Urgent transformation of e commerce from price war to demand competition

With the development of electronic commerce,

will gradually replace the vicious price competition in order to meet the personalized needs of consumers, which will become the inevitable trend of the healthy development of e-commerce.

according to the "investigation report" 2010 China Internet users online shopping behavior and satisfaction shows: " price " concept of people, more than 70% of consumers with cheap " " factors of online shopping. In addition, the convenience of online shopping has become the main factor, consumers choose online shopping because of " at any time to buy, not limited to time, " " easy to buy " because consumers choose online shopping accounted for a large proportion, and a low price in addition to " " second dominant factors outside.

In recent years

in " ", " price; purchase convenience " the main inducing factors, e-commerce sites have continuously reduce operating costs, to provide consumers with convenient online shopping environment and high quality and inexpensive goods to win customers, get more market share. Jingdong mall, Dangdang, excellence and other e-commerce companies through self built logistics, while reducing operating costs, but also to provide consumers with great convenience.

, however, with the fierce competition in e-commerce, e-commerce business between the price war is inevitable frequent outbreak. Recently attracted a lot of attention Jingdong mall Dangdang book price war, but also reflects the current status of competition between e-commerce companies. The use of price advantage between the site to compete for customers, is bound to reduce the profits of the site, into a vicious cycle of price wars. Today, in addition to the need for cheap and affordable goods, more is the need for personalized services, focus, precision, deepen the personalized service is one of the important means of e-commerce to attract customers. Therefore, for e-commerce sites, to avoid the tendency of pure price oriented, through the core competitiveness of the electronic commerce website, to meet the individual needs of consumers, has become the inevitable trend of the future development of electronic commerce industry.

personalized service, refers to businesses according to each customer’s age, identity, occupation, taste and other personal characteristics, as well as the past purchasing behavior and preference factors vary with unique products and targeted services. Cosmetics online shopping, for example, due to the different properties of each person’s skin, in the purchase of cosmetics, you need to choose according to their skin characteristics. Now women have on their skin and lack of knowledge, often worship big benefits, blindly choose this, not for women’s skin is the best, on the contrary, if improper use will cause a lot of skin problems. A leader called the prerelease network in view of this situation in the cosmetics B2C vertical field, will create a skin to help users identify their attributes, the correct choice to meet the personalized needs of cosmetics service platform, through this platform, can make the female.

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