In 2018, e-commerce business became increasingly difficult to do. In the past few years, or even more than ten years ago, all businesses were easy to do, and you could make money as long as you dare. "Now, as long as you use money to do every business, you will feel upset."
"The reason is that more and more people are doing business, the density is getting bigger and bigger, and the support relationship between consumers and producers is getting weaker ." Talking about the biggest dilemma encountered by all businesses in China at present.
In the face of difficulties, what are the solutions? First, products or services should better meet users' growing needs for a better life. Second, products or services should be highly innovative. Third, we must consider future risks more.
In 2018, business became increasingly difficult . In recent times, the most common ones in Shanghai are entrepreneurs. They all say that their business is worse than last year, and they are more difficult than last year.
This includes several listed companies, and more are entrepreneurs. The most common problem we face is no longer how much money I will invest in this year or how much money I will save, but I don’t know what to do.
Everyone, I guess everyone here will have this feeling. In the past few years, even in the first 10 years, all businesses were easy to do. As long as you dare to do it, you can make money. Now, as long as you use money to do it, you will feel upset in your heart and don’t know what to do.
Whether it is Tmall, JD.com, or Pinduoduo, various platforms are now facing traffic crises. Traditional business models, especially traditional enterprises, are not currently adapted to the strangle of modern Internet.

According to my careful observation of consumers, there have been major changes in China's purchasing scenarios. In the past, many people would purchase things on the ground in the form of personal life experience. However, in the past two years, after the Internet has been tempered, more people buy on sofas, pillows, and toilets.
In these three scenarios, what you have to do is not sell the products to consumers' hands, but to sell the products to consumers' pillows. This brings challenges to many traditional companies, including modern companies. How can I get my products to your sofa, pillow, and toilet through your phone, and then when you sit, lie, and squat there, place an order with your fingers.
This is the biggest dilemma that all businesses in China are currently facing. As far as I know, Tmall invests about 4 billion yuan in China's largest traffic supplier (Toutiao) every year to buy its traffic and then go to Tmall; JD.com also has the difficulties, so where is our traffic generated? This situation will also occur, including Pinduoduo, and more micro-businesses will also encounter this situation.
The entire micro-business has plummeted down, the entire e-commerce has plummeted down, and the entire ground has plummeted down.
One question is whether consumers stop buying things, or is the direction they buy is more fragmented? My conclusion is that there have been very big and earth-shaking fragmented changes in purchasing behavior and methods. Some people buy on the ground, some people buy on the mobile phone and PC, and some people buy on Pinduoduo and Tmall, which has become fragmented.
30 years ago, when a person was doing business, about 1 million people supported him. At that time, as long as you dare not do business, the proportion of businessmen and buyers was relatively healthy. If 1 million people support a businessman, who can’t make a fortune? Ten years ago, there might be only 100,000 people who came to support one business person, so everyone began to compete. Five years ago, there were only about 50,000 people who could support one business person, which was difficult.
Now he is a person who supports a business person and is intriguing with each other. What does it mean? Strictly speaking, people across the country are starting businesses now. Simply put, now is an era of mass entrepreneurship and innovation, and everyone can become a businessman.
There are 1 billion netizens and 900 million merchants, and 100 million are still sharpening their guns. Who is supporting whom? This is a question you need to think about.
Doing business requires considering future risks
If you have money this year, try to keep it in your pocket as much as possible. What is the biggest problem? It’s not just fragmented changes in consumer purchasing behavior, but more importantly, we need to consider future risks. Today, when doing business, we don’t look at it from the perspective of the future market. How much money will you spend? Why do we say that? Yesterday, China Unicom said it would conduct a 5G pilot in 16 cities in China. A few of you here consider the arrival of 5G will strangle all businesses again, and a new business model will come out again. As long as a new business model comes out once, a group of old business models will be strangled.
First, have you seen from the perspective of 5G to see whether the business you want to join in in the future has the foundation for 5G upgrade and iteration? If you do not have the foundation for 5G upgrade and iteration, don’t do it. As far as I know, 5G will be fully commercialized around September 2019, and the Internet changes brought by 5G are revolutionary in many ways of content, traffic, and monetization.
Second, yesterday, Fu Sheng and several others discussed artificial intelligence at the National Conference Center. We are still in a cold observation state of artificial intelligence, but it is already popular on the front-line battlefield. How many artificial intelligence will be strangled to everyone here in the next five years? If you join today, don’t do it based on considerations in the next five years, as much money will disappear.
The most difficult thing to do in business now is that you don’t know what method consumers are using to buy. Don’t talk about how awesome my products are in business now . The products are just standard lines, not competitive lines. Where is the competition line? In terms of reaching consumer scenarios, if you do not have the ability to reach close to consumers in marketing, no matter how good the product is, it will be dead.
Why do traditional enterprises say it is difficult? Because they don’t know how to use the Internet, why do today’s enterprises also say it is difficult? Because they don’t know where to attract traffic, the way of attracting traffic has undergone major changes . There are more and more traffic distribution platforms. In addition to Baidu's traffic distribution, there are also WeChat, in addition to WeChat's traffic distribution, Toutiao, and Himalaya's and other various platforms.
In the past, there was only one platform for traffic, but now it is divided into on-site platforms and off-site platforms . For on-site platforms such as Tmall and Taobao, Tmall and Taobao do not have enough traffic. They need to purchase traffic to our entrepreneurs in places such as Weibo, Toutiao, Qiandao, and Himalaya.
In addition to these changes, we have to face an ecosystem - self-media, which is doing endogenous traffic. Big IPs like Wu Xiaobo, Lei Jun, and Luo Zhenyu will not talk about it for now, but only say that those who do vertical IPs in the field of self-media can support themselves now, and there are more and more people. As far as I know, today's Toutiao self-media Toutiao account has 1.5 million people, and these 1.5 million people can support themselves well. There are nearly 700,000 people in Dayu, and they can provide their own traffic. For example, Du Zijian is an IP. I have 700,000 Toutiao, 1.1 million Weibo, 1.7 million Live broadcast, and 700,000 Kuaishou. There is no problem with so much traffic to support myself. Now more small IPs with more than 10,000 fans are getting up to share traffic, cutting the traffic cake, and giving the traffic to myself.
Such small IPs are forming their own business. I remind you repeatedly:
First, pay attention to the arrival of 5G.
Second, pay attention to the strangulation of artificial intelligence on you.
Third, consider whether you can use traffic. Traffic is becoming more and more fake and expensive. Only your own traffic will not be fake or expensive.
I would like to remind everyone again that no matter how good the product is, it depends on its traffic. No matter how good the traffic is, it depends on its content battery life. A group of little girls sold jade on the live broadcast, and the average one live broadcast was about 1 million. Many children sell their things on Douyin. Recently, it is said that Haidilao has a special Douyin meal. This kind of marketing is so powerful that it can be copied at one time, and then the entire single product becomes a hit.
Everyone not only has their own good wishes in business, but also reminds themselves that there are risks and pitfalls everywhere in business. If it is not based on 5G, artificial intelligence, traffic, and content, don’t do it, you will be looking for death.