Buy buy tea: what’s the matter?

(contributing editor: ming-wei sun)

3 on 6 days afternoon, Tuo Du Fei Tuo workers club general manager of a tweet, put the first online mall to buy to buy Chinese tea retail tea pushed to the forefront of public opinion. At that time, executives, the negative news is filled with network company to fail.

a few hours later, restore clear by weibo again: “I didn’t say the collapse of a company, in fact it is in. I just said that Beijing company to do this a person of e-commerce. If a company’s strategic shift, the have to ask the litigant.

left: buy buy tea CEO Ma Yufeng right: MeiShan

and the whole event back and forth, involves a key figure MeiShan. MeiShan in August 2012 to join the Chinese league, senior vice President and buy tea brand market department manager. Previously served as vice President Dr Samar, responsible for branding and promotion. MeiShan microblogging certification has been cancelled in Du Fei weibo shortly after the fact, then issued a statement through weibo: “buy tea without fail.”

buy tea is an enterprise how to

buy tea belongs to shandong Chinese tea and tea industry co., LTD. (hereinafter referred to as “Chinese tea”), website, Chinese tea and locate the tea a whole comprehensive service provider in China. “Chinese tea” operating e-commerce platform to buy to buy tea tea website (www.maimaicha.com), Chinese tea group buy tea group group (www.maichatuan.com), the line has 115 chain stores, large tea processing factory two and has its own 2000 acres of tea plantations. Company main business scope: tea production, tea packaging, tea industry product development boutique, tea, tea products online sales. Chinese tea united’s predecessor was founded in 1999 in shandong rizhao green tea industry.

in January 2010, the royal green tea (at the time of “sunshine royal green tea co., LTD.”) then get LIONFUND (Asia) private equity funds, and $6.6 million in venture capital investment youth.

on October 12, 2011, buy buy tea (” shandong huaxia tea and tea industry co., LTD. “as the corporate entity) announced that completed A round of funding, investors to LuXin venture, deep venture, four domestic investment institutions, such as the financing scale of nearly one hundred million yuan, as China’s tea industry, the largest investment.

on November 26, 2012, royal green tea market in qilu equity trading daycare centers, as the first listed for shandong tea enterprises.

in December 2012, “Chinese tea” Shanghai branch back pay scandals. After the company founder Ma Yufeng to resolve. Body buy buy tea CEO Ma Yufeng told employees will use their own money to pay for the staff of the failure of the project of Shanghai company losses.

development course from the above it is not hard to see, “Chinese tea” is a based on the traditional off-line gene of tea production, sales and circulation enterprises. The founder and chairman of love foreever himself is a good at financing and capital operation. Although buy buy tea at the beginning of the line were high hopes and shoulder the huaxia “tea” online channels to expand, but a lack of Internet and electronic commerce talent enterprises go today this step was no surprise.

buy buy tea problem where

in addition to the enterprise itself the Internet gene and the lack of the electronic commerce talented person, buy to buy tea in the difficulty and the following several deep-seated reasons:

1. Tea belongs to the category of non-standard, non-standard category of B2C e-commerce is limited by the product itself, traffic acquisition costs and the supply chain management platform to the fierce competition in the electricity, and many other factors, has been in a passive position in the operation and development. (mainly alcohol winebibber network, mainly footwear le tao such as vertical electrical manufacturers is a good reference)

2. “Chinese tea” trying to get through by planting tea production and sales of the whole industry chain of thought right, but to accomplish such a complete industrial chain, the layout is not going to do, and need to invest huge human, material and financial resources. Associated with “Chinese tea” two rounds of external financing about 150 million yuan. For the whole industry chain of the building is a drop in the ocean.

3. Company structure dispersion, jinan, rizhao, places such as Beijing and Shanghai branch operation cannot be efficient coordination, layoffs or even shut down part of the company.

4. “Chinese tea” in the tea planting and production, expanding chain offline sales channels in the initial period of development. Taking risk investment at the beginning of 2010, joined the wave of electronic commerce. Offline operation is good, do not represent online will run well. Main characteristics of tea and e-commerce customers is not consistent with the main characteristics, offline difficult to replicate the experience to online.

5. Jinan self-built logistics park, including sunshine tea expo garden project takes up a lot of money. Also caused the external “embezzlement property” ammunition to rumors.

6. “Chinese tea league”, the royal oolong tea has on November 26, 2012 in qilu custody center listed equity trading. For the “Chinese tea” financing channels to expand is a positive. The investors may see better ways of exit. At this time, like chicken ribs buy buy tea it’s okay to be focus of layoffs and adjustments.

until this paper press, the author has been from the “Chinese tea” jinan headquarters staff learned that they had not received any notification of completion of Beijing branch. From the “Chinese tea”, founder and chairman of Ma Yufeng can learn weibo statement, Beijing branch and 8 team continue to operate. The author also called buy buy tea website customer service in the morning to online business in normal.

buy tea future

buy tea executives departure may not be serious, outsiders imagine said also lack according to collapse, but buy buy tea business encounter bottlenecks are indisputable facts. Vertical B2C Internet, is also the Beijing headquarters from zhuhai and a large number of layoffs, the influence of the event itself and vibration than buy buy tea, but the negative news network is very, and buy tea executives the negative impact of departure is to, perhaps this high-level consciousness of public relations has a lot to do with the company.

buy buy tea for the future development prospect is not optimistic, the author analysis will have the following to:

1. The whole of the operations center of gravity of “Chinese tea” will return to jinan headquarters, Shanghai and Beijing branch will only keep a few personnel to maintain daily operation. The future does not rule out the possibility of Beijing and Shanghai branch closed.

2. Offline chain channels and online B2C channel, to the present state of “Chinese tea” can only choose one. The offline chain development road, perhaps more in line with the “Chinese tea” genes and interests. Besides huaxia “tea” has its own tea brand “royal blue” have had a good development, in addition to buy buy tea in offline chain stores and online sales, store Tmall, jingdong and 1 channels also have sales. Will be limited resources into the advantage on the business, perhaps is the realistic choice.

3. Buy buy tea website will not shut down temporarily, but the “Chinese tea” at least now also won’t devote more resources to the operation of the website, in the short term will be to maintain the status quo. In the long run if there is no new infusion of funds, seeking acquisitions or eventually close is possible.

(statement: the authors only from the perspective of a third party to buy buy tea operation analysis and forecast on some of the problems and future direction. As a participant of e-commerce, the author on small and beautiful vertical class B2C the development prospect.

(* some data about the tea sales: 2012 tea electricity B2C market size of about 3.9 billion yuan, accounting for 4% of the offline retail market size.)