Rebirth 2010: I taught Mr. Lei how to make a mobile phone

Chapter 711: First Appearance: Jingxi and Pinxixi

Once the three-day period was over, all market analysts and technology media were reporting news that JD.com's market share would drop sharply as the event ended.

But the people have something to say: Is it going to fall back? Did we agree to it?

In the days after the New Year's Day holiday, JD.com is undoubtedly the most dazzling star on the Chinese e-commerce stage.

This is how things are in this world. When a person becomes famous, he finds that there are good people around him.

Starting from January 1, as the subsidy campaign ended, consumers still liked to shop on JD.com, voting with each order, and stabilizing its market share at a level that was on par with Taobao.

Now that JD.com has turned its bad luck around, countless media have begun to tout its current achievements, completely forgetting that ten days ago they were wishing JD.com would die.

Under the premise that the relevant fees have expired and have not been renewed, they report on what netizens like to see, and media articles are published one after another.

"What the People Want: A Textbook-Level Case Study of JD.com's New Year's Day Marketing"

"Strategic Misjudgment: Taobao's fatal mistake in abandoning the New Year's Day market"

"10 billion subsidies and 100 billion returns: JD.com's capital myth"

"Desperate Struggles and the Perfect Match: The Story Behind the Game Between Two Major E-Commerce Companies"

This market phenomenon, which goes against traditional economic theory, not only shocked the media, but also caused the entire e-commerce industry to fall into deep thought.

The person who suffered the greatest impact was Lao Ma.

When he saw this market report, he, who had been in the business world for half his life, felt a pang in his heart, as if he had misjudged some things.

This is impossible, this is unscientific!
This is awesome, this is very humane!
It was on this day that Yiwu Small Commodity Market was crowded with people.

A thin man who looked to be in his thirties stood in the crowd, staring at the "Slash the Price" activity interface of JD.com on his mobile phone screen. His pupils suddenly contracted and he couldn't help but utter the above sigh.

At this moment, it was as if a bolt of lightning split the chaos, and a subversive business idea exploded in his mind.

The man's name is Huang Shanzheng.

Born in 1980 into an ordinary working-class family in Hangzhou, this child from a working-class family showed amazing talent in an era when knowledge could change one's destiny.

In 1998, he was admitted to the Zhu Kezhen College of Zhejiang University with excellent grades and chose the artificial intelligence major which was not popular at that time. This foresight destined him to an extraordinary life trajectory.

In 2001, the spring breeze of the Internet blew across China. An algorithm article published by Huang Shanzheng in a technical forum unexpectedly won the favor of Ding Lei, the founder of NetEase. The gears of fate began to turn. Through Ding Lei's introduction, he met the most important noble person in his life - Duan Yongping, the founder of BBK.

In 2006, when Duan Yongping bid $62 for a lunch with Buffett, he brought along Huang Shanzheng, who was only 26 years old. This kindness became his most valuable asset in his future entrepreneurial journey.

Huang Shanzheng then started his own business. He first founded the mobile e-commerce company Ouku.com, and ranked among the top three in the industry in three years. He later established the game company Xunmeng Technology to explore social interaction mechanisms. These experiences laid the foundation for him to create Pinduoduo's "gamified shopping" model in the future.

In April last year, the "Pinhaohuo" platform was born, and the average daily orders quickly exceeded 4.

But the crisis followed. The cost pressure brought by high-end logistics made the platform overwhelmed, and the shift to cheap logistics led to a surge in fresh food losses.

At the end of the year and the beginning of the next year, Huang Shanzheng, standing at a crossroads, personally led his team to take root in the Yiwu market and began an in-depth investigation lasting half a month.

He quickly adjusted his strategy and wanted to seek a new track, so he stayed in the Yiwu market for half a month to conduct investigations.

An investigation report gave him an epiphany: There are more than 3000 million people in China with a monthly income of less than 6 yuan!
Looking at the e-commerce landscape at the time, e-commerce platforms such as Taobao and JD.com were all competing for the mid-to-high-end market, and low-end products either did not include free shipping or were not available on the platform at all.

What is even more shocking is that in Yiwu Small Commodity Market, toys that cost dozens of yuan in physical stores can be bought for a large bag here for ten yuan; the prices of near-expiry fast-moving consumer goods have even fallen below the cognitive bottom line, and the price of a bottle of drink can buy a whole box here.

Moreover, from a geographical perspective, most e-commerce platforms mainly serve third-tier cities and above, and JD.com’s logistics network can cover fourth-tier cities.

The low-end market is blank, and this is a great opportunity, an opportunity to surround the city from the countryside.

Immersed in this state, Huang Shanzheng wrote down the business plan for "Pin4Xi" in a hotel in Yiwu.

Target users: The "downstream market" that has been neglected by giants, mainly targeting third- and fourth-tier cities, rural consumers, and middle-aged and elderly groups.

Product positioning: low-priced hot-selling items, knockoffs, and white-label products. Extreme prices generate extreme profits.
Specific method: With the e-commerce team established by Pinhaohuo, plus JD.com's "cut a knife" social e-commerce, combined with game factors, the three are combined to stimulate the human nature of greed for small bargains, and occupy the sinking market through the "social fission + gamification operation + extreme low price" method
Source of goods: Integrate the three major industrial clusters of Yiwu small commodities, Dongguan clothing, and Huaqiangbei electronics
In this seemingly saturated market, he found the key to open a new world, which is not to create demand, but to discover the real needs that have been ignored.

".This is the last blue ocean of China's e-commerce!"

After writing this sentence, Huang Shanzheng slowly closed his notebook and looked at the night view of Yiwu outside the window.

He seemed to have seen how this new species that combines social networking, games and e-commerce will subvert the entire industry landscape with the force of a prairie fire.

Unfortunately, what Huang Shanzheng could not see was that in this blue ocean market that has not yet been fully developed, there was a pair of sharp eyes quietly watching the same opportunity.

"Whether the economic environment is upward or downward in the future, we must be prepared for both scenarios. JD.com can do poorly, but it cannot be absent.

China is blessed with a supply chain treasure trove like Yiwu, but is unable to fully utilize it, which is a waste of resources.

The current market seems to be prosperous, but don't forget that there are still hundreds of millions of middle and low-end consumers who do not need the 'best', but just 'enough', and the prerequisite is that it is cheap enough.

For example, if you sell a domestically made laptop computer for tens of thousands that has a super-powerful screen but terrible performance and can only be used for work, you will definitely be criticized. Of course, if it is a patriotic brand, that's another matter. But if you sell it for 5000, everyone will give it a thumbs up and say "that's great."

Cost performance determines everything. "More, faster, better, cheaper" is a false proposition. The result of having everything is often mediocrity. Therefore, it is better to split it into two platforms: JD.com focuses on "more, faster, better", while Jingxi focuses on "more, faster, cheaper".

Grasp with both hands, both hands must be hard.

By then, the future e-commerce market will be yours, Liu Qiangdong, and you can truly realize the ideal of "giving benefits to the people." Although we cannot achieve complete common prosperity, we can at least reduce the consumption pressure of ordinary people."

Chen Mo's words still echo in Liu Qiangdong's mind.

He had full confidence in Chen Mo's market judgment, but he was not impressed by the name "Jingxi".

The name Jingxi does sound a bit unpleasant, so finally based on the suggestions given by people below, we changed it to "Jingxi", which also implies giving consumers a surprise in terms of price.

I hope that in the second half of 16, Jingxi can bring some "Jingxi" to domestic e-commerce.

But then again, it was beyond his expectation that Ma would admit defeat this time, which greatly reduced the effectiveness of the Warm Winter Plan and made Liu Qiangdong quite regretful that he failed to achieve his goal.

It must be said that he still admired Lao Ma's courage. He made a prompt decision, quit while he was ahead, and just pretended to be dead.

Before New Year's Day, JD.com had prepared 300 billion yuan in ammunition. If Taobao followed suit, it would engage in a hand-to-hand war over price with the other party.

If Taobao follows suit, Liu Qiangdong has even made plans for three days of "0 yuan shopping" and will treat JD.com as charity. He has the courage and mental preparation to do so.

But in fact, as Ma admitted his mistake, only less than 300 billion out of the 80 billion was spent.

The remaining funds can be fully invested in the construction of Jingxi.

This new platform will focus on "group purchasing", focus on the ultimate cost-effectiveness, and combine social fission gameplay to allow users to enjoy the fun of "bargaining" and "group buying" while shopping.

Just as the popularity of the "price cut" campaign during the New Year's Day holiday proved, consumers have no resistance to the low-price + social model.

Just like Chen Mo said, you get what you pay for. As long as you don't cheat or deceive people and make the rules clear in advance.

Even if the economy is on an upward trend, sinking markets like Jingxi will still be the best choice for the general public and have broad market potential.

After all, one of the philosophies of the Beyond Shore Alliance is that what the general public likes is what the Beyond Shore Alliance strives for.

When the time comes December 1th.

The teacup in Lao Ma's hand slammed onto the desk with a bang, and the scalding Longjing tea splashed all over the table.

"What did you say? Say it again?"

The assistant swallowed and said, "We got the news that starting from this morning, WeChat, Zhihu, Bilibili, and Douyin have all blocked our normal promotion links."

OK, now it's scientific.

You should know that the number of WeChat users alone has reached 7 million, and the overlap rate with Taobao users is as high as over 75%, not to mention rising stars such as Zhihu, Bilibili, and Douyin.

The overall user coverage can reach more than 90% of the users of Huli.com.

Taobao has only a little over 4 million active buyers, so it is clear who is included and who is not.

Now that it has been blocked by the other party, Taobao seems to have fallen into an isolated island, with only Weibo, Baidu and some non-Bian'an channels left.

"I fuck Chen Mo's ancestors!" Lao Ma swore rarely.

"Boss, he is an orphan," the assistant reminded in a low voice.

"Do I need you to remind me?" Old Ma looked up suddenly, "Contact the other side to negotiate immediately! This is naked unfair competition!"

ten minutes later
"The other side replied that it was a technical failure and they are working on it."

"Technical failure?" Old Ma laughed in anger. "One bad thing leads to another? Did their WeChat team take the wrong medicine? When can it be fixed?"

"Well." The assistant wiped his sweat, "I asked someone and found out that the technical team responsible for WeChat sharing is currently in the process of team building."

The office suddenly became eerily quiet.

"Team building?" Lao Ma's voice was so soft that he seemed to be talking to himself. "The company's business is paralyzed, and they are going to team building. Are they kidding me?"

"Fuck! Notify everyone in the technical department responsible for sharing and promotion to work all night!

I need a temporary solution to bypass the WeChat ban!
Order the PR department to draft a statement immediately, so that the entire network can see the ugly face of the other side!"

"But."

"No buts!"

"Yes!"

(End of this chapter)