O2O industry policy on the air outlet

November 03, 2021

O2O industry policy on the air outlet

The General Office of the State Council issued the Opinions on Promoting the Online and Offline Interactions to Accelerate the Transformation and Upgrading of Commerce, Trade, Circulation, Innovation, Development and Upgrading (hereinafter referred to as “Opinions”), and called for vigorous development of the online and offline interaction (O2O), an emerging economic form, in the traditional trade and logistics industry. Applications.

The "Opinions" pointed out that new generations of information technologies such as the mobile Internet are accelerating development, technology-driven innovations in business models have emerged in an endless stream, online and offline interactions have become one of the most dynamic forms of economy, and they have become new ways of promoting consumption and innovative development of commercial and trade circulation. New highlights. Vigorously developing online and offline interactions is of great significance in promoting the transformation of physical stores, promoting business model innovation, and strengthening the new impetus for economic development.

Focus on supporting entity O2O transformation

As a concrete plan for the "Internet Plus" further extending to the trade and logistics industry, the 21st Century Business Herald learned that this "opinion" was issued in May this year after the "Internet + Circulation Action Plan" was issued, and the Ministry of Commerce specifically targeted the "line." On the line under the integration of "this trend is formulated.

The "Opinions" put forward 18 measures from the four aspects of encouraging online and offline interactive innovation, stimulating the vitality of physical business development, perfecting the modern market system, and perfecting policies and measures, with a view to accelerating the innovation, development and transformation of commercial and commercial circulation.

The "Opinions" proposed to stimulate the vitality of commercial development of entities, focusing on the use of O2O in the five major business sectors such as retail, wholesale, logistics, life services, and business services.

As an expert participating in the formulation of the Opinions, Zhao Ping, an expert of the Electronic Commerce Expert Consultation Committee of the Ministry of Commerce, said in an interview with the 21st Century Business Herald that the focus and goal of the Opinions is clear. It is to further support the transformation of retail entities into O2O.

"Because from current trends, both e-commerce companies and physical retail companies are working hard in the direction of O2O," Zhao Ping said. The reason why this document was formulated was that it was issued on the one hand. A detailed measure of the "Internet Plus" policy, on the other hand, is to use the force of the situation.

As far as e-commerce is concerned, after more than ten years of vigorous development, it has also been caught in a growth bottleneck and is in urgent need of an increase in inspections.

At the other end, since 2012, the traditional retail industry has lost its brilliance and the closure of physical stores has accelerated. According to iziRetail's sample survey, in the first half of this year, 60% of the nation’s shopping malls were declining, and the tide of department store outlets quickly spread to clothing stores, chain stores and other areas, such as 190 Giordano Pass shops and 1357 Bosideng shops. There are 167 rooms between Belle and Guanli.

As the "Internet Plus" was first promoted as a national strategy, the promotion of two-way integration between physical stores and online stores has followed the trend. Recently, as the landmark event of the O2O community, Alibaba, the online retail leader, and Suningyun, the retailer of offline retail, announced that they have reached a comprehensive strategic cooperation, which is pushing the O2O trend to a climax.

The "Opinions" further clarified that from the three dimensions of supporting business models, technology applications, and product service innovation, we should use the advantages of physical store inspections, e-commerce service chains, and supply chain systems to promote online Under the integration, constantly optimize the consumption path, break scene restrictions, and improve service levels.

Cultivate new consumer motivation

Whether it is an enterprise's autonomous staking or cross-border integration that is respected at the policy level, the fundamental goal is to stimulate consumer motivation.

In Zhao Ping’s view, as the Chinese economy has entered a new normal, the original export and investment momentum has been declining. “Therefore it is particularly urgent to cultivate new consumer motivation.”

At the 15 State Council executive meetings in the first half of 2015 alone, Premier Li Keqiang deployed measures to promote consumption at its meetings on June 10, July 29 and August 19, respectively; as the competent authority, the Ministry of Commerce has also recently continued The issuance of documents including the promotion of rural e-commerce and the five-year layout plan for free-flowing node cities aims to break down the institutional barriers that impede growth in consumption.

Reflected in figures, compared with the current sharp drop in industries, investment, and exports, the growth rate of consumption has been above double digits this year. From January to August of 2015, the total retail sales of social consumer goods was 1,90809 billion yuan, a year-on-year growth of 10.5%; during the same period, the nationwide online retail sales were 2,240.1 billion yuan, a surge of 36.5%.

According to Ma Jiantang, executive deputy dean of the National School of Administration, he predicted that consumer spending during the “13th Five-Year Plan” period will exceed 20 trillion U.S. dollars, and the growth potential is huge.

In order to further introduce O2O, it will be nurtured into a new way of consumption and a new bright spot for the innovative development of commerce and trade circulation. The Opinions include the decentralization of power, innovation and management services, increasing financial support, standardizing market order, and nurturing industry organizations. The seven guarantees further clarify the lead division and the division of tasks.

For example, the Opinions clarified that apart from laws, administrative regulations, and decisions of the State Council, all localities and departments must not increase the number of administrative approvals for market access for interactive enterprises under the online and offline markets; they should adjust and improve market access qualifications according to the characteristics of online and offline interactions. Conditions to accelerate the opening up of resources and information sharing in the public service sector.

“China has entered the ranks of middle- and upper-income countries, and as the national income advances toward the ranks of higher income, future consumption is expected to further release new vitality,” said Zhao Ping.

Shen Danyang, the spokesperson of the Ministry of Commerce, said in a recent press conference that the Ministry of Commerce will continue to support online and offline integration and promote the innovation and development of commercial and trading circulation.

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