The Era Of Data: Yintai Takes 10 Million Digital Members, Which Is The New Retail Speed.

In September 26th, he appeared at cloud habitat conference.
In addition to the identity of CEO, he also serves as the producer of the new retail eco summit. The two leading roles of this summit are Yintai department store and box horse fresh life - the two largest new retail benchmark.
This year, it looks a little easier. The front of the speech is a black T-shirt, which is in sharp contrast to the suit shirt that was not pressed for wrinkles last year.
After all, he brought a heavy report card with intime department store - 10 million digitized members, roughly equal to the size of a market, and growing at a rate of 1 million per month.
At the same time, there is also a list of objectives: one year to rebuild a Wulin general store, three years to rebuild a large area, and five years to rebuild a Yintai department store.
This is the 989th day since the announcement of the privatization of Yintai business in the HKEx in January 10, 2017.
30 minutes of speeches, no burden. But every burden is full of information and the rhythm is just right.
He is known as the "most talked about CEO" in the industry. In previous years, every size conference would be extremely formal. His work logic and self requirements, like his dressing, are close to almost error free.
This is similar to "good student" self-discipline, habits and achievements are good, and must be consistent.
The Yintai department under his leadership also kept the status of "good students" in the industry. The new retail transcripts were quite bright -- 10 million digital members, 2.1 times the membership price increase, 81% of the member transactions increased, and 283% of the members re purchasing rate increased.
　　 New retail eco Summit
The new retail speed of Yintai is from the "green train era" to the "high-speed rail era".
Even so, he believes that 20 year old intime department store can not be regarded as a real department store, but, like most of its peers, is a commercial real estate under the banner of department stores.
"Department stores are not 100 kinds of goods, but 100 points. What is a 100 cent product? It is for customers to do primaries and endorsements, endorsement brands, endorsement of cost-effective, endorsement of its popularity, and a variety of endorsements.
The crux of his direct reference to the department store is not the drop in passenger flow. "The drop in passenger flow is not the reason for the drop in sales, but the result of the drop in sales."
Department stores have repeatedly stressed that Location is a simple "compensatory mentality" by increasing the number of passengers through multiple shops.
It has been more than two years since the new retail transformation. According to the standard, the intime department store has not completed the construction from -1 to 0. When the department stores can choose goods, control goods, price and control the life cycle of products, the infrastructure is completed.
Two years ago, intime department store was another scene. The road to new retail transformation is full of suspense.
In January 2017, the company announced the privatization of Yintai business, with a transaction value of HK $19 billion 800 million, or about 17 billion 700 million yuan.
At that time, it was only three months since Ma Yun put forward "new retail". Su Ningyun has invested in companies such as Su Ningyun and shopping. It is accelerating the layout and integrating offline retail and online digital economy.
Lu Zhenwang, a senior business observer, said: "the mode between Yintai business and e-commerce is quite different. Yintai is a simple commercial real estate mode, and the problem facing them will be the information integration of shops. It will take a long time to establish the O2O ecosystem.
At that time, the CEO analogy of Ali, "if we say that we are the air force, then we need to find an army partner to form an integrated force, and this army partner is Yintai".
However, he also said that the new retail exploration has not yet formed a specific model, and there is no timetable when it will be formed.
Facing the unknown, the pressure of Yintai department can be imagined.
In May 2017, the "rice dinner" was priced at 1 yuan in the auction of official App meow street. A month later, he discussed the problems and solutions of the department store in this open dinner.

He pointed out that the real reason for the drop in department stores was the oversupply of commercial real estate and the inefficient supply chain, rather than the impact of the electricity supplier. The new retail will change the relationship between the demand side and the supplier side. This includes the relationship between suppliers and department stores, as well as the relationship between department stores and customers.
The supply chain is related to the distribution of interests. Once touched, it means an industry revolution.
The discussion at the scene was quite warm, and afterward, some of the participants recalled, "there is hardly any cold time in the whole dinner party."
At that time, the department store industry had long-standing problems. A third party report showed that 55.3% of department store sales fell by nearly half in the previous year.
Reform is imminent. But who has the guts to really touch the core contradictions?
In the transformation, not only Yintai, the whole department store industry has no retreat.
Data show that at that time (2017), 46.9% of department stores had launched the business of electronic commerce, 75.9% had self built network sales platform, 50% of the interviewed enterprises had already launched O2O with the Internet enterprises, and 32.1% of the surveyed enterprises indicated that they were planning the matter. In addition, 27% of the surveyed enterprises have self built mobile phone APP.
But in the end, only a small number of enterprises are advancing smoothly, and Yintai is one of them.
At the cloud habitat conference in 2018, the company announced that the digitalization of intime department stores reached 58%. By 2019, Yintai had completed all the digitalization of people and goods, and gradually changed from "people looking for goods" mode to "goods looking for people" mode.
After the speech, some colleagues exclaimed, "Yintai did a pretty good job." Digitalization is not a question of whether we want to do it, but whether we can do it. "
Pick up robot in Yintai department store
This problem also existed in front of Yintai.
The digital transformation of traditional department stores, which means that the technology foundation is weak, and when it comes to digitalization of commodities, it will involve the game with suppliers. And a slightly larger department store, SKU is in the million level, the complexity of human and digital digitization can be imagined.
After the privatization of Yintai business, in order to reconstruct the human freight yard to digitalization transformation, Yintai and Ali jointly built a product team of over 200 people. Such a configuration is relatively rare in traditional department stores.
At the same time, all stores in Yintai department store have deployed cloud POS machines; meow street App accounts are also linked to account numbers, Yintai members and Alibaba members have fully opened up; inventory management of commodities has been unified, and online and offline inventory has been priced at the same price.
This is called digitalization of "old city transformation" by Yintai, and the waiting in the early stage is particularly long.
Speaking frankly, this process is very difficult. He remembered that for a long time, he could only perceive the results from some figures. "37 (Yintai CTO Yan Xuekun) said on some occasions that we were working hard to digitalization, our members had 20% digitization, and our products were digitalized 30%. At that time, we really climbed three steps and took two steps, because the network effect was not strong enough, people saw goods, and goods could not find people.
During this period, if the decision-makers' beliefs are shaken, the projects may stop or take a lot of detours.
But the fact is that in less than two years, the digitalization of Yintai's products has been completed.
Chun Ling, a data analyst involved in the project, said that Ali's programmers were technical and did not know much about the logic of department stores. In order to understand his business, he spent a long time in the store in Yinlin, Yinlin, and chatting with the tellers. He also regrets that although CEO does not know technology, it is particularly supportive of technological transformation that can not be seen in the short term.
With the common insistence, the digitalization of people and goods has been completed one after another, and the digitalization of the field is also advancing in an orderly way.
　 Meow Street order
Today, orders for APP on meow Street are still growing after closing the store at 22 o'clock in the evening. This "field", which is not subject to time and space, begins to change the consumer's cognition and consumption habits to department stores, which makes it possible for intime department store to have a full range of sales.
The idea put forward by the dinner Bureau in 2017 has become a reality step by step.
At the end of May this year, in an external sharing, he said, "2019, watch willows along the river." This is his affirmation of the new retail stage results of Yintai department store.
In the early days, it took three months to rebuild a store for intime department store, and now it only takes one and a half months. At present, he attended the CTO Yan school, who was responsible for the direction and strategy, and was responsible for reforming the technical details.
The achievements of Yintai digital strategy began to highlight in 2018.
That year, double eleven, intime department stores nationwide 59 stores sales increased 37%, same store grew 36.7%. Only the single store of Yinlin and Yintai produced 21 "first counters in the country" and 901 "million single products". In addition to Wulin Yintai head office, there are 12 stores in the double 11 day sales hit a record high.
　 Yintai double 11 order
Among them, quite a number of orders come from online. Consumers place orders on meow street App, then pick up goods at the store or deliver them to the door. During the double eleven period in 2018, consumers bought Yintai store products through meow Street app, an increase of 19.6 times compared with the same period last year.
By the end of this year, 618, finally, until the "network effect" of the digitalization of people's goods, a department store can also sell deep stock.
For traditional department stores, if there is no efficient supply chain level, even if the order on line is increasing, it will eventually be "no blessing".
A department store practitioner compares their new retail transformation with Yintai, saying: "our supply chain is not so strong. Our stock is very shallow. The 5 and 10 pairs of the same goods are gone. We can't control the goods very strongly, and we can make double 11 every day.
He also stressed that the future department store, if we want to continue to develop, must have a good supply chain, which is the core of new retail.
"It is not easy to say that this process is difficult." it is very difficult to break the pattern of distribution of interests and habits. Because the links are relatively long, there will be a joint game among different stakeholders. This limited thinking is also an important factor restricting the efficiency of supply chain. "
But Yintai finally controlled the shipment.
Due to the growth of orders in Yintai department store, the major brands of beauty brands will be exploded under the online and offline lines such as double 11 and 618. The physical store counters must serve well under the offline passenger flow, but also fulfill the order fulfillment of network operators, which is difficult to guarantee in terms of service quality and service efficiency.
Both sides of the game have common aspirations to ensure the quality of service while enhancing the efficiency and efficiency. Based on this, brand suppliers are willing to hand over goods to Yintai department store and transfer part of the right of control.
This year, Yintai has set up a store in the whole country. According to big data, some of the explosions will be stocked up to the warehouse ahead of schedule. When consumers buy online, they will be shipped directly from the warehouse and can be delivered in 1 hours. Recently, Yintai has built 18 10 km timing areas.
Digital store
And all this is the result of the early digitalization.
"Previous growth mainly depends on the expansion of scale, and the business of making more than one yuan needs more counters. After the new retail, we are pursuing the production efficiency improvement of the same unit of production." He said.
The supply chain is the soul of the retail industry. The revolution of intime general store, which touches the soul of the industry, has gradually gained the right to control goods from the beginning of digitalization of goods and goods.
Cargo control is only the beginning. Yintai also joined the brand companies and started many new manufacturing experiments similar to C2M.
This year, Yintai and jewellery brand ancient name co worked with 3 "Yintai custom". From the previous consumption preference and mental research, to product design, stocking volume suggestions, and then to marketing, every link has Yintai involvement.
The final product sold more than 1200 pieces in just a few days, becoming a rare "million single product" in the jewelry industry, with a turnover rate exceeding 70%.
In cooperation with women's shoes brand Lili shoe cabinet, intime is responsible for brand online operation to help sell its products all over the world. The brand side only needs to focus on product development and offline operation. In this process, intime department store also pushed the brand new product development according to big data.
This pattern has brought a huge increase to Lili's shoe cabinet. Lili's shoe cabinet doubled its efficiency during the 618 year of this year.
In Yintai department store, the functions of the investment promotion department are also changing. In addition to introducing competitive brands, joint brands need to jointly develop new products to enhance operational efficiency.
"We are co branding providers to serve consumers, rather than making our own brand or buying a brand or building a brand," he said at the cloud habitat conference. In the future, we will create 1000 new retail brands with double effect.
The improvement of retail efficiency will eventually lead to income improvement. In Yintai department, 30% of the annual income of shopping guides exceeds 200 thousand.
In the future, through the promotion of retail efficiency, consumers can enjoy double 11 benefits every day and increase the income of practitioners. However, in the short term, there will be a game of interest between the brand suppliers and the suppliers. It is necessary to have a process from "Party B" to "double Party B".
Internal reform is still in progress, and external expansion has never stopped. After the delisting, the number of intime department stores increased from 49 to 65. In addition, 2 other companies were preparing for the establishment, and the average growth rate of the stores was more than that of the ten years of listing. Three.
At this year's cloud habitat conference, the company also set a small goal for Yintai department store: continuous digital transformation and matching of goods and goods. By improving efficiency, we can reinventing a Wulin general store in one year, reconstructing a large area in three years, and reinventing a Yintai department in five years.
This is a big step forward compared with the 2017 target.