An interview with liu

he temporarily by deliberately low-key hidden turneth the edge of the past, but he e-commerce market in China, all people cannot ignore this controversial character’s movements.

the past few years, liu is e-commerce China s most representative fierce rebellious. Nine straight average speed of more than 200% growth, and as many as in billions of dollars of financing, let he founded jingdong has quickly become a big MAC and trade as one of the most feared opponent.

liu’s success partly be due to strong style. The graduated from university about on zhongguancun sell accessories’s “madman” electric dealers hate formalism and slow report, don’t like the dozen subordinates do PPT document, but to be heard as far as possible directly, this paper briefly and then make decisions quickly. Liu from time to time, however, outspoken and outsiders almost “madness” confidence is also labeled as an aggressive doctrine of label, especially last year with electricity giant alibaba, offline retailer suning’s tough price war, more make the website forefront controversial.

the Chinese Internet in just ten years of ups and downs, each wave trend of tide thering is no lack of such a fierce and adventurers, but again, is not without from capital wildly popular and wonderful illusion falling fast in the case of the story. But at least for now, from jingdong is more and more solid base, a second-tier cities of loyal users and orderly rhythm, hard to draw liu will be committed the wrong answer.

is really worry is, say goodbye to the rebellious period of jingdong facing industrial structure has become more complex. On the one hand, jingdong rapid expansion will bring big company disease looms in the past, a number of more than 30000 people, new staff more than a year old worker of young companies, a bit not careful can sent wrong; The growth of the electricity industry, on the other hand, from the barbaric rebellious s into a few giant competition platform, alibaba, tencent electricity, suning electric company, which is strong, jingdong inevitably more dangerous in melee combat, the boundaries can be further expanded in the shopping, it seems increasingly depend on liu half-year low-key “retreat” thinking about the results.

“stay home of four or five big platform will be more and more pain, because the competition will be more and more intense.” In early April, when liu had an interview with tencent technology doesn’t hide his sense of urgency. In his view, the so-called platform between the differentiation of competition does not exist, price and service will continue to be the ultimate decisive factor, “jingdong must have suffering consciousness, and the user experience last may by a die.”

the foreseeable future, liu still insist on jingdong success “nabla” strategy, namely in the team, system, and based on cost efficiency support, provide more competitive product, price and service. But at the same time, with close to billions of jingdong sales scale, the appliance merchant company and need further “practice”, to make the necessary changes, including liu himself.

2013 years: “culture and nurture”

despite jingdong used to adhere to the “cost, efficiency and user experience” the same law gives its biggest bottom spirit, but the user experience of competition is not the simple pattern of delivery is to see who is faster, more test platform operation management ability. In this sense, 2013 will become jingdong adjustment and the key to “practice” for a year, is also based on this, liu put forward the strategy of “culture and nurture”, this year is to quickly solve the problem of the accumulation of the past, and to lay a foundation for the future of jingdong.

jingdong “fix” mainly around the corporate culture and corporate system process, two main lines of organization. With scale expansion, jingdong business coverage area is becoming more and more people, more and more departments will be more and more, lead to a “big company” one million head. The dilution of the first is culture in individual departments, specific area even have fault phenomenon, it is necessary to comb and strengthen the values.

in addition, the department of jingdong is piled up in the past, is to meet the business needs, are sorted out for the next five to ten years, such as jingdong some sectors will be more subdivision, like POP and buying departments, warehousing and all electricity storage and split into two departments, jingdong also for some business mergers, such as unified planning for the large logistics system.

after combing all business, all of the company’s future promising jingdong is willing to make strategic investment, which is “a” of the department. As daily provisions, POP department, group purchase business, for future development is crucial, jingdong jingdong is in no hurry to make a profit.

surrounding jingdong mall chain, jingdong through acquisitions and their approach to investing will “raw” new business. Jingdong net silver online will be launched in April, cloud computing platform will also be published. Financial business belongs to the category of jingdong “birth”, however, liu said the financial business profit already, one-month loan in December last year more than 2 billion, annual net profit more than $150 million. “Jingdong all derivative business are based on electricity, electricity is 1, the back is 0. For jingdong mall still is the core and foundation of the business, we will continue to strengthen the electric business, the others are all derivatives business, so primary and secondary clear.”

about and “interest”, liu made it clear that jingdong strategy department will each link to your business, continuous research, once found the past due to left over from history or innovation, didn’t bring value to the customer’s product, jingdong will shut off. “Many of our products is not longevity, some months off. Such as the recently on the collocation of purchase and in fact the effect is not good, as an organization, if innovation will be accompanied by failure, not just turn off, it’s nothing.”

platform with

with jingdong scale further, open platform has become an important strategic part, jingdong, however, jingdong proprietary and open platform competition is also more obvious, also often cause suppliers and jingdong internal complaints, regarding this, liu said, don’t do any balance of the inner jingdong, internal stress mechanism of fair competition.

, liu said jingdong product display interface will redesign, jingdong will put all the core products of different sellers in a page, regardless of proprietary or a third party, show equality of opportunity, jingdong allow customers to choose, who eventually compete or service is good, whose price is lower. Jingdong proprietary and POP is also competition, so is very fierce competition.

“many outside Beijing dongping on lower prices are not bad, but the same company for different departments. Such as cosmetics, self-management and POP departments is very competitive, many are internal price cut prices. But no matter how competition, it is good for consumers.”

liu admitted that the current jingdong open platform is still in the suggested budgeting, not to the official power, nor to massive growth stage. For jingdong, POP platform is the core of the system, the big gap between on the one hand, with alibaba.

this is mainly embodied in the open platform system is relatively mature, provides the seller with analytical tools, marketing tools, jingdong only POP platform is the most basic function, more advanced sellers need the services of jingdong is very lack, jingdong himself in development on one hand, on the other hand are also actively introduced a lot of the third party to come in, quickly rich application of jingdong open platform.

the future jingdong open platform upgrade is another important fulcrum logistics platform. Liu said, now a large number of sellers want to use jingdong logistics platform, but jingdong logistics platform open ability is insufficient, mostly to satisfy own logistics platform, business development, also don’t have the ability to open to a large degree. As Asia’s no.1 project built gradually, a large number of redundant capacity will be open to the seller, to achieve reunification of the business.

this year will be the jingdong sex cash investment spending, one of the biggest annual capital investment spending up to 5 billion yuan, this is mainly embodied in the logistics system on spending. Liu, jingdong Shanghai Asia one of the first phase of the project on May 30, all caps, put into operation at the end of the year. Wuhan, guangzhou and shenyang Asia’s no.1 project the first phase of the project are completed by the end of the year. “Asia’s no.1 project in four period, we will implement days after all finish delivery production reached ten million. And logistics business may also turn it into a profit center.”

jingdong’s continued investment in logistics system, in front of the public is also more and more sellers in the future will realize the importance systematic use of jingdong service: if the third party sellers not faster delivery, near the platform development up slowly, consumers are not satisfied with ran to the traditional channels to buy, it is forced to sellers to rapidly promote logistics speed. According to the data of jingdong master, sell the home to deliver goods speed has been improved significantly compared with the first.

technology system also is the core of jingdong continuously improve ability. Jingdong technology over the past few years have been encountering questions, but in liu’s view, the outside of the information is not comprehensive, jingdong’s technical architecture is now the third architecture transformation. Jingdong is double for the modification of the architecture of the operation, such as the user experience, conversion rate, all kinds of measures jingdong is smooth switch, not a one size fits all.

jingdong technology to upgrade the core is nowadays, requiring companies to the underlying database from the operating environment to the system environment, to application of middleware to the various interfaces, everything all want to face the future of mobile Internet infrastructure renovation and upgrade.

“whether it’s technology, and logistics, or money, we’re all done relatively steady, far beyond the imagination. Over the past nine years of rapid growth, jingdong neither capital chain rupture, also did not appear the bottleneck of information system, also does not have the logistics bottleneck, have proved that our team has the ability to face the challenge of high growth.”

culture reshaping

customer first company’s core values is jingdong reshaping. Liu admits, with jingdong team scale expansion, the big companies disease symptom, dilute the risks to the original values of the culture. Therefore, jingdong this year as in the past no longer crazy hiring. Liu said to tencent technology, the scale of business base is more and more big, the more double growth could be disastrous results.

in the jingdong two-thirds are original, a third is the old man, from this year starting from the control of new employees, jingdong can get good opportunities for breathing, quick to take advantage of this time of the organizational structure, thoroughly to lay a good foundation for the second decade of growth. At the same time, jingdong establishment of jingdong university this year, employee training. Jingdong in the evaluation of executives also explicitly request senior managers put half the time in the corporate culture construction, rather than as it used to be 90% energy in the business level.

“big company disease may be 90% out on culture, coordination difficulties, such as department work mutual shuffle, wrangling with each other. System process is also very important, of course, if the team as the appraisal, the inevitable let’s focus on the management of my team, I this department, regardless of the overall interests, because not the KPI.

base on these reasons, jingdong in strengthening cultural ground project, carding process, of the whole system will also change disease breed big company. The past in the organizational structure of jingdong is through the way of line segmentation, a business chain transverse cut into several parts, but this year, jingdong began to try a longitudinal cutting in some sectors, cut the business line of coarse fine, that is, a business line by a team from beginning to end, avoid unnecessary association between departments.

jingdong principle of choose and employ persons is also changing. Over the past few years jingdong leading executives mostly introduced by external, and now want to be meaning to cultivate jingdong liu from executives. He admitted to tencent technology, the future jingdong 70% of executives will promote from within. Jingdong not cultivate corporate executives soil, platform, now executive team is relatively stable, jingdong have power, have enough platform and soil, resources, cultivate their core executive talent.

however, jingdong compared to the internal adjustment, the outside world more easily noticed that some of the more intuitive. At the end of march this year, jingdong announces new short domain name, and select a cartoon metal dog mascot as image. “First of all, the past 360 buy domain name does not easy to remember; Second, jingdong do 3 c in the past, to be honest feeling slants cold, now transferred to the integrated platform, we hope that the gender of the user reasonable structure, attract more women, show jingdong softer image, animal apparently more press close to, the affinity with the rest of the players.” Although many people think of jingdong “dog” faint to rival “Tmall”, but more willing to liu from jingdong explain the change original intention of the strategic point of view.

even if liu himself as the evolution of the company and more show its tough style of the other side. Internal staff meetings earlier this year, liu what the next ten years is only one goal, the assessment of their own that is focus on jingdong people, to improve the family “quality of life” is committed to employee and employees “job satisfaction”. “Enterprise development to a different scale, a CEO is inevitable to change the management style and manner. If I don’t change, then I is the bottleneck of jingdong company.” He said.

source: tencent technology