How do traditional toy companies do e-commerce to resolve the conflict between online and offline channels?
Traditional toy companies face a very important obstacle to doing e-commerce, which is the fierce conflict between online and offline. This is a question that many traditional toy business owners must consider. Although many traditional toy companies are doing well in e-commerce, there will be a dilemma: Although e-commerce channels have increased sales, offline sales have decreased more, causing strong dissatisfaction from offline channel vendors.
Traditional toy companies can try water and e-commerce before they have not straightened out the channels and business relationships of brand owners, offline online distributors, retailers, consumers, and offline service providers, but it is not recommended From the beginning, he invested heavily in e-commerce. E-commerce does not simply move products online, but needs to reorganize and manage the above-mentioned original relationships through the Internet. The rationalization of online and offline channels and business relationships is far more significant than e-commerce selling hundreds of millions of dollars in products. How to resolve the conflict between online and offline channels? Toys learns and summarizes the following 8 ideas for reference by traditional toy companies. Generally, traditional toy companies may only use 2 to 3 methods.
(1) Sewer strategy
Online sales are a channel to digest offline inventory. Simply understand that the offline stores were not sold out last year. All the goods are sold online, and the online channel is used as the sewer of inventory.
(2) Online sales brand strategy
The online sales brand strategy is the difference between the brands sold online and the brands in offline stores, that is, the establishment of new brands and products for online sales And services, so that consumers cannot compare with the products and services of the original brand to achieve the purpose of separating online and offline.
(3) Regional vacancy supplement strategy
The regional vacancy supplement strategy refers to the construction of online channels to make up for the lack of coverage of offline channels. This is easier to understand. For example, the main offline distribution networks of many traditional companies in the South are concentrated in the South, but not in the Northeast. Therefore, they can specialize in the Northeast market through e-commerce to make up for the insufficient coverage of offline channels. This model is mainly suitable for companies in the initial growth stage with limited ground channel coverage.
(4) Strategies to separate brand online and offline customers
The strategy to separate brand online and offline customers is also the price difference, and different price points can be differentiated. Separate different consumer groups, so that the exposure and display of online low-priced brand products can drive offline sales of high-priced brand products. Because the consumption power or consumption habits of online channels lead to a relatively low customer unit price, a brand's low- and medium-priced products can be sold online, while products with relatively high prices can be sold offline.
(5) The strategy of online channels focusing on enhancing brand power
The strategy of online channels focusing on enhancing brand power refers to shopping sites where consumers gather online, etc. Local advertising mainly promotes offline sales. A popular understanding is that the focus of e-commerce is to promote offline and branding, rather than selling goods online. This strategy is mostly used by some major European and American brands.
(6) Strategies that the online and offline prices are exactly the same
The strategy that the online and offline prices are exactly the same is more suitable for strong traditional enterprises, but due to large-scale promotion Except for situations that cause online and offline prices to be consistent. Under this strategy, the sales network of traditional enterprises is required to be composed of branches, not distributors. In addition, all offline stores are required to be directly operated stores rather than franchised stores. Generally speaking, traditional enterprises need to have very strong control over offline channels.
(7) The strategy of online sales after the value-added of offline products
How to understand this strategy? To give a simple example, you can see Nike shoes everywhere in the offline market. If Nike cooperates with Tencent to launch a QQ version of Nike shoes, which is exclusively sold online, then this is the so-called offline product value-added. Sell u200bu200bonline. Although they are still Nike shoes, they become products of different styles after a little modification and value-added.
(8) Interactive and collaborative strategies between online shops and offline stores
The interactive collaboration strategy of offline stores realizes the separation of transaction links. Online is responsible for receiving orders from consumers, offline traditional channels are responsible for fulfilling orders, and online and offline strong forces work together to achieve synergy between traditional stores and e-commerce. Complementary, this strategy is also called the O2O model. For example, a traditional company sells clothing. A consumer in Wuhan, Hubei places an order online, and then the shop is directly delivered to the door by a specialty store closest to the consumer. In this way, the consumer completes an O2O consumption experience. .
Conclusion: The contradiction between the toy offline channels that have been operating for decades and the Internet channels seems to be difficult to solve. If traditional game companies stick to offline channels too much, it will inevitably weaken the development on the Internet side, but Too much strengthening of online channels will inevitably impact the original offline business in the price system, distribution system, and supply chain system. Before clearly considering the above issue, no traditional toy company boss will really do e-commerce from the heart, because online prices are generally lower than the offline 10% to 20%. In this case, although e-commerce has increased sales by 10 million yuan, offline sales will be reduced by 100 million yuan due to the impact.