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Do You Think The Live Broadcast Has Moved The "Cheese" Of The Wholesale Industry

2023/5/5 19:08:00 0

Live Broadcast

With the rapid development of the Internet economy, live broadcast e-commerce is rapidly changing the business scene and model, and the textile and clothing wholesale industry is no exception.

For more than a month, the "broadcast ban" of a clothing wholesale market has attracted industry attention. How to view the impact of live streaming on the traditional wholesale market? How can the textile and clothing wholesale market seize the development opportunity under the Internet wave? With these questions in mind, the reporter of China Textile News interviewed several insiders.

The live broadcast brought goods to the "cheese" of the wholesale industry

Some people attribute this dispute between live broadcast and traditional wholesale industry to "natural genetic discord".
The traditional clothing wholesale has many intermediate links, which go through the first level wholesalers, the second level wholesalers, and even the third and fourth level wholesalers, then to the retail end and customers. The emergence of online live broadcast has compressed the middle link of clothing wholesale, reduced the cost of circulation, made it easy for primary wholesalers and manufacturers to directly face the end customers, and made the middle wholesale link of traditional formats no longer needed.
   "In order to maintain the revenue of stores and ensure the overall stability of businesses and the market, some wholesale clothing markets, especially those with high store rents, are prohibited from live broadcasting. These professional markets have developed earlier in China, and have the advantages of convenient transportation, centralized supply of goods, and professional talent gathering. The market is popular, customers are all over the country, and store rents are also high. Live broadcasting with goods can enable production The direct delivery of products to the consumer terminal, skipping the middle wholesale link, will inevitably have an impact on the operation of the wholesale market. " Ma Chaoming, general manager of Zhengzhou Daguan International Trade, told China Textile News, "From the perspective of market operators, I certainly hope that people will come to the physical stores to spend money. When the popularity is strong, our stores will also have higher income."
"The market itself is a trading platform and a manifestation of the value of commercial real estate." Ye Liang, Vice President of the Circulation Branch of China Textile Industry Federation and Executive President of Anhui Textile Industry Association, said that e-commerce, as a business model, exists objectively, and different markets in different regions should act according to needs.

"Hangzhou and Guangzhou and other first tier cities are areas where the live broadcast economy has developed well, and they have natural unique advantages in technology, talent, supply chain and other aspects. Live broadcast and e-commerce are relatively concentrated. The wholesale market chooses to ban live broadcast with goods, and from the market side, it has its own position." Zhang Jingmin, general manager of the Yinji Commercial Brand and E-commerce Operation Center, said, "As for whether banning broadcasting can promote the prosperity of the real market, we will wait and see."

Whether the live broadcast accelerates the trend of "disintermediation"

Live broadcast e-commerce has compressed the middle link of clothing wholesale, reduced the circulation cost, improved the transaction efficiency, and can also directly obtain feedback from consumers to determine production based on sales. Then, will live broadcast accelerate the trend of "disintermediation" in the wholesale market? People in the industry have different views on this phenomenon.
"The impact of Internet e-commerce on traditional wholesale market formats has become a trend of the times. Even without live streaming e-commerce, 'disintermediation' is a future trend, which is not subject to human will." Ma Chaoming said.
Zhengzhou Daguan International Trade is located in the core area of the 100 billion business circle of Zhengzhou Railway Station. It is one of the 13 markets in the nearby clothing wholesale business circle, and also one of the larger business circles. Ma Chaoming said that in order to meet the demand of market merchants for online development, Zhengzhou Daguan International Trade Co., Ltd. began to build a Daguan live broadcast and supply chain base in June 2020. After more than two years of development, some merchants settled in Zhengzhou Daguan International Trade Co., Ltd. seized the opportunity to abandon the original offline stores, and all transformed into online live streaming with goods. Now, the well managed merchants have a daily live streaming with goods transaction volume of 1 million yuan - 3 million yuan; Some merchants rely on their own supply advantage to develop into a clothing supply chain, relying on network experts and online celebrities to bring goods. Over the past two years, the number of live broadcast merchants, high-quality supply chain manufacturers, and live broadcast organizations that have settled here has grown from a dozen in the initial stage to more than 170 at present. The annual GMV (total amount of commodity transactions) of the settled+incubated merchants has increased by 3-10 times, and the highest is up to 15 times. "At present, the live delivery volume of the clothing category in the Daguan live broadcast business circle is the largest in the nearby business circle, and it is also the largest market in Zhengzhou business circle. Daguan International Trade has become a brand clothing procurement and approval base radiating six provinces in central China." Ma Chaoming said.
Zhang Jingmin believes that as a form of Internet commerce, live broadcast is both a sales channel and a promotion tool. No matter what type of e-commerce, it depends on what role users put it in.
When talking about "disintermediation", Zhang Jingmin has his own opinion. She believes that the traditional second batch market has its own value in the professional market. "The second batch of merchants do not simply rely on the wholesale price difference to survive. After years of operation and accumulation, they have a very keen sense and control of the market, and better understand the needs of customers. Not only can they quickly assemble a cargo according to market trends and customer needs, but also can provide customers with better services. Because of these advantages, many When the two groups of merchants from Zhengzhou to the whole country developed upstream, they also achieved great success. They can let downstream customers make money together, which is the value of the two groups of merchants in the market. "

"Based on the changes in market conditions over the years, the second batch of merchants have a strong sense of service and operation whenever they can succeed." Zhang Jingmin said that, based on the development concept of "one batch of prices, two batches of services", the bank based linkage with upstream and downstream manufacturers, and integration of dozens of stores - manufacturers have advantages in goods, businesses have operational advantages, manufacturers ship Businesses provide business services, and through remote management, the circulation of goods has a geographical breadth and depth of sales, which also solves the problem of "disintermediation" commonly faced by market management.

Where is the development space of the wholesale market

With the continuous acceleration of the transformation of the business model of direct users, where is the transformation and development direction of the clothing wholesale market?
Ye Liang believes that at present, live broadcast and online shopping have become a trend of diversified trading modes. "In Anhui, the impact of live streaming on the secondary wholesale market is less than that of the market of origin, so we have no clear objection to live streaming in the market. For example, in Wangjiang County, Anhui Province, live streaming e-commerce can better bring local children's clothing products to the whole country and the world, which is much more beneficial than just relying on offline sales in the wholesale market. Therefore, in more remote counties and regions We still support the work of e-commerce live broadcast, which can make up for the shortcomings of the lack of penetration and influence of the wholesale market in remote areas, and increase the promotion and dissemination of brands, which is conducive to the development of the county economic model. " Ye Liang said, "In a provincial capital city like Hefei, it is more suitable to drive the prosperity of the market and commercial real estate and the economic development of the central city through field sales and popularity."
"Now, a lot of market traffic has shifted from offline to online, and some of our merchants are unwilling to return to offline after doing online; some of them have achieved the synchronous development of online and offline, and one store not only does offline retail and wholesale, but also does online live broadcast with goods, and also supplies for talent anchors." Ma Chaoming said.
Ma Chaoming introduced that merchants in the wholesale market will choose whether to do live broadcast according to their own positioning and development plan. For example, some merchants aim to develop franchisees and open counters in department stores through franchisees. Their products are usually positioned at middle and high grades, and most of them do not do live broadcast e-commerce. In order to increase sales, some clothing brands have specially registered online brands, and another group of goods have been sold through live broadcast to distinguish them from the original offline brand products. As for the shop of transformation live broadcast e-commerce, the products generally sold are single products or middle and low-end clothing, and there are many retail merchants who transform to live broadcast e-commerce. According to the needs of market merchants and end customers, the market is divided into different areas for online and offline operations, so as to take advantage of the situation and develop synchronously.
"There are two sides to any new thing. Some people embrace it and some people reject it. We use live broadcast as a channel and tool to promote the brand's characteristics. Through the live broadcast of shop visits, interviews with people and other forms, online and offline integration and use for our own purposes, rather than 'one is zero' or 'one shot to death'." Zhang Jingmin said, "In the past two years, the textile industry has accelerated its transfer from coastal areas to the mainland, and the industrial innovation and upgrading has accelerated, which is a new stage of development for the textile and clothing industry. We regard the online as a platform, model and business type, and think about how to better use and use this tool to develop in a more prosperous and innovative direction. How to choose the parts that are beneficial to us, in the physical and live broadcast Different people have different opinions on whether to find a balance point in the. Some businesses are both online and offline, some use online as a promotional tool, and some have abandoned offline online. Taking live broadcast as a platform, it is the best to find something suitable for yourself and give play to your strengths for my own use. " Zhang Jingmin said.
When it comes to the development direction of professional wholesale market in the future, Zhang Jingmin believes that different regions, different genes, and different roads. "Based on the past and future goals, professional markets should have specific plans and measures to improve their core competitiveness and operational capabilities. In terms of strengthening operational service capabilities, we should not only rely on property leasing, but also improve the quality of operational services to bring business traffic, so that all parties can have room for development." Zhang Jingmin said.
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