Mother And Baby Market Price War Ignites Cross-Border Electricity Supplier War

According to the data released by AI consulting, it is estimated that the maternal and infant market will exceed 2 trillion yuan in 2015, accounting for 6.8% of the total retail sales of consumer goods. The outbreak of the mother infant market has become a new "Red Sea" for cross-border electricity providers, and imports of products such as diapers and milk powder have become the main battlefield of the recent price war of major cross-border e-commerce sites.

According to the reporter, on the 16 th of this month, only one year's import of mother and baby products, electricity supplier honey bud baby spent 100 million major price wars, and a variety of imported diapers reduced to the lowest point in history, about half of the previous market price. Subsequently, Jingdong, Suning, one store, ocean terminal and many other electricity providers have followed up, even Online beta only two months of NetEase koala purchase also joined the war group, igniting the first battle of China's cross-border electricity supplier this year.

Provoke Category price War, with partial losses for global sales promotion, is the "Honey bud baby" from small to big business logic inevitable. This way, when the real appliance chain went by, then Jingdong did the same. Although all kinds of platforms hate the price war, it is difficult to find a more effective way to win the customers than the price war. "The electricity supplier is a cruel industry, and we have not yet seen that we will do it without price war." In an interview with reporters, Honey bud baby Liu Nan, founder and CEO, said very directly that price war is the only way for the strength of the electricity supplier in a certain historical stage. The price war is the only way to know who is swimming naked. The key is to test the stocking quantity and purchasing strength of the upstream supply chain.

Today's Cross-border electricity supplier The market, both Ali, Amazon and other giants cut in, and Jingdong, shop 1 and other retail enterprises rush to eat, as well as foreign terminals, honey bud baby, honey Tao, street honey and other emerging enterprises struggling to run. Public data show that more than 2000 companies have registered cross-border electricity business since 2012.

Xu Dingxin, a cross border electricity supplier observer, told reporters that from the current market situation, Tmall international and Amazon accounted for about 55% of the market share of cross-border electricity providers, and Su Ninghai accounted for about 25% of foreign suppliers, foreign terminals and honey bud babies. Xu Dingxin believes that at present, both the giants and startups are on the same starting line, and the demand for the market is very large. As long as the emerging enterprises are more vertical and more subdivided, there will be an opportunity to dig a product line. "Because the mobile terminal has become the main battlefield, 50% of the backward entry orders come from the mobile terminal, while the mobile terminals of the giant move almost from the PC side, showing no unique advantages." Xu Dingxin said.

According to the monitoring data of China Electronic Commerce Research Center, in 2013, the scale of China's overseas purchasing market reached 76 billion 700 million yuan, and the scale of China's overseas purchasing market in 2014 exceeded 100 billion yuan. Obviously, the sea scouring industry has entered a period of rapid growth, but the risk of cross-border online shopping is greater than that of domestic online shopping. It is worth noting that with the price war of cross-border electricity providers starting, it may cause fake products because of low price promotion.

Xu Dingxin said that at present, the European exchange rate is low, and many European brands have become popular among overseas brands. Overseas brands are also aware that the Chinese market is large, but they are still on the sidelines. Because many products have limited capacity, if domestic demand can not be satisfied, they will not expand blindly. Therefore, the import mode of honey bud baby imports looks very "heavy", but the risk of supply is much smaller.

However, according to the insiders, according to the development of domestic and foreign electricity providers, the quality control of self run companies is relatively strong, but the disadvantages are very obvious. Apart from having to go through intermediate links directly with product suppliers and brand manufacturers directly, they need to build their own warehousing and logistics. This mode, like Jingdong, is relatively reliable for domestic electricity suppliers, but it is hard to copy to the international market.

In addition to the above mode, Tmall international based bonded import and open platform is also one of the main modes of the market. This model has lower cost, which can significantly reduce logistics costs, improve logistics efficiency, and bring more price advantage of overseas goods.