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Singles Day Promotion Of Traditional Brands Into The Electricity Supplier War

2012/11/9 9:56:00 13

Price WarE-CommerceClothing Category

Mixed with genuine sales promotion.

Price war

After August, the "singles day" came to light in November. Although many users believe that the price war is more a gimmick, it is undeniable that the high-profile promotion of e-commerce enterprises is actually gaining traffic advantages.

In addition to Jingdong, Tmall's large integrated platform, home appliances websites also make full traffic through price wars, while clothing business electricity flows rarely participate in price war are showing a downward trend.


Vertical clothing business electricity consumption is engulfed


The data released by NetEase's comprehensive shopping platform Hui Hui network show that the market share of B2C traffic released from June is in the rankings. In October, the change in the market volume was quite different from that in June. The volume of easy, fast, Gome and excellent purchases increased significantly from June.


Among them, the first tier of the two electricity providers Tmall and Jingdong share of the total traffic volume has been higher than the B2C electricity supplier traffic 50%, and on the other hand, fans of all sincerity, good Le buy, Mcglaughlin's October traffic compared to June accounted for a significant decrease.

Among them, the proportion of Fan Cheng pin accounted for 0.4%, the ratio of good buy and buy decreased by 0.3%, and Mcglaughlin's ratio decreased by 0.2%.


Another data provided by Hui Hui net shows that since May, the rate of customer service flow has shown a downward trend. In October, the volume of traffic increased, but the traffic volume was still down 34% compared with May.

Similarly for the clothing vertical electricity supplier's good buy, Mcglaughlin, Vjia, dream bazaar also started from May, the traffic volume proportion continued to drop, dropped 40.7%, 35.4%, 33.7%, 18.1% respectively.


Comparison

Clothing category

In the doldrums, 3C has also brought about a marked increase in traffic volume as a result of the encirclement and suppression of various Jingdong promotions, including suning.com, Coba, eBay and so on.

Take suning.com as an example, on the day of encirclement and suppression of Jingdong, its traffic increased by 175% on June 18th. In August 15th, sunning's traffic increased by 706% in sunning Suning's price war.


Analysts believe that vertical electricity supplier in this half year traffic is declining, private brand investment in brand is also gradually reduced due to the adverse economic environment, resulting in a decline in traffic.

Therefore, more vertical brands of private brands, in order to get more traffic and users, may be more settled in Tmall, Suning and other platform providers.


Traditional brands join e-commerce promotion war


Unlike the early online brand, the traditional retailers' stores including Yintai department store, Metro, Hong Tu Sanzhou, Nippon, COFCO, BELLE and so on also have strong interest in double eleven networks.

Traditional retailers join the electricity supplier to promote the change, indicating that their attitude towards online sales is changing, and the "eleven double" may bring traffic and order recognition.


China

Electronic Commerce

Wang Zhouping, an assistant analyst at the online retail department of the research center, believes that it is still a matter of time for traditional brand dealers to win the surge in sales by discounting the "cheap sale" brand.

The sharp increase in orders can easily lead to slow delivery and full customer service, such as customer churn, brand depreciation, confusion of channel price system or loss of gain.


Despite the gimmicks of big business operators, this year's "double eleven" looks unprecedented, but in essence, it is still a promotion.


Prior to this, Jingdong mall and suning.com and other involved in the electricity price war, by the NDRC as "suspected of fictitious original price, fraud consumers", or this promotion has a certain lesson of significance.


Last year, during the promotion of singles day, many consumers were disappointed that the first price increase, then the price reduction, the "refund" and "slow delivery" and so on. Many of the consumers were disappointed with the sales promotion method. The coupons, red packets and points were also issued.

Consumers who have been "fooled" by the electricity supplier will have a lower expectation of this promotion, and whether they will still buy it will need to be observed.

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