Suning and RT-Mart have been testing the home appliances market for around 6 month and the cooperation between them has gradually turned favourable.
On June 21 last year, Suning signed strategic cooperation with RT-Mart. Both parties have cooperated in the 3C area of home appliances of all RT-Mart stores in mainland China. This is an important step taken by Suning Home Appliances 3C to Tmall Lines Store – RT-Mart.
In the context of smart retailing, this model of cooperation is a milestone. After the first phase of rapid development, e-commerce has now returned to physical stores. The difference between the essences of the physical stores in the past is that the O2O model, emphasizing experience interaction, direct stores, and community convenience stores are all given the technology and Internet colour, but also have a sense of technology and shopping.
Suning, which is firmly in the retail of home appliances and the top 3C, is now clearly on the spot when it expands again into physical stores.
With the mission of empowerment and win-win situation, Suning and RT-Mart are not only embracing smart retail, but also sharing big data, integrating resources, and doing professional things with professional teams. This kind of integration has become a new trend of Suning and cross-border integration of smart retail since the second half of 2018.
RT-Mart is just one of the example of Suning’s 3C cooperation. Only half a year of cooperation has brought the two sides apart from the real benefits, more importantly, big data sharing, membership value, and incremental customer mining.
Take RT-Mart supermarket in Liaoyuan City, Jilin Province as an example. Suning officially settled in Liaoyuan RT- Mart at the end of September last year, but Suning ‘s monthly growth rate was about 10%, and it also became its sales peak during the Double Eleven and Spring Festival.
“Suning is more eye-catching on its second floor. All consumers only need to enter the second floor to see Suning. Suning’s merchandise placement and promotion activities, RT-Mart will give the greatest support.” Suning Yi Shi Haiyan, the store manager of Liaoyuan RT- Mart Store, said in an interview with Blue Technology.
Why is Suning more dynamic?
In the context of changes in retail formats, Suning ’s smart retail is in line with current consumer demand.
The first is online and offline integration. Consumers will further strengthen their willingness to purchase by comparing online prices and physical experience in physical stores. In the past, there was no such model in the physical snack shop. For this reason, in the early days of e-commerce development, there was a voice that e-commerce “cranked” the physical store.
In fact, it is not the e-commerce that “forces death” of physical stores, but the changes in physical stores lack technology, lack of interaction with consumers and price transparency. Suning O2O has made up for this shortcoming. Therefore, in the past few years, Suning’s direct stores, Suning stores, Suning retail clouds, Suning shopping centres, etc. have been expanding. The most fundamental reason is that Suning understands consumer expectations and knows how to empower technology.
Secondly, the user base, logistics and after-sales service of Suning stores have a very important role in promoting the development of Suning.
On February 4th, at 10:30 in the morning of the Lunar New Year’s Eve, Blue Technology followed Suning Logistics to the user’s home and experienced a full-service logistics service.
A consumer bought an Electrolux washer at 3 pm on February 3, and he hopes to deliver the goods before the New Year’s Eve. In order to meet the needs of users, Suning store owner Shi Haiyan coordinated with logistics and promised to deliver the washing machine to the customer’s home within 24 hours.
Wang Yunxin, the head of Suning’s Liaoyuan logistics site, urgently coordinated the logistics staff and deployed the delivery van. At 10:30 on the morning of February 4, the logistics staff sent the washing machine to the consumer downstairs on time.
Because there were only steps, the logistics staff carried the washing machine on his back and sent it to the fifth floor of the consumer home.
“I chose to buy in the Suning store, mainly because I can see the physical products, and their logistics and after-sales service are very reassuring. Their logistics is very fast, less than 24 hours after purchase, they delivered the product at home. This year is the New Year’s Eve. I am very grateful to Suning’s shopping stream for being delivered in time.” This consumer expressed his gratitude to Suning for his personal experience.
The store competition is more than just goods, logistics, after-sales service, etc. In Suning, consumers will not buy fake goods, after-sales service is guaranteed, and prices are synchronized with online.
Various offline activities, such as preparing food, that is not regularly held in physical stores to let consumers experience the actual use of kitchen appliances. These are unmatched by e-commerce, and this is the advantage of Suning.
In fact, the rapid expansion of Suning’s physical store is to amplify its own advantages and make up for the shortcomings of the past online price inconsistency and logistics. Guided by the creation of demand, let technology go in front to empower consumers, to meet different consumers through customized, diversified and personalized products.
Smart Retail is an experienced battle
On the morning of February 3, a middle-aged man bought a Haier water heater for his parents at the Lvyuan RT – Mart Suning store.
“I have seen other brands of water heaters on the Internet before, but I feel that there is still a gap between the photos and the real thing. The physical objects seen in the physical store can choose to have a sense of matching with other home appliances and can know the performance of the products in detail with the salesperson. In particular, to help the elderly people to buy home appliances, my experience is to buy in the physical store. Because the elderly users can directly call Suning when they encounter problems, this guide is more practical. I buy electronic home appliances at Suning stores.” Consumer says.
This consumer’s view is universal. In fact, today’s physical stores are more focused on brand display, experience and the ability to tap consumer appeal.
The essence of smart retail is to let consumers have more experience through technology and tools, and then make purchasing decisions.