This year's National Day holiday witnessed the accelerated recovery and development resilience of the retail industry. Data show that from October 1-7, the retail sales of 100 key large retail enterprises nationwide increased by 8.5 percent year-on-year. As an omni-channel retailer with a 30-year history, a number of data continued to grow during Suning's national day, with online orders up 157 percent year-on-year, and the overall passenger flow of various stores up 58 percent year-on-year.
Recently, Zhang Near-East, chairman of Suning Holding Group, said in an internal letter to employees: Facing the upcoming big promotion nodes such as "Double 11", "Double 12" and "New Year Goods Festival, suning should carry out the value War to the end. Goods, services, prices and subsidies will benefit consumers in an all-round way and continuously optimize services and experiences.
According to insiders, Suning is preparing for the Double 11 "grinding gun and sword" or "big action".
After the 11th Golden Week, e-commerce has generally entered the year-end promotion sprint phase such as double 11. At the end of the year, the "e-commerce Final Exam" coincided with Suning's 30th anniversary. What kind of "big moves" will Suning have "?
Supply chain advantages bring good products
zhang Near-East believes that no matter how the form changes, the competition of retail will eventually be the competition of commodity supply chain and service ability, which is the foundation of value war, these are the two directions that Suning has been cultivating for a long time.
Good Goods mean good quality and good price. Since the second half of this year, Suning has continued to consolidate the advantages of the global supply chain. Through self-construction or cooperation, Suning has continuously provided users with high quality and low price products and accelerated preparations for double eleven.
In terms of household appliances and 3C categories, Suning has reached in-depth strategic cooperation with many partners, including Huawei, Hisense, Boxi, etc., Suning's dual-line channels and scenario advantages, it has attracted cooperation from many quality product providers. Suning gives full play to the operation ability of all products and all scenarios, and matches good products to appropriate channels, which not only establishes an efficient commodity supply chain cooperation system for itself and brand owners, it also allows quality products to reach more consumers.
(Photo Source: Fortune China network, invasion and deletion)
photo: Suning and Hisense deepen strategic cooperation
since this year, Suning's fast-moving and department stores have developed rapidly. Suning Carrefour's procurement target in 2020 increased six times compared with last year, and signed contracts with 9 well-known domestic enterprises, setting a target of 100 million yuan, and the overall sales of sword finger in 2020 was 3 billion. Through large-scale procurement, Carrefour can guarantee supply, reduce costs and bring benefits to consumers. It is understood that the proportion of suning's fast-moving and daily-use general merchandise category revenue has jumped to the first place. In the first half of this year, sales increased by 106.7 percent year-on-year, with huge development potential.
In addition to cooperation, Suning has continuously supported and linked high-quality factories, industrial belts and agricultural bases, and launched the C2M Super industrial belt Kweichow Moutai plan, gradually launching reverse customized products that can accurately meet users' needs. Suning opens its capabilities and resources to brands and retailers by virtue of its ecological advantages, eliminating channels and intermediate links such as brands, agents and final sales terminals, thus achieving high cost performance. For example, the C2M products of refrigerators and washing machines built by su ning and midea in january and the two air-conditioning products of su ning little Biu in april are closer to users' purchasing and experience needs, achieving high quality and low price.
Suning has made efforts in many ways, and sales broke out in various big promotion nodes. During the National Day, under the stimulation of 5 billion full-product subsidies, Suning set off a full-product consumption boom. From gold, cars, to home appliances, 3C, and fast-moving, Suning gives back to consumers with all kinds of products. The official guidance price of 426900 BMW 525Li M, consumers only need 348000 to start, 50g investment gold bar, a piece of cheap 350 yuan.
With a solid supply chain capability and a combination of favorable consumption policies such as "J-10%", there are reasons to expect that Suning will release more cost-effective big brands this year, sprinting for the end of the year.
Create good services from users and servers
zhang Near-East said that Suning fought a war of value, and the essence of the war of value was a war of service. In order to create greater value for users, in addition to commodities, services and experiences should be maximized.
Focusing on the service experience, Zhang Near-East started the Double Eleven from both the client and the server.
(Photo Source: Fortune China network, invasion and deletion)
photo: Zhang near East terminal talks about "focusing on good service"
for users, Suning has built a smart retail ecosystem that integrates online and offline through the layout of store outlets, fine operation, logistics construction, and technology improvement, continuously expand the service scope, enrich the service content and improve the service efficiency.
In terms of home-to-home service, Carrefour has continuously expanded the scope of home-to-home service by building a "quick pick warehouse" to connect the supply chain with Suning store. Facing the community, suning store uses the O2O operation mode of "App + convenience store" to open up the last "100 meters" of convenience service to meet the daily dietary needs of community residents and community life services; In the sinking market, suning relies on nearly 7,000 retail clouds to bring better products and services to consumers in the sinking market.
In addition to constantly enriching scenarios and commodities, retail is ultimately a human business, and service personnel who have direct contact with users are an important link in improving service. Internally, in order to strengthen the user thinking of all employees, Zhang Near-East visited the service terminal during the 818 period to further promote the standardization and institutionalization of services.
As Double Eleven approaches, Suning has recently tried out a new customer service terminal incentive standard. The "good service" measures that Zhang Near East has implemented include: plus-sized incentive to customer service, linking salary with user satisfaction, at the same time, a "grievance award" is set up to provide additional comfort and encouragement for service personnel who have been wronged in the process of user service; To delegate power to front-line employees, so as to help consumers more quickly, effectively solve problems; Set up a super word-of-mouth center to ensure the perfection and upgrading of the entire service system. Zhang Near-East promotes the enthusiasm of front-line service personnel through motivation and decentralization, thus improving user satisfaction.
From "scene retail" to "retail service provider", Double Eleven or big action
the upcoming Double Eleven is the most important promotion festival for e-commerce at the end of 2020. It is also a full recovery of consumption and a real "war of returning blood". Just when Suning started its fourth decade, what new actions will be taken in Zhang Near East's "value War", which has attracted much attention.
At the double eleven conference last year, Suning launched the "scene retail" strategy, followed by the accelerated formation of "one-hour scene Life Circle" and the accelerated integration of Suning's whole scene format, the most intuitive embodiment is the comprehensive upgrade of Suning Carrefour's home service this year and the jump of Suning's sales ability in the whole scene of the epidemic.
(Photo Source: Fortune China network, invasion and deletion)
photo: 2019 Suning double 11 conference
it can be seen that the Double Eleven every year is an important node for Suning to release its strategy and realize innovation and upgrading. Behind Zhang Near-East's proposal of "long-term value War" this year is a brand-new breakthrough from "accumulation" to "energy release" of Suning's core retail capabilities. Some analysts believe that around the new positioning of "retail service provider", Suning may show a more "open" attitude on Double Eleven this year.
Since the beginning of this year, Suning has vigorously developed the construction of open platforms, and nearly 7,000 retail clouds have been launched nationwide. Suning stores have been fully open to join in, further exporting capabilities and linking resources according to Zhang Near East's logic, achieving ecological win-win may be a new way to implement its "value War. However, Suning's "value War" is always inseparable from the essence of user service.
As Zhang near East said, "value War" is a long-term strategy. Its essence is "service War". There is no end to serving users. Suning must be firm and stick to it, because long-term doctrine is the an answer to everything of crossing the cycle fog.
(Article Source: Fortune China network, invasion and deletion)
