Chapter 47: One goes down and the other goes up

Although the Internet is a long-tail world, compared to the regional nature of the physical market, in the virtual unified market, it is easier for the leading players to take all.

The sales ranking list is a traffic depression and a battleground for merchants. Now, being suddenly pushed off the ranking list and squeezed out of the gathering place of traffic, sales have plummeted. The ever-changing e-commerce environment gave production lines no time to react to adjust production capacity, and inventories increased sharply in an instant. At present, we not only need to find ways to regain lost ground in traffic, but also find ways to increase sales. Once consumers develop new consumption habits, these inventories will only be sold at low prices.

In just a few months, more and more businesses are crowded at the crossroads, not only buying traffic at high prices, but also selling sales at low prices. No matter which way, the final competition is capital.

It is difficult to say whether it was the decline of entities that made e-commerce successful, or the rise of e-commerce that destroyed entities. However, the sharp increase in the cost of physical channels and the huge subsidies from e-commerce platforms coincided with each other. The only thing that is certain is that the die-hards who did not choose e-commerce at the beginning have been eliminated in the great waves that turned away from reality and turned into fiction. Nowadays, faced with the monopoly of e-commerce channels and the decline of physical channels, if we want to be virtual and pragmatic, we need to rebuild physical channels, cultivate new consumption habits of users, and redirect profit-seeking capital again... At this time, physical capital It has lost the ability to challenge virtual capital. Under the ratchet effect, as a factory with an industry average profit margin of only single digits, where will it go? If I could turn back time, maybe I shouldn't have made such a choice in the first place.

Xiao Feng was very satisfied with the performance of Genesis E-commerce in the past few months and praised: "It's done well. Now more and more manufacturers' products are unsaleable, and we must carefully help them solve the big problem of difficult sales."

Feng Xiaohui compared the projected data with the past and continued to report: "A rising tide lifts all boats. Our bargaining power has been greatly improved, and various charging standards have also been significantly increased."

Xiao Feng looked at the report and said with satisfaction: "This is very good. Who said you can't make money in a bad environment? You see, we made a lot of money in a market environment where supply exceeds demand."

Feng Xiaohui asked from a sales perspective: "The market is already oversupplied, and it will be difficult for our OEM products to make money in the future."

Xiao Feng remembered Zhao Lei's instructions, thought carefully for a moment and then asked: "Do you think we, as the platform, need to rely on these transactions to make money?"

"No need, then what are we doing for that?"

"We don't make money, we just make friends."

Feng Xiaohui suddenly realized: "I understand, build an ecological closed loop."

"So, not only do we have to do it next, but we also need to invest more in it. Do you understand what I mean?"

"Understood. Next, copy this model on other platforms to form a matrix to achieve multi-platform coverage."

After Zhao Lei heard Xiao Feng's idea of ​​becoming bigger and stronger on other platforms, although she knew in her heart that as long as a monopoly was formed, it would bring unimaginable benefits, but each platform has its own closed loop of interests. It is unrealistic to seize food on a competitor's territory. So he reminded: "Xiao Xiao, you should focus on your own creation first to avoid picking up sesame seeds and losing the watermelon."

As the platform owner, Xiao Feng understood the message conveyed by Zhao Lei's words and immediately responded: "Okay, I will adjust it right away when I get back."

Zhao Lei thought for a moment and then said: "You can cover it first without investing money. You arrange for them to raise accounts on other platforms first."

Xiao Feng nodded understandingly, so that he could squeeze out the remaining value to the maximum extent.