Shushang Cloud: In the "Internet +" era, how does the traditional wholesale industry reconstruct its business model?

The wholesale industry refers to the activities of wholesalers selling daily necessities and production materials in bulk to wholesale and retail units and other enterprises, institutions, and institutions, as well as the activities of engaging in import and export trade and trade brokerage and agency.

At present, China's wholesale market is mainly dominated by professional markets, and most of the professional wholesale industries have long chains and are limited by geographical space. For wholesalers, their development is greatly restricted. At the same time, for buyers, offline wholesale markets still need to purchase goods. It takes quite a bit of time and effort. Especially in today's business environment where customer traffic is gradually decreasing, store rents are getting higher, and product information is becoming more and more transparent, wholesale merchants should step away from traditional business thinking and use the Internet sales model to open up the upstream and downstream of the supply chain. Get more opportunities in the rapidly changing market and fundamentally get rid of the pressure of store rent in the wholesale market. This article briefly analyzes the development of four typical wholesale industries to see how companies can make corresponding changes in response to the problems encountered by the industry.

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Clothing wholesale industry

The more famous domestic clothing wholesale markets include Shisanhang, Baima, Hongmian, Shahe, Humen, Nanyou, Sijiqing, etc. There are many wholesale markets and online wholesale platforms in various central cities, which objectively disperses the online traffic that should be concentrated, making the single transaction commission-saving model inefficient and unable to form an absolute concentration of volume. For ordinary clothing wholesale companies, the dispersion of traffic results in the lack of soil for the birth of an industry centralized platform.

In addition, the upstream industry of the garment industry is the yarn market, with many small and medium-sized enterprises, showing obvious characteristics such as low market concentration and concentrated production areas. Best-selling fabrics are easily imitated, resulting in serious homogeneity and fierce competition. There are many layers of fabric wholesalers between the midstream cloth market and downstream clothing manufacturers.

Therefore, the clothing wholesale industry is naturally very suitable for the intervention of B2B platforms. The B2B e-commerce trading platform can simplify supply and purchase transaction paths, realize digital management of the entire product information process, online inquiry management, order management, payment management, electronic contracts, evaluation systems, etc., simplify the transaction paths of both suppliers and buyers, and promote intelligent transactions. , digitalization, breaking the opacity and asymmetry of information, conducting real-time online management of information, funds, and logistics, effectively reducing industry production and transaction costs, greatly improving the efficiency of the industry's industrial chain, and effectively solving the pain points of enterprises.

Main functions of B2B e-commerce trading platform

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The B2B e-commerce trading platform improves the sales communication experience with a powerful real-time online query function for the clothing wholesale industry. Suppliers and buyers can conduct efficient transaction communication, price negotiation, goods delivery, order confirmation and other operations. In addition, when users publish new demand orders on the clothing wholesale industry B2B platform, the homepage orders can be updated in real time, and members can receive push messages as soon as possible, helping suppliers and demanders quickly find the required information and cooperation targets.

Frozen products wholesale industry

After 30 years of development and evolution, China's frozen products wholesale market has experienced six development stages, namely, spontaneous germination stage, rapid development stage, blind development stage, standardized development stage, quality improvement stage, and group development stage. As the market scale continues to expand, with such a huge transaction volume, the problems existing in the frozen product wholesale market have become increasingly prominent. At present, the problems existing in the domestic frozen product wholesale market are mainly reflected in chaotic trading order, lax market supervision, lack of overall planning for regional layout, slow economic benefits, and aging cold storage equipment that is difficult to manage.

In addition, since the outbreak of the COVID-19 epidemic, the frozen product wholesale industry has been hit hard repeatedly. If we do not control all aspects of the enterprise's supply chain in a refined manner and effectively reduce costs and increase efficiency to the greatest extent, it will be easy for competitors to seize the leading position and then be eliminated by the market. disuse. In response, many frozen product wholesale companies have begun to establish supply chain management systems.

Utilize modern information technology to integrate high-quality resources from all upstream and downstream parties in the industry to create a comprehensive coverage of the upstream procurement network, midstream warehousing and circulation network and downstream sales service network of the industry chain, and build a network that integrates trading, financing, settlement, logistics distribution, import and export agency, and branding An intelligent supply system that integrates cultivation, marketing and promotion, etc., will ultimately realize resource integration, complementary advantages and coordinated sharing of upstream and downstream frozen product wholesale industry chains.

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In addition, the system can also connect to third-party financial platforms, support large-amount online payments, provide credit assessment and risk control warnings, and provide reliable supply chain financial services for both suppliers and buyers, from customer threshold access to third-party credit services. , rating, credit granting, approval, lending, repayment, overdue processing, etc. Provide a complete risk management and control mechanism, conduct scientific management and decision-making from financing qualifications, financing amounts, material review, project approval and other aspects to help enterprises reduce supply chain financing costs and improve the efficiency of financial services on the supply chain platform.

Auto parts wholesale industry

As the foundation of the automobile industry, the auto parts industry is a necessary factor to support the sustainable and healthy development of the automobile industry. In particular, the independent development and innovation currently underway in the automotive industry requires a strong parts system to support it. However, due to the current lack of industry management standards and the lack of necessary policy guidance in the auto parts wholesale market, the current situation is that the number of suppliers is large, the scale is small, the quality is low, the product quality is uneven, and the market is flooded with fake and shoddy parts. The result is that This makes customers have concerns when purchasing accessories, and the order volume is not high. The auto parts wholesale market has not yet fully developed and has a long way to go.

In this case, by observing and analyzing the development of the domestic and foreign auto parts wholesale industry, auto parts wholesale manufacturers can build an SRM supplier management system to move domestic auto parts suppliers towards a group, scale, chain, and networked business model. , gradually improve parts distribution, logistics distribution, technical services and electronic information management, help manufacturers introduce end-to-end supplier life cycle management from supplier introduction, and at the same time pay full attention to suppliers from the dimensions of transaction information, performance, risk and other dimensions. Transaction data and evaluation data can also be pulled at any time and counted as performance data, effectively solving the problem of difficult statistics and summary of supplier performance.

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Classifying suppliers and solidifying the process according to the system's policy settings, and continuously monitoring process efficiency can improve supplier introduction efficiency by 40-50%. In accordance with the market development trends and the guidance of national industrial policies, we will develop step by step and gradually cultivate and create a strong auto parts wholesale brand.

Pharmaceutical wholesale industry

In recent years, with the successive implementation of a series of pharmaceutical reform policies, the degree of standardization of my country's pharmaceutical wholesale industry has gradually increased, but at the same time, the competitive pressure of the industry has also increased. For example, the "two-invoice system" policy has reduced the number of pharmaceutical wholesale circulation layers, compressed the profit margins of intermediate links, and the pharmaceutical circulation structure has tended to be flat; "medical insurance fee control", the cancellation of "drug proportion restrictions" and the "4+7 Cities" "Volume-based procurement" and other related policies involved in the "Drug Centralized Procurement Document" have promoted the continued decline in drug bidding prices and dosage. Because of this, to a certain extent, channels have become the key for companies to win the market. In the context of highly homogeneous products and prices, channel construction and management have become key points for pharmaceutical wholesale companies.

Especially with the advent of the epidemic in 2020, the transformation of market channels in the pharmaceutical wholesale industry has been accelerated. Channel strategies are taking the road of integrating online and offline. The traditional offline distribution model has become increasingly unable to meet the needs of the market. Therefore, traditional pharmaceutical wholesale companies also need to make major changes in channel-side management, actively carry out digital transformation, build channel dealer management systems, connect the business of upstream companies with downstream distributors and agents, and provide clear management of channel orders and accurate Powerful functions such as mastering channel inventory, real-time insight into market dynamics, and precise implementation of promotional strategies can effectively shorten the supply and sales chain, cope with expansion and growth needs, comprehensively improve channel operation efficiency and revenue, make channel management more efficient, terminal control more powerful, and adapt to consumers Increasing quality requirements.

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Summary and reflections

To sum up, in the period of comprehensive transformation and upgrading of my country's professional wholesale market and the superposition of contradictions, we need to conduct an in-depth analysis of the future development direction and business formats of the industry, accurately find the digital transformation path that adapts to the practice of different industries, actively improve the construction of information systems, and develop related products. Only by strengthening the system and expanding consumer groups can we better promote the healthy development of enterprises and the "Internet + wholesale market".


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