At the beginning of this year, China News Weekly, with the title of “China’s Economy Comes to a Stable End in 2021”, interprets the development context of China’s economy in the past year with steady progress. Also in 2021, Gome Retail continued to exert its efforts through the second phase of the “Home Life” strategy, ushered in the implementation of the strategy and a smooth conclusion, and handed over a satisfactory answer sheet in fiscal year 2021. According to the information disclosed in Gome’s financial report, Gome Retail recorded sales revenue of 46.484 billion yuan, an increase of 5.36% over the same period of the previous year, and the comprehensive gross profit margin was 14.40%, an increase of 2.24 percentage points over the 12.16% in the same period of the previous year.
“Home·Life” is the target value track of Gome’s strategy, and it will continue to expand with the growth of national consumption expenditure. Divided by category, the “home life” track mainly includes five sub-tracks of home appliances, household, home furnishing, home improvement and home services, with a total market size of about 30 trillion. GOME provides consumers with diversified, comprehensive, one-stop services covering the entire life cycle by integrating sales and service full-link resources, and then leverages the huge increase in the “home life” track.
Among them, home appliances have been the main business of Gome for 35 years. Through the large-scale and intensive procurement of the supply chain, Gome not only has a strong bargaining advantage, but also has a scene-based display through more than 4,000 stores in large cities and small counties across the country, bringing consumers a beautiful look of green and smart home appliances. New Experience. At the All-Retail Eco-Partners Conference in December last year, Gome reached a strategic contract of 100 billion yuan with 12 mainstream electrical appliance brands, becoming a pioneer in the electrical appliance retail industry.
“Home” is a new track that GOME has been breaking through! Since proposing the “Home·Life” strategy in 2017, Gome has been making unremitting efforts around the expansion of household products. At the same time, household use is also a huge consumption category, covering multiple dimensions such as eating, drinking, entertainment, clothing, food, housing and transportation, and is closely related to the personal and family life of ordinary people. In 2021, Gome will build a procurement platform for household goods such as food and beverages, daily necessities, clothing, shoes and bags, and rely on the dual-mode escort of true selection and strict selection to quickly complete the leap of millions of SKUs.
In order to speed up the expansion of household goods, Gome has vigorously expanded its external models such as investment promotion, distribution and agency operations in addition to its self-operated and customized models. In fiscal year 2021, Gome quickly completed the expansion of SKUs of all categories, and established long-term cooperative relationships with B-ends of all sizes. Among them, there are big B-end brands such as Yili, Mengniu, Yanghe, and Maotai, as well as small B-end farmers, aquatic products and farmers in the field of “agriculture, forestry, animal husbandry and fishery” all over the country. Gome takes the supply chain as the hub, takes the online and offline dual platforms as the exhibition window, and creates more value for the C-end by empowering the B-end.
In the home furnishing and home improvement track, Gome has intensively cultivated the home furnishing track through the Internet home furnishing infrastructure and the “Dressing Home” platform. With the positioning of “transparent home improvement”, the dresser adheres to the scientific and technological thinking to solve many pain points such as information asymmetry, price opacity, and irregular service between buyers and sellers, and has created a design platform, construction platform, material platform, home furnishing platform, and modeling platform. The intelligent decoration service platform integrating the store platform and the store platform provides a systematic solution for the upgrade of traditional home decoration to digital and transparent home decoration.
With the overall continuous recovery of the domestic consumer market, the added value of the service industry in 2021 will be 61 trillion yuan, an increase of 8.2% over the previous year and an average growth of 5% in the two years. GOME has an insight into the outbreak trend of the home service industry in advance, and pools online and offline resources to create a “GOME Butler” of the Internet + service platform. And gradually formed a 3+2+N service system, and built a closed-loop ecology covering the entire life cycle of household services.
Analyzing Gome’s 2021 financial report, we can see the high growth of the “home life” track with a volume of 30 trillion. Gome has formed a joint force with the majority of third-party partners through the open model of sharing, co-construction, interconnection and intensive integration. It is bound to usher in a greater breakthrough in the near future.Return to Sohu, see more
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