On November 20, 2016, the 5th B-end E-commerce Study Tour organized by this official account delved into Beiquan again (in April this year, we led a team of over 100 to study Beiquan's innovative experience), exploring the mystery of Beiquan's national expansion in just over two years and its innovative experience in the retail industry. What insights does the Beiquan model bring to the traditional retail industry? The following is a compilation of Beiquan's innovative experience and viewpoints based on the sharing of Beiquan's founder Wu Shaobin during the tour.

With the rapid development of the internet, especially mobile internet, the impact of the internet on traditional retail has become increasingly significant. Store closures and capital infusion are prevalent across the retail industry. However, the Beiquan model, characterized by "internet + convenience stores," has carved out a new path. In just over two years, it has expanded to more than 30 cities nationwide, serving millions of users in over 3,000 large and medium-sized communities, and has gained widespread attention and recognition from all sectors of society. How did Beiquan achieve this?

1. The internet is like the blood in the human body, flowing through all organs (internet products), driving and extending our sense of taste (food delivery platforms), hearing, vision (live streaming), and touch (internet + retail).

2. The foreign retail industry has undergone four major transformations, namely "from small to large" and "from large to small," evolving from scattered individual small businesses to large commercial centers, and then from large commercial centers to small formats. China is no different, except that we are experiencing the "transformation of store-based commerce" and the "upgrade of e-commerce" simultaneously.

3. In an era of material scarcity, e-commerce platforms like Taobao and JD.com solved the problem of diversity in shopping. However, with the abundance of goods, the "timeliness" of shopping has not been addressed. Therefore, community convenience stores, being closest to consumers, with their characteristics of "high frequency," "rigid demand," and "proximity," have become the best carriers for community commercial transformation.

4. Community commerce forms the smallest closed loop of urban commerce, yet there is community commerce without a community commerce center.

5. The retail industry can be divided into "doing things," "doing the market," and "doing the trend." Traditional retail enterprises only stay at the level of doing things and doing the market, but have never broken through to the level of "doing the trend."

6. Six major characteristics of community commerce development: The proportion of community commerce in total retail sales of consumer goods is increasing; the rapid growth of the post-80s, post-90s, and post-00s generations drives the upgrade of community commerce, while the rapid aging of the population also triggers demand for community commerce, and the shrinking family size increases demand for community commerce; the single format of community commerce is gradually developing towards a comprehensive and diversified format.

7. The essence of the internet transformation of community commerce lies in: reducing intermediate transaction links, lowering circulation costs, and improving service efficiency and effectiveness. In your business, are you a node in the chain or a process link?

  1. The prerequisite for the success of an internet platform is 10 million users, and in the future, there will be no regional internet platforms. Is Europe's internet technology underdeveloped? Purely from a technical perspective, there is no gap in technology. The biggest problem is that Europe's population density is low. Germany has a population of over 8 million, which is less than many of our cities. The dividend of the internet is brought by the demographic dividend.

  2. There are two directions for traditional retail to transform to the internet. One is to have "wisdom roots," meaning the ability to build an internet platform yourself; the other is to "follow," meaning to find a promising platform to join. However, whether building a platform or joining one, from the perspective of the dividend period of internet development, going it alone is basically unlikely to succeed. Only through cooperation is there a chance for success.

10. For distributors transforming, "free" products are the most expensive and "priceless" cost.

11. The key to the transformation of traditional industries is whether you are a "data-driven" company.

  1. In the traditional retail industry, the role of distributors is to "advance funds, develop channels, and provide logistics and distribution." However, in the new retail environment, the essence of retail lies in "connection" — connecting online and offline, users and merchants, products and services, and urban logistics and community logistics, rather than simple product trading.

In Mr. Wu's brief two-hour sharing, it is not difficult to see that the reason Beiquan's internet + convenience store model was able to quickly break through and expand nationwide in just over two years is fundamentally because it is "internet + convenience store" rather than simply adding the internet to a convenience store as an additional sales channel. It is understood that through the "8-step store opening wealth method," the Beiquan project has successfully expanded to more than 30 cities, helping thousands of merchants open stores and become wealthy. The so-called "8-step store opening wealth method" involves upgrading store image, optimizing product structure, reducing store inventory, reducing spoilage rate, developing online and offline users, introducing more value-added services through cross-industry alliances, and supporting store operations with big data, thereby achieving data-driven, service-oriented, intelligent, and internet-based store operations, greatly improving service efficiency and effectiveness while reducing operating costs.

As the saying goes, "ride the trend." In addition to its model innovation, Beiquan has more importantly led the industry trend. In the context of supply-side structural reform and the internet + strategy, the Beiquan model has innovated the community business environment, seized the trend of e-commerce entering communities, and used internet + convenience stores as a carrier to provide a shared platform entry point for communities, offering a good transformation solution for community commerce.

(Beiquan Tangshan company partner, sharing the experience of implementing the Beiquan project)

It is understood that the Tangshan Beiquan company visited during this tour, as one of Beiquan's more than 30 city partners, has successfully developed nearly 30 internet + convenience stores in just 10 months and enjoys a good reputation in the market.

Long press the QR code above to learn more about Beiquan.

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