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Analysis of the development of e-commerce in wire and cable industry

2020-06-11 13:53:42 海盐年丰电子科技有限公司 Read

In recent years, the development of China’s Internet technology has been changing with each passing day. The vigorous development of e-commerce has brought new opportunities to many traditional enterprises. As a member of the traditional manufacturing industry, the cable industry is still in the marketing mode. In the original channel, the method of developing dealers was adopted to expand the market. Most enterprises have already achieved sales transformation, with the help of e-commerce for a new marketing model, the wire and cable industry under the "Internet +" has exploded with huge innovative capabilities and new vitality.

At present, there are three main e-commerce models in the wire and cable industry: one is the distribution model, that is, purchasing products from manufacturers and then reselling them to earn the difference; the second is the online store model, that is, brand manufacturers or distributors use the e-commerce platform directly Open an online store; the third is a vertical e-commerce model, that is, brand manufacturers directly open online stores.


From the perspective of the development of e-commerce in the domestic wire and cable industry, most wire and cable companies have chosen the "online shop model" that uses the e-commerce platform provided by the Internet to open stores directly when innovating the e-commerce model. The joining of many wire and cable companies shows the positive change in the cable industry's attitude towards online marketing. The "online shop model" that combines the wire and cable industry with e-commerce has gradually become the mainstream development trend of the cable industry and has a preference for prospects.


Practice has proved that if the traditional industry can make full use of the "Internet +" platform, it can effectively resolve some of the excess capacity. "Internet+" can not only expand the sales of products, enter the market at a lower cost, improve the overall operating efficiency, and promote the transformation and upgrading of the industry; it can also shorten the distance between manufacturers and consumers, and can also bring the industry upstream and downstream The distance between enterprises maximizes the market potential.


However, good things always have the opposite side. Wire and cable are not all smooth sailing in the development of e-commerce. The competition in the traditional model is also transferred to the e-commerce model. What kind of problem?


At present, China's wire and cable enterprises have reached more than 8,000, plus tens of thousands of small workshops without business licenses, China's wire and cable industry has witnessed vicious competition in the industry, and is constantly being purchased by upstream raw material manufacturers and downstream The new dilemma caused by the squeezing of businessmen and the improvement of quality requirements at home and abroad, many low-quality brand cables have flowed into the market, causing market confusion and malicious price killing, resulting in more small and medium-sized enterprises and even large enterprises adopting lower product prices Market competition has led to a decline in the quality of wire and cable. Some companies are unable to obtain legitimate profits by improving quality. They are reluctant to invest more capital and manpower in quality management, resulting in serious homogeneity of commodities in many markets, leading to The development of e-commerce in the cable industry has stalled.