Traditional Culture Encyclopedia - Hotel reservation - Is the emergence of the o2o model good or bad?
Is the emergence of the o2o model good or bad?
However, among the recent hot spots in e-commerce, O2O (Online To Offline) seems to have become the new favorite. Alibaba’s Alipay and Baidu Maps have taken a fancy to this fresh piece of cake.
1. O2O Encyclopedia
To put it simply, O2O combines offline and online opportunities, making the Internet the front desk for product sales. The emergence of this model is a good breakthrough for most companies facing the impact of e-commerce online stores. When it comes to online and offline, everyone is more likely to think of group buying. For example, when we buy movie tickets, we only need to tell the salesperson the number in the received text message, and then we can pick up the tickets and go to the movie.
2. Current Situation of O2O
The development of O2O in China is now in the ascendant, and many players are vying for success. Due to the immaturity of the O2O model, many companies are trying to cross the river by feeling the stones, which is far less tragic than the group buying industry in 2011. Among the current enterprises, Suning.com is one of the traditional large enterprises that is experimenting with O2O. The representative event is the birth of Suning.com’s new community. Tencent WeChat, which has just reached 300 million users, is also exploring the path of O2O. At present, most companies in the service industry are focusing on the O2O model. Of course, companies such as Ganji.com, 58.com, and Baixing.com, which focus on life information services, will not miss this opportunity. Taobao's food, drink and entertainment channel and Tencent's food channel are trying their best; major LBS applications that provide local life services have followed suit. On a smaller scale, O2O is used to sell pancakes and fruits. Now, a small shop of only 14 square meters in Huang Taiji in Beijing that only sells pancakes and fruits is valued at tens of millions. Do you think O2O can become popular? As long as there are users, no one has the nerve to let this opportunity go. I saw someone say this on 36 Krypton: Give me an SNS and I can improve the entire O2O.
3. O2O analysis
1. Hype new concepts
The reason is that this model is new, full of light and excitement, and it is easy to attract capital. . Whoever succeeds in this model becomes the leader. Due to the Matthew Effect of the Internet, the impact is amplified. This company will be the only one in this field, and the entry barrier for latecomers will be particularly high. This is how Baidu in the search industry, Alibaba in B2B, and Tencent in IM were born.
2. Reduced costs
As mentioned before, O2O will make the Internet serve as the front desk of physical stores, and the Internet has solved the asymmetric information exchange between merchants and consumers. Weaknesses, therefore, will definitely bring more value to enterprises positioned in local life services. Ordering meals, tickets, tickets, and hotels online will provide you with a better experience. Prepaying funds online not only improves security and speed, but also provides consumers with more discounts. While attracting more consumers, companies also gain benefits. Overall, information exchange costs and transaction costs are reduced.
Summary: Looking at O2O from an outsider, there are no corporate resources to operate it, it is just talk on paper. However, I believe that O2O will definitely bring changes to the entire Internet enterprise.
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