Liu Qiangdong: No distributors are needed in the future

The channel expansion of home furnishing enterprises is still dominated by traditional distribution and franchise models. Liu Qiangdong, the head of Jingdong, issued the warning: no distributors are needed in the future. This is undoubtedly a great warning to the home industry.

Liu Qiangdong believes that many Chinese brand companies adopt a wholesale model. The key link every year is the ordering meeting, but it brings a huge problem: I don’t know who the user is, I don’t know what the user likes, I don’t know how to target the user’s preferences. Make quick adjustments. In other words, in this era of excess, there is no sense of temperature that the user perceives.

Liu Qiangdong said that in the Chinese retail market, 20 retailers account for 40%, and the top three retailers account for about 80%. What does this mean? In the future, brands will not need distributors, as long as they manage dozens of Retailers. "I am not optimistic about all the franchise models for consumers. 20 years ago, Shangdao Coffee adopted the franchise model, and each city found one, and it was everywhere in the night, earning a few hundred million a year. The franchise model is from pure business. The angle is the best way, but in the long run, the value is very small. Not only investors, but many entrepreneurs and entrepreneurs are pursuing work and making a lot of money, but you don’t want to think, you provide so little value, you Why do you make a lot of money? I think that the more work you do, the more you earn, the less work you do, the less money you make, and the world is fair."

Chengdu furniture editorial report

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