The turbulent after-sales orders for the “double 11†auto electric business of RMB 23.5 billion were unresolved, and the “Double Twelve†once again ignited the war. After a few years of hard work in China, the narrow-segment automotive e-commerce business, with its main function as a guest, is at the end of 2013, ushering in a landmark change.
O2O (OnlineToOffline), the e-commerce model for enjoying services under the online passenger line, has begun to impress the industry. A few days ago, the China Automotive Consultation Center Network released the "China Automotive E-commerce Development Research Report" (hereinafter referred to as the "Report"). According to surveys conducted by domestic auto experts and senior executives, more than 70% of industry insiders believe that after 2015, auto network marketing will be realized in China, and O2O is the trend of the times. About 10% of companies have started to sell automotive networks through the O2O model. In the survey, more than 90% of the industry people are more optimistic about the O2O e-commerce model.
In the view of the industry, the O2O model not only takes advantage of the information platform of the Internet, but also retains the service experience requirements of the car as a special commodity. At the same time, it has completely evaded the industry’s concerns about the distribution of auto-commercial associations with traditional dealers and automakers, and the entire industry has developed towards a more refined division of labor. “The auto sales model of dealers that are completely off-line does not yet have the actual conditions for implementation. It will also be difficult to achieve in the future.†Yu Yang, vice president of the company, is quite representative of the industry. Ma Gang, vice president of the car home also believes that "cars as electricity providers must rely on the existing service system, to some extent, more like a shift in sales leads." "After 3C products, Internet sales have penetrated into the car This change in the field is a very important symbol for the growth of China's auto e-commerce business.†Car Yip CEO Yang Xuejian said that the e-commerce industry’s popularity has meant that as the largest consumer product, the e-commerce of the car is also growing. Accepted by consumers. This is a qualitative change for the Internet, e-commerce and automotive industries. â€
Year-end party
"Double 11" makes the concept of automotive e-commerce booming. The "Report" shows that during the "Double 11" period in 2013, the three websites of Tmall, Easycar, and Car Home contributed a total of nearly 170,000 online orders, and the total order amounted to 23.5 billion yuan. Taking the example of an easy car, Yi Cheihui's third-quarter group purchase received 90,466 total orders, and the amount of orders exceeded 11.7 billion. The total number of business opportunities on the “double 11†day exceeded 210,000 and the total business opportunities exceeded 27.3 billion, making a historic breakthrough.
Another important branch of automotive e-commerce - used car industry is also rapidly heating up. As the largest second-hand car e-commerce trader in China, Che Yi Pao’s trading volume in 2013 has exceeded 100,000 units in early December, and the transaction volume will soon exceed 5 billion yuan, which is greatly improved compared to 30,000 vehicles and 1.2 billion yuan in the whole year of last year. It is a far cry from the 700 cars in 2010. What makes the car easy to take CEO Yang Xuejian proud is that Car Yip has been ploughing deeply into the North China market. This year it will replicate this model and expand it to East China. “This is a very important step for the national integrated transaction of used cars. Used cars are bought nationwide and sold nationwide."
The great heat of automotive e-commerce has first benefited from the development of the Internet and e-commerce. As of the end of June 2013, the number of Chinese netizens reached 591 million, and the Internet penetration rate was 44.1%. At the same time, the number of online shopping netizens in China reached 271 million, and the use rate of online shopping increased to 45.9%. In addition, the attention of the consumer groups to the time and cost also increases the viscosity of online consumption.
More importantly, as early as many years ago, services that focused on customers were already breeding and growing rapidly in the industry. Yu Yang told reporters that as early as in 2004, the car will be clear direction of development, that is, to help car dealers do customers, through the smart marketing platform to help dealers in the Internet in a more efficient way for marketing. Years of cultivating, coupled with the maturity of the Internet environment, have made automotive e-commerce enter a new phase in 2013.
In Yang Xuejian's view, it is the maturity of second-hand car e-commerce that has led the development of new car e-commerce. Different from the standardization and scale of the new car, the used car transaction has always existed in the market in a fragmented and decentralized manner, which makes the second-hand car supplier more valuable in the circulation of used cars. In China, second-hand car retailers integrate highly fragmented used vehicles into a single platform and use standard testing methods to solve the two major problems of difficult-to-judgment and opaque prices of second-hand car transactions, resulting in economies of scale. Realize industrialization.
Competition trends
In fact, as early as the beginning of the automobile e-commerce model, its controversy over the influence of the traditional automobile circulation has never subsided.
Anonymous dealer group leader said frankly, "Department stores are almost becoming air-conditioned test clothing store, home appliance store is quickly becoming a display area. As a dealer, we must let customers directly into the Shop. Otherwise, although we have paid the cost, the consumption situation has become uncontrollable."
Dong Tao Citroen deputy general manager Wang Tao said that Dongfeng Citroen currently has 429 4S stores. If the e-commerce channel is too wide, or if the sales promotion is too dependent on this channel, the upgrade of the dealer network will encounter problems. “E-Commerce Council is a supplement but it is by no means an alternative relationship.â€
In this regard, the idea of ​​automotive e-commerce generally boils down to - in place and not offside.
Yao Yang made it clear that “we don’t want to use the e-commerce approach to squeeze the profits of the entire distributors and vendors’ normal sales. We only want to build a healthy, stable, and normalized platform.†According to his ideas, on the one hand, It is necessary for distributors and manufacturers to experience new methods of marketing through e-commerce through the platform; at the same time, they also meet the needs of groups accustomed to Internet consumption.
Specifically, in the passenger vehicle sales field, including capital flow, logistics, information flow and passenger flow, automotive e-commerce only solves information flow and passenger flow, and automobile manufacturers and distributors still jointly complete logistics and capital flows. Min Yang said that as long as two things are done by automobile electricity suppliers, one is to collect passengers and the other is to increase the conversion rate of sales leads. It is reported that in the first phase of Yi Che-hui’s activities in September, the conversion rate has reached 8.95%. The goal of Easy-car is to gather more than 45 million passengers next year, and the conversion rate will increase to 10%.
At present, the demand of dealers for e-commerce has become increasingly evident. In December, Sichuan East Founding Auto Group and Elvan Motors entered into a strategic cooperation agreement, and its 110-plus dealerships will increase overall operational efficiency through cooperation with auto e-commerce companies.
Jin Yongsheng, general manager of Xinhuaxin Automotive Marketing Solutions, told reporters that the O2O model will have a huge impact on the entire automotive circulation market, including the aftermarket. The offline showroom store will continue to exist. There is no doubt about this. Automobiles cannot be replaced at this stage through online links. Real vehicle display and test drive are the most critical aspects of automobile sales. In the future, the affiliate will increasingly rely on online platforms, and the contribution rate of the affiliate will be less and less. In the future, the “online guest-telephone invitation-store observation†will be the main method. In addition, the actual transaction link may be diverted online, after the experience and parity of the physical store, return to the online platform for payment and transaction will become a new form.
prospect
In fact, although automotive e-commerce has become an important marketing pole, the industry is still worried that when the car's pricing power is in the hands of manufacturers, the auto sales platform for the auto e-commerce sales platform is also controlled by dealers, then when the price and product When the key elements of the consumption of these two automotive e-commerce vendors are not in the hands of auto suppliers, how many opportunities can they seize?
In this regard, Min Yang's idea is that he hopes to serve as a "special sales space" on the basis of serving good dealers and manufacturers and ultimately creating Outlet's model. Specifically, the automotive products are regarded as big-name products, and their offline models are similar to the store models in the shopping malls, and there are also some big-name sales outlets, including some short-term sales models and some inventory models. As for the profit model, Min Yang said that in addition to the regular Internet profit model advertisements and dealer membership annual fees, Yi Auto may form a transaction-based charge model.
In the current type of platform for collecting customers, Jin Yongsheng believes that a newer business model will emerge in the future. Currently, it mainly relies on the traffic introduction of automobile portals, mainly relying on news and the community, and means are too simple; In connection with physical stores, more technological interventions are needed in the future, such as directly integrating the passenger platform with the pad terminal of dealers; thirdly, online payment tools will infiltrate and compete on a large scale.
There is consensus in the industry that there is still a huge market space in the automotive aftermarket, used cars, and car trading services. In the near future, one of the purposes of the IPO and easy-to-submit car applications submitted by the car home is to prepare funds for future investment.
The second-hand car sector may become the new blue ocean, chased by various capitals. The consulting firm, Ai Ruibo, predicts that China's used car sales will be flat with new car sales in 2020. At present, the capital market has shown its preference for used car suppliers. You Shin Pai has obtained investment of ten million US dollars from four investment organizations; Da Soye also announced that it has won a million-dollar dollar B round investment from Sequoia Capital. Li Bin, chairman and CEO of Easycar, also said that he plans to shift the focus of the auto business from new cars to used cars in 2015.
In the face of the growth of second-hand car e-commerce, Yang Xuejian has been asked by investors. Who is your target company? The United States has not emphasized the use of online transactions for used cars. Why does China have to use it? Yang Xuejian's idea is that the US model is simply not feasible in China. First, China's used car market is completely different from the United States in the formation of car sources. In the United States, many consumers choose the financial leasing model. When the lease expires, the ownership of the vehicle will be transferred back to the dealers, making the dealership the largest supplier of the used car market. In the United States, individual car owners directly sell used cars, which account for only about 15% to 30% of the total used car supply market. In China, used cars are concentrated on every individual user and it is difficult to concentrate.
Specific to the enterprise, the two representative models of used car suppliers in the United States are Manheim and e-bay motors. In Yang Xuejian's opinion, Manheim is similar to Suning five years ago. By using the ERP system to put product information on the Internet, it is not fully informative. It is not a real e-commerce company. Therefore, after entering China for three years, he returned. Ebaymotors also made ebaymotors not grow up because ebay did not implement vertical solutions in vertical areas. "China's second-hand car electricity providers still have to develop a model for the Chinese market," said Yang Xuejian.
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