Suning and TCL reached 2016 strategic cooperation [expand new markets]

Suning Chairman Zhang Jindong and TCL Chairman Li Dongsheng

On January 23, TCL Chairman Li Dongsheng led a team of more than 30 senior executives to the headquarters of Nanjing Suning and held a six-hour talk with Suning Chairman Zhang Jindong. This time, the two sides have had the highest level and largest scale ever. The team's goal is to achieve 60% of the total channel and 160% of the online growth rate in 2016.

Just a week ago, Suning had just held its 2016 spring work deployment meeting. Zhang Jindong released the full-year strategic development plan at the meeting. Just two days before this meeting, Suning and TCL organized an online brand day event. TCL TV sales reached 30 million yuan a day, achieving double-digit growth.

Li Dong generated the first supplier to visit Suning after the establishment of the Suning 2016 strategic plan. It is reported that the 6-hour talk between Zhang Jindong and Li Dongsheng mainly focused on the strategic cooperation of the two parties in 2016, covering channel coverage and construction, single product customization, precision marketing, logistics services, and marketing promotion.

Annual growth rate of 160% online focusing on single product and precision marketing

The determination of the target of 160% online growth has a great relationship with Suning's 2015 online growth rate well above the industry. In fact, in 2015, TCL's online growth rate in Suning was already close to 140%. The “how to break” this growth rate can be found in the words “custom product customization” and “precision marketing” frequently mentioned by the two big sisters.

In 2016, on the basis of existing cooperation, Suning will further open its data operation capabilities to TCL. Through data opening, both parties will build more differentiated star products in TVs, mobile phones and other areas based on user needs. Has been finalized a variety of high-end smart big-screen color TV products. In addition, the two sides also determined that TCL will give full priority to Suning in terms of exclusive models, large-scale single-licensing, and new product sales.

At the same time, the two sides will also tap into potential consumer demand and consumer behavior data of 200 million Suning members, develop differentiated promotion programs and accurately capture potential customers in response to new market demands and different member needs. The two sides will also establish a data model of consumer behavior mining, set up a joint membership club, boldly break through the existing marketing model, and achieve market promotion and fission.

Infiltration cloud shop, rural outlets ice wash, air conditioning into a breakthrough point

During the talks, Li Dongsheng especially mentioned that not only the scale should be increased, but also the advantages of Suning's Internet retail operations should be used to expand the market share of TCL's high-end products and new products to further promote the development of quality.

Suning's E-Store Cloud Store and Suning E-commerce Store's two major heavyweight products, which have taken the lead in the process of Suning's Internet retail operation, are clearly an opportunity for TCL. Just a week ago, at the spring conference in Suning, Zhang Jindong said that in 2016, Suning will open 1,500 new rural Suning Escalate direct stores and 150 Suning Yigou cloud stores in the country as a whole.

Regarding the Internet-based operation of Suning Online's offline entities, TCL said that in 2016, it will not only continue to increase the landing of color TV products in physical stores. At the same time, as an important growth point and breakthrough point for both parties to increase sales in 2016, they will also accelerate the deployment of new products such as ice-washing and air-conditioners to Suning offline stores, especially through Suning’s Yipian direct-operated stores. TCL will jointly plan the main push campaigns each month to achieve the 34 market seizures and breakthroughs.

Exploring New Fields Suning International Releases New Growth Points

This cooperation involves not only channel-side and data-endopening, but also the opening and sharing of Suning's Internet retail capabilities to the entire industry. In 2016, both parties will also fully integrate in the fields of logistics and after-sale services, and then TCL Logistics will After-sales service or will be fully accepted by Suning.

In addition, the two companies are still planning joint operations in overseas markets such as Asia. Suning had just announced the establishment of Suning International within a week ago, integrating LAOX, Suning Hong Kong, and overseas acquisitions, and advancing globalization into a substantive stage. . Mobile phones have always been an advantage area that TCL is proud of in overseas markets. Along with the cooperation talks, this year, both parties will jointly launch joint efforts in overseas markets to further increase the sales of TCL mobile phones in overseas markets such as Hong Kong.