Zhang Yong: Using Digital Method To Push Down Traditional Retail "Berlin Wall"

The world consumer goods Summit (ConsumerGoodForum), known as Davos, a retail outlet, has finally hosted the first China Internet company leaders' conference in its sixtieth session as a representative of China.

Group CEO Xiaoyao Zi (Zhang Yong) immediately issued a speech affecting the whole industry at the forum, that is, the "Berlin wall" of the retail industry was pushed down by digitalization.

The 42 year old xiaoxiaozi just sent out all the mail on the 15 th this month, announcing the integration of resources to set up Ali's leading group of cultural and entertainment work. A day later, it appeared in Cape Town, South Africa, to attend the annual "CGF world consumer goods forum", which is famous for its industry depth and professional discussion. It attracts every year the giant CEO from global retail, consumer goods and food.

WAL-MART, Procter & Gamble, Unilever, WholeFoods, Coca-Cola, Danone and Nestle and other international accelerated CEO were present.

An insider who follows Zhang Yong's meeting revealed that after the end of the main forum, Zhang Yong convened a private meeting in particular. All the big business owners of fast moving enterprises in China were invited to attend the meeting. Its core purpose is to explore how to strengthen the supply chain of direct supply and consumption in China, to push down the traditional "Berlin wall" of the traditional retail business, and let the brand enterprises really touch consumers by digitalization.

The pformation line is the strategy that Xiaoyao Zi has been pushing forward before he took office in CEO last May. He repeatedly expressed the view that O2O is a false proposition, and that the future business will be a fusion body when it is offline.

What consumers are familiar with is

Beauty and other categories have always been Ali.

However, because of the complexity of the offline channels and the high concentration of enterprises, the penetration of e-commerce in China has been relatively low.

But fast moving products have the characteristics of high repetition rate, high standard and high brand loyalty. They are not only suitable for the penetration of e-commerce, but also suitable for customers and consumers.

In the just concluded investor day, Ali clearly pointed out that food and daily chemicals will become the focus of category expansion.

"For toothbrushes and towels, it is a kind of torture for consumers to buy from flagship stores, and efficiency is too low for brand enterprises."

Xiaoyao Zi said at an internal meeting.

Since taking over CEO, Ali has started to accelerate from the supply side and the consumer side, and intends to create second moat.

At the front end, the Tmall supermarket, which is promoted by Ali, hopes to help consumers form the habit of buying online fast food products through the most rapid logistics and marketing campaign.

On the supply side, Xiaoyao has met with almost all of China's fast moving giants in the past year and signed a series of "joint business plans".

Taking P & G as an example, after a year of cooperation, Tmall's sales grew by more than 50% over the same period last year. This year, Ali will become one of the biggest channels for P & G under the China online.