The collapse of Internet home improvement may only be the beginning. According to analysis by industry insiders, there are many participants in the Internet home improvement industry. The collapse is only the norm, and there will be a large-scale collapse in the next year or two. Waiting for the real cold winter, I am afraid it is the most cruel reshuffle period.
The development of Internet home improvement is particularly rapid, but there are also some unsatisfactory news. Among the many platforms, we have seen the wall frog technology, the livable home improvement network, the home network, the home decoration 360, the beauty equipment, and the house master has announced the closure. It has caused some of our cold thinking. What kind of reasons lead to its failure, whether it is normal or abnormal, and the current cold winter is coming, will have a great impact on the Internet home improvement industry.
Internet home improvement may just start, what is the root cause?
According to analysis by industry insiders, there are many participants in the Internet home improvement industry. The collapse is only the norm. In the next year or two, there will be a large-scale collapse. The main reasons for the closure are four:
First, the product or platform operating model has no core competitiveness. Although the platform is diversified, it is more serious homogenization.
Second, the platform itself lacks the Internet O2O gene, and online capabilities are not highlighted.
Third, capital understanding is not in place, the method and speed of taking money, and the capital chain are broken.
Fourth, the platform burns money to introduce traffic or the cost of acquiring users is too high. At present, the money outlet has been closed, but the traffic cannot be quickly realized, resulting in rapid collapse.
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When the capital winter is coming, how can many Internet home improvement companies survive the winter?
The current capital market investment environment is not optimistic, the capital market is particularly cautious, and the Internet home improvement has not yet been scaled up. The situation is particularly embarrassing. Many industry participants also said that there are also many bubbles in this industry. The cooling of capital is an inevitable trend, and the capital winter is coming. However, it may not be a bad thing. The rationality of capital may bring opportunities to the already-funded platforms, because there are currently no giant companies in the industry and the opportunities are still great. Of course, this does not mean that there is no room for survival without a platform for getting money, because in the long-term development, an industry development cannot be driven by capital alone, but more is a business model and a team.
In view of the current development trend of the Internet home improvement platform, three suggestions are proposed:
First, find the point of force. This is very important. There is nothing wrong with the platform itself. But if there is no point, it should not be too long. The front line of the Internet home improvement industry is also involved in many links. The service period is long and it is easy to take care of it. The resources in the hands of the hands, so it is important to identify the force points in the entire supply chain.
Second, extract the value point. Value points mainly include online operational capabilities and offline expansion capabilities. Many Internet home improvement platforms place too much emphasis on online operational capabilities. There is nothing wrong with this. This is important, but the real value is offline, because all the processes of home improvement are still done by offline capabilities.
Third, lock the breakthrough point. The breakthrough point mentioned here is mainly the operation of large-scale operation, especially the heavy-scale platform is difficult to achieve scale. The high operating cost will make the platform itself have a lot of pressure in the future, so the scale is also the priority of the platform itself. The question, how to achieve scale operation in combination with its own platform business model, and to lock in the business breakthrough point can not be ignored.
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The development of Internet home improvement is particularly rapid, but there are also some unsatisfactory news. Among the many platforms, we have seen the wall frog technology, the livable home improvement network, the home network, the home decoration 360, the beauty equipment, and the house master has announced the closure. It has caused some of our cold thinking. What kind of reasons lead to its failure, whether it is normal or abnormal, and the current cold winter is coming, will have a great impact on the Internet home improvement industry.
Internet home improvement may just start, what is the root cause?
According to analysis by industry insiders, there are many participants in the Internet home improvement industry. The collapse is only the norm. In the next year or two, there will be a large-scale collapse. The main reasons for the closure are four:
First, the product or platform operating model has no core competitiveness. Although the platform is diversified, it is more serious homogenization.
Second, the platform itself lacks the Internet O2O gene, and online capabilities are not highlighted.
Third, capital understanding is not in place, the method and speed of taking money, and the capital chain are broken.
Fourth, the platform burns money to introduce traffic or the cost of acquiring users is too high. At present, the money outlet has been closed, but the traffic cannot be quickly realized, resulting in rapid collapse.
When the capital winter is coming, how can many Internet home improvement companies survive the winter?
The current capital market investment environment is not optimistic, the capital market is particularly cautious, and the Internet home improvement has not yet been scaled up. The situation is particularly embarrassing. Many industry participants also said that there are also many bubbles in this industry. The cooling of capital is an inevitable trend, and the capital winter is coming. However, it may not be a bad thing. The rationality of capital may bring opportunities to the already-funded platforms, because there are currently no giant companies in the industry and the opportunities are still great. Of course, this does not mean that there is no room for survival without a platform for getting money, because in the long-term development, an industry development cannot be driven by capital alone, but more is a business model and a team.
In view of the current development trend of the Internet home improvement platform, three suggestions are proposed:
First, find the point of force. This is very important. There is nothing wrong with the platform itself. But if there is no point, it should not be too long. The front line of the Internet home improvement industry is also involved in many links. The service period is long and it is easy to take care of it. The resources in the hands of the hands, so it is important to identify the force points in the entire supply chain.
Second, extract the value point. Value points mainly include online operational capabilities and offline expansion capabilities. Many Internet home improvement platforms place too much emphasis on online operational capabilities. There is nothing wrong with this. This is important, but the real value is offline, because all the processes of home improvement are still done by offline capabilities.
Third, lock the breakthrough point. The breakthrough point mentioned here is mainly the operation of large-scale operation, especially the heavy-scale platform is difficult to achieve scale. The high operating cost will make the platform itself have a lot of pressure in the future, so the scale is also the priority of the platform itself. The question, how to achieve scale operation in combination with its own platform business model, and to lock in the business breakthrough point can not be ignored.
According to conservative estimates in the industry, the market size of the home building materials industry in 2015 is expected to reach 4 trillion. The author believes that the industry is still in an accelerated development period due to the fact that there are no giant companies or industry leaders, and many other companies have been affected by financing. Participants are rushing in, waiting for the real cold winter to come, I am afraid it is the most cruel reshuffle period. The Internet home improvement platform that survives in the future must be a platform that does not follow the trend and is truly competitive.
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