Why does the bicycle industry perform brilliantly (Sankei Observation, Seeking Opportunities and Transformation in Crisis, Industry)
In the first half of the year, my country's economic operations recovered steadily, and development resilience and vitality were further demonstrated. However, the current global epidemic has spread and the downward pressure on my country's economy is still relatively high. In the midst of the crisis, new opportunities are being cultivated, and new opportunities are being opened up in the changing situation. China's manufacturing industry is facing difficulties and actively seeking transformation and upgrading.
Under the normalized conditions of epidemic prevention and control, what difficulties must China's manufacturing industry overcome and what opportunities will it face? Starting today, this edition launches a series of reports on "seeking opportunities for transformation in crisis", starting from small cuts such as an industry, an industrial cluster, and a platform, showing the active practice of China's manufacturing industry, turning crises into opportunities, and promoting high-quality development. .
--editor
The industrial added value increased by 2.8% year-on-year, realizing a change from negative to positive; industry profits increased by 13.6% year-on-year, and economic benefits rebounded... From January to May, my country's bicycle manufacturing industry grew against the trend and achieved gratifying results. In May alone, the output of bicycle products increased nearly 45% year-on-year.
The epidemic has caused an impact on the real economy. Why does the bicycle industry perform well? Why can bicycles, an "old thing" that people travel, give new life? Recently, the reporter interviewed some bicycle companies and industry experts to explore the development of the bicycle industry.
New model
Test the waters of live streaming and launching of e-commerce platforms, and online consumption has gradually become a new engine for industry growth
"Now I recommend a children's bicycle, the whole body is pink, made of high-carbon steel material, safe and cute!" In the children's bicycle sales center of Shanghai Phoenix Bicycle Co., Ltd., the new product display area has become a "live room". Promote new models online through Taobao live broadcast. At the end of the day, tens of thousands of people "watched" and successfully sold thousands of vehicles.
Nowadays, all the staff and live broadcast have become a new scene in the old company of Phoenix Bicycle. Ji Xiaobing, the company’s vice president, told reporters that currently about 70% of online stores have implemented live delivery of goods, and almost every salesperson has mastered live broadcast skills such as mirror shooting, selling point introduction, and system debugging.
Concentrating resources and leveraging on e-commerce, the sales of Phoenix bicycles increased substantially, and the performance of the first half of the year rose against the trend. During the "618" shopping festival, many of the company's products were out of stock, e-commerce sales increased by about 160% year-on-year, and in one move the company's e-commerce sales exceeded one million in the second quarter, an increase of 56% year-on-year.
Testing the water for live streaming and targeting online sales seems to be an emergency action during the epidemic prevention and control period, but behind it is a choice for the development path of bicycle companies. In March, as supply chain factories across the country accelerated their resumption of work and production, bicycle production capacity soon increased, but sales channels were delayed. "In the past, bicycle sales were mostly in offline stores. During the epidemic prevention and control period, traditional offline sales channels were blocked. Looking at more than 1,300 stores, the passenger flow is also decreasing." After thinking about it, Ji Xiaobing decided to switch his funds and energy. Online, “Online facing consumers is the general trend, and the online deployment of enterprises has been accelerated in the prevention and control of the epidemic. Last year, the online-to-offline sales ratio was 4:6, and now it has just turned over!”
In fact, as an experiential consumer product, bicycles must be mastered on the front line. "The advantage of offline car purchase lies in experience, and online sales must fully restore the sense of experience." Not long ago, Mavericks Electric moved its new product launch conference online for the first time. In the live broadcast room, Mavericks Electric CEO Li Yan personally went into battle to test drive, demonstrate and exchange product performance, and booked more than 30,000 units in just 4 hours. "Live broadcast solves the problem of'not feeling' in online sales in the past, and test drive allows consumers to be on the spot." In Li Yan's view, when the transaction goes online, the offline logistics guarantee must also keep up. After the consumer places an order with one click, the store staff will deliver it to the door as soon as possible.
The expansion of online sales is helping the bicycle industry to accelerate the release of production capacity. Take Phoenix Bicycle as an example. By increasing product tracking in online stores and dynamically analyzing daily product sales, it has achieved on-demand production and increased production in time based on inventory. "At present, the company's production and manufacturing are running at full capacity, and orders are scheduled to September, and the peak production and sales are close to 1 million units per month." Ji Xiaobing said.
The relevant person in charge of the China Bicycle Association said that during the epidemic prevention and control period, new online consumption bursts with great potential, and offline is no longer the only way to sell bicycle products. As key enterprises in the industry adopt new online retail models to expand their markets, online consumption will gradually become a new engine for industry growth.
New product
Deeply cultivate product research and development, seek cross-industry integration, and innovation and development help enterprises accelerate transformation
Lightweight, convenient, and sensitive to braking, have become the main keywords for many bicycles nowadays, but have you ever heard of bicycles with anti-bacterial functions?
Not long ago, a Phoenix brand health bike has attracted attention as soon as it was launched. Liu Bing, vice president of Phoenix Bicycle Co., Ltd., said the "mystery"-by adding antibacterial coating to the whole body, it can effectively fight against a variety of common bacteria in nature. Not only that, the grip and saddle are made of new antibacterial materials. When used outdoors, the antibacterial effect can last up to two years.
"During the epidemic prevention and control period, cycling has become the mode of transportation chosen by many travelers due to the advantages of good ventilation, convenient use, and avoidance of close contact between people." So Liu Bing and his team began to ponder. , If the bicycle is exposed to the outdoors for a long time, can new products be developed to effectively protect the health of the rider?
Research and development began in March, and the new product was successfully launched on the market in April. After the e-commerce platform was launched, although the unit price was twice as expensive as that of traditional bicycles, the monthly sales of the product quickly climbed to several hundred.
"After the epidemic, mid-to-high-end bicycle consumption targeting sports health and life and leisure will become a new trend." Ji Xiaobing said, whether the opportunity can be seized is a "big test" for the company's R&D capabilities. Companies are increasing investment year by year, researching and developing hundreds of new products on the market, finally forming a marketable product structure and gaining market initiative.
During the epidemic prevention and control period, some bicycle companies are committed to research and development, struggling to pierce the "rhizome" down, and some companies seek to cross-border and strive to expand the "branches and leaves" outward.
In a men's store in Pudong, Shanghai, among neatly arranged T-shirts, shoes and hats, a nostalgic Yongheng brand bicycle is displayed on the same stage. When you look closer, the clothing, shoes and hats in the exhibition area are printed with the word “forever”. "Fashion" and "Nostalgia" complemented each other in the store display, attracting consumers.
This "collision" between clothing and bicycles originated from the active crossover of Forever Bicycle Company. As the earliest bicycle manufacturer in China, how to win the favor of the young people with this traditional and time-honored brand has been a question that the company chairman Yan Yiming has been thinking about. "This year, the launch of co-branded bicycles and cultural shirts not only drove sales growth against the trend, sales exceeded 500,000 in June, but also established the brand among young people." According to Yan Yiming, the current structure of the company's sales population, the post-80s and 90s From less than 50% last year to more than 80%.
Constantly entering new growth areas in cross-border, permanent bicycles are still accumulating power. "In the second half of the year, Forever will set its sights on the e-sports industry that young people like, and join hands with NetEase to open new cross-border cooperation." Yan Yiming said.
New service
Discover social needs, cultivate cultural attributes, and transform from a manufacturing company to a service company
During the interview, many bicycle companies analyzed that the main reason for the increase in performance in the second quarter was the expansion of online sales channels and the continuous innovation of products. The reporter found that, in addition, some companies are deepening the potential market demand for bicycles, starting from manufacturing The business becomes a life service provider.
"Get up early, ride Mavericks to work" "Ready to set off to deliver the courier, are there anyone with you?"... At 6 o'clock in the morning, open the "Mavericks Electric" APP, and the group has already become lively. Users of Mavericks electric bikes from all over the world share their riding status and interact with cycling enthusiasts.
Based on the Xiaoniu electric car smart APP, it can not only check the position of the car in real time, realize the interconnection of people and vehicles, and improve driving safety, but also provide a communication platform for groups with common interests. "There are currently more than 50 Mavericks electric vehicle communication platforms nationwide, covering more than 1.1 million users." In Li Yan's view, consumption upgrades have brought changes in demand, and users are more and more concerned about the riding experience. In addition to the tool attributes of electric vehicles, exploring its social attributes is expected to become a new growth point for the development of two-wheelers.
Demand management for community operations is effectively helping to optimize product iterations. For example, a user once said that he hoped that the storage space of the vehicle would be larger, so the Mavericks developed an exclusive trunk and added hooks for users to use according to their needs. Not long ago, many users reported that APP should be able to navigate directly. The reporter noticed that in the updated version, it is already possible to enter the cycling navigation mode directly in the APP.
It is precisely to see the broad prospects of the social attributes of bicycles that the Mavericks electric bicycles are extending from products to services. Recently, the Mavericks APP launched the "Riding Notes" function, users can share their riding trajectory and scenery along the way for social cycling. Li Yan believes that “in addition to developing more new products in the future, it is necessary to provide better social services and expand the imagination of electric vehicles, so that two-wheelers can continue to be given new life.”
In addition to social attributes, bicycles also have cultural attributes. Not long ago, in Wuxi City, Jiangsu Province, an "Urban Cycling Festival" hosted by Yadi Electric Vehicles attracted extensive participation of citizens. "Not only must we introduce new products to consumers, but also popularize cycling culture to the public, and cultivate cultural attributes for the bicycle industry." said Shen Yu, executive director of Yadi Technology Group Co., Ltd.
"During the prevention and control of the epidemic, people's travel patterns have changed, which has set off this wave of bicycle consumption." The relevant person in charge of the China Bicycle Association said that the entire industry must seize new opportunities for the development of this industry, and explore new markets from new models. Win the initiative in products, capture business opportunities from new services, and enhance the importance of industry in people's lives. "The impact of the epidemic is short-lived, and the long-term positive trend of the industry will not change. After the epidemic, demand will continue to be released, bicycle sales will continue to grow, and the pace of high-quality development of the industry will further accelerate."
Reporter's Notes
Seize the opportunity to innovate and develop
The reason why the bicycle industry can grow against the trend under the impact of the epidemic is closely related to the changes in people's travel patterns during the epidemic prevention and control period. Since the demand for bicycles has increased due to the impact of the epidemic, will it gradually decline after the epidemic?
Looking back at the development nodes of the bicycle industry in recent years, after the end of the SARS epidemic in 2003, the bicycle industry once ushered in explosive growth, and then went downhill. After the rise of shared bicycles, it became an important mode of travel again, until the new crown pneumonia epidemic prevention and control During this period, bicycles were able to re-enter the public eye. It can be seen that new opportunities are constantly emerging, but they are also fleeting. If you want to be prosperous, you must grasp development opportunities, practice your internal strengths, make up for shortcomings, improve product quality, improve product performance, and tap market potential. Enhance core competitiveness.
What is gratifying is that during the interview, the reporter observed that many bicycle companies have moved from passively to the front line to actively embrace live broadcast, from sticking to their own territory to boldly cross-border innovation, from focusing on traditional functions to exploring industrial space, new formats and new products New services continue to appear and are full of vitality. Seizing the opportunity and continuing to move forward, I believe that China's bicycle industry will achieve better development.
Our reporter Han Xin