exceed 24 hours.


Reference points:


Since the purchase of more than ten vehicles and logistics companies jointly operated, the cost per unit reduced to 20 yuan, and the distribution cost accounted for only 15% to 18% of the total income.


Comment:


Chen Xiaoping (venture capital management partner)


Organic agriculture is a practical exploration of sustainable agricultural development. Dolly borrowed the sales mode and cost control of other industries to help it achieve rapid sustainable growth and expansion.


5. silver industry circular operation


Representative company: affinity source


Innovation: integration of pension services, pension members and housing.


Core logic: the pension industry is a sustainable development industry. The idea of affinity source is to build a good platform and circulate operation so as to achieve the goal of continuous increment.


Profit mode: the income of affinity source mainly comes from two pieces, one is annual membership fee and all kinds of service charges, the other is the circular sales of housing, which is the core.


Case description:


The affinity source pension industry project is a concept of the community. The old age estate and the pension service are the first choice in the chain of the old age industry.


In terms of providing for the aged, the traditional pension institutions use the service items in the scope of self operation, and the affinity source is to integrate the resources that are highly specialized in the market and meet certain service concepts and standards, and form a service platform.

Affinity sources are only suppliers' coordinators.

The operation of the project is entirely market-oriented.

Many professional service enterprises have been launched into a relatively large and perfect service system.

For example, the American Elmar company specializing in the elderly community, the French SOS company providing catering services, the Hongkong meglaffe, the management fitness club, the Shuguang Hospital and the Shanghai University for the aged are all involved in the service platform built by the affinity source.


In the real estate for the aged, the elderly can get a sexual intercourse fee and have the right to use the house (without the right to buy or sell) through the contract. These old people can realize the pfer and inheritance of the right to the use of the housing through the contract.

However, the annual fee of 30 thousand yuan to 70 thousand yuan will be paid every year after the check-in, and the cost of utilities and the services will be paid.

They issue two kinds of membership cards for the market.

Ginkgo A card, that is, one-time payment card fee 500 thousand yuan permanent use and inheritance, pfer, and then pay an annual fee of 15 thousand to 50 thousand yuan per year (according to the size of the house); Ginkgo B card, that is, one-time payment of the card fee 350 thousand to 650 thousand yuan (according to the size of the housing type) for personal life, and then pay 20 thousand yuan annual fee per year, if not 15 years, can be converted to a monthly proportional refund of part of the membership fee.


Today, there are more than 800 members of affinity sources, and about 580 households, which can accommodate about 1500 households.


Comment:


Li Shujun (principal partner of Zhixin capital)


At present, the innovation of the pension mode, management mode and service mode is a problem that many pension enterprises have not solved, but the affinity source has done it.

I believe that the profitability of the pension industry is a long-term thing.


6. core value derivation mode


Representative company: Yunnan Baiyao


Innovation: add the magic effect of Yunnan Baiyao to other mature products.


Core logic: Baiyao formula added to "mature products", so that Yunnan Baiyao miraculous curative effect in a fully competitive product market to play a new effect.


Profit model: sales revenue of "two wings products".


Case description:


To make Yunnan Baiyao's product innovation have market value, it is necessary to infiltrate the secret formula into those products that have been highly recognized by consumers.

Yunnan Baiyao abandoned the concept of "core competitiveness" and changed the confidentiality of Baiyao formula into other products' additives.

Forming a series of "two wings products" (Yunnan Baiyao ointment, Baiyao band aid, cosmetic products and Baiyao toothpaste) have re demonstrated their unique resource value in these competitive markets.


In terms of competition strategy, the strategy of "coercion" is adopted.

Yunnan Baiyao focuses on the effect and combines its advantages with other global leading technologies to achieve the goal of jointly innovating products and developing new markets.

Yunnan Baiyao only does core technology research and development, while other production is handed over to the best OEM providers in the industry.


Because of the intervention of "Yunnan Baiyao", market competition rules such as band aids have been changed from pure hemostasis to therapeutic level, which has upset the traditional competition mode of band aids and other products.


Reference points:


Adopt OEM to reduce market risk; cooperate with other enterprises; change the rules of the game of value chain.


Comment:


Xiang Bing (president of Yangtze River Business School)


In the era of global competition, whether a company can make strategies based on its core competitive resources, whether it can establish the competitiveness of sustainable core resources, and whether it can continuously enhance the company's innovation ability, all these problems can be attributed to whether the company can establish a unique resource integration capability.

For this reason, the company's strategy must strive to apply its core resources to all the markets that help form the competitive advantage of the product, or to enter the new market to improve the market value of the company's resources.


7. fast grafting strong enterprise wisdom


Representative company: Baer letter


Innovation: imitate IBM smart earth, and put forward the "China Version of smart earth" solution.


Core logic: seize the opportunity and find opportunities in the business model innovation of strong enterprises.


Profit model: selling solutions to cities.


Case description:


Smart earth was first proposed by IBM, which means the Internet of things is formed through the information collection terminal, and then integrates the "Internet of things" with the existing Internet, radio and television network and communication network to realize the intelligent integration of human society and physical system.

But IBM's smart earth solution has never had a solid product landing.


The Baer letter company in Shenzhen discovered business opportunities, relying on two core technologies in visual identification: one is the intelligent behavior analysis technology based on network pmission, the other is 3D modeling and virtual networking technology based on 3DGIS, followed by the introduction of the "China Version of smart earth" concept.


At present, the "China Version" smart earth program has just been implemented for more than 1 years. Baer has reached a cooperation agreement with nearly 10 cities such as Tianjin and Zhuzhou, and has won hundreds of millions of Yuan's large list. Some cities have entered the implementation stage in early 2011.


Reference points:


Baer began researching and developing related technology 3 years ago, and found a breakthrough in business mode by IBM.


Comment:


Cao Yuhui (deputy general manager of Jiayin international investment)


In terms of technology, Baer's letter did not occupy the absolute advantage, but he was better at doing it earlier than before, and changed his business mode quickly.

When we look at the project, we attach great importance to the sense of smell that enterprises grasp on the market.


8. leading the standard competition


Representing Enterprises: beautiful


Innovation: participation in the formulation of national standards / industry standards.


Core logic: changing or reestablishing standards to control future rules of the game.


Case description:


Midea Group is the initiator or lead draftsman of the national standard / industry standard such as the air conditioning health standard, microwave oven evaporation standard, small household appliance energy efficiency standard, and the group leader of standardization working group of national household appliance fans.

During the "11th Five-Year" period, the United States participated in the formulation of 152 national standards / industry standards, including the international standards of electric pressure cookers, the leading health standards for air conditioners, and the initiators of the "original flavor preservation" standard for refrigerators.

The United States pioneered the idea of "original preservation", and opened a "fresh keeping campaign" with the original flavor fresh boundary series new computer three cycle four temperature zone refrigerator products. It declared that only the refrigerator with the original taste which did not taste bad, no smell and no smell was the true meaning of the fresh-keeping refrigerator.


The United States refrigerator is also home appliances to the countryside products "12 years free repair" and then tree industry service benchmark.

At the same time, the United States is also the service standard initiator of the washing machine "3 years free repair".

The practice of changing standards has kept the United States standing at the forefront of the industry trend.


Comment:


Xu Dongsheng (Secretary General of China Household Electrical Appliances Association)


Upgrading the enterprise standard to the industry standard means that the standard of cleaning service developed by the United States has a greater impact on the market practice and promotion and application, and has promoted the upgrading and pformation of the whole household appliance service industry.

In the next few years, the focus of the business model of the household appliance industry will be shifted from marketing to after sales service.

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