E-commerce is "disappearing"

1. There are only two final outcomes for e-commerce

Believe it or not, e-commerce will gradually "disappear" in the next 10 years.

Ten years later, e-commerce has only two endings: either to build a brand or a technology company . For example, if you make a bicycle, having 20 or 50 patents is your core competitiveness.

Traffic is not enough to form core competitiveness. Traffic is the cloud in the sky. When you arrive at your house today and tomorrow, it is impossible to stay continuously .

A small number of people can start a technology company, be specialized and innovative, and have their own patents, but most companies have difficulty in making technological content and can only become brands. Do you think "Lao Ganma" has any technological content? Lao Ganma is a brand.

May I ask everyone: What industry do you do?

You must be clear that you are not in the e-commerce industry. E-commerce is just a form. What you do is in the retail industry. To put it more in detail, it is the consumer goods industry, because more than 90% of e-commerce are consumer goods businesses .

The most important thing about consumer products is the brand . Only with a brand can you have a high premium. Myoko Lando cheese sticks are made 10 billion a year. If they don’t have a brand, how can they have a premium?

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A member asked me, their company has more than 2,000 people doing e-commerce, which city should I move to?

I asked back: Ten years later, do you want to become an e-commerce company? Or become a brand?

He thought about it for about 30 seconds and told me that he wanted to build a brand.

I said, the answer is very simple: if you want to build a brand, go to Shanghai .

And I suggest that if you recruit an operation director, not an e-commerce operation, who will recruit? Marketing Director, who has worked as marketing directors at Procter & Gamble and Unilever, let them be operations directors.

Most e-commerce directors are parallel products. What is the technological content of e-commerce operations? It’s just that someone else needs 300,000 to invest in a direct train, but his operation will turn into 250,000 .

To build a brand, you must have basic brand marketing knowledge and basic skills. There is no doubt that first-tier cities have the most talents with solid basic skills. There are a large number of universities in first-tier cities and siphon marketing talents across the country. Shanghai's high housing prices have also screened out outstanding talents to some extent.

Do people who don’t have big dreams dare to go to Beijing, Shanghai, Guangzhou and Shenzhen?

In the next few years, if you want to build a brand, I strongly recommend going to first-tier cities. If Lao Gao (e-commerce circle) is not in Shanghai and Lao Gao is in Xi'an, would you come? You won't come.

Not long ago, I met the founder of Catman Group, and their company was moving to Shanghai. Why did they move to Shanghai? To build a brand.

I am not from Shanghai and I don’t recruit Shanghai, so I look at this matter objectively. If you want to build a brand, the best city in China is Shanghai, followed by Beijing, Shenzhen and Guangzhou.

When we run a business, the gap between each link is 5%, and the gap will be huge in ten years .

2. The destination of e-commerce must be the brand

The first stage of e-commerce is to make money, the second stage is to build a brand, and the third stage is to go public. If your company is still in its survival period, the first stage is to do original accumulation, and then start building a brand when the original accumulation reaches a certain level.

There are many ways to build a brand, either build your own brand or acquire a brand (merger and acquisition). Many traditional brands are no longer able to do it, and sales have dropped sharply, and some brands are even less than 100 million. This is a good opportunity for us to acquire. Because a good brand is a good investment product. Agent brand is also a good way, the core is to make your traffic conversion rate higher and better complete the original accumulation .

In the future, we will talk less and less about e-commerce, because there is no e-commerce or e-commerce. The biggest difference between you is whether there are brands or not.

3. To build a brand, the boss must know how to "realize"

The biggest test of building a brand is our boss’s thoughts. Does the boss understand the brand themselves? Can we change from selling goods to brand thinking? From being pragmatic to being a practical company, from a product company to a brand company, this has changed a lot.

In recent years, I have a deep feeling: (consumption) the first stage is the material world, and the second stage is the spiritual world. All industries can add spirit, and the added spirit will have high added value.

In the past, others praised me for being "Lao Gao, you are very pragmatic", and I am very proud. Now others say I am pragmatic, but I think he is scolding me.

Some bosses sell 10 yuan things for 12 yuan. I said you can't do it. If you want to sell 10 yuan things for 300 yuan, how is it possible? If you always think it is impossible, you can't build a brand.

Last year, I took members of the Golden Crown Club to study at Lin Qingxuan. The boss set the mission for the company to "make the skin of mankind and the earth more beautiful." You guys say he is a pragmatic or pragmatic? That's why people can build a brand.

The mission of many e-commerce companies is to let employees buy houses and cars. What if all these employees achieve this? All left.

Therefore, the biggest test of a brand is that as a boss, you must increase your ability to do things in vain and combine the real and real. "Practical" is used in your product research and development and supply chain, and "virtual" is used in your brand building, packaging and promotion.

A member shed tears after listening to the sharing of Sun Laichun, the founder of Lin Qingxuan, said: Lao Gao, my biggest mistake was that I made a wrong strategic decision ten years ago. If I had heard of this sharing ten years ago, my destiny would have been different.

Since its establishment 15 years ago, we have experienced the ups and downs and various changes in the e-commerce industry, especially seeing the ups and downs of e-commerce bosses, and have summarized many rules.

In the next ten years, we must develop a habit: think about your business model and ending in ten years? It’s not about three to five years, but about ten years later.

Helping e-commerce succeed is the meaning of my life, the value of my Lao Gao’s life, and the soul of the company in Lao Gao’s e-commerce circle.

I hope everyone has dreams and beliefs, and never be defeated by themselves. No matter how the environment changes, we must always remain optimistic. China's 1.4 billion population has not changed, and there will be no problems with our business chassis. Everyone should have confidence in the future!

END

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