Industry consolidation is accelerating.
It was learned that the one-stop pet platform Boqi.com recently invested tens of millions of dollars in PETDOG to the pet store franchise and training service provider. The shareholding ratio has not been disclosed yet.
We have reported on the Boqi network many times. It was established in 2008 and initially entered the pet market with the forum community. Later, it gradually developed the pet e-commerce business, and created its own brand products while enriching sales channels; 2014 Since the beginning of the year, Pocci has layout O2O business, and cooperates with more than 10,000 pet stores to provide a line for consumers. Under the pet service, at the same time provide SaaS management system and distribution service for pet stores, help the digital operation of “mother and wife shop”, and further expand the offline sales channels of independent brands and agency brands; in early 2016, Pochi.com has been recruited by CMB International and Goldman Sachs Asia for $102 million in Series C financing to continue to expand pet services and social services to increase user activity.
Now, Pochi.com is already a unicorn in the pet industry. China’s largest pet website has more than 20 million users. 2017 is double eleven, Boqi.com has a single-day sales revenue. Breaking through 100 million yuan, the sales revenue of Double Eleven in 2018 reached 160 million yuan.
The company was founded in 2005 by PETDOG. The business includes franchise of “Pedago” pet stores, pet groomers, trainers, dietitians and other pet talents, as well as related pet supplies. Chain business. Paige started in the offline ecology, with more than 5,000 franchise stores nationwide, 9 years of pet training, and tens of thousands of employees in the industry. Established a systematic output and growth path for practitioners in the pet service field. .
The pet industry has maintained a high growth rate in recent years. In the market of 100 billion yuan, the average annual cost of pets in pets in 2018 is close to 4,000 yuan. At the same time of high growth rate, the problem is that the market is scattered. Tens of thousands of offline pet stores are mainly made up of small and medium-sized “couples and wives”.The problem is that the store’s operation and service resistance are insufficient. For consumers, there are problems with service professionalism, standardization and trust.
The pet industry is inseparable from services. Whether it is a unicorn, or other startups, offline is an important part of the line.
For this cooperation, Poggi’s co-founder and CEO Tang Yingzhi said that the offline pet store is already in the Red Sea. Compared with the opening of the store, it is obvious that the cooperation efficiency is higher. Poch hopes to help the industry integrate and upgrade with the Paige, which is good at offline ecology.
We just mentioned that the offline pet store is mainly for small and medium-sized “husband and wife shop”, and the main profit comes from three aspects: service, selling goods, and selling pets. There are many problems in this, such as insufficient efficiency of passengers, high and low peak hours on weekdays and weekends, as well as in-store goods selection and insufficient circulation efficiency. In this regard, Tang Yingzhi said , good at online Boqi has the opportunityUsing his own supply chain and online traffic advantages to enhance the store’s operational efficiency, which is reflected in: Span>
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Reduce customer acquisition costs and improve operational efficiency. Boqi’s APP and applet clients have huge pet owners. Users search for nearby pet service stores based on the LBS function. Traffic can be imported from the online store, and the cost of pushing the offline stores can be controlled. In addition, offline stores have obvious busy periods, many people on weekends, and workdays are deserted. Through online service appointments and estimates, prices are used as leverage to maximize store operations. .
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Product Selection Guide. With years of e-commerce retail data accumulation, Boqi has a huge amount of data, providing portraits of pets near the store, as well as economic level, pet types, purchase records, etc., through data analysis to provide stores with better pet products. In addition, Pocci’s advantages in the supply chain and brand cooperation can also enrich the store’s merchandise category.
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Improve conversion efficiency. Pet consumption is also emotional consumption, so some products that focus on experience, such as pet clothing, health and nutrition products, can better experience and feedback through the store, which is a good complement to the shortcomings of e-commerce.
For Pocci, the core e-commerce business is growing rapidly, bringing about an increasingly high logistics cost, and the cooperation with Paige means new nationwide. Add more than 5,000 front-end courier points and small warehouses, users can pick up or deliver from stores, to a certain extentreduced logistics expenses. For Paige, this will passively wait for customers to go to the store and turn them into more active service users,Professional service personnel have the opportunity to intervene more deeply into the user’s pet service chain . Pocci and Padoge are also planning to establish a credit rating system for practitioners.
In recent years, in addition to the main business of e-commerce, there are many layouts in the upstream and downstream industries of Boqi Online. In July last year, Boqi invested RMB 10 million in Nanjing Xingmu Biotechnology Co., Ltd. Intervene in the agency and channel sales resources of pet medical supplies, nutrition and health products at home and abroad. In August of the same year, Boqi invested tens of millions of yuan in China’s large pet food research and development and production company Qingdao Shuangan Biotechnology Co., Ltd. to participate in upstream food research and development and production resources. At the end of August of the same year, Pocci signed a strategic cooperation agreement with the large pet medical chain group, Ruipai, to extend the service to the medical market.
This time, Pocci’s shareholding in the company is also gradually strengthening the barriers to the pet line. For the shovel officer, it is always a good thing to get more convenient and professional services.