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Focus analysis 丨 Jingdong and Suning Black Five regain “ten billion subsidies”, fight a lot and get robbed of business

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The tens of billions of subsidies war in the telecom industry is far from over.”Ten Billion Subsidies” was the trump card for the rise of Pinduoduo.Pinduoduo directly provided a budget of 10 billion yuan, and co-branded companies subsidized various categories such as mobile phone digital, beauty, maternal and child, and department stores. The subsidy period has continued from 618 this year to the present.As Juhuashui, JD.com and Suning labelled their own promotion activities as “ten billion subsidies”, “ten billion subsidies” suddenly became synonymous with the e-commerce subsidy battle in the second half of the year.For Pinduoduo, the “ten billion subsidy” is a long-term project. The CEO of Pinduoduo Huang said frankly that spending money is an investment and a long-term opportunity, while “long-term” is a growth strategy and also a monetization strategy.Choose.But for other home appliance manufacturers, the “ten billion subsidy” is a phased strategy that will only be launched in the short term.For example, the “Billion-dollar Subsidy” campaign launched by JD.com and Suning during the Double Eleventh Festival in the 99th Cost-effective Festival.With the end of the carnival, the “ten billion subsidies” came to an end.However, Double 11 passed and there was Black Friday.E-commerce has regained the “ten billion yuan subsidy” and started another round of money-spending war.Who among the “unpackers” is really “spreading coins”?There are many stealers, how many businesses have been stolen?Who is really “spreading coins”?Jingdong International and Suning International have both started the Black Five Procurement Festival with a new round of “ten billion subsidies”.With the strategic upgrade announced by JD.com ’s import business, the original “Haihuo Global” and general trade import business were integrated and upgraded to “JD.com”. The first major promotion belonging to JD.com was also put on the agenda.This big promotion was launched from November 22 to December 1, covering many big promotion nodes such as Black Friday, Double 12 and Jingdong New Year Festival.JD.com said it would continue to launch the “Super Ten Billion Subsidy” program until it is completed.On the same day as JD.com, Suning International also launched an eight-day black five promotion. In addition to direct drop, full reduction, coupon rebate, and buying together, it also launched a 10 billion subsidy program.In contrast, Tmall, the “big brother” who has been sitting on the top spot in the e-commerce industry, did not spend energy on subsidies during the double eleven, and it was no exception to Black Friday. The focus of Tmall is on the launch of new international brand products.Quantity and “same day” logistics speed.Despite avoiding the head-on confrontation with Tmall, JD.com and Suning International that directly invaded Pinduoduo’s territory also deserve a lot of attention.Pinduoduo moved to the international aid of Amazon, starting at 00:00 on November 28, a six-day Haitao promotion.36 氪 When comparing the black 50 billion subsidized products of Pinduoduo, JD.com, and Suning International, it was found that although the three platform promotions cover beauty, digital, mother and baby, department stores and other categories, the overall overlap is less.; Beauty is the key subsidy category of the three platforms, with more overlapped products.The following is a price comparison table sorted by 36 氪, with yellow padding as the lowest price and blue padding as the highest price: Black Five’s “Ten Billion Subsidies” price comparison table, unit: Yuan; finishing, drawing: 36 氪 can be seen in the statisticsIn the sample, the prices are mostly at the lowest point after Pinduoduo subsidy, accounting for 66.67%. Jingdong International and Suning International have relatively the same number of low-priced products, each accounting for 16.67%., Followed by JD.com; using the highest price-the lowest price, the lowest spread under the same product is 9 yuan, the highest spread is 200.Judging from the cross-border business strength of the three platforms, Pinduoduo is undoubtedly the weakest one.Pinduoduo’s cross-border e-commerce business was launched globally in April this year. Although the transaction volume has been growing at a rate of more than 100% month-on-month, the monthly growth rate of imports of mother-to-child and beauty products has exceeded 200%.However, in the latest “2019Q3 China Cross-border E-commerce Market Monitoring Report” released by AI Media Data Center, Pinduoduo ’s global purchase is temporarily on the list, and JD.com ’s global share ranks second.Business), Suning International ranked third.Image source: Ai Media Data Center This roughly shows that the platform ’s weakest strength, Pinduoduo Global Buying, is the most willing and generous platform in the Black Five “Ten Billion Subsidies” battle, and JD.com and Suning International are more competitive., Have no big price advantage.It is worth noting that Amazon’s overseas purchases, which have made a lot of money for Pinduoduo, actually did not make much effort in this black five subsidy.On the one hand, although Amazon has four “global overseas buying stations” in the United States, the United Kingdom, Germany, and Japan, the subsidy categories are quite limited. They are mainly concentrated in department stores and beauty products. SKUs under a single category are singular and rarely seen.The current hot-selling explosive products have a low degree of overlap with the big promotion products of Jingdong International and Suning International.On the other hand, compared to Pinduoduo’s tens of billions of subsidized prices from other global suppliers, Amazon’s Black Friday price is not the lowest on Pinduoduo’s platform.Taking 300 pieces of Swisse grape seed extract as an example, Amazon sells Pinduoduo at a price of 119.41 yuan, and in a “Swisse Zhaofeng Overseas Specialty Store” that also bears the global purchase logo, it spells out a lot under the same specifications.The price after tens of billions of subsidies is 96.9 yuan.Pinduoduo 10 billion subsidy price = brand cost price-Pinduoduo subsidy.For the same product, under the precondition that Pinduoduo gives the same subsidy ratio to the global purchasing platform (80% of Pinduoduo and 20% of merchants), and the top international supply chain like Amazon may enjoy a higher subsidy ratio, the final price of Amazon overseas purchasesIt is also higher than other global purchasers. It is more likely that Amazon has not given the true “brand cost price” to Pinduoduo.Pinduoduo was robbed of business?No matter how low the price is, everyone pats their breasts to ensure that they are selling authentic products.In addition to the routine guarantee measures such as paying a fake and paying ten, rest assured purchase, and worry-free after-sales, technology applications such as anti-counterfeit traceability platforms, intelligent supply chains, and blockchain traceability have become effective means of product fidelity.Different from previous years, with the influence of Taobao live broadcast anchors Li Jiaqi and Wei Ya becoming more popular, live broadcast has become an important marketing tool for e-commerce promotion, and is also used in this Black Friday promotion.Suning International invites local buyers from Japan and the United States to trace the source live broadcast, introduce users to the world ’s good reputation and display preferential activities, many of the brand ’s good goods brought by buyers appear on the live broadcast; JD.com invited the Tucao Conference and the strange guest to speakThe incarnation “Jingdong International Goods Recommendation Officer” organized a live PK in the JD.com live room. There were also multiple anchors connecting with the first-line business districts of six countries and regions in real time to hit the Black Friday carnival scene.Pinduoduo was absent from the live broadcast.Although 36 氪 previously reported that Pinduoduo is incubating the live broadcast business, it is necessary to first test the WeChat mini-program “good in-store purchase” around November 24, but obviously in the big promotion of black 50 billion subsidies, the live broadcast alsoThere is no place for it.Fortunately, when Pinduoduo Global Buy was unknown on the list, it attracted Amazon as a competent partner.Amazon purchased only 1,000 kinds of products on the Pinduoduo platform overseas (Pinduoduo subsidizes more than 23,000 popular products). The store is a pop-up store and closed at the end of December.Although this seems to be more like a “friendship performance” of Amazon on Pinduoduo’s global purchase platform, it also gives Pinduoduo more confidence to face the market’s counterfeit questions. This business is guaranteed in cross-border e-commerce and authentic products.The waist bar is straighter on the ascent.With Amazon’s support, coupled with the lowest price on the entire network, Pinduoduo’s competitiveness in the cross-border e-commerce ranks will rise linearly.The next question is whether Pinduoduo can deliver a sufficiently bright transcript to the secondary market in the fourth quarter.In the third quarterly financial report disclosed recently, Pinduoduo has achieved the largest single-quarter growth since the number of annual active buyers hit the market and upgraded to “Pingduoduo, which is used by 500 million people.”It met market expectations, causing the stock price to plummet by 20% after the release of the earnings report.One reason is that before the financial report was released, a lot of good news about Pinduoduo was released too full.For example, Huang Ying said at the internal mobilization meeting that Pinduoduo ’s latest quarterly real payment GMV has surpassed JD.com; and data released by Sensor Tower shows that Pinduoduo ranked first in the global App Store shopping application downloads list.This has allowed analysts to increase their confidence in Pinduoduo and keep raising financial expectations.In the third quarter, the number of active buyers for many years has increased by 11% month-on-month, but revenue has increased by only 5% month-on-month, which cannot keep up with the growth rate of active buyers.The possibility of this kind of result is: Ten billion subsidies attract high-end users without driving high consumption, which results in matching revenue growth; or a lot of sinking users have more choices, their attention is diverted, and consumptionThe frequency is gradually spreading to emerging social e-commerce platforms such as Beijing Tokyo Hi.No matter what the reason, Pinduoduo will face greater challenges.There is no doubt how the fourth quarter transcript of Pinduoduo is vital to regaining confidence in the secondary market..