The 4 Character Truth Of Enterprise Digitalization In Post Epidemic Period: "New Connection"

With the change of consumption environment, the connection between traditional enterprises and consumers is gradually losing. Enterprises must seek new ways of connecting with consumers.

The new crown has brought great challenges to China's retail industry, but retailers still show great flexibility and resilience in a turbulent environment. Nelson research shows that 46% of the retailers are optimistic about the business situation in the next six months. 8% of them think that the business will be very good in the next half year.

The epidemic is both opportunities and challenges. On the whole, the impact of the retail industry on the epidemic has generally improved, and we believe that the opportunity to "overtake" is in the digital strategy. How to accelerate the process of enterprise digitalization?

Recently launched by WeChat, and jointly launched the WeChat Roundtable jointly launched by global best companies, high school business schools and commercial media, a deep discussion on the trend of digitalization of enterprises in the next stage has been launched through online live broadcast. Geng Zhijun, vice president of WeChat business group, Chen Bing, general manager of LVMH-, Chen Bing, Chen Zhiyu, senior vice president of WAL-MART, Gong Yan, Professor of entrepreneurship management practice of China Europe International Business School, and Yang Qi, senior editor of fortune (Chinese Edition). Let's look at the long-term value of digitalization in the light of industry trends, market development and the vision and experience of big coffee.

　　 Thinking from the consumer's "change"

The media realized that the transformation of business models was affected by the flow changes, and the epidemic accelerated the changing environment of consumption. At present, the consumer "online" has become the mainstream, home to standard, mobile tentacles into trends, online shopping and store experience as twins. These changes are forcing retailers and retailers to adapt to the transformation and upgrading of consumption environment, bringing new opportunities for new models of innovation.

Let's look at several core data:

The latest release of the National Bureau of statistics, from 1 to April, total retail sales of consumer goods totaled 106758 billion yuan, down 16.2% from the nominal level. But the total retail sales volume of the country is 30698 billion yuan, up 1.7% over the same period last year. Among them, online retail sales of physical commodities increased by 25751 yuan, an increase of 8.6%, accounting for 24.1% of the total retail sales of consumer goods.

"2020 yards" economic war "epidemic" report shows that WeChat accounts for online transactions accounted for a rapid increase in the most serious period of the epidemic. In January 2020, the proportion of online transactions in catering and retail industry was 1.79 times and 1.25 times that in December 2019.

At the same time, all kinds of home service business is rising rapidly. During the epidemic period, the daily usage time and daily number of daily use of home service small programs increased to varying degrees. The flow of information on mobile terminals has also soared.

With the change of consumption environment, the connection between traditional enterprises and consumers is losing effect. Enterprises must seek new ways of connecting with consumers.

Gong Yan, Professor of entrepreneurship management practice at the China Europe International Business School, said that when the epidemic cut off physical connections, it destroyed the original business mode and business scene. On the other hand, it often gave birth to some new scenes. The virtual world connected the scene, and these scenes were above the breadth, depth and even more than the original wired scenes.

Many retail enterprises quickly explore new ways of connecting with consumers based on digital tools.

As the leading brand of high-end beauty retailing, it has quickly found its own way. Chen Bing, general manager of LVMH-, said that under the epidemic situation, the sale of silk River as a retailer is facing a great impact. Because physical stores still occupy the source of most performance, under such a shock, they suddenly lose the most direct contact with consumers. But because of the digital help, the company actively and quickly seized the tools (WeChat Digital Ecology), and began to reconnect with every customer in February.

Taking WAL-MART as an example, the regional differential demand generated during the epidemic has promoted WAL-MART to make localization and meticulous operation. According to Chen Zhiyu, senior vice president of WAL-MART China, after the outbreak, WAL-MART will make products based on these experiences, and ultimately form an adaptive mode of consumer demand.

　　 New connections with consumers

Enterprises should form a new connection with consumers, which is no longer a simple transaction relationship reorganization of people's freight yard, but a change of the business model centered on "human digitization". We need to make clear some of the major development directions behind this.

New relationship is forming between enterprises and users.

Traditional retail is the relationship between goods and users, that is, supply and demand. However, the traditional relationship can not adapt to the new demand of consumers in the extremely strong market.

Chen Bing said that high-end beauty is more focused on communication between people. Taking the epidemic period as an example, the beauty master of silk lotus set up a new relationship with customers through WeChat and provides customized solutions based on different types of customer needs.

Chen Zhiyu, senior vice president of WAL-MART China, thinks that WAL-MART has invested a lot of energy in digital transformation and has established long-term relationship with consumers. This relationship can help us do two things. The first thing is to keep in touch with him when he is not shopping, and he can take the initiative to contact him instead of waiting for him in the physical space of the store. Second, we can use the applet as a tool when he comes to our store.

　　 Localization and meticulous operation challenge growth line

Consumer demand is becoming more and more individualized, and its consumption patterns and consumption scenarios are diversified. To satisfy thousands of faces, enterprises need to communicate with consumers in different ways.

For instance, WAL-MART will try community-based efforts through technical means. It will set up a standardized user marketing tool platform for small businesses within 500 meters around by taking WAL-MART stores as the center, so as to make up for the digital capabilities that small businesses do not possess, thus providing consumers with the community value of standardized internetworking services, meeting the needs of local life, and forming a highly viscous wal. The community of Erma.

And Chen Fu ice said that more focused on the precise demand of every type of customer, no matter in the category or the perception of beauty, we will give them better customized solutions.

　　 Redistribution of awakening traffic in private areas

Private domain traffic is more sticky and communication. Enterprises need to collect users and maintain a long connection.

Geng Zhijun, vice president of Tencent's WeChat business group, has made a real change. During the epidemic, there is a very big change that is a store's home applet. Users can buy at home through small programs in nearby stores. Businesses can make this mode a business mode of private domain traffic. Several times or more than ten times during the epidemic period, some businesses can achieve an increment of twenty times.

　　 Global contact to create strong sticky brand

The current consumer contacts, wired, offline, merchandise, people's social networking sites, etc., these consumers contact formation and goods, the interlacing between the field. And what consumers need is within reach. For businessmen, they need to make their brand / merchandise information accurately appear in the contact area of target customers.

Online and offline are the contacts between enterprises and consumers. From the point of view of people, consumers do not care about APP, small programs, WeChat public numbers or offline stores. They recognize the brand and the relationship between consumers and the brand, WAL-MART Chen Zhiyu thinks.

　　 Physical and virtual synthesis leads

There is a saying that digital twins can be digitalized in the future. In Gong Yan's view, the demand for physical things can easily reach the ceiling, and the demand of virtual nature is higher than that of physical demand. According to this logic, the imaginary space of imagination is far more than that of twins, far beyond the physical world.

In our view, WeChat is the digital connector between enterprises and consumers. According to the Tencent's first quarter performance report released in May 13th, WeChat and WeChat combined monthly activity rose to a record high, reaching 1 billion 203 million, an increase of 8.2% over the same period last year. Users of small programs grew rapidly and the number of daily active accounts exceeded 400 million.

Tencent WeChat not only as a tool, but also as a bridge and elements in the integration of various environments, and ultimately brings about a comprehensive upgrading of business enterprise model changes and efficiency.

Geng Zhijun said that WeChat has developed a lot of tools from the public account, small program, enterprise WeChat, WeChat payment, card pack, video frequency, group, friends circle, scan code and so on. With various tools, different enterprises are using different models to establish their network mode.

In his view, the core of WeChat helps the digitalization of enterprises, one is the transformation and digitalization of the field. The user enters a field, what kind of experience is better, and the digitalization of the field has changed. The second is actually to expand the space and bring more social value to people, which is an inevitable result of the training of digitalization. The third is the digitalization of goods and goods, which will make the retrieval and transmission of goods easier and more convenient.

　　 How to make good use of digitalization to make new connections with consumers

For brands or retailers, digital tools will become an effective way to establish new connections with consumers. And how to promote the next step of digital transformation of enterprises, we think there are several key points:

Systems engineering. Digitalization is a whole and systematic thinking, not a single point of thinking. With the transformation of digitalization, enterprises' organizations, channels, commodities and supply chains are faced with re reorganization. For example, data show that for the next year's retail industry opportunities and business strategy priorities, 67% of retailers said they would vigorously expand online channels, speed up the layout of the home business / front-end store, and 53% said they would adjust the commodity structure.

A closed loop that increments to stock. Most of the brand businesses actually have their own CRM system, and their customers' information also has some accumulation, but the activity is not high. However, some enterprises in the epidemic situation are growing against the trend, activating a large number of stock customers, and bringing incremental increments through the stock stoma monument, and then transforming them into stocks. This closed cycle has been formed. In fact, through digital means, while managing the stock users, their word of mouth actually helps the enterprises get incremental customers.

Experience the continuous accumulation of assets. The core of digitalization is built around the consumer experience. The final result is focused on improving the experience for users. This is the core concept. For example, Chen Bing said that their first step is satisfaction, satisfaction and pleasure, and third devotion.

Full staff digital marketing. From CEO to shopping guide into full digital marketing. The epidemic accelerated the digitalization process. Originally, a shopping guide was one to one sale, but during the epidemic period, it had to be broadcast live, so that the sales ability of one to one audience could be sold from one to one. Meanwhile, Geng Zhijun, vice president of Tencent WeChat group, also mentioned a concept called "payment is shopping guide". When a customer buys a brand product at a store or online, we will have a page that pays successfully. It will show which guide the product is responsible for, and customers can add the guide in turn. We find that the success rate is very high.

　　 epilogue

We are looking at the global perspective. IDC predicts that by 2021, at least 50% of the world's GDP will be digitalized. Digital technology will permeate all sectors of the industry and achieve cross-border integration and multiplication.

Some experts believe that "there is only one enterprise in the future, that is, digital enterprise".

However, the digital transformation of enterprises is still in its infancy. In Geng Zhijun's view, enterprises need to gradually promote the digitalization of the three dimensions of people, fields and commodities. Practitioners will get new skills through digitalized training and practice, and enterprises will upgrade the "field" experience and upgrade the convenience of commodity retrieval and transmission by digitalization.

In the future, Gong Yan believes that the consumption demand will accelerate from the physical world to the virtual world under the catalysis of the epidemic. The proportion of virtual consumption in the market will gradually increase. According to the trend of consumption demand at the next stage, it is also an urgent task for enterprises to formulate the current strategy of digital transformation.

The digital experience of the head may bring more lessons for the development of more enterprises in the post epidemic stage.