Zhang Yong comprehensively analyzes Ali's new retail: to be real, to make the world's business easier

On March 26, Gaoxin Retail released its annual report for the fiscal year 2017. In the annual report, Zhang Yong, Chairman of the Board of Directors of Gaoxin Retail and CEO of Alibaba Group, issued a shareholder letter, emphasizing that it is because of the wholehearted belief in the future of new retail, wholeheartedly focusing on users and partners, and making Alibaba a new retailer. There are “sufficient confidence”, “clear path” and “full effort” in the promotion of the strategy.

Zhang Yong comprehensively analyzes Ali's new retail: to be real, to make the world's business easier

Ali shares in the Gaoxin retail conference site, the new retail new bureau has begun

"New Retail" has been proposed for more than a year. There is no doubt that Alibaba has proved itself to be the true explorer, real practitioner and visionary commander of the new retail business transformation. This constitutes the core difference between “leaders” and “followers”.

Several key words have run through Zhang Yong’s shareholder letter – wholeheartedly believe, go all out, and look at the future. In essence, what Ali is propelling is not a so-called "commercial competition," but a proof of the new era.

From point to line, gathering face into form: Ali new retail has strategy, path, and results

"We truly believe that the Internet world and the physical business world are a world that can jointly create more customer value and business value." Zhang Yong wrote in the shareholder letter. This clearly expresses the starting point of Ali's new retail strategy, M&A and business layout over the past year.

Since Ma Yun proposed the “five new” strategy led by “new retail” in 2016, Ali has invested in Suning in the digital home chain of home appliances; in the field of department stores, Intime, Sanjiang Shopping and Gaoxin Retail have become important forces; The full-service complex has a strategic cooperation between Bailian Group and Ali. At the same time, it relies on two new retail pedestals of Taobao and Tmall, as well as the new commercial infrastructure including ant Jinfu, rookie network and Alibaba Cloud. Active innovation in the direction of unmanned retail, smart stores, business district upgrades, etc., and create a new retail format such as Box Horse Fresh.

Starting from the breakthrough of the point, we will leapfrog in various retail formats, explore the data-driven grasp, and optimize the online and offline channels; they will form a rich connection and penetration, and progress to the "line" trend in the industry dimension. Its specific form is Ali's new retail “eight-way column” covering all aspects of “clothing, food, housing and transportation”; the strategic cooperation and business integration of Alibaba and traditional offline retail formats representing online business forces, one circle and one road, all the way In the dimension of “city”, it promotes the overall improvement of commercial infrastructure and the overall improvement of consumer experience.

Zhang Yong comprehensively analyzes Ali's new retail: to be real, to make the world's business easier

Connected to the line, the polyline is formed into a surface, and the entire ecosystem of Ali's new retail is built by the surface. “The investment and mergers and acquisitions made by Ali are implemented according to strategic deployment and have never been driven by financial reasons.” As early as June 2016, Cai Chongxin clearly stated this at the Alibaba Investor Day conference.

"The most essential strategic logic of new retail is to look at the tide of the entire digital economy from a future perspective. What can we do and what our customers need us to do? This is the starting point for today's Alibaba talk about ecology, talking about the future, and talking about everything. Zhang Yong said this at the Ali Manager Strategy Communication Meeting in January 2018.

“To make the world's business easier.”

According to reports, RT-Mart is opening up the “Tmall Gold Makeup Award Zone” in more than 100 core stores across the country, and global beauty boutiques have entered RT-Mart; 167 stores in 20 cities in East China have been screened by Ali Data on consumer preferences around the store, 3 The products came from the overseas fast-moving brands; all the stores began to provide one-hour delivery to the home for consumers within 3 km... The Gaorun-owned RT-Mart supermarket had achieved results in only three months after accessing Ali's new retail system. The Xin Retail Annual Report disclosed that such deep renovations in the future will cover more core links such as membership system integration, supply chain optimization and payment.

Not only RT-Mart, in Intime, the comprehensive opening of user data and the use of full links in brand marketing have brought more than 50% of its growth; in Suning, big data + supply chain reconstruction has made a batch of “ The “Billion Club” brand has also enabled Suning to reap the best annual results since the Internet transformation in 2009; and Box Horse has become a typical example of retail innovation, and its new retail experience has been painstakingly explored and explored. And product systems are being exported to the entire business world.

Zhang Yong comprehensively analyzes Ali's new retail: to be real, to make the world's business easier

Box horse has become a typical example of retail business innovation

This is an example of the “clear steps and implementation path” of Ali's new retail. According to Zhang Yong’s shareholder letter, this stems from the combination of “Alibaba’s Internet genes, big data resources and technology” and the “retail genes, store management genes, and high-efficiency genes” of each collaborator. A new chemical reaction."

Online and offline enter the real stage of integration and development. Alibaba's large-scale offline layout is to use digital tools to empower offline businesses. This requires technology, tools, products, and more changes in the commercial full link. It can be said that this is not necessarily the success of the water.

"Today all our business thinking, all creativity for the future certainly does not come from the PPT." Zhang Yong said at the Ali organization meeting in January this year, "We must really make the world a better place, let the world The business is simpler."

Because I really believe, so wholeheartedly

From new retail to new finance, new manufacturing, new technologies, and new energy, Alibaba's “five new” strategy has transcended the consumer and retail sectors, and truly focused on cross-era changes in business and the economy. Starting from the origin of retail, boosting China's logistics, payment, technology and other commercial infrastructure upgrades is the core kinetic energy of this era.

The market benefits brought about by these changes are most directly benefited by all brands, retailers and all Chinese consumers.

“Alibaba new retail is centered on user value and is centered on partners.” Zhang Yong said at the Ali manager strategy communication meeting in January this year, “So all our investment and business layout are three principles: First, whether it can stimulate business innovation; second, whether it can enhance the user experience, especially the service experience; and third, whether it is the innovation and development of transformative technology."

Zhang Yong comprehensively analyzes Ali's new retail: to be real, to make the world's business easier

Alibaba's active promotion of smart maternal and child rooms has been praised by women's rights and scientific births in various places, and has become a model for new retail promotion of public service levels in cities.

“Because we really believe.” Zhang Yong wrote in a letter to Gao Xin’s retail shareholders, “We believe that the world of the Internet and the business world of the entity are a world where many beautiful changes can occur and create more customer value. And business value."

Some studies have pointed out that from the "retail 1.0 era" of "state-owned retail + self-employed" in the 1980s, to the "retail 2.0 era" marked by offline retail sales in the 1990s, and the "retail 3.0 era" of Taobao as the beginning of online shopping. New retail is pushing China to the "Retail 4.0 era."

This business change is destined to be wholeheartedly believed rather than dubious. It needs to go all out instead of trying it out. It needs a future vision rather than an immediate interest. It requires hard exploration rather than lightness. This is the common mission of all partners of Alibaba and the new retail ecosystem.

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