The consumption environment is changing, and consumers are becoming more and more rational. Both platforms and merchants must rethink how to change from quantitative change to qualitative change, and establish a more lasting and consolidated relationship with consumers. In addition, I didn’t expect that the one who has the greatest efforts in Double Eleven this time was the Health Commission. The milestone change has finally come! Since 2020, the repeated epidemic situation and lockdown measures have caused great disturbances to domestic consumption. With the key new epidemic prevention policies issued by the Health Commission, with the implementation of scientific and precise prevention and control work, and the implementation of various measures such as risk response and hidden dangers, optimization and adjustment measures will help shorten the lockdown time and narrow the scope of lockdown, and consumption scenarios are gradually being repaired.
This year's Double Eleven is undoubtedly the most low-key year since the birth of the shopping carnival. The most intuitive change is that without the anchors shouting "buy it" wildly, and without the platforms to report the battle, this year's Double Eleven has obviously become a watershed in the e-commerce shopping festival. For consumers, in addition to paying more attention to cost-effectiveness, we must first ask "Can we ship it?"
embraces the new consumption trend
clothing is an optional consumer product and is mainly offline channels and is greatly affected by the epidemic. According to the "2022 China Retail Digital White Paper" jointly released by China Chain Business Association and global management consulting company McKinsey, the current status of China's retail industry digital transformation is analyzed in detail, revealing the four major trends that are reshaping the Chinese retail market, and extracting key implications for retail companies from it.
At the moment when consumption scenarios are gradually being repaired, whether online or offline, the era of retail industry relying on "traffic bonus " has passed. Omni-channel, refined traffic and basic user operation skills are essential capabilities for retail enterprises to maximize traffic value. Stores are a key place to provide user experience. According to McKinsey's survey, 85% of consumers will still go to offline stores during the entire purchase decision process. Whether it is to experience and evaluate the store before purchasing, or choose to buy directly in the store, the "easy shopping" attribute of the store is still important. For retailers, they should think about how to use the upgrade and iteration of store forms, the collaboration of sensory elements, the introduction of digital interactive experiences, and the local product operation rooted in nearby 3-5 kilometers of communities to attract consumers to return to offline stores to enjoy the fun of "shopping" without a clear purchase task. Hailan Home has been open for 20 years since its first store. On Double Eleven, Hailan Home released a new value proposition for the 20th anniversary: "Create vital clothing and serve everyone's glory."
"Site serving consumer needs as the starting point" has always been the commercial essence of Hailan Home and the original intention of the brand to stick to for a long time. To this end, the system has sublimated four new design principles: suitable for human body, excellent in human form, suited to people's needs, and are suitable for people's wishes. The human-friendly body is supported by the consumer big data support of HaiLan Home's huge offline store system. As of September 2022, HaiLan Home's stores cover 31 provinces (autonomous regions, municipalities directly under the central government), covering more than 80% of counties and cities, and have more than 5,500 stores.
20 service accumulation, and the store has accumulated a clothing database for men from all over the motherland for HaiLan Home. It includes regional characteristics, geographical environment, body size, adaptive scenarios, etc., and uses flexible management to solve the differentiated dress needs in various places, providing consumers in various places with extremely tolerant body shapes and comfort, and also making product research and development and store ordering across the country more agile.
Online and offline integration of new business formats
The channel characteristics of different brands determine the degree of recovery. Since the direct impact is reflected in whether the brand channel supports consumer purchasing behavior , the channel structure, number of stores, and store distribution characteristics of each brand determine the degree of direct impact. For example, the higher the offline revenue share, the stronger the resilience of the brand, the more stores the store number, the more scattered the distribution, the greater the degree of repair.
stores are the "last mile" fulfillment center for instant delivery. Stores have expanded from product purchase channels to diverse roles such as user experience places, user operation positions, instant delivery fulfillment centers, etc.Nowadays, instant performance has become the standard. Benefiting from the gradual improvement of infrastructure capabilities of the "last mile" and consumers' perception and expectations of delivery time have also been raised. With the development of third-party platforms in the past few years, an efficient and complete "last mile" distribution system has been established to promote the rapid development of instant retail. For retailers, stores are an important part of realizing instant performance. The layout of the store, the planning of the front and back warehouses, the design of the picking and the design of the merger area can all play a key role in improving the "last mile" performance efficiency and reducing the cost of fulfillment.
Recently, HaiLan Home has reached a deep strategic cooperation with JD Home and JD New Department Store. 754 direct-operated stores across HaiLan Home have officially launched JD Home 5-hour shopping for JD HTML. It is expected that more than 3,000 HaiLan Home direct-operated stores will be launched by the end of this year, and it is expected to connect to all its more than 5,000 stores next year.
This cooperation, the three parties will give full play to their respective advantages in products, digital marketing, online traffic operations, and fulfillment optimization to carry out in-depth cooperation. JD Home and JD Hour Shopping provide HaiLan Home with omni-channel digital solutions by continuously outputting their own digital technology capabilities, accelerating the digital upgrade of offline store retail.
For HaiLan Home, cooperating with JD Home and JD New Department Store to enable -hour service is an important part of the new retail omni-channel strategy, and through JD Home’s complete instant retail solution. In the future, more than 5,000 offline stores of HaiLan Home can realize the "store-to-store integrated" model of "online traffic drainage + offline fulfillment", improving logistics timeliness and reducing fulfillment costs. It not only optimizes and improves its own costs and efficiency, but also meets the real-time shopping needs of modern consumers who are eager to receive their clothing faster. At the same time, with the advantages of JD Home and JD New Department Store's full-region marketing and resource integration, HaiLan Home's brand influence has penetrated into all online and offline scenarios, providing a steady stream of energy for sales growth, and is expected to create a new growth curve.
In the future, the major trend of digitalization and omni-channel in the retail industry will be irreversible. HaiLan Home’s innovative retail technology and the further maturity of digital solutions will also help Ping’s brand digitalization process accelerate. China's consumption growth has entered the local era, national consumption demand has undergone structural changes, and national brands are ushering in unprecedented historical development opportunities. HaiLan Home integrates knowledge and action, gathers the power of technology, R&D and channels to create a "image glory" for national men of all ages, styles, scenarios and prices.
Under the guidance of the brand new brand value, HaiLan Home has embarked on a "super national brand journey" and released three future strategies: "10 billion e-commerce, new thousand store plan, and cloud service laboratory", presenting the digital, humanized and environmentally friendly core of HaiLan Home, empowering future high-quality development and sustainable development , moving from "online" to a new level of " digital and intelligent ", opening a new brand growth curve.
