How to get rid of the Chinese style predicament of B2C e commerce in small and medium sized enterpri

The noun

not unfamiliar, not what tracing the roots, B2C is the business to consumer online shopping mall! So simple, this business can be a traditional plant, can be a traditional stores, can even be in your home that convenience store C is ordinary consumers. In this paper, I put forward the Chinese style B2C in the end what does that mean?

let’s see a phenomenon, from the end of last year to early this year, B2C e-commerce industry is the first to describe the hot, Suning Gome announced launched its own online mall, after Baidu Jingdong international venture capital, after Taobao is small sellers have Amoy many big sellers want to build their own B2C mall. Therefore, it can be said is the leading enterprise of venture capital of small and medium-sized enterprises herd, again and again, B2C is the most richly endowed by nature of the cost advantage; B2C e-commerce industry is the most profitable business model, this is precisely the best excuse the concept of these small and medium-sized enterprise B2C project on the line. That’s what I call the Chinese B2C.

B2C has a cost advantage richly endowed by nature? No, this is purely digital game, in the apparel industry as an example, the general business entity after the product is produced, with 30% of the gross profit standard ex factory price, terminal to about 3 times the rate of increase sale, and B2C are known as cut off the flow of intermediate links, directly to the 60% ~ about 70% of the pipeline cost benefit to the consumers, so as to realize the huge price advantage. Literally, it is true, but if the cost structure of B2C decomposition, and with the physical cost structure match, you will find that this is just a digital game.

with its own brand of B2C enterprises, the average ROI value of 1:2.5, advertising costs accounted for 40%, plus operating costs, logistics costs, payment settlement costs, which account for at least 10% more than the sum of the two, 50%, or even more. These two costs, in fact, assume the function of the pipeline in the physical retail. Retail, consumer buying behavior in the counter, so the operation cost, logistics cost, payment settlement cost is not; retail, large passenger flow of the store itself, the brand has to solve the problem of passenger traffic, so the mall Koudian, its purpose is similar to that of B2C advertising, but B2C and entities compared to more out the hardware and software of call center cost two.

so, if the quality of the products, 60% to 70% of the cost of pipeline entity, and B2C60% the cost of sales (advertising, operations, logistics, hardware and software, call center, payment collection cost) be roughly the same. Of course, if the product quality is poor, the production cost control, then the price will be a little lower, with VC money to help cover the losses of the enterprise, between B2C and entity, should be able to spread out 10% ~ 20%, but it must be stressed that this price is not have long-term sustainability.

therefore, if B2C has its own natural price advantage, and is one of the most promising profit model >

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