How can local retail release the "imprisoned value" and make physical stores grow again?

2018 year , World famous consulting company —— After the digital transformation and upgrading of Accenture services in many industries , Put forward “ Imprison value ” The concept of , It is hoped that traditional enterprises will respect the mature business of the original enterprises 、 Assets and target users , And then release through new technologies and innovative models “ Imprison value ”, To better compete with start-ups , And regain growth .

This is related to “ subversion ” Thinking is very different , But it is more in line with China's “ Internet +” and “ Industrial Internet ” Development ideas .

according to 【 Zhuang Shuai retail e-commerce channel 】 Long term practice and research , In recent years, in China's retail e-commerce industry , The rapid development of intra city retail belongs to the release of physical stores with the help of new technologies “ Imprison value ” Innovative business model .

What is? “ Imprison value ”？

So-called “ Imprisonment ” It means that an enterprise will continue to use its mature strategy and business , And the corresponding organizations 、 Process and mechanism .

At maturity , An enterprise will strive to consolidate its existing fixed assets 、 Suppliers and relationships 、 Customer base and human capital , Every year, the data and performance of previous years are used as the prediction benchmark to optimize the organization and invest in technology , Thus, it is subject to the mature business model and operation inertia that are difficult to get rid of , More funds and talents are invested in the current business model and internal system , It has seriously suppressed the vitality of innovation .

New customer needs 、 New suppliers or new products are thus “ Imprisonment ”, Gradually form “ Imprison value ”.

Mature enterprises often turn a blind eye , Most of the time, they are powerless , Unable to get rid of the shackles brought about by operational inertia , Lead to “ Imprison value ” Continuous accumulation .

stay “ Value creation ” and “ Time ” On the two dimensions of , As technology continues to evolve , The technical cost is based on “ Moore's law ” Rapid descent , Business evolution is rapidly emerging , Eventually, more and more “ Imprison the value gap ”, As a result, mature enterprises have entered a period of recession .

If not in a limited time , Release through technological innovation and business model innovation “ Imprison value ”, narrow “ Imprison the value gap ” Regaining growth , It will make the performance of mature enterprises decline rapidly in a short time , There will also be a wave of bankruptcies .

The illustration is from Accenture consulting

Traditional retailers in Europe and America have gone through this process , The traditional retailers in China are in “ Imprison the value gap ” The stage of continuous amplification .

This stage not only requires traditional retailers to make better use of digital technology for innovation , What is more important is to continuously improve the customer experience , Make the shopping process more personalized 、 More convenient 、 More interesting 、 Higher cost performance .

What will intra city retail release from physical retail “ Imprison value ”？

The current digital revolution in retail and other mature industries , It is the inevitable result of the gradual release of values that have been imprisoned for many years .

Releasing the value that has been locked in will help existing enterprises restart business growth , Expand sources of income , And enter new markets 、 Get new customers and suppliers .

that “ Imprison value ” What are the aspects ？

From Accenture Consulting's services and Research on all walks of life around the world , It mainly includes enterprises 、 industry 、 Consumers and society .

Next 【 Zhuang Shuai retail e-commerce channel 】 It will be combined with the innovative mode of local retail , Conduct in-depth analysis one by one .

First , First, simply analyze what is “ Local retail ” Pattern . Previous “O2O（Online to Offline）”, And later “ The new retail ” And now, “ Instant consumption ” Can be said to be “ Local retail ” Different stages of .

“ Local retail ” It is an online e-commerce platform 、 Social tools and content platforms acquire location information of offline stores 、 Product information and inventory are connected , Consumers choose a nearby physical store to buy online , Then, the courier will go to the nearest physical store to pick up the goods and deliver them home .

With the emergence of the epidemic , The intra city retail model has made a breakthrough in cultivating consumption habits , Offline physical stores also suffer from performance growth , Strengthen the connection with online enterprises , At the same time, the picking efficiency in the store has been significantly improved , It matches the high requirements of local retail in terms of timeliness , Improved user experience .

Of course , Due to the shallow inventory of physical stores and the insufficient attributes of commodities and brands, there has been a long time , Therefore, intra city retail cannot replace e-commerce platform as the mainstream online platform in the short term .

But the same city retail model is applied to traditional retail enterprises 、 consumer 、 The retail e-commerce industry and society are constantly releasing “ Imprison value ”, Not only will traditional retail regain its growth , It also allows online platforms to gain new growth .

This is why JD 、 Meituan 、 Ali even Tencent 、 Tiktok is increasing “ Local retail ” The value of platform investment ！

For traditional retail enterprises , Has a brand effect 、 Physical stores very close to consumers 、 There are many goods in the store 、 The four assets of shop assistants .

When consumers enter the store , The four assets of physical stores can generate growing sales ; But when consumers stop shopping , Their “ value ” Will be constantly imprisoned .

And because of the operation inertia of the store manager , The thinking and behavior system is all about how to let more consumers enter the store . thus , Most of what they did became “ No hard work ”, Because no matter how hard you try , It is no longer possible for consumers to enter stores as much as before online shopping .

The professional managers in the headquarters are concerned about the potential of disruptive innovation , Hope to establish a new online e-commerce platform , Ignore the potential of new technologies to improve the mature business of current physical stores , Thus, we miss the opportunity to significantly reduce costs and improve existing processes to improve efficiency 、 The possibility of reducing costs .

The emergence of intra city retail mode is that the traditional e-commerce platform is based on its own mature online business , In order to release the “ Imprison value ” And the innovative model , actually , stay 【 Zhuang Shuai retail e-commerce channel 】 It seems , This should have been an innovative model for offline stores .

Of course , Traditional offline supermarkets like Wumart group , I realized the driving effect of technology on traditional business very early , And thus established “ Multipoint ” Local retail platform , It has released the spirit of Wumart group itself and its partners “ Imprison value ”, Won new growth , Establish the competitive advantage of leading technology in the supermarket industry .

The intra city retail model helps physical stores further release the four assets “ Six values ”, Brand value 、 Storage value 、 Geographical value 、 Stock value 、 Commodity value and clerk value .

Brand value and commodity value are the most easily perceived values of physical stores , This value is more widely released to consumers and suppliers who have not been to physical stores through the local retail platform , They clearly understand the product categories of each physical store on the local retail platform .

The location information of the physical store can be obtained through “LBS” Positioning technology can be obtained by consumers on the local retail platform , Let consumers clearly perceive the distance between each physical store and themselves , The location value of physical stores is released through the local retail platform .

With the help of commodity management system , The inventory value of physical stores is further released ： Whether consumers buy online , Or go to physical stores , Can know the inventory of each store in advance , The storage value of physical stores is released in this process .

In addition, employees in physical stores can use wechat groups 、 Live broadcast tools online recommend goods and services to customers , The clerks will not do nothing because the number of customers in physical stores decreases .

For consumers , Whether you go to a physical store or directly purchase from a local retail platform , On the one hand, the trust of online shopping has been improved , On the other hand, we can enjoy more favorable prices and door-to-door delivery 、 The convenience of goods return and exchange services .

For the retail e-commerce industry , The release of inventory value and storage value of physical stores also helps the local retail platform reduce inventory costs 、 Storage cost 、 Express cost and return cost , Improve users' online shopping experience , Let the whole industry truly realize the integrated development of online and offline , While jointly achieving new growth , Complete the digital transformation and upgrading of traditional retailers faster .

For society , Because it improves the inventory turnover rate of physical stores 、 Less waste , It meets the needs of consumers for convenient shopping , Reduce the mistrust of online shopping , Business fraud is also easier to be regulated , Physical stores and e-commerce have changed from a competitive situation to a cooperative model , The contradiction between the two has been alleviated .

In addition, with the support of data and Technology , The intra city retail model is more conducive for new suppliers to enter physical stores for sales , So that the commodities in physical stores can be operated differently at a lower cost and more efficiently .

in summary , The intra city retail model has been successfully developed from the enterprise 、 industry 、 Consumers and society have released the “ Six values ”, But limited by the cultivation of consumption habits 、 Three inborn deficiencies in store commodity quantity and inventory , Under the existing technical conditions, it is not possible to “ The day after tomorrow ” perfect , At this stage, the intra city retail mode can only be a supplementary business , It can not replace the mature retail e-commerce format .

【 Zhuang Shuai retail e-commerce channel 】 We will continue to follow up and study the local retail model , Continue to observe Jingdong home 、 Meituan flash shopping 、 Multipoint 、 Amoy fresh up 、 WeChat 、 The practice of Tiktok and other platforms , Constantly summarize the methodology and industry rules of these excellent enterprises , For your reference and discussion .