Paint E-commerce "Double Eleven" Exposing Hard Perseverance Wins the Market

Global Coatings Network News:

After another "Double Eleven" online shopping carnival (hereinafter referred to as "Double Eleven") came to a lively end, the paint companies' "participation in the war" finally failed to produce a surprising report card, even Not as good as in previous years.

　　More coating companies participated and recorded fewer sales-this seems unreasonable, but it really reflects the "dismal" online trading of this year's "Double Eleven".
Compared with the total turnover of 57.
1 billion yuan recorded by Alibaba's Taobao and Tmall, the contribution of coating companies accounts for about 0.
03%, which is almost negligible.

　　However, compared to the usual online trading situation, for those paint companies that have launched e-commerce business, "Double Eleven" is probably the most active day of the year.
This comparison has increasingly reflected the current plight of paint companies testing water and e-commerce, so that some industry media described it as "chicken ribs.
"

　　How to examine the future of paint e-commerce has become an industry topic in recent years, but there are often no satisfactory answers to the heated discussions.
Is it still the same this year?

　　The embarrassment seems to not only lie in the increase in sales.
In these hard-earned sales, there is still moisture, including the phenomenon of brushing orders and the inevitable return of goods afterwards, which are facts that coating companies are trying to conceal.
Even where this transcript was not reached, some small and medium-sized paint companies were "worked in vain" for various reasons.
This embarrassment was even more obvious under the contrast of "Double Eleven", but it could not cause any problems in the industry.
note.

　　"Probably because you are not reconciled.
" This sentence of a paint company who participated in the "Double Eleven" e-commerce war summarizes the current coating companies' mentality for "Double Eleven" and paint e-commerce.
But where is the way out?

Sales shrink

　　As in the previous two years, Liang Shidong, the strategy director of See's brand strategy consulting agency-whose certified Weibo nickname is "Paint Electric Merchant"-continued to use manual methods to control multiple participants in the "Double Ten" during this year's "Double Eleven" period.
Statistics on the sales of Tmall flagship store of the first paint brand, and immediately released the "battle status".

　　According to Liang Shidong’s final statistics, Dulux won this year’s “Double Eleven” championship with 10.
64 million yuan in sales (rounded up, the same below).
Nippon Paint followed closely behind with 3.
55 million yuan, followed by Fenlin.
The lacquer is 820,000 yuan, Sankeshu’s 580,000 yuan, the classic lacquer is 370,000 yuan, the Dufang lacquer is 130,000 yuan, and the PPG (master paint) is 110,000 yuan.

　　However, Liang Shidong is very cautious about this data, and constantly emphasizes that it is an unofficial statistical data of "human flesh statistics" on Weibo, which is for reference only.
He hopes that through this kind of behavior, "to attract others, hope that more people will pay attention to the development of paint e-commerce.
"

　　Liang Shidong's persistence really played a role.
In this year's "Double Eleven", the website editor did similar work to Liang Shidong, except that the sales data of each paint brand according to his statistics are slightly different-Dulux 11.
12 million yuan, Nippon Paint 3.
83 million yuan, Fenlin paint 790,000 yuan Yuan, Three Trees Tree 590,000 Yuan, China Resources Paint 140,000 Yuan, PPG (Master Paint) 110,000 Yuan, Baise Xiong 100,000 Yuan.

　　In response to these two data, some coating companies finally provided Liang Shidong with Tmall background data for correction.
The final confirmed brands and their sales included Fenlin 820,000 yuan, Sankeshu 680,000 yuan, PPG master 250,000 yuan, The DIY network of Carbo-Li is exclusively for 37,000 yuan.
However, other brands involved did not provide back-end data at the time of publication.

　　From the perspective of the horizontal performance of individual brands, although Dulux’s sales of 11.
12 million yuan have been significantly improved from last year’s 7.
14 million yuan, it is still difficult to reproduce its 2012 sales of 12.
03 million yuan; Global Paint Network It is understood that Nippon Paint has continuously recorded sales of more than 9 million yuan in 2012 and 2013, but this year it has dropped sharply to more than 3 million yuan; while Fenlin paint, Three Trees, PPG (Master Paint) and Bauhinia are all Declining sales were recorded; only China Resources Paint, Baise Bear and Meitus sales increased, but the total amount was not large.

　　No matter which version of the data, the total sales of these paint brands participating in the "Double Eleven" is less than 18 million yuan (including the 14 paint brands shown in the data).
This is lower than the 21.
73 million yuan (3 brands) in 2012 and the 19.
87 million yuan (9 brands) in 2013, and it is not difficult to find that whether it is the total amount or the average value of the unit enterprise, the "double" of the paint brand There has been a significant decline in sales during the eleventh period.

　　Regarding why such a "Waterloo" was encountered, Liang Shidong, who has been concerned about the development of paint e-commerce for many years, said: "Tmall has given up the paint category, and this time it has not given much support.
The same traffic support, Tmall It’s better to give to other building materials category, because the sales data is large.
Even if you give paint, there is no beautiful sales data.
"

　　The lack of support from Tmall has led to a reduction in drainage.
It is certain that the main reason for the decline in sales of paint brands, but the slow publicity of paint companies before the "Double Eleven" has also affected the effective development of sales.
According to the information obtained by the coating business reporter, the enthusiasm of coating companies for the "Double Eleven" this year is significantly lower than last year, and it is hard to say innovative in the promotion methods.
Take Nippon Paint as an example.
Last year, before the "Double Eleven", it strongly promoted its "slow delivery" service, which was quite eye-catching; however, there was not much innovation this year.

　　An official from a paint company told reporters that last year's company's unsightly online sales data drove the company's enthusiasm for online sales.

Suspicious Cloud

　　Liang Shidong discovered in the process of statistics of the sales of paint brands during the "Double Eleven" period that there is a suspicion of a certain paint brand's transaction information.

　　The so-called order-checking refers to cheating actions taken by Taobao or Tmall stores in order to obtain a better Taobao search ranking for a single product or store.
And in the "Double Eleven", it may also be to make the sales data look good.
But this kind of behavior is sales fraud.

　　Therefore, Liang Shidong chose to hide its sales after discovering the brand's suspicion of scalping orders.
He also posted a screenshot of the brand's transaction records on Weibo as "evidence.
" It can be seen from the picture that the monthly transaction record of a certain paint product reached more than 2,000 pieces, but only one evaluation was received; and the number of products ordered in the same order was more than 150 in multiple accounts.
According to the consumption properties of coating products, this amount far exceeds the amount that an ordinary consumer needs to use daily.

　　According to the information prompted by Liang Shidong, the reporter checked the transaction records of more products of the brand and also found signs of scalping orders.
For example, a "Double Eleven" product with a discounted price of more than 2,700 yuan, in more than 80 orders on November 11, a user who displayed as "Qing ** Gang" appeared repeatedly-first at 3 o'clock in the morning.
The first order was placed with a quantity of 30; then 12 consecutive orders were placed from 18:57-19:32, with a total quantity of 30.
In other words, the "Qing ** Gang" bought 60 units of the same paint product for more than 160,000 yuan on this day.
"This is the behavior of the'local tyrant'.
"

　　Regarding Liang Shidong's "hidden" behavior and the reports made by the industry media based on it, a certain local station of the brand responded via Weibo: "I wonder why the editors didn't report it according to the facts," "It's incredible.
" For reporters to inform its brand

There are reasons for the suspicion of order-swiping.
The Weibo responded that “(that is) someone maliciously took photos without paying” and denied that it was an order-swiping behavior.

　　Obviously Liang Shidong has also suffered pressure, and will no longer hide the brand's data and rankings in subsequent statistics.
However, the suspicion of buying orders has not been eliminated.
Even business people familiar with the situation told reporters as early as last year that some small and medium-sized paint brands are engaged in e-commerce, and the initial "beautiful" data may have to be brushed out, and the moisture is very high.

　　In addition to brushing orders, the "moisture" of the company's personalities also includes the company's secretiveness of the return behavior that may exist afterwards.
According to reports, Tmall and Taobao platforms will see considerable returns every year after Double Eleven, and paint brands are also unavoidable.

　　However, the number of return orders (these orders actually become transactions that did not generate sales) and the true transaction value of the company after deducting these returns have not been announced.

　　The presence of moisture has discounted the sales of "Double Eleven", which is not a pretty paint.
In addition to the excitement of "Double Eleven", it is actually the "false prosperity" displayed by the current paint e-commerce.

　　As the sales volume of coatings on "Double Eleven" has been shrinking year by year, the cost of e-commerce companies has increased.
Under this background, can the "bubble" continue?

What makes paint companies still quite contradictory is how to grasp the way forward between the cold facts and the hot expectations? After this year's "Double Eleven", some commentators pointed out: "Traditional companies have a dead end in e-commerce, and it is a dead end if they don't do e-commerce", which makes people feel desperate.

"Not reconciled"

　　As one of the pioneers of paint e-commerce, Nippon Paint participated in the "Double Eleven" sales campaign for three consecutive years.
After recording sales of more than 9 million yuan in the previous two years, this year suddenly encountered "Waterloo" and sales shrank sharply to more than 3 million yuan.

　　In order to prepare for this year's "Double Eleven", Nippon Paint launched online pre-sales in October.
According to its promotional article, “Nippon Tmall’s flagship store’s “Double Eleven” pre-sale has been hot since its opening.
The star product “Anti-formaldehyde and clean smell five-in-one set” has encountered “the craziest booking in history”.
In just 15 days, the number of bookings reached nearly 3,000, and it was very popular all the way.
"

　　The price of this package product "Double Eleven" is 588 yuan, far lower than the market price of 1488 yuan.
According to Liang Shidong's statistics, the final transaction volume of this product was 1111 2866 sets, with a transaction value of 1.
68 million yuan, accounting for 43% of the total transaction volume of the Nippon Tmall flagship store on that day, and it was a veritable flagship product.

　　But this cannot conceal the fact that sales of this "star product" have fallen sharply compared to last year's "Double Eleven".
Also according to Liang Shidong's statistics, in 2013, the same product on Double Eleven received 4,915 orders and sold 11,576 sets, with a transaction volume of 7.
03 million yuan (each transaction price was 608 yuan).
This single product sales data even greatly exceeded Nippon’s total sales for this year’s "Double Eleven".

　　Regarding the sharply shrinking sales data, Nippon also released a promotional article afterwards, pointing out that in response to the brand upgrade plan, the Nippon Tmall flagship store stopped chanting price wars during the "Double Eleven" event, and instead displayed "warmth".
"" service card-but this explanation has obvious traces of justifying the decline in sales.

　　In the context of the general decline in sales of coating companies during the "Double Eleven" period, Nippon's experience may not be the worst.
The paint company where the aforementioned business persons belonged once again participated in the "Double Eleven" online sales this year, and the embarrassing performance of zero sales was recorded in the "Double Eleven" last year.
This year, there is not much change: "The "Double Eleven" only sells.
One bucket (paint) is only a sub-brand.
"

　　When asked why he insisted on doing e-commerce, the person from the company reluctantly said: "Probably not reconciled, investing so much money to do (e-commerce) this thing.
" The reporter checked the Tian Tian of his brand.
At the cat flagship store, only 76 transactions were found for the best-selling product, but they were all sold a month ago, and no one was sold within this month.
A person from the company said frankly: "Some of them are made by myself.
"

　　The business person sighed: "E-commerce, (yes) the future trend, but the media advocates domestic companies to do it.
In the end, these companies will invest a lot of manpower, material and financial resources, which will serve as a foil; if they don’t invest in doing it, they will sooner or later be used in the online shopping era Eliminated, so (in) a dilemma.
"

　　I believe that there are not a few paint companies caught in a dilemma.
This can be seen from the increase in the number of companies participating in the "Double Eleven" business war every year.
The aforementioned commentators described the mentality of the coating companies and their owners: "I thought it was a gorgeous turn, but who knows, it really came, but it was a shopping fight.
This has almost become the common voice of the coating giants-transformation.
E-commerce has worked hard and hard, but the result is unpredictable.
"

　　Blessings and misfortunes are unpredictable.
Where should the "unwilling" paint companies go on the e-commerce road?

O2O bottleneck

　　Paint companies establish official flagship stores on Tmall and sell products directly to consumers (and possibly distributors).
Currently, companies are still accustomed to using this type of B2C (business-to-consumer) in attempts to paint e-commerce.
Pattern.

　　However, the B2C model that emerged from the online sales of fast-moving consumer goods has been grafted onto the coatings of industrial products, and the prospect of this attempt is still doubtful.
Due to the long-term docking of paint companies with distributors, they obviously lack the experience of directly facing consumers, and they have encountered the problem of rushing for food with distributors.
This kind of shortcoming makes their e-commerce attempts inevitably bumpy, and the performance of the coatings "Double Eleven" in the past three years has been seen.

　　In order to balance the interests of enterprises and dealers, some enterprises have adopted some strategies, trying to avoid conflicts with dealers while developing e-commerce.
For example, some companies specialize in launching new product >However, these measures seem to limit the paint companies' efforts to further develop the online sales market.

　　With the deepening of e-commerce, a new model O2O (online to offline) has become a hot topic.
In simple terms, this model is that merchants generate orders online and then hand them over to offline stores to complete the sales.
Once the O2O model emerged, it caused waves in the home furnishing field, including coatings.
This is because the company seems to have found a way to resolve the conflict with the distributor’s interests.
As a result, we have seen that Nippon’s practice of handing over online sales orders to nearby distributors during the "Double Eleven" in previous years is a model similar to O2O.

　　But the fact is not that simple.
While completing sales through this online (enterprise) and offline (dealer) cooperation model, how to divide profits will emerge as a new contradiction.
For example, on the eve of Double 11 last year, Tmall tested the home furnishing O2O model, that is, consumers went to the store to choose a good home, then went back to the online order to prepay the deposit, and then went to the store to verify, receive, and use Alipay.

The POS machine pays off the balance.
In the view of traditional home furnishing stores, this approach undoubtedly acts as a free model room, which obviously touches the fundamental interests of home furnishing stores.
So it has evolved into a "war" between home furnishing stores and Tmall-19 large home furnishing stores including Jiaranzhijia and Red Star Macalline have jointly signed an agreement to prohibit merchants in the stores from participating in the "Double Eleven" event, and Corresponding punishment measures have been formulated.
This joint action forced Tmall to terminate the home improvement O2O project.

　　Although dealers are more of a decentralized individual organization, they are obviously unwilling to become "experience stores" for companies selling products online.
An agent who has represented a number of well-known furniture brands said: “The products sold in our store are different from those sold online, and even the online products will not be displayed on the store.
” He pointed out that the original manufacturer The profit given to us is not high.
After consumers place an order online, they have to perform post-delivery and other after-sales services.
No one is willing to do this.

　　"Don't say that stores are boycotting, our agents must resist.
" An agent of a well-known flooring brand said that such low online prices will definitely have a big impact on physical stores.
"Online sales promotion, one more channel, manufacturers are naturally willing.
But it hurts the interests of agents.
"

　　Comparing the situation of the coatings industry, which also takes "channel as the king", it is not difficult to see that the O2O model, which is led by enterprises and participated by dealers, is not as beautiful as we imagined.
Whether it is a business or a distributor, in a period of declining profits, no one is willing to sacrifice their own interests to make wedding dresses for others.
How to reconcile the interests of both parties has become a bottleneck in front of paint O2O.

　　Today, when the paint e-commerce boom is rising again, this issue is worthy of careful consideration by companies and distributors.

 

　　As in previous years, the e-commerce gunsmoke of "Double Eleven" is quickly dissipating.
In the coatings industry, this kind of heat ebbs even faster.

　　While the sales of some paint brands that have been fighting for "Double Eleven" for many years are difficult to make breakthroughs or even decline, some paint brands that are new to the online market have also emerged one after another, and even performed well.
For example, Gordon Paint and Star Manor recorded a turnover of 120,000 yuan and nearly 50,000 yuan respectively.
They don't have more data that can be used for horizontal comparison, and will they bring surprises to paint e-commerce next year? It is worth looking forward to.

　　Although we have seen the embarrassment of paint companies testing water and e-commerce, these embarrassments are not the material for us to ridicule and criticize for the background of the current industry in a transition period.
To the extent that the company can afford it, we advocate more actions that are brave to try.

　　But since it is an attempt, it should be accompanied by thinking and correction.
The e-commerce attempts of paint companies should not be a gamble just after the addiction, but as an integral part of the company's continuous development and development, and a useful attempt to explore new outlets in the market during the transition period.
(Source: Global Coatings Network) (For more information, please log in: Global Coatings Network http:// )