The term "people outside the Fifth Ring Road" comes from Pinduoduo CEO Huang Zheng, which is essentially a description of the phenomenon of consumption sinking. Pinduoduo, on the other hand, awakens the purchasing potential of "people outside the fifth ring" through the trick of "splitting groups to kill low prices". Looking at Pinduoduo's more and more GMV, many people are moved, and many new platforms with the label of "low price, group fight" have sprung up, and old players have also launched corresponding channels. But no one can really shake Pinduoduo's TOP position in the hearts of "people outside the fifth ring"—— 1) The old players didn't fight hard enough The old players represented by Taobao have already formed their own e-commerce ecology, and they will not change drastically. For example, Taobao, an important task in recent years is to control the quality. The "9.9 popular items" have been removed from the homepage before Pinduoduo flourished.
The overall strategic planning of Pinduoduo is phone number list contrary to the core concept of Pinduoduo, and naturally it is impossible to win the hearts of "people outside the fifth ring" through group grouping. 2) New players are not playing wild enough And the new players who are competing against Pinduoduo will naturally play more than the old players, but they are not wild enough. First, the promotion efforts are not enough, and it is difficult to attract traffic; the second is that the platform itself is immature, with few SKUs, few merchants, slow logistics, and no innovative gameplay. In this way, Pinduoduo, the first to go deep into the "outside the fifth ring", is almost invincible. But there are always exceptions. 2. Taojiji that was shouted Taojiji is the exception that makes Pinduoduo feel more threatened. 2.1 Introduction to Taojiji Taojiji is a social e-commerce platform with low price and high quality, which was launched in August 2018. It relies on the method of "low price + cash incentives" to penetrate the user relationship chain. In February 2019, Taojiji users exceeded 100 million.
Two months after Taojiji was launched, DAU achieved a breakthrough of 0 to 5 million, which immediately aroused the vigilance of Pinduoduo. At the end of September 2018, Pinduoduo launched the strategy of “choose one from the two platforms”, in order to restrain the development of Taojiji by forcing merchants to choose between the two platforms.If you want to say what you are most afraid of at low prices, of course, it is to buy bad goods. For the sinking crowd, they don't care much about whether the product is a big name, and "easy to use" is their core consumption concept. To live is not to spend a lot of money, get a few red envelopes, and live with the worst things. What they are looking for is good quality and low price. After all, the first big shock after Pinduoduo’s IPO was the “cottage problem” left over before, and “low price and low quality” has become a label that Pinduoduo is hard to get rid of. With such a lesson from the past, the way forward to be "low-cost and high-quality" is also very clear. Streamlined process + friendly investment promotion and low price: