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E-commerce is currently in the fragmentation stage, cabinet companies may wish to integrate

by:Hench Hardware     2021-08-24
With the rapid development of Internet technology, e-commerce has become a 'gold mine' in the eyes of all enterprises. At present, many traditional home furnishing brands have begun to test water e-commerce, and some emerging home furnishing online brands have opened experience stores. However, overall, the development of home furnishing e-commerce is still in a very fragmented stage. Therefore, even cabinet companies are eager to try, but they also have more concerns.

   Cabinet e-commerce costs are actually very high

   'The cost of doing an e-commerce is very high now, even higher than opening a physical store. Although the rent is reduced, the flow of online promotion is very expensive.' Coupled with the transparency of online product prices and consumption The low price expectation of the author, the profit of doing e-commerce is actually not high at present, an insider in the cabinet industry analyzes this way. 'Now some brands have amazing online sales, but few really make money.' Therefore, if cabinet companies want to develop online and offline simultaneously, at the same speed, and at the same scale, they will inevitably invest a lot of manpower and material resources. In view of the large differences in online and offline operating models, it is difficult to develop equally without strong strength.

   Doing an e-commerce still needs to be biased

   'If you want to pay equal attention to both ends, you may end up not reaching the shore. In this case, you must focus on it, cabinet e-commerce may go for a long time.' Insiders gave two examples, such as At present, Shangpin Home Delivery, which is a relatively successful O2O model, uses offline physical stores as the main marketing place. Online malls provide free consultation, measuring sticks and other services, and divert customers to physical stores for consumption. It belongs to online and offline services. Merlot, which started as an e-commerce company, is also currently in the offline experience store, allowing consumers to actually experience the product before deciding whether to buy it. This is an offline business model for online services.

   cabinet companies may wish to integrate

   'Many companies are afraid to become e-commerce companies usually consider a few points: first, no money to burn traffic; second, logistics issues; third, no experience store.' Industry insiders believe that 'the future e-commerce platform will be service Industry, do a closed loop of resource integration, so as to win the market.” Instead of blindly burning traffic, cabinet companies should integrate resources to achieve mutual benefit and win-win results. The mature O2O business model is not limited to opening stores online and offline. A series of issues such as promotion channels, user experience, design services, logistics, after-sales, etc. are all problems that need to be considered and solved by cabinet e-commerce, and it is difficult to solve them by themselves. These are all perfected.
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