September 2014 China Tire Industry E-commerce Analysis Report

First, tire electricity supplier product analysis

On September 19, US time, Alibaba formally launched its IPO at the New York Stock Exchange with an opening price of US$92.7. With a market value of US$220 billion, Alibaba has surpassed Facebook, Amazon, and eBay, becoming the second largest global market value after Google. The second largest internet company. With the arrival of Double Eleven, major e-commerce companies are in full swing to plan online promotions. As a tire manufacturer that has been entering the e-commerce market for a while, the online operating performance of tire e-commerce in October 2014 was still gratifying. According to the statistics from the e-commerce research center, the sales volume of all tire brands climbed in September 2014, and the overall operating performance of the tire e-commerce business was at the mid-high level.

1, the best-selling brand

In September 2014, the world’s tire leader “Michelin” continued to maintain its excellent performance and won the championship of the best-selling tires this month. In addition, the two famous international tire brands “Dunlop” and “Bridgestone” jumped to the top. Popular sales followed closely, ranking second or third. The "German horse card" ranked fourth with a slightly weaker gap.

2, the top ten best-selling products list

According to statistics, in October 2014, the "SPT1205/55R16" of the "Dunlop" tire brand won the top spot with sales of 871 pieces, and it was easy to capture the title of "the best-selling single product of the month" for several months, while Goodyear Tire "Special tire NCT53 ditch 195/65R1591V Passat Sagitar" ranked second in the month with a large gap of 655 units. Another Dunlop tyre tire, Dunlop SPT1195/65R15 Bora, also successfully squeezed into the top three best-selling products with 616 sales.

3, tire electricity supplier price distribution

In September 2014, the sales price of online tires remained basically unchanged, ranging from 150 yuan to 1,500 yuan, while the tire price range of 200-500 yuan was still the most popular among consumers, which was not much different from the previous month. The volume of tires 200-300, 300-400, and 400-500 yuan this month has broken through 10,000. The sales volume of 300-400 tires exceeded 15,000. From this we can see that the popular price is still the most popular among consumers.

4, tire brand heat

In September 2014, Taobao Tmall's tire hot search, the world-famous brand "Michelin" continues to lead other brands with its good reputation, the success of the "Month search hot champion" title. Dunlop was ranked second this month. Other brands such as Bridgestone, German Horse, Goodyear and other international brands have also been catching up and they have gained more searches this month.

Second, the store analysis

1, tire Tmall flagship store credit rating

According to statistics from the e-commerce research center, the number of tire brands currently stationed in Tmall flagship stores has increased to 10. From the existing data, regardless of the degree of product description, or the speed of delivery and service attitude of the merchants, the scores of various tire brand flagship stores are maintained at a medium level. In addition, it can be seen from the points and evaluation of consumers that the current description of business matches and satisfaction of service attitudes are generally low, and businesses still need to make more efforts in these two aspects.

2. Geographic distribution of tire electricity supplier

In October 2014, the geographical pattern of tire electricity suppliers continued to diversify. The geographical distribution of e-commerce in the two first-tier cities in Shanghai and Guangzhou together accounted for nearly 80% of the country's total share. The first-tier cities in China, which had once occupied the status of “dominant” in the e-commerce sector, have fallen behind Zhejiang and Shandong in recent months. In other provinces and cities such as Jiangsu and Jiangxi, e-commerce has also developed rapidly, trying to “share more than one share” in the tire electricity supplier market. This shows that the regional competition of tire e-commerce will inevitably become fiercer.

Third, the integration of online and offline seamless docking

Due to the particularity of its products, tires have long been used from manufacturers to wholesalers (provincial and prefecture level) to retailers, and finally into the traditional marketing model of millions of households, but this model requires high gross profit. support. In today's increasingly fierce market competition, the profits of tire wholesalers are getting lower and lower. In recent years, the market and profit space brought by the development of e-commerce has attracted more and more traditional industries to join, changing the traditional marketing methods, and also changing the profitability of enterprises.

More and more tire manufacturers and distributors are beginning to pay attention to new marketing methods, and many tire companies have begun to explore and try. The e-commerce model is embodied in "one-on-one experiential marketing + Internet network single + ultra-fast logistics distribution." Experts believe that the future of competition will break the tradition and break through the conventional wisdom. The profitability of tire companies will depend on the innovation of business models and ways of thinking. The seamless integration of “online and offline” integration should be achieved. Tire marketing will shift from high prices and high gross margins to low-cost and high-occupancy; many traditional channels and businesses will disappear due to future changes; integration of industry and finance, integration of business and trade, and service marketing will be the main channels for profitability. Some experts predict that the channel level of big brands will be further reduced in the future, and the value of retailers will be further enhanced because of the strong appeal of the brand among consumers and the support of distribution and installation services by many brand distributors nationwide. The strong vendor-led e-commerce platform will develop faster. At the same time, the type of tire trading service platform will also have great opportunities for development. Because there are many brands of Chinese tire manufacturers, weak brands can only survive and develop by shortening channel links substantially. At the same time, this also provides opportunities for the intermediary platform.

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