First, why is it that offline business is getting harder and harder to do?
1, offline user diversion
In recent years, the explosive growth of offline complexes has diverted users to a great extent, and the offline market has been double-attacked by similar markets and online merchants.
2. Heavy assets make enterprises overwhelmed.
Small and medium-sized enterprises can use very limited resources (people, money and things), so the offline mode determines that they will generate large expenditures such as factory buildings and store rents. In addition, if an enterprise is composed of several small entities, it means that it needs to bear the rent, employee salary, decoration and other expenses of N small entities. If the gross profit of the enterprise cannot cover such fixed costs, it means that the enterprise is losing money. From the perspective of return on investment, the operating efficiency of enterprises is relatively low.
3. The homogenization of products is serious, and price wars are staged from time to time.
The entry threshold of some industries is not high, businesses have entered, and product homogeneity is becoming more and more obvious; In addition, due to the influence of the Internet, product prices are more transparent and consumers have more choices. In order to acquire users, merchants often use price wars. The high offline operating costs have created a price war and also led to corporate losses.
4. It is difficult for offline enterprises to break space restrictions.
The biggest disadvantage of offline is that it can't break the space limit. Many stores can only radiate about 5 kilometers of people, and the audience is very limited. They have been at a disadvantage from the first end of acquiring customers.
Second, offline to online is not a blind transformation.
1, the current user's snatch is experiencing a "killing" of "land, sea and air".
At present, offline diversion, online traffic has also changed from centralized to decentralized, and all platforms are scrambling to obtain traffic. It can be said that the user's snatch is experiencing the "killing" of "land, sea and air".
2. Blind transformation may not be successful.
Online transformation cannot be blind, Taobao makes money, but it is too late to enter the market at this time; Tik Tok made money, but many companies were restricted because they didn't understand the rules of the platform. Community marketing has made money, but many companies have introduced huge amounts of fans to zombie fans because they don't understand the essence of community marketing. There are too many cases of failure on the transition line.
3. The cost of offline transfer is not low.
Relevant data show that the purchase cost of a real user is roughly 80 yuan, and in the fourth quarter financial report of Pinduoduo 18, the customer acquisition cost is as high as 143 yuan/person. In reality, there are relatively few opportunities for SMEs to connect with external capital, so the cost of obtaining customers seems to be an "astronomical figure".
Third, how to prepare for offline transformation?
1, sharpening the knife does not mistake the woodcutter.
Enterprises must first think clearly, what is the purpose of developing online channels in order to avoid the risks brought by the epidemic? Is it a complete transformation line? Or do some auxiliary functions for offline? Different purposes directly affect every action of an enterprise.
2. Choice is greater than effort
On the transition line, the choice of platform is very important. Not all enterprises are suitable for Taobao, and not all enterprises are suitable for Tik Tok. Different platforms provide different resources and user groups, and the appropriate platform should be selected according to the characteristics of the enterprise itself.
3. Ancestor's funeral
Under the epidemic situation, many entrepreneurs hope to reduce the cost of enterprises through one person and more posts, and also hope to develop online business with employees of existing companies. From the perspective of cost saving, such a decision is understandable.
However, if the enterprise originally belongs to a typical offline traditional enterprise, the thinking of employees still stays offline. Even if the company starts to catch up with online knowledge, an inexperienced team starts from trial and error, thinking about cost and time resources. Find the right person and combine theory with practice.
5. Financial budget is indispensable.
At present, many enterprises cannot obtain cash flow continuously. As a scarce resource, we need to allocate resources in advance. Opening up new channels means that funds are needed as support, including professionals, promotion, materials and equipment, and when new channels will generate benefits needs to be evaluated. Fight a prepared battle, as the Book of Rites says, "Everything is established if it is predicted, and it will be abolished if it is not predicted."
6. Training and learning
Many of us are consumers of online commerce, and most of us are just novices as producers or service providers. On the one hand, learning and training is to do the same frequency well, on the other hand, it is to better adapt to the online transformation work.