O2O, or Online to Offline, combines offline business opportunities with the Internet, making the Internet the front desk for offline transactions, aggregating offline (especially local merchants) idle resources through the Internet, and consumers screening and paying online, and then consuming offline.

Development of O2O:

According to data from consumer research organizations, the proportion of domestic FMCG purchases from e-commerce channels reached 30% in 2013, up 12% from 2011, with the penetration rate in first-tier cities as high as 46%. When brick-and-mortar retailing is hit by a strong impact from e-commerce, O2O transformation has become a necessary change, and the combination of e-commerce and physical development of the retail sector will be a powerful force for development. The O2O market, as a whole, is divided into a number of local life service areas, including catering, movies, hotels, shopping, etc., and is unanimously recognized by the industry as another trillion-dollar market after e-commerce. In recent years, the retail brands have increased their efforts in the field of O2O, catering hotels and Baidu map open platform for cooperation; Yintai Department Store and Ali joint attempts to Alipay wallet offline experience; Wangfujing Department Store, Haidilao and other enterprises are also testing Tencent WeChat payment for cooperation. Even logistics giant Shunfeng also opened the O2O journey - Heyk Convenience Store. The most eye-catching is the recent popularity of the "Tencent million to join hands with O2O" big news, but also O2O e-commerce this word pushed in the hottest rankings.

Electricity O2O to commercial real estate opportunities

1, the physical business to strengthen the Internet gene can expand the effect of marketing investment, will get more potential customers.

2, continue to gather popularity, online sources into the offline.　

3, to meet the needs of customers shopping, access to information and other needs of customers viscosity enhancement.

The challenge of O2O to commercial real estate

1, O2O mode is not a simple Internet model, the implementation of this model is a considerable challenge to the offline capacity of enterprises.　

2, the key point of O2O mode is that the platform attracts consumers through online, but the real consumption of services or products must be experienced by consumers offline, which puts forward higher requirements for offline services.

3. Therefore, how to guarantee the symmetry of online information and offline business services will become a key node to challenge whether the O2O model can really develop.

4, O2O mode if the price advantage to attract consumers, merchants how to weigh the difference between online prices and offline prices, while ensuring that the interests of consumers on both sides, or pay more attention to which side of the consumer, in order to attract the maximum flow of traffic is also a problem.

Typical O2O case study

Suning Ebay O2O analysis

O2O concept: "Suning O2O purpose is to Internet retail as the main body of the "store + e-commerce + retail service providers combined with the" O2O model, the formation of online and offline "goods, prices, prices, prices, prices, prices, prices, prices, prices and prices". The purpose of Suning's O2O is to form a unified standard for online and offline "commodities, prices, promotions, payments, and services"."

Suning's O2O advantage analysis

1, Suning combined with its own B2C platform Suning eBuy, which allows Suning to build its own O2O platform has sufficient experience and skills.

2, Suning has implemented a comprehensive integration of online and offline members, and hundreds of millions of members have accelerated the development of Suning's dual-channel consumption and expanded Suning's leading O2O model.

3, Suning has a powerful ERP system, the financial and warehousing to achieve unified management.

4, Suning has developed the third-party payment tool of Easy Payment.

5, Suning has a perfect after-sales service system.

6, Suning is a retail giant, has a strong bargaining power on the associated brands.

7, Suning's brick-and-mortar store coverage is far superior in the layout of cities below the third tier

Problems faced by Suning's O2O

1, online and offline same price strategy. (Retain members to increase stickiness, offline operating costs increase.)

2, online, offline differentiated business or complementary business problems. (There is no clear solution.)　

3, the precise positioning of Suning's offline stores. (High returns can be realized.)

4, the layout of private brands. (Fit the consumption overture to enhance profitability)

5, in-store scanning code to place orders. (to avoid policy risks)

Suning O2O main promotion results

June 2013 to implement online and offline the same price.

Suning launched the first O2O shopping festival during the Double 11th of 2013 and opened the Suning Ebay platform in the same year.

In 2014, Suning launched Suning's first O2O experience store - Suning Hi Store, which aims to open up the three core experiences of online and offline transactions, game interactions, and service breaks.

Suning's O2O focus is not only on experience, but also on big data, Hi Store has to take on the important task of opening up the membership system of Suning Plaza, Suning Eshop, Suning Appliance, Red Kid, PPTV and other platforms.

Transferring its 11 stores in October 2014 for no less than 4 billion

Li Bin, vice president of Suning Yunshang's operation headquarters at the second O2O shopping festival, was appointed as the first Chief Surprise Officer (CSO) of Suning Eshop

Suning Yunshang Chairman Zhang Near East recently mentioned that O2O allows Suning to take off the hat of traditional retailing, which shows that Suning pays great attention to the O2O degree.

Suning's important layout was actually completed in 2013, such as investing in the video site PPTV and acquiring the group-buying site Manzan.com, etc., and 2014 is the year of Suning's strategic execution. At the beginning of the year has been online e-commerce operating headquarters and offline chain platform operating headquarters merged into a large operating headquarters, unified Suning platform for consumer service functions.

Suning Ebay O2O future development

formatting the store, transplanting the Internet into the store

virtual reality out of the sample - open interactive shopping guide - fusion of dual-line operation -Enhanced life experience

Renovation of store formats, transplanting the Internet into stores

Virtual reality sampling

Open interactive shopping guide

Integration of dual-line operation

Enhanced life experience

Wanda, Tencent, Baidu collaboration O2O analysis

O2O concept: O2O mode of real estate enterprises + BAT, with offline scale entity platform as the entrance, upgrading the value of physical property in the whole line. Establish big points and big data alliance, and focus on service.

Tengmillion O2O Advantage Analysis

1, Promote the precision of supply and demand

2, Promote the experience of fun

3, Promote the solution of pain points

4, Promote the establishment of O2O data alliance

Tengmillion O2O Disadvantage Analysis

1, the direction of the cooperation is not clear.

2, the mismatch of organizational capabilities lack of diversified business genes.　

3, lack of power support, organizational transformation requires a strong power system.

Teng million O2O's main cooperation agreement

1, Wanda e-commerce plans to invest RMB 5 billion together, of which Wanda holds 70%, Baidu Tencent each holds 15% of the shares, the future Wanda e-commerce total investment of up to 20 billion yuan, while the introduction of new investors.　

2, Teng million will open the account and membership system, to create payment and Internet products, the establishment of a general points large alliance, the integration of big data, WI-FI **** enjoy, product integration, the introduction of traffic and other aspects of cooperation, the formation of resources advantageous alliance.　

3, Tencent million relying on their respective advantages and a clear division of labor, Wanda to provide all the resources of the offline Wanda Plaza, Baidu to play its online traffic and data analysis advantages, Tencent relying on its own instant messaging advantages will be the online membership account and offline through.

Teng million O2O progress at this stage

1, December 2014 to fast money into its own, Wanda e-commerce finally spliced on the last piece of the short board, to realize the Wanda e-commerce O2O closed loop. Fast money not only brings a mature and perfect payment platform to Wanda E-commerce, but also brings the consumer big data accumulated over the years of operation and more than 200 domestic and foreign financial cooperation institutions, which can provide important support for its future big member system and development.　

2. On January 4, 2015, Centec Limited and Hong Kong Void Virtue Rendo E-commerce Investment Company Limited, two offshore Internet investment funds invested 1 billion yuan to obtain 5% of Wanda E-commerce. In addition, Wanda E-commerce will also launch a second round of fundraising in the fourth quarter of 2015.

3. All other businesses are being carried out in an orderly manner, the layout of free WiFi is completed, beacon technology has completed the pilot, the construction of the big data center has been initiated, dozens of O2O service software is under development, and it is expected that Wanda E-commerce will be fully online and running in the fourth quarter of 2015.

Teng million cooperation in the future development of Wanda e-commerce

1, online diversion to offline.　

2, integration of Wanda, Baidu, Tencent existing resources layout online and offline.

3, the use of Internet resources will be the whole upstream and downstream of the industry chain.

4, the flow and viscosity of both.　

5, there is a real Internet thinking: Wanda e-commerce is selling services.

Alibaba, Yintai cooperation O2O analysis

O2O concept: Ali centralized diversion, and then to the regional distributors, agents for distribution, unified orders, the formation of online to offline O2O mode. At the same time, the two sides will integrate the advantageous resources, construct the future commercial infrastructure system that connects online and offline, and open it to the community to promote the integration of physical commerce and the Internet economy.　

Highlights of Ali's O2O strategy

Introduction: Taobao Life, Ding Ding, Gaode Map, Sina Weibo, Stranger

Conversion: Group Buying, Alipay, Taoyuan

Offline: channels focused on core offline business centers such as Yintai

Layout: Transaction Closed Loop at the Core

Alibaba's O2O thinking

1, electronic commerce

2, decentralization.

3. Desktopization.

4, Fan Keiko.

5, the war of.

6, the judgment of the trend.

7, empowerment.

Yintai's O2O ideas

1, the whole field Wi-Fi laying.

2, set up O2O physical stores.　

3, online and offline customer resources **** enjoy.

4.Launching Yintai Bao to realize payment linkage.

The future development of Ali Yintai O2O

1. Through the cooperation of Ah Yin, Yintai will be turned into a brand new platform combining the virtual economy and the real economy, which will not only make efforts for the upgrading of Yintai, but also for the upgrading of the whole Chinese modern business.　

2. On the basis of member connectivity, we will explore the interoperability of online and offline payment, so that consumers can get a better way of payment. At the same time, through such a kind of interoperability, to be able to accurately know at what time, what place, consumers carried out which kind of consumption. And this kind of data precipitation, and ultimately feed back to be able to become a kind of big data basis.　

3. Yintai has a 7-million-strong merchandise base, which has been serving Yintai members for many years, and through the cooperation of Yinyin, Yintai's 7-million-strong merchandise base will be able to serve consumers online.

Summary of the analysis of several typical cases

Lateral comparison of several typical models

Suning Ebay: Suning to the entity Suning electrical appliances stores as the basis for the development of Suning Ebay, the development of the last from the offline to online through the online feeds the offline, the perfect offline sales system, online and offline unified standards, management processes. Similar layout with Suning and Gome Electrical Appliances.

Teng million: two Internet giants joint commercial real estate giants, whether their big data or big members are still a conceptual idea, the specific implementation of the time needed, while the three giants of the cooperation model is also unique, but the e-commerce is the three major dramatization of the short board, their O2O to be the test of time. A silver: Ali and Yintai cooperation, an online e-commerce giant, a department store chain giant, their cooperation not only has a giant effect at the same time also made certain achievements, the laying of free WIFI, the development of Yintai treasure, Yintai department store members of the dramatic increase in Yintai sales growth, from the current point of view of the silver cooperation steady, step by step, there is a certain reference significance.

Traditional commercial real estate 020 analysis

With the rapid development of Internet technology and e-commerce, the concept of O2O instantly in the industry fire. Shopping centers around the country (read more) have also begun to explore, want to borrow O2O to attract traffic, improve performance, but the idea is good, but really start to do the major problems.

The main purpose of building O2O in physical shopping centers

1, open source: to allow shopping centers to obtain more sources of customers;

2, measurement: through the measurement of real-time attention to the changes in the user data;

3, guidance: to guide and accumulate the depth of the high consumer groups;

4, diffusion: offline resources online diffusion.　　

Traditional commercial real estate O2O development problems

The cost of self-built platforms is not small, Wanda, for example, to build the Wanhui network, each Wanda Plaza's investment of 20 million yuan, which is still because of the large volume of cost dilution after the results. An industry insider pointed out that "high cost" is one of the main reasons why merchants do not move forward, in the view of the traditional business, O2O still tends to conceptual, no one dares to invest too much in this, are still in the trying stage.　

Even if you build a platform for direct communication with consumers, how to operate is also a business can not avoid the problem of traditional business operations staff into the field of the Internet is often overwhelmed, which businesses have to spend a lot of money to hire professionals, such as dedicated operation of the public account of the team. But even professional operations teams have to recognize that it takes a while to cultivate an emerging model, and that member activity needs to be continuously improved, and that merchants expect to establish a good interactive relationship with consumers, and that O2O involves not only marketing, but also service.

Shopping centers are interested in the concept of "big data" under O2O, but for non-uniform cash registers in shopping centers, there are still obstacles to the collection of consumer information. Such as offline traffic into the store to generate consumption, leaving the satisfaction of how? If you go to the online shopping center to consume evaluation system, shopping traces and browsing traces, etc., merchants can carry out secondary marketing and recommendation; but offline business, there is no such means, a lot of members or ordinary consumers, do not necessarily have the opportunity to their own consumption needs and consumption records in a timely manner feedback to the offline business.

Summary of the case study of e-commerce O2O and brick-and-mortar shopping centers

O2O is a part of e-commerce, and it is the future direction of e-commerce, and O2O will make an important contribution to data, diversion, and coordination.

Meanwhile, due to the impact of e-commerce on traditional shopping centers, performance growth is slow or even decline, more and more traditional commercial shopping centers began to try O2O transformation, however, the Internet giants are only a preliminary attempt to O2O.　

Currently, O2O is still a unified concept, how to combine with specific cases, summarize their own O2O development strategy, to form a differentiated competition with the giants and reduce operating costs is the main development trend of O2O in the future.