Articles by 李钟豪

Hema's Daring Leap

Hema wants stable traffic brought by its brand, not buying traffic everywhere. But after going omnichannel, Hema finds it hard to avoid 'exchanging price for volume'. Low prices bring traffic and drive sales conversion, but achieving true low prices relies on the supply chain, as proven by Walmart and Costco. Walmart has spent decades negotiating with its supply chain, while Hema, founded less than ten years ago, cannot easily replicate that success in the short term. Between membership and low prices, Hema CEO Hou Yi is slowly but firmly tilting the balance toward the latter.