It goes without saying that Alibaba's B2B business has always been its proud business group, many of which have been rumored in the jianghu "in the supply of the iron army", as the group's first listed business group, in the field of e-commerce in China has a remarkable significance; Huicong network, as early as 2003, that is, the success of the Hong Kong GEM listing, currently valued at $15 billion; looking for steel network. The current valuation of 15 billion; looking for steel net, not long ago just won the 1.1 billion yuan E round of financing led by the Beijing West Venture Capital, Zhongtai Securities, as a B2B2.0 pioneer, looking for steel net of the hair, triggered the birth of "looking for the generation".
B2B is moving in a promising direction, and the future looks bright. Ali can create another brilliant? HC can break the cocoon into a butterfly? Looking for steel can continue the myth? The so-called model of the three B2B giants, what is it like? Three of the model really no holes?
Ali's B2B strategy is "open"
Alibaba Group held a B2B ecological summit in January this year, inviting a number of partners, including Evergreen Logistics, UFIDA, Four Seasons, Minmetals E-commerce, and Minsheng Bank to come to the event, and announced that Ali is back in the B2B business. back" to the B2B field. Among them, alibaba.com and Yidatong are responsible for foreign trade business, and 1688 is responsible for domestic trade business.
According to Yibang Power Network, Ali hopes to dock all B2B business through alibaba.com and 1688 platforms in the future. Ali's 320 million investment in minmetals electricity supplier Xin Yilian, for example, after the two cooperate, Ali will minmetals electricity supplier and 1688 business docking.
Dong Zheng, head of decision support for Ali's B2B business group, said that Ali's B2B strategy is to open up and cooperate, and provide Ali's online capabilities to businesses so that sellers can better find buyers, which is what Alibaba is best at.
Li Duoquan, general manager of the finance division of Ali's B2B business group, said he hoped to open up Ali's infrastructure big data to financial institutions to finance small and medium-sized enterprises (SMEs).
Senior B2B researchers analyzed to Yibangpower.com that Ali's B2B strategy is to finance SMEs by cooperating with the likes of Evergreen Logistics, UFIDA ERP, and Minmetals E-commerce and providing the accumulated transaction data to financial institutions such as Bank of China and Ping An Bank. Ali, on the other hand, utilizes data deposits, payment systems and other profitability.
Ali B2B is the pride of the successful?
According to Yibang power network, and HC, looking for steel network on vertical B2B push different, Ali seems to be for vertical e-commerce is still not cold. Ali invested in the minerals business Xin Yilian, in addition to providing technology, platform docking, and then no other action.
The above senior B2B researchers analyzed that the self-employed business can guarantee the security of data, but also to avoid the merchant brush single, so the supply chain finance is extraordinarily feasible. Ali's current B2B strategy has many advantages, such as the ability to quickly integrate resources, faster business growth, in the original industry based on the transformation of a smaller loss. But Ali's so-called "open ecology" also has many drawbacks:
First, from the experience of the C-end, price transparency triggered by the merchants in order to brand effect, and the phenomenon of price wars is still difficult to avoid. Although for a long time, we have been for the so-called "cut the middle link" has produced immunity, but some of the traditional links really need to cut, Ali's move can be described as ignoring the "supply chain efficiency" as a matter of urgency, and still to the price of generating competition, it is really The first step is to make sure that you are able to get the most out of your business, and that you are able to get the most out of your business.
Secondly, although the B-end price sensitivity is strong, but different from the C-end, the B-end for security, durability and other strong relationship needs to be even stronger, Ali, if you want to promote price wars, the future to stay on the platform will be only two kinds of brand effect demand obvious big business and "hit a shot for a place" of the small The first one is the one that is the most important one.
Third, if 1688 and alibaba.com eventually as Tmall, Taobao general polarization phenomenon is serious, then, the precipitation of the data in the end there is no use, the reliability of the where, it is worthwhile for financial institutions to be vigilant. Alibaba's B2B strategy, seemingly perfect, is actually the pride of the successful.
The industry source asked rhetorically, "If this model is feasible, then HC and why spend a lot of money to acquire banks?"
Not long ago, there are 1688 merchants to yibang power network broke the news that merchants are generally reluctant to 1688 on the transaction, the reason is that the platform transaction is not only difficult to "tax avoidance", and its traffic in addition to the brand to provide a certain degree of influence, have not yet seen any advantage. 10% profit margin, almost half of offline, but also have to endure. The company's profit margin of 10 percent is almost half that of the offline market, and it has to put up with factors such as rising service fees on the platform from time to time.
Hui Cong, looking for steel busy investment, for what?
According to the billion power network, in 2015, a number of B2B platform financing amounted to 1 billion yuan, and enter the field of angel investment, higher financing amount and strategy is more clear to find the steel network, Huicong network two. Among them, looking for steel network invested in several B2B vertical e-commerce, such as looking for oil network, and independent operation of the aluminum industry B2B platform looking for aluminum network; HC network invested in chemical B2B fifth city, rural B2B cm network, mold B2B in the mold international and other B2B vertical e-commerce, and independent operation of the chemical industry B2B to buy chemical plastic. Not long ago, Huicong network and 99 million yuan strategic stake in Shanghai Steel Union.
It is reported that, at present, the industry generally believe that looking for steel network and Huicong network into the field of investment, is hoping to hedge through investment. But the actual situation, perhaps not so.
Huicong.com CEO Guo Jiang said that in 2015, Huicong.com raised nearly 800 million yuan in the capital market, and subscribed to 10% of the shares of Inner Mongolia Jingu Agricultural and Commercial Bank, becoming its single largest shareholder. It also said that Huicong network to do angel investment, payment and financial strategy is very important, the future of Huicong network will give the vertical platform zero cost third-party payment, and give 10 times the credit limit.
And looking for steel net founder Wang Dong has also said in public, looking for steel net to do B2B platform angel investment, is for financial.
An industry insider analyzed to Yibang Power Network that similar institutions have precedents in foreign countries. Large companies set up a financial sector, such as the United States General Motors Group has GECapital, DHL also has DHLCapital specializing in supply chain finance, Huicong network acquisition of Inner Mongolia Jingu Agricultural and Commercial Bank of similar intentions. Looking for steel network and Jingdong Finance cooperation, looking for steel network and its many vertical B2B platform to provide supply chain financial services, the use of supply chain finance for the platform profit.
The above industry sources analyzed that such loans are generally provided by financial institutions for small and medium-sized enterprises (SMEs) for a short period of a few days and months, with a fast capital turnover rate. It is not impossible to achieve an annual water flow of more than 10 billion dollars in supply chain finance within a few years.
Third-party payment software does not make sense for B-side businesses?
The founder of a vertical B2B platform analyzed to Yibang power network, Huicong network and looking for steel network, although the intention is similar, in fact, there is a fundamental difference, at the same time, each has a problem exists.
From the strategic point of view of Huicong.com, it hopes to invest in B2B vertical platforms to drive the development of payment software and finance, the problem is:
First, what is the significance of payment software for the B-side of the enterprise, the industry has not yet been finalized. From the transaction data, bills and so on, enough to make the platform control the authenticity of the data, self-employed business itself has a wind control function; from the operational experience, because the B-side of the enterprise is often more than one person to make decisions, online payment may occur, but never in the form of payment software.
Secondly, B-side third-party payment has great limitations. Enterprises tend not to purchase only one kind of goods, and the current B-end third-party payment, but no one can dominate the world, which should not be "subsidized" can solve the problem. From the scope, Ali's Alipay may be more likely to occupy this area.
Third, the significance of the third-party payment software for the platform is far greater than the significance of the enterprise. If B-side enterprises use third-party payment software, then the platform will have an objective pool of funds. And as payment software, social platforms, search platforms and other Internet infrastructure, with a natural monopoly, its value practitioners have seen ****.
Fourth, if you have to say that third-party payment in the B2B platform, then cross-border B2B may become a B2B software breakthrough road. In this area, Ali has gained the lead due to the services of customs clearance and currency conversion provided by Yipai.
Find steel net financial system is "disadvantage"
According to yibang power network, at present and find steel net cooperation in financial institutions, in addition to financial institutions such as Ping An Bank, there is the Jingdong financial, copper board street. The more important factors of supply chain finance are: credit limit, interest rate. HCN became the single largest shareholder of the Inner Mongolia Golden Valley Agricultural and Commercial Bank, it can get the cost of about 6% of the supply chain financial products, credit line is naturally out of the question.
A B2B platform founder revealed that, at present, B2B platforms are mostly cooperating with banks and P2P platforms on supply chain finance projects.
The founder of a B2B platform revealed that at present, B2B platforms cooperate with banks and P2P platforms in supply chain finance projects, and the cost of cooperation with banks is lower, but banks are relatively conservative, and the credit limit is generally lower; P2P platforms, on the contrary, the reason why the B2B platforms cooperate with a large number of banks is precisely to provide B-end with a larger credit limit.
A B2B senior researcher analyzed to Yibang Power Network, Ali's partners include Bank of China, Minsheng Bank, etc., there are still a number of banks in the wait and see. I believe that the future credit limit provided by Ali, interest rates, although not necessarily better than HC, but also will not become its disadvantage.
And looking for steel in the financial system is in the downside, according to media reports, in the Xiongnu capital promotion, Jingdong Finance and looking for steel after the cooperation, its cost is about 9% or so, it is difficult to match Huicong's 6% and Ali's direct docking bank. At the same time, looking for steel as a startup, necessarily will not be a large area to obtain the approval of the more conservative banking system. However, this unfavorable factor, may be able to improve because of the Beijing West Venture Capital Holdings (shareholders of the Beijing Municipal Development and Reform Commission, Shougang Group, Beijing Coal Group, etc.).