Business

3 Years and 10 billion Sales Target: A Suning Bosch Co-operation

Berlin is hosting another edition of the famed IFA that has seen numerous tech giants from all over the world. Suning and Bosch, two giants from China and German respectively are the participants at the event and they have entered into a deep exchange and product display.

As a Chinese home appliance retail giant, Suning has always been the vane of the channel industry in the home appliance industry. Similarly, Bosch, as an industry giant, represents cutting-edge technology and advanced productivity. In the Chinese market, Suning is the most important partner of Bosch.

As early as the 50th Anniversary of the establishment of the Bosch Home Appliances Group in 2017, it was proposed to achieve the sales target of 10 billion yuan in Suning Tesco. In fact, Suning’s channel advantages, user advantages and service advantages can help Bosch quickly approach this goal.

This is only one of the short-term goals of cooperation between the two parties. For Bosch, their longer-term goal is to provide Chinese consumers with continuous products and services. The logical relationship is that they must find the most suitable partner.

Years of practice have proved that Suning is the first choice for its kindness. During the German IFA, a Bosch insider revealed to Blue Technology that Suning’s strength lies in its rich channel camp, user and service advantages. For more than 20 years of home appliance sales, Suning has accumulated very valuable users, and now these users are one of the leading forces in consumer upgrades. From the perspective of channels, the sales of pure e-commerce have now reached the bottleneck, and offline stores may have better opportunities. Suning’s O2O model has certain advantages for both individual users and corporate users. Through the scene experience, consumers can have a more intuitive understanding and cognition. This is Suning’s unique advantage, and it is also an important reason for Bosch and Suning to continue cooperation for many years.

Zuo Wei is the president of Suning Appliance Group Ice Washing Products Co. Ltd.
Zuo Wei is the president of Suning Appliance Group Ice Washing Products Co. Ltd.

Zuo Wei is the president of Suning Appliance Group Ice Washing Products Co. Ltd.

Suning Bosch’s next step

At the same time, IFA also ushered in the leading sales company of consumer electronics products. As the first platform for the sales of home appliances in China, Suning Tesco sent the executive team of He Xiaowei, the president of the home appliance group ice-washing products company, to the IFA exhibition to promote the “introduction + sea” strategy of the Chinese home appliance market.

Blue Technology was informed at the IFA site in Germany that when He Xiaowei and other Suning executives visited the Bosch exhibition, Bosch executives accompanied the whole process and gave a detailed demonstration of the latest products.

At the exhibition, Matthias Ginthum, board member and chief marketing officer of Bosch Household Appliances Group, invited President He Xiaowei to visit Bosch’s corporate headquarters and BSH ‘Inspiration Office’.

He Xiaowei introduced that the trip to IFA and the visit to Bosch Group will further communicate with Bosch on the upgrade of high-end product development and overall strategic cooperation.

In a sense, Suning’s arrival will bring more hope to Bosch, because one of Suning’s missions is to find more good products for Chinese consumers. Introducing them to the Chinese market through Suning’s channel advantage is also the focus of the next step of cooperation between the two parties.

“He Ningwei, President of Suning Appliance Group Ice Washing Products Co., Ltd. and Bosch Executives in the VIP room secret plan next year. Suning shared valuable information with Bosch through C2B reverse customization, which helps Bosch understand China better to introduce more suitable products for Chinese consumers. In the channel of Suning, there will be more Bosch products to the Chinese market. This time, the two sides met and there are many substantive co-operation to promote.” The source revealed to Blue Technology.

He Xiaowei, President of Suning Appliance Group Ice Washing Products Co. Ltd.
He Xiaowei, President of Suning Appliance Group Ice Washing Products Co. Ltd.

He Xiaowei, President of Suning Appliance Group Ice Washing Products Co., Ltd.

Suning’s internationalization is moving in depth

Suning Bosch’s deep cooperation is just a primer for Suning to accelerate globalization.

In recent years, Suning’s international business has continued to expand, and the sales of ‘introduced’ products have accelerated. At present, there are hundreds of buyers who have joined the Suning overseas purchasing company team. They all have overseas life experiences. Through professional judgment and industry experience, they select global good products that meet the market demand and then through Suning’s strict quality control screening, through Suning. The huge system of smart retail has reached the hands of domestic consumers.

The sales performance of international brands in Suning Tesco is also quite strong. As of the first half of 2018, Suning’s overseas purchase business has added 63 local brands in 30 countries to achieve deep localization and direct cooperation, and newly introduced 5,000 direct sales, new Opened 5 overseas warehouses such as German warehouse, the sales scale increased by 260%.

On the opening day of the IFA exhibition in Germany, President He Xiaowei visited a number of high-end product exhibition areas of home appliance consumer electronics brands and held high-level personnel communication with Bosch Household Appliances Group, Beko, Samsung and other companies at the exhibition site.

These companies have had in-depth cooperation with Suning for many years. It should be said that in the Chinese market, Suning is the most important channel for them to understand the Chinese market and users.

According to the ‘2019 China Household Appliance Industry Semi-annual Report’ released by China Household Electrical Equipment Industry Information Centre, the retail sales of China’s home appliance market in the first half of 2019 was 412.5 billion yuan. Among them, Suning accounted for 22.4% of the total, continue to lead the Chinese household appliances market, the first channel. This is the fundamental reason why many overseas consumer electronics brands choose to cooperate with Suning.

On the day of the opening of the IFA, the ’15th China Household Appliances Innovation Achievements Release Ceremony was held in Berlin. The event was sponsored by China Household Electrical Appliances Research Institute, supported by the German Chamber of Commerce and Industry and IFA Berlin International Consumer Electronics and Home Appliances Exhibition. Suning Tesco Group Co., Ltd. held strategic cooperation to promote the innovation and innovation of China’s home appliance industry. And promote the innovation of Chinese home appliances to global consumers, and help the integration and development of international home appliances and Chinese home appliances.

It is understood that in the ‘China Household Appliances Innovation Achievements Release Ceremony’ activities, Haier, Midea, Gree, Hisense, TCL, Skyworth, Changhong, Commander, Little Swan and many other Chinese home appliance brands actively participated. The activities not only cover a wide range of products but also reflect the trend characteristics of the home appliance industry. The promotion of China’s household appliances innovations brings the most advanced innovation technology of Chinese home appliances, which is the result of the ‘going overseas’ of Chinese home appliances.

In fact, these domestic appliance giants grew in the process. As the earliest and most important channel in China, Suning witnessed the development of these enterprises and grew together with them.

Now, more foreign consumer electronics brands have extended their olive branches to Suning. Because they know that entering the Chinese market, Suning is a threshold that cannot be circumvented and an important channel for cooperation.

Blue Technology

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