Go to places where there are many small B merchants

In 2019, the market retail sales of the home appliance industry exceeded 800 billion yuan, and “sinking” is the trend in this industry. According to reports, As of August last year, JD.com’s home appliance specialty stores have expanded to 12,000, known as “light mode franchise”. Suning and Tmall Youpin are also accelerating their distribution to cities, counties, towns and communities across the country, coupled with the squeeze on existing comprehensive regional appliance chain stores, which has intensified the reshuffle of the industry.

On the other hand, due to the high concentration of the industry, the heavy mode, and the difficulties and pain points of last-mile delivery, installation, and after-sales service, most new e-commerce platforms will not easily target the home appliance and furniture industries.

The recently contacted project “Finding Home Grid” is a wholesale and new retail platform that chooses to cut from categories such as home appliances, home furnishings, and agricultural and specialty products. The company issues one generation of standardized products such as home appliances, cuts into the B-end market, and sells online from B-end to C-end.

In the view of founder and CEO Huang Huajun, the industry faces the following pain points:

  • The comprehensive large platform occupies a monopoly advantage on the sales side, and the store model of home appliance manufacturers is under pressure

    The demand of home appliance manufacturers is that the products can reach the terminal directly to avoid the formation of inventory in the middle. In addition, as JD.com, Suning and Tmall successively wired offline stores of all categories and brands in county-level townships across the country. This trend puts a lot of pressure on manufacturers’ single-brand stores and agents.

  • Small B merchants have limited sales categories and cannot compete with comprehensive platforms

    Small B merchants, such as home appliance retailers and decoration companies, have limited funds, installation and maintenance. In the face of small manufacturers’ right to speak, it is difficult to obtain full-category or full-brand supplies, and there is no competitive advantage over the C-end. The appeal of these practitioners is to sell full-brand, full-category products without understocking.

  • C-end consumers are price sensitive and want to buy products at lower prices

    In order to solve the above pain points, “Find a Power Grid” opened up participants and suppliers, connected industry practitioners, namely, B-side middlemen, and cut into end consumers through B-side customers. Directly connect suppliers with operation centers across the country (provincial, county, and township development exclusive operation centers respectively).

    “Find Home Grid” provides merchants with merchant version software that can be applied to smart terminal retail machines, tablets and mobile phones, so that the B-side