Taobao Special Edition was officially launched, pushing the "Super Factory Plan" and creating a "10 billion production area". Three months after its establishment, Taobao's C2M business unit launched its "big move".
At the beginning of December last year, Taobao President Jiang Fan announced that Taobao has established a C2M business unit. Alibaba Vice President Wang Hai (nickname: Qi Gong) is also the general manager, and two lines report to Jiang Fan and B2B business group president Dai Shan.
Since 2018, the discussion between C2M and C2S2B has once again become the focus of industry discussions, and e-commerce platforms have been actively deployed. Pinduoduo’s “New Brand Plan” will support 1,000 industry factories. JD.com will focus on C2M’s strategic positioning before 618. It plans to achieve a cumulative turnover of 100 billion yuan in reverse customized products and exclusive new products on JD’s platform within three years. scale. Prior to this, Juhuasuan's Tiantian Sale also announced that it would cooperate with Alibaba Cloud to upgrade the C2M digital intelligent manufacturing system, and complete the intelligent transformation of 100 industrial belts and 10,000 Tiantian factories within 3 years.
With the full launch of Taobao's special edition, the competition around "C2M" will further intensify. What are Ali's goals and advantages in this? Can C2M really bring the industry to bring businesses to usher in "spring"? What changes will happen to the sinking market?
Good products at low prices are "true fragrance"
Open the Taobao special edition page, the reporter saw that the low price of "9.9 free shipping" has been OUT, "5.9 free shipping", newcomer special All kinds of goods with a few cents in free shipping are "really fragrant."
Wang Hai revealed that in the internal testing phase, user stickiness and conversion rate have exceeded expectations, "Because of such affordable products, the conversion rate of orders is very high. It is easy for users to come in and think of purchases."
Like Juhuasuan, Taobao Special Edition is also aimed at users in the sinking market. In meeting the needs of users in the sinking market, Juhuasuan's task is to drive branded products down, while the Taobao special edition directly connects with factories and industrial belts and attracts users with extremely low-priced and high-quality products.
Wang Hai told reporters that among the 824 million Taobao users, 60% of the growth comes from users in the sinking market. In the supply of cost-effective products, industry belt companies account for 40%.
Therefore, in a sense, "the industrial leader has to sink." In fact, Ali has been experimenting with C2M or C2B for a long time. According to Wang Hai, after years of precipitation, both Ali’s overall B2B system, digitalization, artificial intelligence and other capabilities and technologies have matured. At this point in time There should be a deeper model upgrade.
In this year's Tmall Queen's Day, the order volume of C2M customized merchandise increased by 370% year-on-year. During the epidemic, many factories that have undergone Taobao C2M upgrades have experienced contrarian growth.
"To be honest, it's a bit embarrassing. I have been in business for 30 years, and this year may be the best year. The most sold a day is 80,000 orders, which is the amount of a month in the previous peak season." Qu Weihao, the factory manager of Sunodice, told us.
Haoshun Otis previously mainly produced car maintenance products. On February 6, Ali C2M Xiaoer found Haoshun Otis, "We found that the number of people searching for alcohol spray products is much higher. Can you do it?" Qu Wei recalled that the next incredible 20 days began.
passed the ethanol production record approval in 7 hours, completed the research and development in 3 hours, launched a new alcohol spray packaging, and completed the entire process from receiving demand information to online sales in 3 days. Under normal circumstances, it may take 6 months to pass the filing, and it takes 45 days to go online.
Qu Weihao believes that if there is no C2M accurate docking capability, it is impossible to explode amazing capabilities and potential in the entire link of consumer demand, R&D, manufacturing, and sales.
"Now the domestic epidemic has eased, and the amount of disinfection products has been reduced. But for products shipped abroad, about 8 containers are needed every day." Qu Weihao said. The reporter found that the price of 100ml alcohol spray is only about 11 yuan, while most of the price is about 30 yuan.
is to bring growth potential to the factory on the one hand, and on the other hand is the low price and good product on the consumer side. Wang HaiI believe that subsidies cannot be used to support development and obtain low prices. “Because the core of C2M is to set production on demand, factories and enterprises do not need to consider inventory when producing each product. Inventory is a very important part of commodity pricing. Bargaining component. Make the production more precise, so that the price can really be reduced to make consumers feel very affordable."
How to build a "super factory"
In Ali's C2M strategy, "super factory" "Plan" is where the "bullet" is produced. To this end, Taobao C2M has launched four core infrastructure services for it, namely new product development, marketing services, supply chain services and financial services.
Taobao C2M business division general manager Jin Ke introduced that new product service tools will show consumer preferences and needs concretely to manufacturers through Ali big data analysis. "Once the plan is right, the explosion will be half right. This is the first service we launched. It will completely change our research and development methods." Jin Ke explained that with Tmall and Taobao for the development of new products for merchants The tools are different. Taobao C2M's R&D service tools are specially created for industry belt businesses.
In marketing services, Taobao C2M will focus on managing the entire life cycle of the goods. Manufacturers with certain e-commerce companies can choose the "semi-hosted" model. Manufacturers lacking e-commerce capabilities can choose "one-stop" services. According to Jin Ke, in the early stage of introduction, it will focus on helping manufacturers to optimize information; when the long-term is reached, it will help maximize the conversion rate; in the outbreak period, all traffic will be concentrated, so that the explosion will be born; During the recession period, the merchant will be the first to help clear inventory.
In terms of supply chain, Taobao C2M will also launch warehousing services, establishing satellite warehouses in places closest to manufacturers, and establishing central warehouses and combined warehouses when the back-end order volume is constantly rolling. "The whole process is all data-based. You can see the inventory status based on the sales situation, and then schedule production based on the actual situation in the factory to make the best replenishment." Jin Ke said that Taobao C2M will help merchants to reduce logistics costs. decline.
DoNews learned that the layout and construction of satellite warehouses and central warehouses have been completed in multiple core industry belts. With the full intervention of the digital intelligence supply chain, it will pilot joint warehouses in some core areas and conduct cross-business operations. Order consolidation processing reduces the logistics fulfillment cost of orders by more than 15%. In fact, in order to penetrate the sinking market and provide a better experience on the consumer side, logistics is a problem that must be solved. This is also one of Taobao C2M's "killer features" compared to Pinduoduo.
Finally, in terms of financial services, from credit loans to event loans to marketing rechargeable treasures, Taobao C2M has prepared financial support for manufacturers in different scenarios from before production, to the event period, and to the climbing stage. .
In fact, the difference between "Super Factory Project" and Pinduoduo's new brand plan has always been the focus of discussion. According to Mr. Wang, an industrial belt merchant who did not want to be named, Pinduoduo's move was relatively early, and the "harvest" of the first batch of sinking users did bring explosive growth to the factory. But in terms of digitization capabilities, Mr. Wang pointed out that "Ali has given more granularity and clarity." He also believes that Taobao C2M has a complete set of services for industry belt merchants, "Warehouse distribution and loans are very real problems."
In Wang Hai's eyes, in the competition of many e-commerce platforms around C2M The advantage of Taobao's C2M model is that there is a special version of Taobao, a platform that is provided with the C2M industry belt as the core. It most directly connects factories and consumers. It is not only a platform, but a digital system. Secondly, there is the support of Alibaba's big data, cloud computing, IOT and other digital technologies, including financial and supply chain service support.
In general, the arrival of Taobao C2M has brought a new situation to the sinking market. The era of low prices that rely on subsidies and crazy "pull people" is coming to an end. Really low prices and good services will become new select.
