Li Ning e-commerce low-price promotions offline distributor forced to close the shop

On October 9th, Li Ning recently launched a campus recruitment agency. Its purpose is to spread consumer groups further to the post-90s student population, and at the same time to drive official website sales data at low prices, but it has triggered some second and third-tier market distributors. Dissatisfaction.

“Most regional distributors are getting close to 20% off, and Li Ning’s official website now gives students a discount of 5.5% or even lower.” According to a Li-Ning distributor from Shandong, the company’s distributors have stated to Yibang Power Network that due to online channels, The discounts and selling prices have been lower than the distributors' purchase prices, which has increased the pressure on distributors to survive and forced closure of some offline stores.

The purchase price of distributors is not worth the online promotional price. The merchant stated that with the growing emphasis on e-commerce by Li Ning, the trade-offs between online and offline have touched the interests of some entity operators, especially sinking to third-tier cities and even third-tier cities. The following distributors have the most significant impact.

According to Li Ning’s sales system, it is divided into two levels: dealers and distributors, among which dealers take goods directly from the Li Ning factory and are responsible for the direct-operated store business in first-tier Tier II cities, and then the distributors supply the Tier 3 to Tier III markets. Goods, develop distributors.

"Usually, the ex-factory price of Li Ning products can be controlled at 4 percent or less, dealers get 4.5 percent, and distributors have discounts, depending on the scale and sales conditions." The above-mentioned merchants revealed that the 2012 distribution of supply Discounts range from 5.2 to 5.9 fold in Shandong Province. Since they are large customers in the province, the average annual discount can be as much as 5.3%. "As for most other dealers, they are all offered at a discount of 60%."

In contrast, the Li Ning e-commerce channel is based on agency sales, directly through the top dealers getting goods, you can get a lower purchase price and selling price.

In addition, the series of promotional programs adopted by Li Ning e-commerce in the second half of the year have also made this conflict even more intensified.

Billion state power network found that Li Ning official website has begun a comprehensive review of the membership system, unconditional access to the situation, you can enjoy the benefits of the entire network, and the original members are directly to a higher level, direct participation in the highest discount of 5.5 discount.